5 Reason not to Buy a Kona Ice Franchise

5 Reasons not to Buy A Kona Ice Franchise.

There are many reasons to buy a franchise. There are many reasons not to buy a franchise. Here are the top five reasons to not buy a Kona Ice Franchise.

First, design and styling. The design and styling of the Kona Ice Truck is not the biggest but it is the first because first impressions count. The color of the design is blue and purple. Blue and purple are also associated with sadness and depression.

Just look at the marketing for big forma and medications that deal with depression. They start with a dark color like purple or blue then when showing the benefits of the drug they switch to a bright color like yellow or green.

We simply need to look at the giant media company Disney to see this fact. The movie inside out is about Riley and her emotional struggle to adjust to her new life in a new town. Sadness is the name of a character that represents Riley’s emotion of sadness. What color do you ask is sadness? She is blue!

The overall design and color scheme of the Kona Ice Truck is blue. Blue represents sadness. We even use the expression, We are feeling blue. If a person is looking to make a $100,000 plus investment into a business, sadness is not the message they want to send to the customer.

Second, is it designed with kids in mind? It looks as if the general target audience when the Kona Ice Truck was designed was strictly for kids. That is all good but why would a small business owner want to limit their customers to only kids.

There are many options for a shaved ice franchise. I recommend getting one with a little more general feeling theme. For example below is a Tikiz Truck and a Kona Truck side by side. You be the judge.

In comparing the two trucks it is easy to see many differences.

Chrome Grill Tikiz not on Kona
Larger 22” Chrome Rims On tikiz not on Kona
Yellow Bright Colors on Tikiz not on Kona
Tikiz Island Tiki Design Kona is a penguin.

A small business owner is going to want their main source of marketing to be bright, inviting and designed around the product they are selling. Not sure who eats shaved ice in the polar region.

Third, there are too many Kona trucks. If a person is looking to get into a franchise they should look into getting a young franchise. Young and new will stand out. Kona has roughly 800 trucks in the marketplace.

Having so many, a new franchisee, would be just another Kona Ice Truck. Kona has done well since the 2008 banking crisis. But they are pretty saturated in the market.

For example would you want to buy a new McDonalds or an existing McDonalds. Most people would look for an existing one that has customers and is established.

Fourth, is bad corporate citizenship. With a simple google search you can see Kona Ice has been in a ton of lawsuits. What is interesting is that Kona Ice has started most of the lawsuits. When a company is founded on the idea of being a good corporate citizen by raising funds for nonprofits and schools, but is constantly in litigation what message is that really sending.

What would a 10 yr old think if they knew their purchase of a shaved ice was funding lawsuits against other small businesses. Maybe even his best friends or neighbors’ parents’ business.

It just seems that they are promoting one thing in their marketing and business plan. However, they are doing the opposite behind the scenes. Many might say it is a patent issue. The simple question is can you really patent a jug, hose, and value. The average person could set this up in a few minutes in their home. Will Kona sue them also?

Fifth, is small territories. In business you want the most opportunity possible. For example, many companies sell online. Why? To reach more customers. To have unlimited reach is better than limited reach.

When getting a franchise you are purchasing a territory to protect. However, Kona Ice has smaller territories than their closest competitor. If the small business owner is not franchise expert or business savvy when buying a franchise, this could be the main reason they fail. Think about it like this.

Pick any small town in America, think about a small business doing well in that town. Most small towns have less than 50,000 people. By choosing to buy a Kona Ice Franchise people are choosing to eliminate an entire small town size income from their business. See the comparisons below. Also for more information on just how devastating this can be

click here.

Start-Up Costs and Fees
	Tikiz Franchise	Kona Ice Franchise
Investment	$132,500 – $146,000	$145,600 – $169,200
Franchise Fee	$20,000	$15,000

Tikiz Franchising

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