Melting away: Increasing health consciousness has limited industry revenue growth

Many establishments in the Ice Cream Stores industry operate under franchise agreements. Steady growth in store numbers over the past five years, particularly through franchises in regional areas, has helped the industry to reach a larger market. With a wide range of products and markets to target, the industry has expanded steadily over the period. Industry growth has also been driven by a greater number of ice cream stores providing high-end, premium and gourmet ice cream products. Some of these stores manufacture gelato by hand and follow traditional Italian recipes, attracting a large and loyal following. These ice cream and gelato stores can charge higher prices, resulting in higher profit margins...read more.

Industry Statistics & Market Size
Revenue
$577m
Annual Growth 13-18
2.4%
Forecast Growth 18-23
Profit
Employment
3,130
Businesses
920

Industry Threats & Opportunities

  • Rising incomes and sophisticating consumer tastes are driving demand for premium products
  • Franchising is popular due to the benefits of strong branding, advertising and operational support
  • Rising obesity and health consciousness among consumers could discourage industry purchases
  • Industry Report - Industry Locations Chapter

    The location of ice cream stores and the revenue generated generally follow population trends and economic activity. Therefore, New South Wales, Victoria and Queensland are the states with the highest number of ice cream stores and revenue levels. Ice cream stores tend to be located in high population areas and in shopping centres or shopping strips with high foot traffic. These tend to have lower traffic volumes during weekdays, but high levels on weekends and school holidays.Despite these location trends, there are relatively few ice cream stores in the CBDs of Australia's capital cities. This is due to fewer people travelling into the city centre on weekends, which limits revenue levels. Als...purchase to read more.

    Additional Insights for the Ice Cream Stores Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Ice Cream Stores Industry are

  • Having a good reputation
  • Ability to control stock on hand
  • Ability to franchise operations
  • IBISWorld analysts also discuss how external factors such as Real household discretionary income and Health consciousness in the Ice Cream Stores industry impact industry performance..

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    What's in this report

    What is the Ice Cream Stores Industry?

    The industry includes retail outlets that primarily prepare or serve ice cream, ice cream treats, gelato, yoghurt, frozen yoghurt and sorbet. Purchases may be consumed on site, taken out or delivered. Ice cream, frozen yoghurt and gelato are made from sugar, flavours and dairy products or dairy alternatives such as soy milk, while sorbet is made from water, sugar and fruit. Some ice cream stores also sell other food and drink products, such as hot dogs, waffles, smoothies and milk shakes.

    Industry Products
  • Ice cream sundaes
  • Ice cream cakes
  • Gelato
  • Sorbet
  • Soft-serve ice cream
  • Hard-serve ice cream
  • Yoghurt products
  • Other food and drink products
  • Industry Activities
  • Selling ice cream
  • Selling gelato, yoghurt, frozen yoghurt, sorbet and other products
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Real household discretionary income
  • Health consciousness
  • Domestic price of milk
  • Domestic price of sugar

  • Current Performance
  • Revenue and profitability
  • Franchising
  • Milk and input pricing
  • Industry participation
  • Chart: Revenue Growth

  • Industry Outlook
  • Revenue and profitability
  • Franchise popularity
  • Industry participation
  • Table: Ice Cream Stores Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Ice Cream Stores Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Consumers

  • Key Selling Industries
  • Chocolate and Confectionery Manufacturing
  • Dairy Produce Wholesaling
  • Ice Cream Manufacturing
  • Mining and Industrial Machinery Wholesaling
  • Paper Product Wholesaling

  • Products & Services
  • Hard-serve ice cream
  • Gelato
  • Soft-serve ice cream
  • Yoghurt products
  • Other food and drink products
  • Sorbet
  • Ice cream sundaes
  • Ice cream cakes
  • Chart: Ice Cream Stores Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Highest household income quintile
  • Fourth household income quintile
  • Third household income quintile
  • Second household income quintile
  • Lowest household income quintile
  • Chart: Major Market Segmentation for the Ice Cream Stores Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Rent
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs Ice Cream Stores

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Ice Cream Stores Industry

  • Industry Globalization
    Baskin-Robbins Australia Pty Limited, Supatreats Australia Holdings Pty Ltd, Franchised Food Company Pty Ltd, NZN Holdings Pty Limited,
  • Table: Baskin-Robbins Australia Pty Limited - financial performance
  • Table: Supatreats Australia Holdings Pty Ltd - financial performance
  • Table: Franchised Food Company Pty Ltd - financial performance
  • Table: NZN Holdings Pty Limited - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Ice Cream Stores Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Ice Cream Stores Industry
    Includes:
  • Industry Revenue (2009-2023)
  • Industry Gross Product (2009-2023)
  • Establishments (2009-2023)
  • Businesses (2009-2023)
  • Employment (2009-2023)
  • Wages (2009-2023)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Franchisee
  • A franchisee pays a franchisor a fee for the intellectual property of a business and the right to run a franchise store under certain conditions for a set period of time.
  • Hard-Serve Ice Cream
  • Includes hard-scoop ice cream that is placed in a cone or eaten with a spoon.
  • Master Franchise
  • A master franchise is a contract between a brand owner and a master franchisee to manage the franchising activities within a region or territory.
  • Soft Serve Ice Cream
  • Soft ice cream that can be eaten with a cone, in a cup or used to make milkshakes and thick shakes.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Ice Cream Stores market research report can be used to help you: understand market size and growth potential; major companies; draft business plans and pitch books; and conduct benchmarking and SWOT analysis. Our industry analysis highlights macro industry trends in the overall sector and micro trends faced by companies that do business in the industry. The industry report also provides key industry statistics and 5-year forecasts to anticipate future industry prospects so you can decide with confidence.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Ice Cream Stores:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Ice Cream Stores market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Ice Cream Stores, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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