| The key to success, to recap, is marketing food and beverage products to guests by effectively dealing with: | |||
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1. Guest Traffic 2. Value Equation
a. Quality 3. Consumption Habits |
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We use a strategy and plan that successfully addresses each of the above. This is a business of blocking and tackling, meaning that implementation must be detailed and take place in a planned and organized manner.
HOT Stop® services Guest Traffic by serving hot dogs, sausages, pizza, pretzels, subs, tacos, bottled water, lemonade and soda from our Cart Systems. The placement of our Cart Systems distant from in-line restaurant facilities and near the guest collection points has a minimal impact on in-line restaurant facilities sales and, as a result, generates incremental food and beverage sales and increases Per Cap. Our Partnership Program actually takes advantage of the food and beverage opportunities that are created by new traffic flows and the very limited time, space and capital available to our customers. Each Cart System can be installed and health department approved in two (2) weeks or less, and requires a minimal footprint of less than 100 square feet. HOT Stop® funds the capital required for Cart Systems and program operating expenses. |
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| Quality is largely achieved through perception, using brands that are well known to the guests. We sell only the best food and beverage products when the brand is not well known, such as our 100% natural lemonade. Selling products from premier suppliers supports the Value Equation and, in particular, premium pricing. | |||
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Service is achieved by using food service assets designed for high throughput, such as our Cart Systems. Our trained, uniformed and skilled employees are the other integral component. We invest in our people, both management and hourly workers, to ensure we meet the guests' Service expectations. You will not see long lines at
HOT Stop®.
Convenience is achieved through the placement of our Cart Systems in unserved or underserved areas. Guests are busy enjoying the attractions and do not wish to search for food and beverages. This is particularly true for parents with small children who only understand immediate gratification. Convenience is essential to generating impulse purchases. We generate substantial incremental sales with "Grab 'N Go" purchases of our food and beverage products.
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| Reasonable Pricing is achieved by intelligent menu planning and pricing. We offer inexpensive food and beverage items for the children and those with lesser appetites, such as our two (2) ounce regular hot dog. We serve |
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increasingly larger hot dogs and sausages with commensurately higher prices. A beverage
example is our 100% natural lemonade product which we serve using a 32 ounce refillable cup. We sell refills for the same cup with a 40% discount. We can afford this discount because our lemonade product costs less than the cup, lid and straw, thus allowing us to maintain our margins while stimulating sales. The guest sees our attractive refill price as a great bargain. The guest perceives Reasonable Pricing and purchases more product as a result.
Bulk is considered by guests on a visual and physical basis, as stated earlier. Our Cart Systems appear as the food and/or beverage product sold from the system, immediately creating a favorable visual appearance. The physical aspect of Bulk is achieved by providing guests with sizable portions of product for the price paid. This up sizing does not significantly affect the cost of goods sold when guests are paying premium prices. An additional $0.05 in cost of goods sold is not material when the retail product price is $3.00, versus a typical $1.50 street price. |
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Consumption Habits have dramatically changed. Guests are seeking food and beverage items that can be consumed while enjoying the attractions. HOT Stop® meets this guest desire by selling snacks from our Cart Systems, not meals. Per Cap | ||
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receives a boost because guests must consume several snacks to equal the satisfaction derived from a single traditional meal. As an example, five (5) hot dogs purchased at $3.00 each would equal the weight of one (1) meal and would cost a total of $15.00. One (1) traditional meal of cheeseburger and fries would typically cost $6.50, thus generating $8.50 in incremental food and beverage sales
($15.00 - $6.50 = $8.50).
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| In Conclusion, our Cart Systems' appearance initiates our guests' evaluation process as they approach each Cart System. The "Look" of our Cart Systems is a people magnet, with little kids stopping in their tracks as they point and ask mom for a hot dog. |
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| As a result, our Cart Systems are billboards for our food and beverage products so that the guest's "Perception Process" has more time to evaluate whether or not to purchase our products. The time from when guests first observe our Cart Systems to when they enter our small purchasing line is approximately 10 to 20 seconds. We have learned that the more time consumers have to think about the advertising message while walking up to the Cart System, the more significant the increases in impulse purchases and the greater the opportunity to up sell. | |||
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| Mobile food and beverage assets require years to research, design and construct. However, it is not possible to operate effectively without these mobile assets in your arsenal. HOT Stop® has invested hundreds of thousands of dollars and several years developing mobile | |||
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Cart Systems and patenting our highly successful throughput process. We can out sell any vendor of the same product at the same location using our patented and proprietary Cart Systems and processes.
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| We have learned from past experience that all customers are seeking programs that generate incremental food and beverage sales and boost their Per Cap. However, they often do not have the resources in their budget to allow the hiring of |
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additional employees nor the capital funding required to construct additional in-line restaurant facilities. This funding shortfall results in the inability to take advantage of impulse generated sales in areas that are unserved or underserved. HOT Stop® understands Guest Traffic, the Value Equation and Consumption Habits. We have the solution through our Partnership Program. |
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