Q&A: Does Dairy Queen Franchise in the UK?

Alice Tuffery, writer

Published at 10/01/2019, Updated on 04/05/2022 , Reading time: 6 min

Q&A: Does Dairy Queen Franchise in the UK? — Photo © dairy-queen.jpg

Although Dairy Queen is an iconic US brand, it’s still relatively unknown in the UK. But that hasn't stopped UK investors expressing an interest in bringing the highly successful franchise to British shores. Here, we take a look at the Dairy Queen brand and whether there are franchising opportunities here in the UK.

Dairy Queen is a US-based ice cream parlour chain. It has a network of around 6,800 locations around the globe, of which, around 4,450 of these are in the US. Dairy Queen is famous for its Blizzard, a soft-serve ice cream that is so cold and thick that it can be turned upside down without falling out of its tub. In fact, it’s usually served upside down. Let’s find out more about the business and whether there are any Dairy Queen franchise opportunities in the UK.

The company operates different types of restaurants, ranging from standard, stand-alone stores to Dairy Queen Grill and Chill locations, which feature table delivery of hot foods alongside the traditional ice cream menu. Meanwhile, Texas Country Foods stores feature their own unique hot food menu. Dairy Queen has attempted to standardise restaurants across the US slowly, but there remains considerable regional variation.

Having expanded internationally, Dairy Queen now operates in more than 25 countries. Around 65 percent of its stores are situated within its home market; others are located in Canada, Cambodia, Saudi Arabia, Egypt, Mexico, Thailand, Vietnam, China and South Korea. There are also plans to expand the Dairy Queen brand into new, lucrative markets such as India, Japan and Brazil.

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History of Dairy Queen

John and Alex McCullough invented the soft-serve recipe that would characterise the Dairy Queen brand in 1939. They convinced their friend, Sherb Noble, to stock the product in his store and, on the first day of offering it, he sold more than 1,600 servings to local customers. The overwhelming success of the product convinced the three entrepreneurs to go into business together. The first Dairy Queen store opened in Illinois in 1940.

The company were early adopters of the franchise model, as it allowed them to expand at a rapid rate and begin opening locations up and down the country. The business proved particularly popular in the southern and Midwestern states and set up in a number of small towns there. For this reason, Dairy Queen is often associated with ‘small town USA’, and the business has successfully incorporated this sense of nostalgia into its brand and advertising. Starting with 10 stores in 1941, the number of outlets had grown to 1,446 a decade later, and 2,600 by 1955.

A hungry nation Brits consumed 328 million litres of ice cream in 2018.

In 1962, the company changed its name to International Dairy Queen and, in 1987, purchased the Orange Julius brand. Since then, Orange Julius products have become a staple in the vast majority of Dairy Queen restaurants. In 1998, Berkshire Hathaway, an American holding company that also owns Duracell, Fruit of the Loom and GEICO, purchased International Dairy Queen.

Does Dairy Queen franchise in the UK?

No, there are no Dairy Queen franchise opportunities in the UK. While the food business has used the franchise model to expand the brand internationally, it has not yet reached British soil.

Dairy Queen is something of an institution in the US, but it does not benefit from the same brand recognition in the UK. This may be why it has been reluctant to make the jump across the Atlantic. The dessert franchise may also be conscious of other US brands, such as Steak and Shake, that have been forced to close their UK branches after unsuccessful transitions. Although the US and UK are similar in many ways, there is still a considerable gap between culinary cultures.

It’s not clear whether Dairy Queen will ever offer UK franchise units, but you may want to check back now and again to see whether they’ve launched a UK franchise operation.

How to get involved with Dairy Queen

Although there aren’t any Dairy Queen franchise opportunities in the UK, you can open your own branch in other international locations. Head to the franchise’s website to browse current availabilities and fill in the online form to apply to become a Dairy Queen franchisee.

The ice cream market in the UK

You don’t need us to tell you that ice cream is incredibly popular here in the UK – no matter the time of year. Whether we’re indulging in a Cornetto on the beach or topping off some homemade crumble with a scoop of vanilla, we can’t get enough of it.

According to IBISWorld, the production of ice cream in the UK generated £450 million in 2019, and the market grew by 1.7 percent annually between 2014 and 2017. This is a huge industry, and it’s not surprising, given we consumed 328 million litres of ice cream in 2018.

Similar franchise opportunities

Diary Queen franchise opportunities may not exist in the UK, but there are plenty of alternatives for you to get your teeth into. Just take a look below.

CREAMS British Luxury

Those looking for a truly British experience need look no further than CREAMS British Luxury. This company owns four stores across the UK, and offers a unique dining experience, giving customers a taste of life in the 1900s.

Customers can step into the sophisticated surroundings of a CREAMS British Luxury outlet and enjoy afternoon tea, cakes and patisserie options. Marble tables, crystal chandeliers and live music played on a grand piano make for a relaxing and sophisticated atmosphere. The franchise also sells items to take away or gift to others, including macaroons, chocolate, tea and coffee, and even cutlery and crockery.

How much you need to invest: Franchisees should be willing to invest £100,000 - £120,000 when starting their own business. You’ll also pay a franchise fee of £7,500 - £15,000.
What you get for your investment: The franchise will give franchisees access to a training scheme and the CREAMS package. This includes a list of food suppliers, the CREAMS menu, including ingredients and prices, and a marketing package with leaflets, posts and signage. It also comes with an extensive manual that details staff training, food preparation, rules, cleaning and best practices.

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Baskin Robbins

Founded in 1945 by Burt Baskin and Irv Robbins, this business has over 7,300 stores across almost 50 countries. Baskin Robbins serves milkshakes, smoothies and fruit creams alongside a huge selection of ice creams.

Baskin Robbins knows how to please its customers. They can create their ultimate sundae, incorporating a huge range of ice creams and toppings. Consumers can add hot fudge, marshmallows, roasted almonds, chocolate truffles or fruit, to name a few options! The ice cream giant also takes an innovative approach, selling hand-packed, mousse-textured ice creams and pioneering the use of traditional dessert ingredients like apple pie and cheesecake.

How much you need to invest: Franchisees looking for a piece of the action should be willing to make a total investment of £500,000.
What you get for your investment: Investors will receive help in sourcing suitable site locations, as well as guidance in operational support, management systems, food safety, and health and safety. What’s more, quarterly franchisee meetings provide an opportunity to network with and learn from other franchisees on a regular basis.

The Incredible Ice Cream Company

This franchise sets up mobile ice cream bars in high footfall areas and caters for private, public and corporate events across the UK. Its colourful stall is eye-catching, drawing customers in to craft their own delicious ice cream creation. That means you can be a food vendor without the hassle of renting business premises.

How much you need to invest: There are three different options for interested investors; a mobile franchise opportunity, a one-year mobile franchise trial and the full-term mobile franchise option. The one-year opportunity incurs an investment of £9,000, while the full-term model costs £18,000.
What you get for your investment: Franchisees can expect to be enrolled onto a comprehensive training scheme and make between £50,000 and £100,000 per year once their business is up and running.