Understanding the Frozen Yogurt Business
The appeal of frozen desserts, such as frozen yogurt, spans across people of all ages. If you’re considering starting a frozen yogurt business franchise but lack ideas, it’s important to know the costs involved and the potential profitability of the venture.
Costs and Profitability
- Franchise fee: around $35,000
- Average total investment: $355,000
- Menchie’s franchise cost: $349,000-$782,000
- Royalty fees for Menchie’s: 6%
- Average price of Greek yogurt: $0.96 per 4-6 ounce container
A frozen yogurt business generally makes a profit margin of around 40%, with variabilities depending on location, competition, and the shop’s offerings.
Top Franchise Opportunities
Here is the top 10 Frozen Yogurt Franchise Opportunities in the USA:
- Yogen Fruz
- sweetFrog
- YOGURTLAND
- Menchie’s
- Pinkberry
- MRS. FIELDS & TCBY
- Red Mango
- Orange Leaf
- 16 Handles
- Tutti Frutti
Frozen yogurt shops offer a viable business opportunity and the investment can pay off quickly due to the continuous demand for FroYo, which is not season-dependent.
The Fastest Growing Dessert Franchise
When exploring dessert franchises, Cinnabon and Kona Ice stand out amongst others like Nothing Bundt Cakes and Heavenly Desserts. It’s crucial for prospective franchisees to compare opportunities, considering both established brands and emerging ones, to determine the most promising investment.
Desserts on the Rise
Dessert franchises are expanding rapidly, with different concepts and options available to entrepreneurs. Cheesecake, for example, has seen a year-on-year increase of 13.7 percent in demand.
If you’re considering a dessert franchise, Heavenly Desserts has established itself as one of the fastest-growing dessert chains in the UK, and Beard Papa’s has gained recognition as the nation’s fastest growing dessert franchise.
It’s also interesting to note that dessert consumption is prevalent in the U.S., with 99% of Americans indulging in desserts and 70% doing so at least once a week.