Bloomberg reports the 7 ounce Blizzard has kept Dairy Queen in business amid rising food prices while serving a new market with a cheaper, less-caloric serving size.
The mini-sized servings offered by Dairy Queen, Starbucks and others appeals to calorie-conscious customers who want to satisfy their sweet tooth without going overboard. Starbucks began offering smaller treats like cupcakes, whoopee pies and lemon squares in March.
Companies are profiting from the desserts by charging more per ounce, helping to maintain profits as basic ingredients like eggs, meat and sugar have increased this year. Dairy Queen expects ice cream costs to increase by more than 10 percent in 2011.
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