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October 20th, 2014

Frozen yogurt: a hot investment for entrepreneurs

Frozen yogurt shops are popping up in neighborhoods and business developments all across the country, as more Americans shop around for healthier treat options. The frozen yogurt industry is growing, not just for independent shops specializing in the delicious treat itself, but also in established restaurants and cafes looking to add to their menus.

Ice cream may have been around for decades, but frozen yogurt is a young relative in the frozen treats category. It was developed in the 1970s under the name “frogurt,” and eventually was packaged and sold as frozen yogurt in 1978. The treat saw a surge in popularity in the 1980s, when manufacturers started making the product a little more like ice cream – sweeter and with different flavorings. In the mid 2000s, frozen yogurt got a second boost, as specialty shops catering to the “froyo” industry began popping up.

“Frozen yogurt treats – which include many low-calorie and no-sugar-added options – are in high demand because they make for a refreshing snack or dessert without the guilt that other sweets can induce,” says Scott Amico, global vice president of business development for Donper America, an industry-leading manufacturer of quality frozen yogurt machines. “As a result, the industry has grown, and more businesses – including restaurant and fast food businesses – are looking to get into the frozen yogurt game.”

Not only has snacking on frozen yogurt in a wide variety of flavors and toppings grown in popularity since 2006, but the growth is translating into increased revenues as well. Frozen yogurt stores have increased revenue 5.9 percent over the past five years, according to IBISWorld, making the industry a good option for entrepreneurs and already-established businesses that have the ability to expand into frozen yogurt treats. This is especially valuable in light of many other industries struggling during the past few years of economic depression.

The combination of low start-up expenditures and low maintenance costs has made the froyo business very attractive to entrepreneurs and restaurateurs looking to add additional lines of revenue. While the froyo industry is more accessible to aspiring entrepreneurs, a setback one might have would be little knowledge of the frozen yogurt industry. This is where companies like Frozen Yogurt Solutions come in handy. Frozen Yogurt Solutions provides consultation to people who want to get into the industry. These specialists provide recommendations on everything from concept design to selecting the right equipment to marketing the new business. They also provide on-site trainings for all staff.

Whether you’re an entrepreneur looking to establish a trendy frozen treat shop in your local community, or think frozen yogurt could be a benefit to your already established business, you’ll know that with the popularity of this frozen dessert, there’s a good chance you’ll have lines of people waiting for a treat.

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