Frozen Yogurt Still Hot! IBISWorld Introduces New Report on Frozen Yogurt Stores

Revenue from frozen yogurt stores reached $1.6 billion in 2011. Revenue has increased strongly due to the growing popularity of frozen yogurt chains, such as Pinkberry, Red Mango, and Yogurtland. According to a new IBISWorld research report, demand is expected to jump in 2012 and will remain robust beyond as the economy improves, the unemployment rate declines and consumers begin to spend money on eating out.

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IBISWorld Market Research

IBISWorld Market Research

Intense competition will continue to define the industry. This will be reflected in price-based competition and an increased emphasis on the regular introduction of new products.

Los Angeles, CA (PRWEB) October 11, 2011

Revenue from frozen yogurt stores reached $1.6 billion in 2011. Revenue has increased strongly due to the growing popularity of frozen yogurt chains, such as Pinkberry, Red Mango, and Yogurtland. According to a new IBISWorld research report, demand is expected to jump in 2012 and will remain robust beyond as the economy improves, the unemployment rate declines and consumers begin to spend money on eating out. Senior Industry Analyst Nima Samadi adds, “Intense competition will continue to define the industry. This will be reflected in price-based competition and an increased emphasis on the regular introduction of new products. Most chains will introduce new healthy food alternatives and expand their current product lines. Moreover, over the next five years, industry profitability will remain strong because of higher sales volumes and resumed domestic expansion. Operators that experience stagnant profit margins domestically will likely double down on international expansion to grow bottom line returns. Key areas include Asia and the Middle East.”

Frozen yogurt stores are the fifth largest product segment in the broader coffee and snack shops sector. They currently make up approximately 6% of sector revenue, or $1.59 billion. Coffee shops are the largest coffee and snack shop product segment. The proportion of industry revenue that comes from coffee shops has increased over the last ten years due to the rapid proliferation of coffee shops and cafes across the US and the rise in popularity of major coffee shop chains such as Starbucks. Coffee shops make up $6.6 billion of the revenue Americans spend on snack foods from specialty stores.

Doughnut stores are the second largest product segment in this industry. They currently make up approximately $4.8 billion of industry revenue. The proportion of industry revenue that comes from donut shops has decreased over the last ten years, largely due to the health concerns associated with eating unhealthy foods like donuts. However, Samadi adds that “the fall has been dampened by the success and growth major donut chains such as Dunkin' Donuts and Krispy Kreme have experienced over the last decade”. Ice cream shops are the third largest product segment in this industry. They currently make up approximately $4.2 billion of industry revenue. The proportion of industry revenue that comes from ice cream shops has decreased Samadi says, because of “health concerns, as well as the growth in popularity of easily substitutable foods such as frozen yogurt.”

Bagel stores are the fourth largest product segment in the industry. They currently make up approximately $4.0 billion of industry revenue. The proportion of industry revenue that comes from bagel shops has increased over the last ten years. This is due to the growing popularity of bagels as well as their introduction into new markets over the last ten years.

For more information visit IBISWorld’s Frozen Yogurt industry report

IBISWorld Industry Market Research Reports Contain:

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle

Products & Markets
Supply Chain
Products & Services
Major Markets

Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry

Major Companies

Operating Conditions
Capital Intensity

Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.

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