In this exclusive Franchise Chatter FDD Talk post, you’ll learn the following:

Section I – Estimated initial investment (franchise costs) for a Häagen-Dazs franchise, based on Item 7 of the company’s 2023 FDD

Section II – Initial franchise fee, royalty fee, and marketing fee for a Häagen-Dazs franchise, based on Items 5 and 6 of the company’s 2023 FDD

Section III – Number of franchised and company-owned Häagen-Dazs outlets at the start of the year and the end of the year for 2020, 2021, and 2022, based on Item 20 of the company’s 2023 FDD

Section IV – News updates on the Häagen-Dazs franchise opportunity

Section V – Presentation and analysis of Häagen-Dazs’ financial performance representations (average revenues and/or profits), based on Item 19 of the company’s 2023 FDD, including information on the:

• 2022 average, median, lowest, and highest sales for the 171 traditional Häagen-Dazs Shops that commenced operation on or before January 1, 2022 and were still operating as of December 31, 2022

• number and percentage of traditional Häagen-Dazs Shops in the sample that generated 2022 sales of over $1 million; from $900,001 to $1 million; from $800,001 to $900,000; from $700,001 to $800,000; from $600,001 to $700,000; from $500,001 to $600,000; from $400,001 to $500,000; from $300,001 to $400,000; from $200,001 to $300,000; and less than $200,000, respectively

Section VI – Key ratios, comparables, computations, and analyses for the Häagen-Dazs franchise opportunity (exclusive content for Platinum subscribers)

Section I – Häagen-Dazs Franchise Costs

• Häagen-Dazs franchise costs, based on Item 7 of the company’s 2023 FDD:

• Initial Franchise Fee:  $30,000
• Travel and Living Expenses to Attend Application Interview:  $1,189
• Travel and Living Expenses During Training:  $3,079
• Leasehold Improvements:  $105,000 to $300,000
• Deposits and Licenses:  $7,500 to $17,500
• Equipment, Fixtures, and Furnishings:  $50,000 to $115,000
• Opening Inventory:  $6,000 to $10,000
• Insurance:  $1,500 to $2,500
• Additional Funds – 3 Months:  $10,250 to $63,500
• Total Estimated Häagen-Dazs Franchise Costs:  $214,518 to $542,768 for a new franchisee; $195,250 to $526,579 for an existing franchisee

Section II – Häagen-Dazs’ Initial Franchise Fee, Royalty Fee, and Marketing Fee

• Häagen-Dazs’ initial franchise fee, royalty fee, and marketing fee, based on Items 5 and 6 of the company’s 2023 FDD:

• Initial Franchise Fee:  $15,000 to $30,000
• Continuing Royalty Fee:  4% of Gross Sales
• General Marketing Contribution:  $6,000 per year for a Shop; $3,000 per year for a Satellite
• Local Marketing Contribution:  1% of Gross Sales

Section III – Number of Franchised and Company-Owned Häagen-Dazs Outlets

Franchised

2020

• Outlets at the Start of the Year:  223
• Outlets at the End of the Year:  209
• Net Change:  -14

2021

• Outlets at the Start of the Year:  209
• Outlets at the End of the Year:  211
• Net Change:  +2

2022

• Outlets at the Start of the Year:  211
• Outlets at the End of the Year:  208
• Net Change:  -3

Company-Owned

2020

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

2021

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

2022

• Outlets at the Start of the Year:  0
• Outlets at the End of the Year:  0
• Net Change:  0

Section IV – News Updates on the Häagen-Dazs Franchise

• Häagen-Dazs Unveils New Design for Shops Nationwide

• Häagen-Dazs Did Not Rank on Entrepreneur’s 2023 Franchise 500 List

Section V – Financial Performance Representations (Average Revenues and/or Profits) for the Häagen-Dazs Franchise (Item 19, 2023 FDD)

• The data below reflects historical top-line sales information, based on the performance of a subset of Häagen-Dazs Shops during 2022.

• The franchisor did not operate any corporate Häagen-Dazs Shops during this period.

• The subset of Shops used to compile this information consists of traditional Häagen-Dazs Shops that commenced operation on or before January 1, 2022 and were still operating as of December 31, 2022.

• If the franchisor did not receive the sales information from a Shop’s point-of-sale cash register system, then it relied on sales data the franchisee reported to it, and which it did not independently verify.

• There were 208 Shops in operation at the end of 2022.

• The data below excludes sales data for 37 of those 208 Shops, consisting of:

• (1) any traditional Shop which first commenced operating after January 1, 2022;

• (2) seasonal Shops;

• (3) any traditional Shop which is operated on a management leveraged basis (where the Shop and one or more other businesses are under common ownership; and share significant operational elements, such as a common customer area, service counter, or back-of-house operational area); and

• (4) any Shop operating under a Häagen-Dazs Hospitality Agreement (or its predecessor, a Häagen-Dazs Select Agreement); and

• (5) one food truck satellite.

• In some cases, sales data includes catering and other off-site sales of a nature that the franchisor may or may not permit as part of the franchise for the Shop you might develop.

2022

• Average Sales:  $592,742.06
• Median Sales:  $528,167.99
• Total Sample Size:  171
• Number of Shops Meeting or Exceeding Average:  70
• Percent of Shops Meeting or Exceeding Average:  40.9%
• Lowest Sales:  $148,871.41
• Highest Sales:  $1,816,606.28

• Some Shops have sold this amount. Your individual results may differ. There is no assurance that you will sell as much.

2022

Sales Range:  Over $1 Million

• Number of Shops Within the Sales Range:  21
• Percentage of Shops Within Range:  12.3%

Sales Range:  $900,001 to $1 Million

• Number of Shops Within the Sales Range:  3
• Percentage of Shops Within Range:  1.8%

Sales Range:  $800,001 to $900,000

• Number of Shops Within the Sales Range:  7
• Percentage of Shops Within Range:  4.1%

Sales Range:  $700,001 to $800,000

• Number of Shops Within the Sales Range:  12
• Percentage of Shops Within Range:  7.0%

Sales Range:  $600,001 to $700,000

• Number of Shops Within the Sales Range:  23
• Percentage of Shops Within Range:  13.5%

Sales Range:  $500,001 to $600,000

• Number of Shops Within the Sales Range:  26
• Percentage of Shops Within Range:  15.2%

Sales Range:  $400,001 to $500,000

• Number of Shops Within the Sales Range:  23
• Percentage of Shops Within Range:  13.5%

Sales Range:  $300,001 to $400,000

• Number of Shops Within the Sales Range:  36
• Percentage of Shops Within Range:  21.1%

Sales Range:  $200,001 to $300,000

• Number of Shops Within the Sales Range:  16
• Percentage of Shops Within Range:  9.4%

Sales Range:  Less Than $200,000

• Number of Shops Within the Sales Range:  4
• Percentage of Shops Within Range:  2.3%

• The figures presented above only reflect sales. Sales are total revenues excluding sales tax. These figures do not reflect costs of goods, labor, rent, or any other costs and expenses incurred by the franchisees to operate their businesses, and which those franchisees would need to deduct from their sales figures to determine net income or profit (or loss).

Section VI – Häagen-Dazs Franchise Ratios, Comparables, Computations, and Analyses (Exclusive Content for Platinum Subscribers) ⬇️