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Group Members

4206 Phinsy Chirayath

4212Aaron D’souza

4226Fizzah S.J

4235Rahul Mahapatra

4246Shruti Saraf

4254 Justin D’costa

India’s contribution to the modern world may not be signed in
numbers, but whatever contribution made worth wise is
absolutely great.

One of the contributions in the desert category “THE KULFI”

Kulfi is a popular South Asian, ice cream made with boiled milk
typically from water buffalo. It comes in many flavors, including
pistachio, malai, mango, cardamom (elaichi), and saffron (kesar).
Kulfi differs from western ice cream in that it is richer in taste and
creamier in texture. As well, where western ice creams are
whipped with air or overrun, kulfi contains no air; it is solid dense
frozen milk.

It is made by boiling milk until it is reduced to half. Then sugar is

added and the mixture is boiled for another ten minutes. Then
flavorings, dried fruits, cardamom, etc. are added. The mixture is
then put in moulds and frozen. One can eat kulfi plain as is or it
can be garnished with ground cardamom, saffron, or pistachio
nuts. As well, Kulfi is also served with Falooda vermicelli noodles.

But since the kulfi could not become world famous, with the
concept of kulfi, ice-cream was started in 1981 in India. Then
onwards it has been one big journey……. on the road.

Now, Ice Age – The Healthy Ice Cream Parlor brings to you the
new generation of Ice Creams….
The Evolution of Ice Cream

Ice cream's origins are not known to reach back as far as the
second century B.C., although no specific date of origin nor has
inventor been undisputable credited with its discovery. We know
that Alexander the Great enjoyed snow and ice flavored with
honey and nectar. Biblical references also show that King Solomon
was fond of iced drinks during harvesting. During the Roman
Empire, Nero Claudius Caesar (A.D. 54-86) frequently sent
runners into the mountains for snow, which was then flavored
with fruits and juices.

Over a thousand years later, Marco Polo returned to Italy from the
Far East with a recipe that closely resembled what is now called
sherbet. Historians estimate that this recipe evolved into ice
cream sometime in the 16th century. England seems to have
discovered ice cream at the same time, or perhaps even earlier
than the Italians. "Cream Ice," as it was called, appeared regularly
at the table of Charles I during the 17th century. France was
introduced to similar frozen desserts in 1553 by the Italian
Catherine de Medici when she became the wife of Henry II of
France. It wasn't until 1660 that ice cream was made available to
the general public. The Sicilian Procope introduced a recipe
blending milk, cream, butter and eggs at Caf Procope, the first caf
in Paris.

Ice Cream for America

The first official account of ice cream in the New World comes
from a letter written in 1744 by a guest of Maryland Governor
William Bladen. The first advertisement for ice cream in this
country appeared in the New York Gazette on May 12, 1777, when
confectioner Philip Lenzi announced that ice cream was available
"almost every day." Records kept by a Chatham Street, New York,
merchant show that President George Washington spent
approximately $200 for ice cream during the summer of 1790.
Inventory records of Mount Vernon taken after Washington's death
revealed "two pewter ice cream pots." President Thomas Jefferson
was said to have a favorite 18-step recipe for an ice cream
delicacy that resembled a modern-day Baked Alaska. In 1812,
Dolley Madison served a magnificent strawberry ice cream
creation at President Madison's second inaugural banquet at the
White House.

Until 1800, ice cream remained a rare and exotic dessert enjoyed
mostly by the elite. Around 1800, insulated ice houses were
invented. Manufacturing ice cream soon became an industry in
America, pioneered in 1851 by a Baltimore milk dealer named
Jacob Fussell. Like other American industries, ice cream
production increased because of technological innovations,
including steam power, mechanical refrigeration, the
homogenizer, electric power and motors, packing machines, and
new freezing processes and equipment. In addition, motorized
delivery vehicles dramatically changed the industry. Due to
ongoing technological advances, today's total frozen dairy annual
production in the United States is more than 1.6 billion gallons.

Wide availability of ice cream in the late 19th century led to new
creations. In 1874, the American soda fountain shop and the
profession of the "soda jerk" emerged with the invention of the ice
cream soda. In response to religious criticism for eating "sinfully"
rich ice cream sodas on Sundays, ice cream merchants left out
the carbonated water and invented the ice cream "Sunday" in the
late 1890's. The name was eventually changed to "sundae" to
remove any connection with the Sabbath.

Ice cream became an edible morale symbol during World War II.
Each branch of the military tried to outdo the others in serving ice
cream to its troops. In 1945, the first "floating ice cream parlor"
was built for sailors in the western Pacific. When the war ended,
and dairy product rationing was lifted, America celebrated its
victory with ice cream. Americans consumed over 20 quarts of ice
cream per person in 1946.

In the 1940's through the 70s, ice cream production was relatively
constant in the United States. As more prepackaged ice cream
was sold through supermarkets, traditional ice cream parlors and
soda fountains started to disappear. Now, specialty ice cream
stores and unique restaurants that feature ice cream dishes have
surged in popularity. These stores and restaurants are popular
with those who remember the ice cream shops and soda
fountains of days past, as well as with new generations of ice
cream fans.

According to legend, Marco Polo brought the secrets of ice cream

with him from the Orient, together with other sundry savories.
There is, however, no proof of that, although there is some
evidence that the Chinese indulged in iced drinks and desserts,
which gives some weight to the Marco Polo theory.

The Chinese did, however, teach Arab traders how to combine

syrups and snow, to make an early version of the sherbet. Arab
traders proceeded to show Venetians, then Romans, how to make
this frozen delight. The Emperor Nero was quite fond of pureed
fruit, sweetened with honey, and then mixed with snow--so much
so that he had special cold rooms built underneath the imperial
residence in order to store snow. In the 1500s, Catherine de
Medici brought the concept of the sorbet to the French, who were
soon to make a great improvement on it.

As you will have noted, the above are frozen desserts, not ice
cream. That invention awaited the development of the custard,
then the discovery that freezing it would create a delectable
dessert. This notable event occurred in 1775 in France, and was
shortly followed by the invention of an ice cream machine, which
did a much better job of creating a light and fluffy frozen custard
than beating by hand could do.
Thomas Jefferson, who imitated Nero in having a special cold
room for storing snow, provides us with the first recipe for ice
cream found in the United States. Not to be outdone, George
Washington invested in one of the ice cream machines.

Until 1851, ice cream (or, more frequently, cream ice) was solely
made at home. But an intrepid man from Baltimore, named Jacob
Fussell changed all that by opening the first ice cream factory.

Near the turn of the century, the ice cream soda was created,
although by who seems to be in question--either James W. Tuff or
Robert Green. It does seem to have been done by accident,
however--a scoop of ice cream falling in a glass of flavored soda
water. At any rate, the drink became a national craze, and many a
girl and boy went courting over an ice cream soda. So many, in
fact, that many municipalities passes laws forbidding the sale of
soda water on Sunday. Quickly afterwards, the 'sundae' was
invented--it contained the ice cream, syrup, and whipped cream
of the soda, but without the evil influence of soda water.
Numerous variations existed.

The next ice cream craze with the 1904 Louisiana Purchase
Exposition in Saint Louis. Charles Menches was doing a lively
business selling scoops of ice cream in dishes, all the way up to
the point that he ran out of dishes. Frustrated, but determined to
still find a way to make a profit, he lighted upon his friend Ernest
Hamwi, who was selling a wafer-like cookie called zalabia (a
Syrian treat). The combination proved irrestible.
For over a century, Americans have been enjoying ice cream on a
cone. Whether it's a waffle cone, a sugar cone or a wafer cone,
what better way to enjoy a double scoop of your favorite flavor?

Making Its Appearance

The first ice cream cone was produced in 1896 by Italo Marchiony.
Marchiony, who emigrated from Italy in the late 1800s, invented
his ice cream cone in New York City. He was granted a patent in
December 1903.

Although Marchiony is credited with the invention of the cone, a

similar creation was independently introduced at the 1904 St.
Louis World's Fair by Ernest A. Hamwi, a Syrian concessionaire.
Hamwi was selling a crisp, waffle-like pastry -- zalabis -- in a booth
right next to an ice cream vendor. Because of ice cream's
popularity, the vendor ran out of dishes. Hamwi saw an easy
solution to the ice cream vendor's problem: he quickly rolled one
of his wafer-like waffles in the shape of a cone, or cornucopia, and
gave it to the ice cream vendor. The cone cooled in a few
seconds, the vendor put some ice cream in it, the customers were
happy and the cone was on its way to becoming the great
American institution that it is today.

A Business Is Born

St. Louis, a foundry town, quickly capitalized on the cone's

success. Enterprising people invented special baking equipment
for making the World's Fair cornucopia cones.
Stephen Sullivan of Sullivan, Missouri, was one of the first known
independent operators in the ice cream cone business. In 1906,
Sullivan served ice cream cones (or cornucopias, as they were still
called) at the Modern Woodmen of America Frisco Log Rolling in
Sullivan, Missouri.

At the same time, Hamwi was busy with the Cornucopia Waffle
Company. In 1910, he founded the Missouri Cone Company, later
known as the Western Cone Company.

As the modern ice cream cone developed, two distinct types of

cones emerged. The rolled cone was a waffle, baked in a round
shape and rolled (first by hand, later mechanically) as soon as it
came off the griddle. In a few seconds, it hardened in the form of
a crisp cone. The second type of cone was molded either by
pouring batter into a shell, inserting a core on which the cone was
baked, and then removing the core; or pouring the batter into a
mold, baking it and then splitting the mold so the cone could be
removed with little difficulty.

In the 1920s, the cone business expanded. Cone production in

1924 reached a record 245 million. Slight changes in automatic
machinery have led to the ice cream cone we know today. Now,
millions of rolled cones are turned out on machines that are
capable of producing about 150,000 cones every 24 hours.
How Ice Cream Is Made
Everybody has a favorite flavor or brand of ice cream, and the
debate over whose ice cream is the best rages on each year.
While each manufacturer develops its own special recipes, ice
cream production basics are basically the same everywhere.

The most important ice cream ingredients come from milk. The
dairy ingredients are crucial in determining the characteristics of
the final frozen product. Federal regulations state that ice cream
must have at least 10% milk fat, the single most critical
ingredient. The use of varying percentages of milk fat affects the
palatability, smoothness, color, texture and food value of the
finished product. Gourmet or super premium ice creams contain
at least 12% milk fat, usually more.

Ice cream contains nonfat solids (the non-fat, protein part of the
milk), which contribute nutritional value (protein, calcium,
minerals and vitamins). Nonfat dry milk, skim milk and whole milk
are the usual sources of nonfat solids.
The sweeteners used in ice cream vary from cane or beet sugar to
corn sweeteners or honey. Stabilizers, such as plant derivatives,
are commonly used in small amounts to prevent the formation of
large ice crystals and to make a smoother ice cream. Emulsifiers,
such as lecithin and mono- and diglycerides, are also used in
small amounts. They provide uniform whipping qualities to the ice
cream during freezing, as well as a smoother and drier body and
texture in the frozen form.

These basic ingredients are agitated and blended in a mixing

tank. The mixture is then pumped into a pasteurizer, where it is
heated and held at a predetermined temperature. The hot
mixture is then "shot" through a homogenizer, where pressure of
2,000 to 2,500 pounds per square inch breaks the milk fat down
into smaller particles, allowing the mixture to stay smooth and
creamy. The mix is then quick-cooled to about 40°F and frozen via
the "continuous freezer" method (the "batch freezer" method)
that uses a steady flow of mix that freezes a set quantity of ice
cream one batch at a time.

During freezing, the mix is aerated by "dashers," revolving blades

in the freezer. The small air cells that are incorporated by this
whipping action prevent ice cream from becoming a solid mass of
frozen ingredients. The amount of aeration is called "overrun,"
and is limited by the federal standard that requires the finished
product must not weigh less than 4.5 pounds per gallon.

The next step is the addition of bulky flavorings, such as fruits,

nuts and chocolate chips. The ingredients are either "dropped" or
"shot" into the semi-solid ice cream after it leaves the freezer.

After the flavoring additions are completed, the ice cream can be
packaged in a variety of containers, cups or molds. It is moved
quickly to a "hardening room," where sub-zero temperatures
freeze the product to its final state for storage and distribution.
There are many choices in today's ice cream case to suit a wide
variety of consumer tastes. There is plenty of information on food
labels, but what does it really mean? Here, the International Ice
Cream Association sheds some light on how ice cream and related
products are labeled.
Labeling Definitions

The U.S. Food and Drug Administration (FDA) sets standards of

identity for many foods so that consumers will get a consistent
product, no matter what brand or type they buy. For ice cream,
FDA permits the use of nutrient descriptors such as "light,"
"reduced fat" and "low fat" so that consumers know exactly what
they're selecting in terms of nutritional content. These FDA
standards follow the federal Nutrition Labeling and Education Act
(NLEA), which governs all food labeling.

Here are some of the terms consumers are seeing in the

supermarket, and exactly what those terms mean:

Ice cream is a frozen food made from a mixture of dairy

products, containing at least 10% milk fat.

"Reduced fat" ice cream contains at least 25% less total fat
than the referenced product (either an average of leading brands,
or the company's own brand.)

"Light" ice cream contains at least 50% less total fat or 33%
fewer calories than the referenced product (the average of
leading regional or national brands.)

"Low fat" ice cream contains a maximum of 3 grams of total fat

per serving

"Nonfat" ice cream contains less than 0.5 grams of total fat per
Quality Segments

In addition, there are commonly used marketing phrases that

describe ice cream products in terms of quality segments, such as
"super premium," "premium" and "economy." Several factors can
contribute to a product's quality segment, such as price, brand
positioning, product packaging, quality of ingredients and the
amount of overrun (air) in the product. Overrun refers to the
amount of aeration the ice cream undergoes during its
manufacture that keeps the mixture from becoming an inedible
frozen mass. Overrun is governed by federal standards in that the
finished product must not weigh less than 4.5 pounds per gallon.

"Super-premium ice cream tends to have very low overrun and

high fat content, and the manufacturer uses the best quality

"Premium" ice cream tends to have low overrun and higher fat
content than regular ice cream, and the manufacturer uses higher
quality ingredients.

"Regular" ice cream meets the overrun required for the federal
ice cream standard.

"Economy" ice cream meets required overrun and generally

sells for a lower price than regular ice cream.
Company profile:

Name: Ice Age

The Healthy Ice Cream Parlor

Date of Launch: 20th September 2006

Promoters: Justin D’costa

Phinsy Chirayath
Rahul Mahapatra
Shruti Saraf
Aaron D’souza
Fizzah S.J

Product: Sugar free and Fat free healthy Ice Creams.

Health conscious desert.
Proposed Flavors: World famous Vanilla and 20 different
mouth watering flavors.

Project: Manufacturing and selling of healthy sugar free

and fat free Ice Creams. Specially made for health
conscious and sweet tooth people.

Head of department/ management:

Justin D’costa : Finance

Phinsy Chirayath : Public Relation
Rahul Mahapatra : Marketing
Shruti Saraf : Product Testing
Aaron D’souza : Human Resources
Fizzah S.J : Outlet manager


Total capital investment required:

7 crore

Borrowed capital (loan from IDBI bank):

3 crore

Total partners investment:

4 crore

Each partners capital:

70 lakhs
All the six promoters and administrators of Ice Age
Ltd... will be equal partners and the profits sharing ratio
between them will be equal.


Founded in Mumbai, Maharashtra, Ice Age Ltd.. company is

setting up an Ice Cream manufacturing and selling parlor. The
project will have great significance in the present day context of
increasing weight and illness among the youth as well as adults
due to increasing fat and sugar intake due to increasing content
of sweetener in the Ice Creams and juices.

The manufacturing of all types of ice creams will be done at its

production site and then will be transported to its parlors
established in the heart of the city. Ice Age Ltd.. is entering the
Indian market with an aim of establishing its brand as a necessity
of the Indian buyers.

The company will follow a strategic positioning approach for the

target market. Ice Age Ltd.. has kept into account the income and
behavioral factor of the Indian buyers while designing the
products. It is important for the company to understand the
consumer behaviour before it goes into such a market. The Indian
consumer for the first time will have a premium product which is
eco-friendly, healthy and affordable.
Business strategy

Our business strategy will include the determination of the most

beneficial product market in term of establishing itself in this new
product segment. The most important factor for the success of Ice
Age Ltd. brand is the perception of the consumer and to what
extent it can build a positive image in the consumer’s mind. The
intensity of the business environment, the sustainable
competitive advantageProduct Range
of a quality product will give it a strong
base to build the market.

Internal Analysis
It is important for us to adopt a different strategy for the Indian
market since it is composed of quality buyers as well as those
who will buy for their family. Thus, we shall introduce some new
External Analysis
strategies so as to establish our self in the Indian market and
develop a strong customer base.

Competitors Analysis

The Model used for preparing the marketing strategy by Ice Age Ltd.. in the Indian
Environment Analysis

Marketing Strategies

Future Plans

The first growth vector will involves gaining penetration with the
existing product-market Ice Age Ltd. will attempt to attract
customers from competitors through its strategic positioning and
will establish strong brand equity.

The second growth vector will involves product expansion while

staying in the current market. Ice Age Ltd. will then offer a new
product. It will be aimed not only for the existing market but also
for the price conscious segment.

The third growth vector will apply the same products to the new

The fourth growth vector will be to diversify into new product

markets. We shall concentrate on the second growth vector and
study the strategy with respect to the Ice Cream market.

According to the recent studies, most of the newly

launched product or services fail due to improper analysis of their
internal and external needs.

A company should most effectively and efficiently take care

of all the internal matters and needs.
Since internal analysis is so use full and the life cycle as well
as pricing is totally depended upon this analysis, Ice Age Ltd.. has
taken proper and fully effective steps in analyzing all the need
and requirements of the company.

During internal analysis the promoter should take care of the

following things:

• Raw material requirement

• Power supply

• Labour requirement

• Working force

• Capital

• Working capital

• Internal rules and regulations

• Proper management

• Proper material handling

The Indian market with its vast size and demand base offers great
opportunities to marketers. Two-thirds of countries consumers live
in rural areas and almost half of the national income is generated
here. It is only natural that rural markets form an important part
of the total market of India though the urban market is increasing
drastically. Our nation is classified in around 450 districts, and
approximately 630000 villages, which can be sorted in different
parameters such as literacy levels, accessibility, income levels,
penetration, distances from nearest towns, etc.

The rural bazaar is booming beyond everyone's expectation. This

has been primarily attributed to a spurt in the purchasing capacity
of farmers now enjoying an increasing marketable surplus of farm
produce. In addition, an estimated induction of Rs 140 billion in
the rural sector through the government's rural development
schemes in the Seventh Plan and about Rs 300 billion in the
Eighth Plan is also believed to have significantly contributed to
the rapid growth in demand. The high incomes combined with low
cost of living in the villages have meant more money to spend.
And with the market providing those options, trends and tastes
are also changing.

Thus Ice Age Ltd.. has decided to enter this market with the basic
idea of tapping the upper middle class which had established
itself as a huge tapped market in the perception of a lot of
national and multinational players who were then trying forages
into the Indian market.


ℑ Consumer Mindset
The consumers always have a different loyalty status for
different brands. Sometimes they buy some brand due to the
price or sometimes due to the features. Studying the
consumer’s mindset is of vital importance as perception of
individuals at the buying stage of various brands is
unpredictable and ever changing.

ℑ Market Share
The market share of the players in the two wheeler auto
market needs to be studied to know which company is in the
booming stage and which company is in its closure stage.
Also the advertisement and promotional share needs to be
studied. Thus, market share helps us know the current
market leader and market follower so that our company can
develop an efficient marketing strategy for its product range
after analyzing the current market player’s position.

ℑ SWOT Analysis
The SWOT Analysis i.e. the Analysis of the Strengths,
Weaknesses, Opportunities and Threats of the company
products and its competitors at a glance. It needs to be
compared to get an overall analysis of all the major
companies and to know the company having better
strengths, more opportunities and on the other hand the
company having more of weaknesses and threats.

35 natural
baskin and
10 others
1st Qtr

The above diagram represents the sales of the famous

Ice Cream parlors in Mumbai and their sales before Ice
Age entered the market


20 ice age
15 gelato
baskin and robbins

1st Qtr

This diagram represents the sales pattern of all the Ice

Cream parlors in Mumbai including Ice Age Ice Cream
Parlor after one year from the launch of Ice Age Ltd...

High initial launch cost

There is a large front-ended investment made in new products
including cost of product development, market research, test
marketing and most importantly its launch. To create awareness
and develop franchise for a new brand requires enormous initial
expenditure is required on launch advertisements, free samples
and product promotions. Launch costs are as high as 50-100% of
revenue in the first year and these costs progressively reduce as
the brand matures, gains consumer acceptance and turnover
rises. For established brands, advertisement expenditure varies
from 5 - 12% depending on the categories. It is common to give
occasional push by re-launches, which involves repositioning of
brands with sizable marketing support.

Market research
Customers purchase decisions are based on perceptions about
brands. They also keep on changing with fashion, income and
changes in lifestyle. Unlike industrial products, it is difficult to
differentiate products on technical or functional grounds. With
increasing competition, companies spend enormous sums on
product launches. Market research and test marketing become
inevitable. The business rests on the two aspects that are brand
equity and distribution network.

Marketing driven
In relative terms, marketing function has greater importance in
the Ice Cream industry. The players have to reach out to mass
population and compete with several other brands. The perceived
differences are greater than the real differences in the product.

Brand equity
Brand equity refers to the intangible asset in the form of brand
names. The consumer's loyalty for a particular brand is due to the
perception that the product has distinctively superior and
consistent quality, satisfies his/ her specific needs and provides
better value for money than other competing brands. A successful
brand generates strong cash flow which enables the owner of the
brand to reinvest a part of it in the form of aggressive
advertisement/ promotion to reinforce the perceived superiority of
the brand. The worth of a brand is manifested in the consumer's
insistence on a particular brand or willingness to pay a price
premium for the preferred brand.

Distribution network
In this sector, one of the most critical success factors is the ability
to build, develop, and maintain a robust distribution network.
Availability near the customer is vital for wider penetration as
most products are high value products. It takes enormous time
and effort to build a chain of stockiest, retailers; dealers etc and
establish their loyalties. There are entry barriers for a new entrant
as a new product is typically slow moving and has lesser
consumer demand. Therefore dealers/ retailers are reluctant to
allocate resources and time. Established players use their clout to
inhibit new entrants. However, when a product offers a strong
breakthrough, equity build up rapidly and so does the distribution

The major problems faced while marketing in

the Indian market:
a.Underdeveloped People and Underdeveloped
The number of people below poverty line has not decreased in
any appreciable manner. Thus underdeveloped people and
consequently underdeveloped market by and large
characterize the Indian markets.

b. Many Languages and Dialects:

The number of languages and dialects vary widely from state to
state, region to region and probably from district to district. The
messages have to be delivered in the local languages and
dialects. Even though the numbers of recognized languages are
only 16, the dialects are estimated to be around 850.

c. Prevalence of spurious brands and seasonal

demand: -
For any branded product there are a multitude of ‘local
variants’, which are cheaper, and, therefore, more desirable to

d. Different way of thinking: -

There is a vast difference in the lifestyles of the people. The
kind of choices of brands that an urban customer enjoys is
different from the choices available to the rural customer. The
rural customer usually has 2 or 3 brands to choose from
whereas the urban one has multiple choices. The difference is
also in the way of thinking. The rural customer has a fairly
simple thinking as compared to the urban counterpart.


concept is to make the product different from those of its

competitor. When we look at the Indian Ice Cream market we see
that the leader’s naturals have constantly maintained its market
leadership by constantly differentiating on the basis of new
And coming up with line extensions with regular frequency. The
only alternative for Ice Age Ltd. to survive in this industry will be
to differentiate itself. This differentiation could be on the basis of
the marketing mix. (Product, Price, Promotion, Place) Thus, as per
the different factors of marketing mix 4 Different strategies are
made to market in the developing cities in India.

“Ice Age” – the healthy ice cream parlor offers a wide

range of sugar free and fat free ice creams. The ice
creams are specially made keeping in mind all the health
conscious people as well as youth and people who suffer
from illness like diabetes.

Ice Age is a healthy ice cream parlor which targets the

higher middle class and rich class of the society.
Due to the variety of flavors and the specialty of being
sugar free and fat free makes the Ice Age Ice Creams
more popular among the fitness and health conscious

Ice Age targets the market where people are ready to

buy healthy junk food due to their taste buds and the fact
that Ice Age Ice Creams are totally fat free and sugar free
with the same original taste.

Hence Ice Age Ice Creams targets the market where

people from age group 1 year to 80 years can enjoy their
favorite ice cream keeping in mind health conscious
people, diabetic people, young people, etc…

Segmentation variables
Several variables differentiate consumers who prefer different
kinds of
Desserts, such as frequency of consumption, price sensitivity,
relative importance of calories vs. taste, consumption occasion (at
home, at work, at a social event, during recreation or at a
restaurant), and desired serving size. The two most important
variables are probably price sensitivity and the taste-calorie
The reason that price sensitivity is especially important is that
some consumers will pay high prices for a product of high quality.
Therefore, one might be able to make large margins selling to that
market. On the other hand, there is a large market that will not
buy desserts that are priced too high; therefore, some of the
manufacturers will want to provide value-priced frozen desserts
that may sacrifice quality somewhat. Consumers today tend to be
increasingly health conscious, and many will therefore want to
limit the amount of calories in the desserts they consume. On the
other hand, desserts are consumed for pleasure, and other
consumers are unwilling to sacrifice the taste provided by calorie-
rich desserts. There are also certain people who have high
metabolisms or engage in strenuous activity, leaving them with
less worry about weight gain. Frequent or “heavy” users of frozen
desserts would a great target, but this group is not readily
identifiable and reachable—these consumers are not likely to
have distinct media habits or to frequent particular stores, for
example. Serving size preference is an important issue, but is
addressed already to some extent by price sensitivity.
Segments Based on Combinations of Variables
Price sensitivity is clearly a matter of a degree, with each
consumer being somewhere on the continuum from extremely
price insensitive to extremely sensitive. However, it seems
reasonable to divide consumers into insensitive, value-conscious,
price sensitive, and highly price sensitive groups. In terms of the
taste-quality dimension, reasonable categories might be taste
dominated, balance seekers, and calorie “misers.” With four
levels of price sensitivity and three levels of taste-calorie
tradeoffs, twelve combinations emerge. The more important
segments will be discussed. “Price Insensitive Indulgers” are
consumers who take their dessert experiences seriously and will
let neither price nor calories get in the way of their desserts.
These consumers want high quality ingredients and tend to be
very brand conscious. Because their high level of involvement,
these connoisseurs will often exchange tips with each other on
what to try. They can be quite unforgiving to the brand if they
have a bad experience. Often, they buy from specialty stores,
such as bakeries, but may also indulge in super-premium ice
cream. The “Dessert Pragmatists” represent a large group of
consumers who enjoy good desserts but are concerned about
both price and quality. They are willing to pay more money for a
good dessert, but will tend to switch brands if their favorite
dessert is not on sale. They care about taste and will not buy a
low fat concoctions without taste. On the other hand, they tend to
avoid high fat ice-creams. They tend to buy branded products and
pay attention to calorie contents on the containers.

“Value Gluttons” are concerned about price but are less

concerned about calories. A dessert has to be relatively
inexpensive for them to buy it. They therefore often buy regional
and store brands. They buy ice cream and other sweets frequently
and eat large portions.
“Sophisticated Waist liners” are greatly concerned about their
figures and dread calories. This group predominantly consists
mostly of women. Some are affluent while others are willing to
make financial sacrifices to stay healthy. This group enjoys
sophistication in selecting high quality products and is very status
conscious. Often, this group will prefer small serving sizes of rich
desserts, and desserts are often consumed in a social setting. This
group tends to shop in upscale supermarkets and in convenience

“Budget Conscious Realists” consist of consumers who are very

price sensitive and are moderately concerned about calories.
Typically, this group includes modest income families, large
families, or families headed by a single parent. Parents are
concerned about the amount of calories that they and their
children consume, but money is limited, so they tend end up
buying what is less expensive. This group tends to buy what is on
sale, generics, or store brands.


• Less fixed cost required

• Healthy

• No side effects

• Less consumption of sugar

• Less consumption of fats

• Reduces chances of illness like diabetes

• Useful for health conscious people

• Tasty with health

• Variety

• Eco-friendly


• Slightly high in price due to use of special products


• Introduction of new flavors

• Easy in achieving break even point

• Prices can be reduced in short run


• Lot of competition from existing Ice Cream parlors offering sugar free
ice creams
Ice Age Ltd… introduces Ice Age Ice Creams – The
Healthy Ice Cream Parlor which brings to you a new
generation of ice creams.

There are many choices in today’s ice cream case to suit

a wide variety of consumers taste. There is plenty of
information on food labels, but what does it really mean?
Where Ice Age does stands??

Ice cream is a frozen food made from a mixture of

dairy products, containing at least 10% milk fat.

"Reduced fat" ice cream contains at least 25% less

total fat than the referenced product (either an average
of leading brands, or the company's own brand.)

"Light" ice cream contains at least 50% less total fat

or 33% fewer calories than the referenced product (the
average of leading regional or national brands.)

"Low fat" ice cream contains a maximum of 3 grams

of total fat per serving

"Nonfat" ice cream contains less than 0.5 grams of

total fat per serving.

• Introduction of new product in the market

• Completely fat free ice cream

• 98.99% sugar free ice cream

• Eco-friendly

• Healthy

• Zero side effects

• Ice creams for all age groups

• Total health conscious product

• Blend to suite the taste buds with health in mind

• Variety of flavors for the first time in sugar free and

fat free concept

• More than 30 different flavors to choose from

• Same taste
Ice Age Ltd… will be establishing its marketing
throughout Mumbai. Ice Age ice creams being an entirely
new product in the market will initially operate only in
Mumbai till further expansion.

Ice Age ice creams being fat free and sugar free requires
some extra indegrients and products which increases the
cost of the ice cream by 15 – 20 %. The segmentation of
Ice Age ice creams is done on the basics of “Demographic
segmentation” and “psychographic segmentation”.
Keeping this segmentation in mind the management has
taken steps to open its shops at the following places in

• Bandra (west)

• Pedder road

• Inorbit mall (Malad)

• Atrea mall (Worli)

• R mall (Mulund)

The main production of all the products will be done at

the main unit based at “Vasai” and then will be
transported to all its shops at different places all over
Push promotion strategy involves getting the retailers/dealers to
vouch for your product by giving them larger profit margins and
giving them incentives for the number of sales of your product
that are made from their shops/showrooms.

Pull promotion strategy involves promoting your product on a very

large scale and making it visible on the market, thus raising the
customers curiosity about the product and hence inducing them
to buy it.

We will give all the retailers/direct-dealers a good profit margin

than our competitors are providing them but not at the initial
stage because we are focusing to attract our target market using
diversified means of promotions and advanced technology to our
customers at reasonable price. We will also give them incentives
for vouching for our product at a later stage as we settle down in
the market. Hence we have decided not to go for push promotion
strategy at present but instead we have decided to go for pull
promotion strategy.
ℑ Television advertisements: Advertisements to promote and

market our product will be shown on leading television

channels. Major music and family channels will promote Ice
Age Ice Creams as they will reach out to the youth as well as
all age groups. Star, Zee, Sony and Doordarshan etc will be
our main promoters.

ℑ Radio is the medium with the widest coverage. Studies have

recently shown high levels of exposure to radio broadcasting

both within urban and rural areas, whether or not listeners
actually own a set. Many people listen to other people's
radios or hear them in public places. So radio
announcements will be made and advertisements will be
announced on the radio about the product features and
price, qualities, etc.

ℑ Print Ads: Daily advertisements in leading newspapers and

magazines will be used to promote the product. Leaflets at
the initial stage will be distributed at railway stations, malls,
college areas and various other locations.

ℑ Workshops and seminars: Workshops and seminars will be

held in colleges to make people aware about the company

and product features, its affordability and vast distribution

ℑ Banners, neon signs: Hoardings, banners, neon signs will be

displayed at clubs, discs, outside theatres and shops to

promote our range of flavors.

ℑ Booklets and pamphlets: Booklets will be kept at ice cream

parlors for the customer to read. These booklets will provide

information about our company; the products offered which
suits the customers need according to their taste.

The pricing strategy adopted by Ice Age Ltd. for its two
wheeler electronic bikes is PENETRATION PRICING
because it is a total new brand, which is entering a
market, which is already facing immense competition.
And breaking this competition and attracting new
requires quality product at low price. Hence our product
will be priced low which will be economical and will
encourage new buyers. Hence we have adopted the
penetration pricing method for capturing market share
and establishing ourselves in the market.

After considering all the factors i.e. cost of production,

transportation cost, store charges, etc… and after
analyzing this data the finance manger Mr. Justin D’costa
coated the price list according to the material
requirement of the product and the making charges with
considering all other of the store also.

According to Mr. Justin D’costa the cost of per scoop of ice

cream will Rs. 35 which would earn the company a profit
of 20% on cost.

After deep research and market survey it was found out

that the company will meet its break even point of
production within 1 year of its expected sales of 50000
units per month.
Ice Age Ltd… being one of its kinds, having a variety of
ranges in sugar free and fat free ice creams, the
management decided to launch such a unique product in
the heart of the country: Mumbai.

Since the first manufacturing and selling unit of the

company is set up and functioning in Mumbai, the
product launch was also held in Mumbai.

The launch of Ice Age Ice Creams Parlor was given to

FountainHead Promotion and Event Pvt.Ltd… The launch
was held at “Ra: lounge” at phoenix mills on 20th
September 2006. All the party event, guest list and
management and co-ordination of the launch were taken
care by Mr. Akash Deep Sen. the senior executive of the
FountainHead Promotion and Event Pvt.Ltd…

To promote our product in an entirely new market and

since our product is entirely a new concept in the market
Mr. Akash Deep Sen. Arranged an excellent guest list. The
guests invited on the launch were basically top role
models, ramp models, best doctors who promote healthy
eating, film stars, high profile diabetations, health
conscious people on small as well as big screen of
bollywood and top gym owners.

All the guests were asked their opinions on the new

concept of healthy eating. Their opinion was a treasure
for our company which would be help full during further
expansion and customer satisfaction.

Ice Age Ltd… is a entirely new concept in the segment of

frozen deserts, because of this reason the management
has decided that currently there would only be 5 outlets
of the companies ice cream parlor through out Mumbai.
As the company progresses in 3 – 4 months the
management has lots of plans about the future expansion
of the healthy eating concept through-out state, through-
out the country and then through-out the world…..

• Give franchise to reputed dealers through-out


• To merge with “Yoko Sizzlers” and open our ice cream

outlets at all Yoko sizzlers outlets.

• To slowly start a manufacturing unit first in Pune,

Goa, Madras, Delhi and Calcutta.
• Slowly capture all aspects of healthy eating i.e.
introduction of healthy snacks, juices, sweets, cakes,
chocolates, etc….

• One of the dreams of the promoters of Ice Age Ice

Creams is to spread the concept of healthy eating
through-out the S.A.A.R.C countries.

In today’s world of ice creams, Naturals, Baskin and

Robbins, Gelato, etc… are the leading ice cream parlors in
Mumbai. Their combined sale figures through-out the
month is about 1,50,000 units. Their advertising
strategies, sales promotions, offers, etc… are not on a
continuous stretch because these parlors are in the
market for sometimes……

Ice Age ice creams being on a starting stage, will have a

good advertising strategies, sales promotions, offers to
attract more customers and to make them more familiar
to our brand. Due to our new technique of production and
distribution, even after entering the market on platform
basis and investing more on the special inputs our cost
nearly 15% more than the cost of our competitors, but
with the concept of healthy eating we accept our sales to
be around 50,000 to 60,000 units per month.

Due to our special fat free and sugar free ice creams all
age groups will be able to enjoy the same old taste of ice
creams but with a dash of health.

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