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Tasti D-Lite’s growth has slowed lately, but don’t count it out just yet! After selling to the company behind Mail Boxes Etc. last year for $21 million, the ubiquitous granddaddy of the fro-yo chains is poised to expand around the country and to Israel, Mexico, and elsewhere. The Wall Street Journal says the new owners are hyping the brand not by advertising, but by convincing New York licensees to renovate their stores in order to attract tourists who will then recognize it in their hometowns. At $230,470 to $439,600 per store, this won’t come cheap. Plus, fro-yo is facing some stiff competition from…coffee?

What's more, the frozen-treats market continues to face pressure from coffee, which has increased in popularity among snacking Americans during the past two decades. Frozen treats account for 16% of all afternoon or evening snacks bought at a restaurant in the 12 months ended in February, down from 20% in the 12 months ended February 1989, according to market-research firm NPD Group. Coffee has risen to 12% of all afternoon or evening snacks bought at a restaurant from 8% 20 years ago.

So, even with Starbucks closing locations and Pinkberry opening them, coffee is in and fro-yo is on the wane? Who knew? The again, we might’ve guessed it.

Tasti D-Lite Banks on Its Fanatical Fans for Growth [WSJ]