Does Cream compete for real estate locations?
Cream Franchise · 2025 FDDAnswer from 2025 FDD Document
Your Shop will offer products and services to the general public and compete with other ice cream and food service businesses. The market for ice cream and other dessert products is well-established and highly competitive. You can expect to compete in your market with locally owned businesses and national and regional chains, including shops and cafés that serve ice cream, other frozen desserts including frozen yogurt and shaved ice, other ice cream-based or sweet beveragesincluding milkshakes and smoothies, and other businesses featuring dessert menu items including cookies, cakes, and similar dessert and sweet items. You will also compete with other Jeni's Ice Creams Scoop Shops operated by us and our affiliates and/or third-party licensees and franchisees. Your competition may also include grocery stores, convenience stores, and specialty ice cream or frozen yogurt shops, including grocery and retail stores that offer Jeni's® branded products and/or other products the same or similar to those offered at Jeni's Ice Creams Scoop Shops. You will compete on the basis of factors such as price, service, convenience, food quality and variety, presentation, location, and advertising. You will be competing both for customers and for real estate locations.
Source: Item 1 — THE FRANCHISOR, AND ANY PARENTS, PREDECESSORS, AND AFFILIATES (FDD pages 8–10)
What This Means (2025 FDD)
According to the 2025 Franchise Disclosure Document, Cream franchisees will face competition for real estate locations. The FDD states that franchisees will compete not only for customers but also for suitable real estate locations. This means that finding a prime location for a Cream shop can be challenging, as other businesses, including other ice cream shops and food service businesses, may also be vying for the same spaces. This competition can drive up lease prices and make it more difficult to secure an ideal location.
For a prospective Cream franchisee, this highlights the importance of thorough market research and a well-developed site selection strategy. Identifying areas with high foot traffic, favorable demographics, and limited competition will be crucial. It may also be beneficial to work with a commercial real estate agent who has experience in the food service industry and can help identify and negotiate for suitable locations.
Furthermore, the FDD mentions that franchisees will compete with other Jeni's Ice Creams Scoop Shops operated by the franchisor, its affiliates, and other franchisees. This internal competition for real estate could further complicate the site selection process. Therefore, understanding the franchisor's site selection criteria and approval process is essential to ensure that the chosen location meets the brand's standards and has the potential for success. Franchisees should also inquire about any territorial protections or restrictions that may apply to their location to mitigate the risk of direct competition from other Cream locations.