Professional Documents
Culture Documents
Ice Cream Project
Ice Cream Project
Justin Dcosta
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 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.
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.
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 40F 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.
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
serving.
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
ingredients.
"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 Dcosta
Phinsy Chirayath
Rahul Mahapatra
Shruti Saraf
Aaron Dsouza
Fizzah S.J
Product: Sugar free and Fat free healthy Ice Creams.
Health conscious desert.
: Finance
: Public Relation
: Marketing
: Product Testing
: Human Resources
Outlet manager
Investments:
Total capital investment required:
7 crore
Borrowed capital (loan from IDBI bank):
3 crore
Total partners investment:
4 crore
Each partners capital:
70 lakhs
Introduction.
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 consumers mind. The
intensity of the business environment, the sustainable
Range
competitive advantageProduct
of a quality
product will give it a strong
base to build the market.
Internal Analysis
External Analysis
Competitors Analysis
The Model used for preparing the marketing strategy by Ice Age
Market
Environment Analysis
Marketing Strategies
Future Plans
Conclusion
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
markets.
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.
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
NEED OF COMPARISION
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
consumers mindset is of vital importance as perception of
individuals at the buying stage of various brands is
unpredictable and ever changing.
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 players position.
SWOT Analysis
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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
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
network.
c.
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
The
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 leaders naturals have constantly maintained its market
leadership by constantly differentiating on the basis of new
flavors.
Segmentation variables
Strengths:
Less fixed cost required
Healthy
No side effects
Less consumption of sugar
Less consumption of fats
Reduces chances of illness like diabetes
Opportunities:
Introduction of new flavors
Easy in achieving break even point
Prices can be reduced in short run
Threats:
Lot of competition from existing Ice Cream parlors offering sugar free
ice creams
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
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.