Froyo Franchises – Is Frozen Yogurt a Fad?

Frozen yogurt – or popularly dubbed as froyo – are gaining in popularity today. One issue: Is froyo franchise just a fad or a legitimate franchise opportunity?

I never ate frozen yogurt in the past decade as much as I did in the past 3 months. To be honest with you, froyo – a popular term abbreviation of frozen yogurt – is kind of addictive to me.

However, I can’t help the feeling that froyo won’t last long as a popular, healthy version of ice cream. And today is not the first time that froyo-craze hit people worldwide.

According to Forbes, the last frozen yogurt craze is in the 1980’s and early-1990’s. Today is better though, as new recipes are introduced, leading to more variety in taste and presentation than the previous froyo craze.

There are a number of successful froyo franchises that are accepted by consumer worldwide. Let us take Asian countries, as examples. Despite some froyo franchises have already established their market in Asian region, the latest froyo craze has attracted even more people, especially those who enjoy healthy foods.

Both US and non-US frozen yogurt franchises are hitting and sweeping the market – cut-throat competition is inevitable. Red Mango, Tutti Frutti and Heavenly Blush to name a few are competing in gaining market share in the smallish sub-niche of healthy food and beverages niche.

Frozen yogurt is a fad?

So far, they succeed. The question is, for how long?

The Franchise Pundit points out that, although froyo has phenomenal growth, learning from past slump in frozen yogurt production from 118 million gallons in 1990 to 65 million gallons in 2005, could we assume that froyo franchises’ popularity won’t last long?

In my humble opinion, they won’t last long.

I enjoy the chic-Asian decor on the franchise units. I enjoy the yogurt – the flavour, the varieties, the toppings, etc. However, I do feel that of all froyo franchises’ products I have tried, they have similar taste and presentation, with a hint of uniqueness here and there.

As more and more froyo franchises will enter the froyo market, this niche will soon be saturated. Consumers will be presented with more choices, and more doesn’t always mean a good thing. This can lead to fed up (or shall I say fad up?) consumers, who will cause the market and popularity to decline.

But then again, I could be wrong. What’s your view on froyo and the franchises? Any opinions to share?

Ivan Widjaya
Frozen yogurt franchises
Image by justinlai.