TL;DR
Despite a decline in the popularity of frozen yogurt chains in recent years, the co-owners of 16 Handles believe that Froyo is on the cusp of a resurgence. Independent retail store owners can take note of the potential for growth in the frozen yogurt industry and utilize effective marketing strategies to attract a wide range of customers.
When frozen yogurt chains first emerged in the market, they quickly gained popularity with brands like TCBY, Pinkberry, and Red Mango opening new locations regularly. However, over time, the demand for frozen yogurt seemed to decline, leading to many of these brands either going out of business or experiencing stagnant growth. In contrast, the co-owners of 16 Handles, YouTuber Danny Duncan and Neil Hershman, believe that froyo is far from being a dying trend.
Hershman, who was previously the brand’s largest franchisee, decided to purchase the entire brand last year due to his deep passion for the company. He noticed that the franchisors had lost focus on the brand, leading to inefficiencies. Hershman then partnered with Duncan, utilizing his marketing influence, to revitalize the chain.
One pivotal marketing moment for 16 Handles was when Duncan hosted a grand opening party at a restaurant in Naples, Florida. His presence attracted fans, who not only got to meet Duncan but also enjoyed some frozen yogurt. This event showed Hershman and Duncan that there is still a demand for frozen yogurt across all age groups. It debunked the common misconception that 16 Handles was exclusively meant for families, highlighting that frozen yogurt is a treat for everyone, including couples on date nights, the elderly, and more.
Despite the decline in popularity experienced by other frozen yogurt chains, 16 Handles has consistently achieved steady same-store sales growth over the years. With the guidance of Hershman and Duncan, the brand is now observing double-digit sales growth year-over-year.
For independent retail store owners, this success story offers valuable insights and actionable steps to boost their own businesses. By recognizing the untapped potential of the frozen yogurt industry, store owners can consider incorporating frozen yogurt products into their offerings. Conducting market research to understand the demand in their specific area is crucial for determining the viability of such a venture.
Moreover, implementing effective marketing strategies that target a wide range of customers can help maximize sales. Store owners should aim to dispel misconceptions and inform their audience that frozen yogurt is a treat suitable for everyone. By crafting engaging promotional events and utilizing social media platforms to share appealing content, retailers can attract new customers and retain existing ones.
In conclusion, while the popularity of frozen yogurt chains may have waned in recent years, the co-owners of 16 Handles are confident in the industry’s potential for growth. Their strategic focus on efficient operations and inclusive marketing has revitalized the brand, resulting in significant sales increases. By leveraging these insights, independent retail store owners can tap into the potential of the frozen yogurt market and implement effective strategies to drive growth and capture a diverse customer base.
