Yo-Chi goes global: Cult favourite frozen yoghurt chain is growing up

The Age

4 days ago

Cult favourite Australian frozen yoghurt chain, Yo-Chi, has been on a growth spurt. Within 12 months it has opened nearly two dozen new stores, bringing the chain's footprint to 56. The hype for the frozen self-serve dessert, fuelled by thumping music and neon lights, still attracts queues outside most stores on Friday and Saturday nights, but isn't as feverish as it once was.
'We've gone from that small business to almost, like, a cultural moment, which is crazy to even say,' said brand director Oliver Allis. 'But think the love is still super strong. We're not as new as we were when we last spoke, but I think we're still doing so many fun, positive things.'
Yo-Chi is not only growing up but going abroad: the chain made its global launch this weekend in Singapore's Orchard Central, a 2.5-kilometre-long strip in an upscale shopping district, giving Singaporeans a taste of Australian frozen yoghurt for the first time.
Just for reference, gelato titan Messina has 30-odd stores in Australia, two in Hong Kong, and one in Singapore. Gelatissimo has around 60 but doesn't command the same interest. Starbucks has over 80 in Australia and isn't consistently profitable yet. By the end of 2024, Yo-Chi just about doubled the previous year's sales to $53.7 million and made over $11.5 million in post-tax profits, according to documents filed to the corporate regulator.
'We saw Singapore really as a really strategic launch pad, hopefully to grow Yo-Chi in Asia. If we can prove ourselves in Singapore, it's a really great starting point to then grow to Thailand, or China, or Japan, and places like that,' said Allis.
Singapore's store will look and feel 'exactly the same' as Yo-Chis in Australia, albeit with toppings like mango sago and gula melaka (palm sugar) syrup to suit local preferences. (Allis' suggestion to include durian was shot down by his team with a 'hard no'.) A new topping, 'orange candy melon', is coming soon to Australians. New yoghurt flavours are in the works.
'We love being ahead of the trends,' said Allis. 'Once the trend has got traction and it starts going into mainstream, like [if] one of those fast food outlets like McDonald's would ever consider doing one of these flavours, we'd never do it,' he said. 'We need to make sure that we're always beating them.'
Yo-Chi bears all the hallmarks of a millennial company: environmentally responsible, brand-savvy, doesn't take itself too seriously, chronically online. Allis steers it with a mature palate ('I'm so cautious of not looking like a lolly store') and a long-term lens on business relationships. Yo-Chi doesn't suffer from a shortage of willing suitors and can afford to be picky. 'We get emails every week about, can we be your partner in Singapore, the US, the UK,' said Allis.