Investing in a franchise can be an excellent business opportunity, but it is essential to have a thorough understanding of the options available before making a decision. Today we look at three well-known ice cream franchises in the United States: Pelican’s Snowballs, Marble Slab Creamery, and Bruster’s Real Ice Cream. Which is the most profitable? What aspects should you consider? Read on and find out everything you need to know!
Pelican’s Snowballs Franchise
Pelican’s Snowballs specializes in scraping and offers a flexible business model with investment ranges between $70,000 and $209,000. This wide range is due to the fact that they have options for mobile and shopping mall locations, in addition to traditional locations.
In terms of financial performance, the top 25% of franchises generate an average of $237,000 in gross annual sales. However, the overall performance is not as promising, as the average gross sales for the rest of the franchisees is $136,000. Despite the modest numbers, the top franchisee reaches $408,000 in gross sales.
Pelican’s has shown steady growth with 21 new units over the past three years, which may indicate that even if they may not be very profitable individually, franchisees can open multiple outlets and make significant profits.
Marble Slab Creamery Franchise
Marble Slab Creamery is a medium-sized franchise with 250 units in operation. The necessary investment ranges between $277,000 and $402,000, typically for commercial premises in shopping centers.
In terms of financial performance, stores average $479,000 in annual gross sales. The best franchisee generates $2.2 million in gross sales, which stands out significantly. However, Marble Slab has seen more closures than openings in the last three years, which may be a warning sign. Despite this, they offer satellite models to expand into stadiums, schools, and other venues, which can offset the costs of larger venues.
Bruster’s Real Ice Cream Franchise
Bruster’s Real Ice Cream has 201 units in the United States, with a significantly larger investment range, between $320,000 and $2.5 million. These premises are considerably larger and, therefore, require a higher investment.
In terms of financial performance, the average gross sales in 2023 was $715,000, with the top franchisee reaching $2.3 million in gross sales, surpassing Marble Slab.
*Data as of the date of publication of this article
*Values expressed in US dollars
Bruster’s has shown healthy growth, with 18 new units in the last three years and without any litigation or bankruptcy, the franchise reflects stability and good reputation in the market.
Each of these franchises has its advantages and disadvantages. Pelican’s Snowballs offers low upfront investment and business model flexibility, but with lower revenue. Marble Slab Creamery has better sales numbers, but also more risks associated with recent closures. Bruster’s Real Ice Cream features the highest investment and the best financial return, making it a solid choice for those looking for a larger investment. Would you like to delve deeper into these or other investment opportunities? Contact us to receive a personalized analysis and find out which is the best option for you.
