The Rise And Fall Of TCBY

When you think of frozen yogurt, a few brands might come to mind; you might even have a favorite among them. But if you grew up in the '80s and '90s, one thing's for sure: That list of brands in your head includes TCBY. But since those froyo-filled decades, where has the chain gone?

In its heyday, TCBY was ubiquitous across the U.S. No shopping mall food court or Blockbuster movie night was complete without it. Fans of all ages happily lined up for a sweet swirl of Golden Vanilla, Cookies & Cream, or White Chocolate Mousse topped with a generous sprinkling of crumbled candy bars, chopped fruit, granola, or gummy bears (that were inevitably frozen to a barely chewable consistency, but somehow still delicious).

Today, it's easy to find online tributes to the glory days of TCBY (and its jingle) but much harder to locate a brick-and-mortar shop. As the nationwide froyo frenzy of the late '90s and early 2000s slowed, the franchise that started it all fell out of fashion. A look back at the rise and fall of TCBY is not only packed with nostalgia, but also insights into the industry as a whole. Grab a colorful (or even color-changing) plastic spoon, and let's dive in.

TCBY is rightly credited with bringing frozen yogurt to the mainstream, and it all began in 1981, when entrepreneur Frank Hickingbotham of Little Rock, Arkansas, accompanied his wife, Georgia, on a shopping trip. When she offered him a bite of her peach-flavored frozen treat she'd bought from Neiman Marcus in Dallas, he turned her down. When he finally tried it, Frank knew that he had his next business venture.

After tracking down the dairy manufacturer and opening the first TCBY (This Can't Be Yogurt) in Little Rock, Hickingbotham quickly set his sights on expansion. He modeled the brand after fast food franchises, and decided to take the company public in 1983. That's when Hickingbotham's 41-store chain caught the attention of Dallas-based I Can't Believe It's Yogurt Inc. The latter sued Hickingbotham on the grounds of trademark infringement, forcing him to choose a new name. He cleverly settled on The Country's Best Yogurt to keep the original acronym, took the company public, and expanded to 750 stores over the next five years, making TCBY the first national frozen yogurt chain in the U.S.

According to Hickingbotham, the various and tasty froyo flavors are what made TCBY an instant hit. To leverage that, he was generous with the free samples, telling the Tribune: "If they like it, they'll be back and they'll tell friends about it." The marketing tactic worked. Business was booming.

Toward the end of the 20th century, TCBY saw massive growth. At its peak, the chain had over 3,000 retail locations around the world (per The New York Times.) At the same time, though, consumer trends were changing. Customers were less concerned with finding low-fat alternatives to rich desserts. As this was frozen yogurt's primary selling point, with fans often comparing it to ice cream, TCBY had to pivot to keep up with the times.

According to VP of Marketing David Hall in an interview with Chain Store Age, this was when TCBY decided to drop its health-focused messaging in favor of a "something for everyone" approach. If people wanted indulgence, TCBY would give it to them. "Indulgence meant forgetting about healthy nutrition and heading for the most-decadent, highest-calorie, highest-fat treat available," Hall told Chain Store Age. "As that wave hit, it impacted our business." The company added ice cream to its menu to satisfy more diverse cravings and, in doing so, lost sight of what made it so great to begin with.

In 2000, TCBY was sold for $140 million to Capricorn Investors, a partnership by the firm backing other shopping mall favorites like Mrs. Fields' Famous Brands and Pretzel Time. This marked a momentous change for the brand, which had managed to remain primarily family-owned since its inception.

At the time of the sale, TCBY had 3,000 stores in all 50 states and 68 other countries, but earnings had plateaued. Under new leadership, the brand could be combined with other names in Capricorn's portfolio, and leverage a larger pool of resources. As part of this strategy, TCBY was eventually paired with Mrs. Fields to launch a line of dual-concept stores, which offered new menu items like yogurt and cookie sandwiches, and a custom gifting service.

To help execute this new vision, Capricorn hired David Hall as VP of Marketing. In an interview with Chain Store Age, Hall said his mission was to bring the brand back to its roots and reconnect with customers. He was also passionate about improving its core products. "TCBY was founded on frozen yogurt being the healthiest and smartest treat," he said. "It wasn't supposed to be about ice cream."

The aughts brought a froyo resurgence, and with it a wave of new competition. Pinkberry, Red Mango, and Menchie's (launched in 2005, 2006, and 2007, respectively) hit the scene in quick succession, putting the pressure on TCBY's recently formed team. Under David Hall's guidance, the company responded by dropping all ice cream products from its menu and adjusting the messaging to refocus on the unique benefits of yogurt, which include nutritional properties like gut-friendly prebiotics, probiotics, and live cultures. (Reminder: Always check the ingredients of your froyo.)

A full rebrand touched everything from TCBY's logo to its in-store design, with updates meant to reflect modern aesthetics and priorities. Original recipes were reformulated to be higher in calcium and protein, and Classic Tart Yogurt was introduced in 2008. TCBY seemed determined to remind the American public who started the frozen yogurt craze, and that the industry's first national franchise wasn't going anywhere.

Despite aggressive measures to right the ship, TCBY continued to struggle. In 2011, the company only had 406 stores in the U.S. and another 188 internationally — a far cry from the 3,000 it boasted a decade prior. But, as the brand had already shown, TCBY was not afraid to try something new.

To better compete with the new generation of frozen yogurt shops that had sprung up across the country, TCBY introduced a self-serve model as a prototype in Charlotte, North Carolina. Previously, customers ordered at a traditional counter and waited while an employee prepared their froyo. But at the new Charlotte location, they were handed a cup and invited to DIY their TCBY. The concept proved popular. People purportedly enjoyed the freedom of mixing and matching their yogurt flavors and toppings, then simply paying by the ounce. More self-serve shops were in the works.

The following year, TCBY innovated again by launching a Super FroYo line of extra nutritious flavors to accompany its vegan, gluten-free, dairy-free, low-fat, fat-free, and no sugar added varieties. In a world where all frozen yogurt brands are not created equal, TCBY once again set itself apart.

Trends remain cyclical, and all good things must come to an end. Whether due to economic shifts, changing food habits, or a combination of both, the frozen dessert industry slowed by 2019. That year, the USDA reported a whopping 47% decline in frozen yogurt production since 2000, when production was at an all-time high. While production of low-fat ice cream remained on the rise, that 2019 report signaled the dawn of a new era for TCBY and its competitors.

The frozen yogurt industry was still reeling when 2020 came along. Suddenly, the once-celebrated self-serve model was rife with health and safety concerns. The shops equipped to weather the storm did so, but there were many permanent closures as a result of the pandemic. A few years later, that setback is still evidenced by the lower number of froyo shops and chains that have simply disappeared from cities around the U.S.

In 2023, TCBY was sold again when its parent company, Famous Brands International, was acquired by Pearl Street Equity. With this move, the brand appeared to be shifting its focus from American markets to the international stage. Was this the right decision? Time will tell.

In the meantime, TCBY is still around but on a much smaller scale, with just over 350 locations nationwide. Despite its dwindling number of storefronts, the brand maintains a positive reputation. It also continues to evolve, regularly announcing new flavors on social media and running a Froyo Club rewards program to encourage repeat business.

It's not out of the question to imagine that one day, we'll see another TCBY revival. While it will undoubtedly continue to face new challenges, including a dazzling array of next-level grocery store frozen desserts, the brand has proven its adaptability and resilience. And if nothing else, it will always hold the title of The Country's Best Yogurt.