How Fat Tuesday Can Bring $1.9 Million Annually to Your Casino

The destination frozen daiquiri conceptFat Tuesday is all about letting the good times roll thanks to its extensive line of signature frozen drinks and colorful atmosphere—so it only makes sense that the brand would fare exceptionally well in a casino environment. When letting loose and hoping for a little help from Lady Luck, what better way to kick back than with a delicious and refreshing frozen drink in hand?

To that end, Fat Tuesday will be onsite at the 2019 Global Gaming Expo at the Sands Expo Convention Center in Las Vegas on October 15, 16 and 17. Fat Tuesday’s Director of Franchise Operations, Paul Nugent, and Director of Global Franchise Development, Danny Cattan, will be available to answer franchise queries and talk about the brand’s many offerings and profitable franchise model.

Prospective Fat Tuesday franchisees are also encouraged to pass by the brand’s Grand Canal Shoppes location at 3377 S. Las Vegas Blvd., located right next to the TAO Nightclub.

“Come grab a drink and talk numbers with us at our Venetian location,” Cattan said. “There are many benefits to operating a Fat Tuesday location onsite in a casino, the first one being that our bars do not require a lot of space. Casinos need as little as 600-square-feet for a Fat Tuesday franchise, so instead of an underperforming retail outlet or an under-utilized space in your property, you can open a bar unlike any other.”

Fat Tuesday was founded in 1984 with the idea of providing guests with a vacation-like atmosphere no matter where they were in the world. Today, the brand has more than 35 locations throughout the United States, the Bahamas, Mexico and Puerto Rico. And while Fat Tuesday may be an established brand, it is still an innovative one, embracing new technology and leveraging social media.

Fat Tuesday is also an attractive investment opportunity for prospective franchisees, including multi-unit franchisees, as an individual location has a minimum investment of $479,000, with a minimal equipment investment range of $85,000 to $125,000.  A Fat Tuesday location requires minimal labor to operate and typically costs owners only 13.9% of gross sales. As a result, the average profit after operating expenses is 60.8% of gross sales and the average gross sales per location come in at over $1.9 million, according to the brand’s 2019 franchise disclosure document (FDD).

Fat Tuesday already has a presence in casinos in the United States, with bars open at the Seneca Niagara Resort & Casino in Niagara Falls, New York, the Grand Sierra Resort in Reno, Nevada and on Biloxi Beach’s casino strip in Biloxi, Mississippi. There are also nine Fat Tuesday locations on the Las Vegas strip, which include locations at the Venetian Resort, Caesars Palace, Casino Royale and Planet Hollywood.

The Reno Fat Tuesday opened in July of this year and is already on target to gross over $1 million annually, based on the numbers from its opening months.

“Before Fat Tuesday came in, the Grand Sierra Resort was using this space as a non-revenue generating outlet near the pool and other retail,” Nugent said. “Now it’s bringing in excited guests.”

The brand’s expansion into the Grand Sierra Resort is significant, as the resort boasts 2,000 newly renovated rooms; more than 200,000 square feet of convention center space; a 2,500-seat theater; and a bowling alley, among other amenities. Translation: The Grand Sierra Resort sees a ton of customers who are in search of fun.

“Many of our guests stay with us to enjoy the massive amount of amenities we offer,” Grand Sierra Resort Senior Vice President of Marketing Christopher Abraham said. “We just expanded and renovated our pool, which, along with the casino, will be the anchor amenity feeding the Fat Tuesday experience.”

The bar that was located in Seneca Niagara Resort & Casino prior to Fat Tuesday gave out many comped drinks as a courtesy to customers, however, this was not conducive to turning a profit. Replacing that bar with Fat Tuesday changed everything.

“After Fat Tuesday came in, the casino was able to provide a truly unique offering to their guests with drinks they are willing to pay for,” Cattan said. “This is a vastly untapped opportunity and we are thrilled to discuss partnerships with casinos at the Global Gaming Expo.”

The startup costs for a Fat Tuesday franchise range from $479,000 to $1,079,000. The franchise fee is $20,000. To learn more about franchising with Fat Tuesday, visit https://yourtuesday.com/.