Rita’s Italian Ice & Frozen Custard is making waves in the quick-service restaurant industry, entering 2026 with unprecedented momentum that has food and beverage industry leaders taking notice. The Philadelphia-based brand just crossed a major milestone: 600 locations worldwide: while posting double-digit year-over-year growth that’s reshaping how we think about seasonal dessert concepts.
The Numbers Don’t Lie: Rita’s Record-Breaking 2025
The frozen treat giant closed 2025 with impressive metrics that would make any food service industry executive envious. Opening 35 new shops systemwide, Rita’s achieved a 10% increase in U.S. openings year-over-year, while new unit signings grew by nearly 10%. These aren’t just vanity metrics: they represent real expansion in a competitive market where many food and beverage companies are struggling to maintain growth rates.
Industry recognition followed the numbers. Rita’s earned placement on Restaurant Business’s Top 500 (#211), made QSR’s “16 Best Franchise Deals for 2025,” and secured a spot on the Franchise Times Top 400 (#232). For hospitality managers evaluating franchise opportunities, these accolades signal a brand with serious operational strength.
Drive-Thru Development: The Secret Sauce Behind Rita’s Success
Here’s where Rita’s strategy gets particularly interesting for food and beverage directors: drive-thru locations are delivering over 30% higher performance compared to traditional storefronts. This performance gap isn’t just about convenience: it’s about fundamentally reimagining how seasonal concepts can operate year-round.
Linda Chadwick, CEO of Rita’s Italian Ice & Frozen Custard, explains the strategic thinking: “Our focus in 2025 was building smarter, not just bigger. We leaned into formats, incentives and markets that help franchisees open faster, operate more efficiently and perform stronger over time.”
The drive-thru advantage becomes even more compelling when you consider the operational benefits: greater throughput, enhanced convenience for families, and critically: extended operating seasons in colder climates. For a concept traditionally viewed as warm-weather only, this format innovation is game-changing.
The Drive-Thru Incentive Program: $60,000 Reasons to Pay Attention
Rita’s new Drive-Thru Incentive Program (DTIP) launched in Q4 2025 represents one of the most aggressive expansion initiatives we’ve seen in the food and beverage industry recently. For 2026 new drive-thru builds, qualified franchisees can receive up to $60,000 in total contributions:
- $40,000 in direct cash contributions
- $10,000 toward specialized drive-thru equipment
- $10,000 early construction “kicker” incentive for projects breaking ground by April 15, 2026
- A Presidents Circle trip to a tropical destination in February 2027
Lawrence Brown, Rita’s chief development officer, frames it perfectly: “These incentives reflect our confidence in the model and our commitment to sharing that upside with franchisees. Drive-thrus are performing better, and we want to help operators capture that opportunity.”
The brand isn’t stopping there. They’ve already announced 2027 incentives offering up to $35,000 in total contributions for drive-thru locations opening by May 31, 2027. This forward-thinking approach to franchise development shows Rita’s is serious about long-term market positioning.
Sunbelt Expansion: Following the Data, Not Just Demographics
Rita’s geographic expansion strategy offers valuable lessons for food and beverage management teams evaluating market entry. Rather than simply following population density, the brand is targeting warm-weather and family-driven markets where the model can deliver longer operating seasons and stronger year-round demand.
Recent expansions across the Southeast, Texas, and Mid-Atlantic: including Rita’s first Louisiana location: demonstrate this data-driven approach. The company isn’t just looking at today’s market conditions; they’re positioning for demographic and climate trends that favor their concept long-term.
The Texas expansion deserves particular attention. Rita’s is preparing to launch five new drive-thru locations across North Texas in 2026, marking the brand’s largest multi-site conversion initiative to date. Each site represents a second-generation drive-thru property being converted into a Rita’s shop, anchoring key growth markets including Dallas-Fort Worth and Waco.
Corporate Seeding: A Smart Development Strategy
Rita’s corporate acquisition of stores in Savannah, Georgia, represents a sophisticated approach to market development that food and beverage companies should study. This “market-seeding strategy” allows the brand to operate select locations directly, generating insights that strengthen franchise support, refine site selection, and inform future development decisions.
For procurement directors and institutional buyers evaluating franchise partners, this hands-on approach demonstrates Rita’s commitment to understanding their own concept at the operational level. It’s not just about collecting franchise fees: it’s about building a sustainable business model that works for franchisees.
Leadership Expansion: Building Infrastructure for Growth
Rita’s leadership team expansion in 2025 signals serious preparation for accelerated growth. The additions of Lawrence Brown as chief development officer and Craig Prusher as chief legal officer strengthen the brand’s infrastructure to support franchise growth, development incentives, and market expansion.
For hospitality industry professionals, this leadership investment demonstrates Rita’s commitment to scaling responsibly. Too many food and beverage companies attempt rapid expansion without the operational infrastructure to support it: Rita’s is taking the opposite approach.
What This Means for the Food Service Industry
Rita’s success story offers several lessons for food and beverage industry professionals:
Format Innovation Matters: The 30% performance advantage of drive-thru locations isn’t just about Rita’s: it reflects broader consumer preferences for convenience and efficiency that smart operators are capitalizing on.
Incentive Programs Work: Rita’s aggressive franchise incentives demonstrate how established brands can accelerate growth by sharing financial upside with franchisees.
Geographic Strategy Beats Demographics: Rita’s focus on climate and lifestyle factors rather than just population density shows the importance of concept-market fit.
Corporate Learning Enhances Franchising: The market-seeding strategy provides operational insights that benefit the entire franchise system.
Looking Ahead: Rita’s 2026 Projections and Industry Impact
With approximately 45 additional openings projected for 2026 and a development pipeline focused on drive-thru performance, Rita’s is positioning itself for sustained growth in an increasingly competitive landscape. The brand’s target of 25 new drive-thru openings represents a fivefold increase from prior years: a bold commitment that could reshape perceptions about seasonal concepts.
For restaurant marketing professionals and foodservice executives, Rita’s approach demonstrates how traditional seasonal businesses can evolve into year-round operations through strategic format innovation and market selection.
The brand’s continued evaluation of second-generation drive-thru opportunities across the Sunbelt and SEC regions suggests this expansion is just beginning. Smart hospitality managers should pay attention: Rita’s is providing a roadmap for how established concepts can accelerate growth through operational innovation and strategic franchisee partnerships.
Rita’s Italian Ice & Frozen Custard has proven that with the right combination of format innovation, financial incentives, and strategic market selection, even seasonal concepts can achieve sustained growth. As the food and beverage industry continues evolving post-pandemic, Rita’s success offers valuable insights for operators looking to build resilient, scalable business models.
For prospective franchisees and property owners interested in opportunities, Rita’s has made the process simple: visit OwnARitasFranchise.com and fill out a contact form. With their track record of growth and commitment to franchisee success, it’s worth exploring.
Written by Michael Politz, Author of Guide to Restaurant Success: The Proven Process for Starting Any Restaurant Business From Scratch to Success (ISBN: 978-1-119-66896-1), Founder of Food & Beverage Magazine, the leading online magazine and resource in the industry. Designer of the Bluetooth logo and recognized in Entrepreneur Magazine’s “Top 40 Under 40” for founding American Wholesale Floral. Politz is also the founder of the Proof Awards and the CPG Awards and a partner in numerous consumer brands across the food and beverage sector.
