Most froyo shops that we talk to tell us that their business is seasonal, with the best sales on warmer days and slower sales during the winter. Even Google Trends shows a seasonal dip in online searches for frozen yogurt (the search term) with the low point in December of each year. Shops that close for the season typically close in November or December and reopen in March or April. Some close as early as late September. While some parts of the country get so hot that businesses close because of the cost of electricity from running air conditioning and overheated soft serve machines, this is rare.
Winter closures are the norm for frozen yogurt shops and restaurants in general. Based on our research, we didn’t find many frozen yogurt shops that close for the winter. It’s more common for ice cream shops to close for the winter than for frozen yogurt shops to do so.
As a frozen yogurt shop owner, your options are to increase promotions during the months of slower sales, offer other products that are more appealing during the colder months, reduce hours, or close for the season. Which options are best will depend on the specifics of your business.
Pros and Cons of Winter Closures
Pros:
- Allows owners and employees time to take a break, go on vacation, spend time with families, make improvements to the business, come up with new menu items, etc.
- Potential for cost savings if the cost of staying open exceeds cost of closing during slow periods
- Employees can file for unemployment insurance during the slow season
Cons:
- Could lose good, trained employees
- Income may not be sufficient during the open months to sustain a seasonal closure
- Will still have some costs, e.g., rent
- Could lose customers who forget about the shop when it’s closed
