^{Source: Daily News Egypt}

As Cinnabon celebrates its 40th anniversary, it faces a significant challenge—how does a brand that has become synonymous with food court indulgence evolve in an era where fewer malls are being built and consumer preferences are shifting rapidly? The company’s parent company, GoTo Foods, isn’t looking far for a solution. In fact, it’s turning to innovation within its own family of brands to create a hybrid that could capture the attention of today’s younger, experience-driven consumers.

A Fresh Take on the Cinnabon Experience

In May 2025, Cinnabon will unveil a first-of-its-kind location in collaboration with Carvel, combining the beloved cinnamon rolls with Carvel’s premium ice creams to offer a new selection of indulgent desserts. This move marks a bold step in the evolution of Cinnabon as it adapts to changing market dynamics. The new concept is designed specifically to appeal to Gen Z and Millennial consumers, who are drawn to unique, shareable experiences, especially when it comes to food.

According to Jim Holthouser, CEO of GoTo Foods, the concept has already garnered significant attention. “We introduced the idea to a broad swath of consumers early on and received a ringing endorsement from about 80% of the US population,” Holthouser shared with CNN. This shows that the demand for innovative dessert experiences is very much alive, particularly among younger generations.

The "Little Treat Culture" and Social Media Appeal

The new Cinnabon Swirl concept taps into the growing trend of "little treat culture," where consumers purchase small, affordable indulgent treats to reward themselves for everyday achievements. This trend, particularly popular on social media, has been amplified by platforms like TikTok, where food trends can quickly go viral. To capitalize on this, GoTo Foods has created a menu tailored to this audience.

The "Bonini," for instance, is a cinnamon roll that’s heated in a panini press, split in half, and stuffed with ice cream, offering a delightful blend of hot and cold. Another unique offering is the "Cinnabon Swirl Sundae," where the sweet center of a cinnamon roll is paired with soft-serve ice cream. Additionally, the menu will feature ice cream sandwiches made with Cinnabon-inspired cookies and Carvel’s signature toppings, such as sprinkles and cookie bits.

In keeping with the brand’s commitment to innovation, customers can also enjoy a range of Carvel and Cinnabon staples at these locations, such as cakes, ice cream, and, of course, cinnamon rolls.

Expanding the Franchise Model

GoTo Foods, which also owns popular brands like Auntie Anne’s, Jamba, and Schlotzsky’s, operates a franchise model. Historically, introducing a new concept to franchisees has been met with hesitancy, but "Cinnabon Swirl" has been an exception. Holthouser noted that they had no problem signing up franchisees for this new venture, which he called “a little unusual.” Typically, franchise owners are cautious about new concepts until they prove themselves, but the immediate success of Cinnabon Swirl has been encouraging.

The first Cinnabon Swirl location will open in Oregon in May 2025, with three more set to launch by the end of the year in Peoria, Arizona; Kennesaw, Georgia; and Pasadena, California. In total, GoTo Foods plans to open 30 more locations by 2026, marking a rapid expansion of this new, hybrid concept.

Cinnabon’s Strategy Beyond the Mall

The shift in consumer behavior and the decline in mall traffic has forced GoTo Foods to rethink its strategy. For years, Cinnabon has relied on high-traffic locations in shopping malls to drive foot traffic, but with the decline of traditional malls, the company is adapting by moving beyond these locations.

One of the key strategies GoTo Foods is employing is co-branding, which involves pairing Cinnabon with other successful brands in shared locations. For example, pairing Cinnabon with Auntie Anne’s has proved successful in driving traffic and increasing profitability. Holthouser explained that while Auntie Anne’s works well in malls, it doesn’t generate enough revenue to justify standalone locations. However, when combined with Cinnabon or Jamba, the profitability improves significantly.

This co-branding model has been adopted with other concepts as well, and GoTo Foods is looking to scale it further in the coming years. “If I want to keep these brands going and serve consumers, I’ve got to find other ways of building distribution for these brands,” Holthouser admitted.

David Henkes, senior principal at restaurant research firm Technomic, echoed this sentiment, noting that co-branded locations can drive efficiencies by focusing on the best-selling menu items from each chain. The strategy, he said, allows brands to reduce operational costs while boosting revenue. “It’s like a greatest hits compilation from both chains—taking the things that work best and removing menu items that perhaps don’t resonate as much,” Henkes explained.

A Sweet Challenge: Declining Sales

Despite the buzz surrounding its new initiatives, GoTo Foods’ brands have faced some challenges. Cinnabon saw a slight decline of 0.5% in sales last year, while Carvel experienced a 6.5% drop in sales, according to Technomic’s data. Both brands are looking for ways to reverse these declines, and the new co-branded locations and dessert mash-ups could be the key to revitalizing growth.

The rise of dual-branded locations, such as the Applebee’s-IHOP hybrid, has already proven to be a winning formula in certain regions, and GoTo Foods hopes to replicate this success with Cinnabon and Carvel. The concept allows brands to combine their strengths under one roof, creating a dynamic space where the two offerings complement each other and drive additional revenue.

The Road Ahead for Cinnabon

With more than 2,000 Cinnabon locations worldwide, the brand remains a global powerhouse. However, it must continue evolving to stay relevant in an ever-changing retail landscape. GoTo Foods’ focus on younger, social-media-savvy consumers and co-branded locations is a smart move to ensure that Cinnabon’s iconic cinnamon rolls continue to enjoy a loyal following for the next 40 years.

As consumer habits continue to shift, Cinnabon’s ability to adapt and innovate will determine its future success. The brand’s move toward unique, co-branded locations and limited-edition, social-media-friendly treats is a step in the right direction. With new locations and an eye on engaging the next generation of dessert lovers, Cinnabon may have the sweet recipe for future growth.

‍