Make cool cash in ice block-making biz
- Details
- Category: SME toolkit
- Written by Bridget Olotu
- Hits: 5060
We attended a Business Breakfast meeting for top executives and business owners recently. After the meeting, we gave out our magazine to the attendees. One man who came there also called us and asked if we could prepare him a business plan for a cousin of his. The business plan was on ice block making business. Our research on the business threw up some interesting findings: Ice block business has come to stay even when our power supply situation improves. I know my tone here comes with a sense of finality in it. Never mind, just go through this write-up with me. Need I say that after drawing up this plan for this man, it was an eye-opener for him too. Today, he is offering us another business plan brief in a different industry.
Ice-block business is important and need-filling because we live in a country situated within one of the hottest regions in the world and our economy is such that majority of our people get involved in hard labour to make ends meet. These two important facts necessitate the high intake of water by especially the people who drive the economy at that level. Therefore, one can imagine the amount of water that is taken on a daily basis irrespective of the season we are in. And of course most people prefer to take their water or drink chilled as this makes the liquid tastier and better appreciated.
In addition, the nature of the economy does not permit everyone to own a refrigerator at home so as to ice their water and other drinks. And even among those that own a refrigerator, only a small percentage can afford to power it with the right generating set because of our epileptic power supply. This is an opportunity that can be taken advantage of by smart entrepreneurs or investors.
Ice Block Making
Ice is water that has frozen into a solid state. Ice block is the block shape the water poured into a cellophane bag or a container takes when it is frozen. Ice block is a product developed to provide cold effect to otherwise warm or lukewarm packaged water, soft drinks or fruit juice products with the intent to give the consumer the pleasure of taking such fluids chilled or cold. With the increase in the number of packaged water products, carbonated soft drinks and fruit juice products on the market, ice blocks will help to make these products more enjoyable, tastier to consumers’ palates and preserve them for a longer time.
Target market for ice block business. The reason I believe with improved power in Nigeria, ice-block business will continue to remain relevant is because, the target market for this product is wide and varied, and if the product is not needed at the individual level, there are organisations/institutions whose work/products require constant icing. The market for ice-block in Nigeria includes among others:
• Drink sellers dealing in carbonated soft drinks, alcoholic drinks and fruit juice beverages;
• Packaged water sellers dealing in sachet and bottled water products;
• Party people or individuals or groups having one festivity or celebration or the other;
• Carbonated and fruit juice beverages manufacturers e.g. Coca Cola, Pepsi, Chi Vita, etc.
• Restaurant and fast food vendors;
• Cafetaria (what some popularly call “buka”);
• Pharmaceutical companies and manufacturers of drug products requiring cooling effect to preserve the efficacy and potency of some of their drugs.
• Hospitals and clinics also need it for the treatment of patients and for preserving certain drugs and vaccines.
• Hawkers who sell their drink, water and juice products during traffic and who need to ice these items to attract buyers, among many others.
The Income potential of this business is quite interesting.
What is required for this business?
Now the cost of running this business is relatively low depending on the entrepreneur. To start, you need a shop, a freezer or freezers or an ice-block making machine, a generator, a water source and cellophane/nylon bags. Then you can also have a bus or car that takes your ice block products to your target market. The profit margin on this investment is about 70% or more depending on how the owner of the business manages their cash flow.
Now, no matter how simple a business looks, some person has failed doing it. This is where planning comes in. You need a business plan to articulate your vision for this business, identify your manpower needs, draw up an effective and robust marketing plan, design your financials, and identify different opportunities that can make this enterprise a profitable success for you.
Don’t just fold your hands and keep watching or complaining. You can become an employer of labour in your own rights. You can start an ice water business and create the kind of income you desire. We can provide you professional services in this area, if you need help. I wish you all the best as you make the move to realise your dream of becoming an entrepreneur, improving your personal economy and meeting the needs of many users of ice block products.
Articles
Make cool cash in ice block-making biz
Category: SME toolkit Written by Bridget Olotu Hits: 5060
We attended a Business Breakfast meeting for top executives and business owners recently. After the meeting, we gave out our magazine to the attendees. One man who came there also called us and asked if we could prepare him a business plan for a cousin of his. The business plan was on ice block making business. Our research on the business threw up some interesting findings: Ice block business has come to stay even when our power supply situation improves. I know my tone here comes with a sense of finality in it. Never mind, just go through this write-up with me. Need I say that after drawing up this plan for this man, it was an eye-opener for him too. Today, he is offering us another business plan brief in a different industry.
Ice-block business is important and need-filling because we live in a country situated within one of the hottest regions in the world and our economy is such that majority of our people get involved in hard labour to make ends meet. These two important facts necessitate the high intake of water by especially the people who drive the economy at that level. Therefore, one can imagine the amount of water that is taken on a daily basis irrespective of the season we are in. And of course most people prefer to take their water or drink chilled as this makes the liquid tastier and better appreciated.
In addition, the nature of the economy does not permit everyone to own a refrigerator at home so as to ice their water and other drinks. And even among those that own a refrigerator, only a small percentage can afford to power it with the right generating set because of our epileptic power supply. This is an opportunity that can be taken advantage of by smart entrepreneurs or investors.
Ice Block Making
Ice is water that has frozen into a solid state. Ice block is the block shape the water poured into a cellophane bag or a container takes when it is frozen. Ice block is a product developed to provide cold effect to otherwise warm or lukewarm packaged water, soft drinks or fruit juice products with the intent to give the consumer the pleasure of taking such fluids chilled or cold. With the increase in the number of packaged water products, carbonated soft drinks and fruit juice products on the market, ice blocks will help to make these products more enjoyable, tastier to consumers’ palates and preserve them for a longer time.
Target market for ice block business. The reason I believe with improved power in Nigeria, ice-block business will continue to remain relevant is because, the target market for this product is wide and varied, and if the product is not needed at the individual level, there are organisations/institutions whose work/products require constant icing. The market for ice-block in Nigeria includes among others:
• Drink sellers dealing in carbonated soft drinks, alcoholic drinks and fruit juice beverages;
• Packaged water sellers dealing in sachet and bottled water products;
• Party people or individuals or groups having one festivity or celebration or the other;
• Carbonated and fruit juice beverages manufacturers e.g. Coca Cola, Pepsi, Chi Vita, etc.
• Restaurant and fast food vendors;
• Cafetaria (what some popularly call “buka”);
• Pharmaceutical companies and manufacturers of drug products requiring cooling effect to preserve the efficacy and potency of some of their drugs.
• Hospitals and clinics also need it for the treatment of patients and for preserving certain drugs and vaccines.
• Hawkers who sell their drink, water and juice products during traffic and who need to ice these items to attract buyers, among many others.
The Income potential of this business is quite interesting.
What is required for this business?
Now the cost of running this business is relatively low depending on the entrepreneur. To start, you need a shop, a freezer or freezers or an ice-block making machine, a generator, a water source and cellophane/nylon bags. Then you can also have a bus or car that takes your ice block products to your target market. The profit margin on this investment is about 70% or more depending on how the owner of the business manages their cash flow.
Now, no matter how simple a business looks, some person has failed doing it. This is where planning comes in. You need a business plan to articulate your vision for this business, identify your manpower needs, draw up an effective and robust marketing plan, design your financials, and identify different opportunities that can make this enterprise a profitable success for you.
Don’t just fold your hands and keep watching or complaining. You can become an employer of labour in your own rights. You can start an ice water business and create the kind of income you desire. We can provide you professional services in this area, if you need help. I wish you all the best as you make the move to realise your dream of becoming an entrepreneur, improving your personal economy and meeting the needs of many users of ice block products.