FranchiseKnowHow Spotlight Franchise:
Red Mango Yogurt

Red Mango Yogurt is the Real Deal. An interview with James Frank Vice President of Franchising.

by Ed Teixeira

I became a fan of Red Mango after visiting their Pt. Jefferson, New York location this summer. As an objective consumer and franchise expert I can state that it’s one of the most exciting franchise concepts to come on the scene in recent years. With 86 locations currently opened and a total of 105 expected by year end, the Dallas, Texas based franchisor has an exciting array of products. Founder, Dan Kim developed the healthy, all-natural frozen Red Mango yogurt recipe in 2006.

The company's lineup of frozen yogurt flavors consists of Original, Pomegranate, Madagascar Vanilla, and a rotating seasonal flavor. A line of three Probiotic Iced Teas was released in summer 2009, and a line of 22 smoothies was released in summer 2010 as was four new Ice Teas. Red Mango received the prestigious Nation’s Restaurant News’ 2009 “Hot Concepts!” award and the industry-recognized Supply Side’s 2010 “Scientific Excellence Award”, and has been named the best frozen yogurt in Los Angeles, Seattle, Las Vegas, Chicago, Utah and New York by highly-regarded independent publications. Red Mango serves frozen yogurt that is all-natural, nonfat, gluten-free and packed with beneficial live and active probiotic cultures like Ganeden BC30^TM which helps support a healthy immune and digestive system when consumed as part of a balanced diet and healthy lifestyle. Red Mango’s frozen yogurt was the first frozen yogurt retailer to become certified by the National Yogurt Association’s Live and Active Culture Seal for meeting the required criteria for healthy frozen yogurt.

James Frank, Vice President of Franchising

James Frank is responsible for leading and implementing the franchising growth of Red Mango. Most recently, James was Director of Franchising for Baskin-Robbins in the U.S., where the implementation of his Small Business/Small Network business model encouraged franchisees to buy into a specific area with the intention of opening one to three stores in three years. With this model in place, Baskin-Robbins was awarded over 350 agreements for new units and over 200 transfers of existing units across the country within a three year period. James is a seasoned franchise veteran who recognizes the importance of a sound franchise program as well as attracting qualified franchise candidates.

FKH: James. I see that Red Mango has grown fairly quickly since 2007.

JF: Yes we have. In total we’ve awarded 150 franchises, a number of which will open within the next two years.

FKH: Is it Red Mango’s strategy to build the network with unit franchises?

JF: Yes it is. Our average franchisee owns 1-2 units.

FKH: Are there certain demographics you look for in a market or territory?

JF: We like markets with health conscious consumers, however, Red Mango appeals to a broad spectrum of people. Our franchisees have been able to develop a loyal customer base plus we attract customers who may drop in after a movie or sporting event.

FKH: Your product menu is quite varied. Anything new?

JF: We just introduced Hot Chocolate Chillers. Made with Ghirardelli® premium chocolate. This is a new fall and winter treat and should do well. Overall our line of smoothies has really taken off.

FKH: Some franchisors in other systems have had friction with their franchisees regarding outlets in non-franchise locations. How do you deal with markets that are in unique areas like airport terminals, college campuses, etc.?

JF: We already have some license agreements with food service providers that specialize in airports, colleges, etc. Our franchisees wouldn’t be able to enter these venues and we haven’t had any problems regarding this area. It’s another way to further promote the Red Mango brand name. We recognize the importance of having a successful franchise program.

FKH: I see that Red Mango has a good number of locations in the NY Metro area and especially on Long island. Are demographics the reason?

JF: Long Island has a broad customer base that includes consumers that are health conscience and have a good income base, but once again I would say that the Red Mango menu appeals to a broad customer base.

FKH: Red Mango was founded by Dan Kim, a very bright and innovative man. Is he still creating new products?

JF: Yes he is. In fact, as the Founder and Chief Concept Officer of Red Mango, Dan’s focus is on product development and marketing programs.

FKH: James, thank you for taking the time to answer some questions about Red Mango.

Red Mango is based in Dallas, Texas with offices in LA and NYC. Their website is at http://www.redmangousa.com/default.html

© 2010 FranchiseKnowHow, LLC

Ed Teixeira is the President of FranchiseKnowHow, LLC. He can be reached at franchiseknowhow@gmail.com