report on ice cream
TRANSCRIPT
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ACKNOWLEDGEMENT
By the Grace of Almighty Allah, the most Merciful, the most
Beneficial, we are today submitting our report; we have the pearls of my eyes to admire
the blessings of the compassionate, omnipotent, the Merciful and the beneficent Allah
who is the entire source of knowledge and wisdom
Due to his bounteous blessings, we become able to contribute this comprehensive
assignment towards the deep ocean of knowledge already exists. Heart is warm with
love and thoughts have turned to the city of knowledge – The Holy Profit (P.B.U.H) His
saying “Learn from to Cradle to Grave” inspired the strong desire to undertake this
course of valuable studies.
It would obviously be injustice not to mention the name of the people involved to make
this assignment possible and helped their utmost to make us understand the overall
operation.
-Despite of the most hectic schedule, Omer Habib helped us so much.
In the end, we would like to thank all our colleagues, and specially to our teacher who
made us capable of doing so.
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Introduction To the Company:
The area of our interest is food and
beverages. There are many companies who
are providing such item like Unilever (Largest
company of the field), Procter and Gamble.
They have many of the consumer products.
They provide the products dealing mas
marketing, that is why they have to cater a big
market. The idea of establishing a company in such competition came from the
difference of target audience. Although there are some companies which are providing
the ice cream in the same area as Movenpick, Jilato Affairs and Omore’s. Target
audience for these companies are more or less same. But there was still a consumer
block missing, to cater that, Del Frio jumped in. Del frio is not very old, started working
in the end of year 2010. Initially started work from CBM University, later on expended to
new markets, like Atrium Mall sadar, Golf Club, Creek Club and events at Sea view.
The Company targets the elite class, and have set the pricing in accordance with
the affordable level. Initially Delfrio have only 2 to 3 flavous, but they have now moved
to more than 8 flavors and have planned to move to new markets.
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el Frio’s wide array of ice creams and desserts vows to serve every
individual with a sweet tooth. Using the finest ingredients from across
the globe, Del Frio offers the purest soiree of deliciousness and
palatability. Del Frio is moulded such that scrumptiousness lurks in every spoonful of
delectable deliciousness. Whether you prefer your ice cream on a freshly baked cone,
in a cup, sundae, milkshake or coffee, you are guaranteed servings of mouthwatering
goodness.
Del Frio Live Dessert Counters:
el Frio promises its clients a unique and complete gourmet
experience when it comes to desserts. Whether you’re
planning an intimate gathering, charity ball or a grand
reception, Del Frio promises to make the occasion truly
memorable. With over 30 flavours of ice cream to choose
from, including the opportunity to create your own, a latte
Our Philosophy...Del Frio is committed to
becoming the unparalleled connoisseur in the world of
ice cream and desserts. Our handcrafted products are
freshly prepared and made from only the purest quality ingredients on the market,
processed in a natural, preservative-free
environment.
We don’t condemn individuality, we
nurture it...
D
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bar and a range of elaborate desserts, the Del Frio “live dessert counter” guarantees the
perfect ending to your celebration.
Del Frio Kiosks:
ou can now experience Del Frio’s culinary miracles at a Del
Frio kiosk stationed near you. The Del Frio kiosks feature up
to 8 flavors of ice cream, latte bar, hot brownies and freshly
made cones and promise you an exclusive sensory
experience.
Adding vitality to life
hat’s why
we’re
constantly adjusting our range to keep up with
changing needs. Calcium enriched products are available to add nutrition and health benefits for kids
and adults- there’s something for everyone.
About product;
Y
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el Frio is a Spanish name which means COLD. Del Frio’s
palette of flavors
includes timeless
classics like
French vanilla,
vanillafudge,
crunchy caramel,
Belgian chocolate,
chocolate fudge,
cookies and cream, coffee
classic and
strawberry yogurt,
Among others. Del Frio also offers you the unique
opportunity to create your own flavors. Our flavors are fashioned to inspire and are in
turn inspired by our customers’ imaginations and desires. We strive to produce desserts
that will complement the idiosyncratic visions of our clients. Customizable to whatever
your taste buds may fancy, we cater to anyone with a sweet tooth… and tempt even
those who lack one.
Ingredients
ce cream is made from ice (water), milk, fat sugar, fruit
and natural flavours and colours. All of these ingredients
are necessary for you in your diet to lead an active lifestyle.
From these ingredients you get protein that helps build
body tissue, carbohydrates and fats which give you energy
D
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and essential vitamins and minerals like calcium that help to strengthen bones and
teeth.
Ice cream is the only food you eat frozen and offers a unique sensory
experience
The average number of licks to finish off a single ice pop is 35 to 45.
Del Frio’s ice creams are consumer, nondurable, convenience, packaged goods. It has
a variety of flavours.
Raw materials: Contract Suppliers
Production Unit: One Unit at Karachi
PERISHIBILITY
Required Temp: -18°C.
Life time (Out of freezer): 15 min.
PACKING
Packaging: Multiple packaging
Small packs:
• Cones
• Cups
Take home packs:
• ½ liter packs
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• 1 liter packs
Positioning:
Del Frio ice cream is positioned as an experience,
not a product, which people do remember.
Positioned as high end ice cream but at an
affordable price. For elite class, who purchase to
have a feel of international brand, a good
packaging and a unique ice cream texture. Del
Frio is an Spanish name which means cold.
Why it is different?
Del frio uses the imported ingredients. Artificial ingredients and essence
are not used as other commercial ice cream companies do. Del Frio
aims to provide a good feel, look, the way it is packaged and the a
different texture. Natural ingredients are used to enhance the taste,
which makes it different from other ice creams. The things that
differentiates it from others, is the avialabiltiy of freshly prepared
brownies and yogurt, so it has a unique taste and different style of serving. Chocolate
Fudge is available with fresh chunks of brownies, Vanilla Fudge is available with
brownies chunks, Strawberry Yogurt with fresh yogurt, Cookies and Cream with Oreos.
There is no other ice cream provider giving such taste and fresh items.
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Competitors:
Although Unilver is also an ice cream
provider, and in principle it is the
competitor of Del Frio, but the target
audience of Unilever is something very
different. Unilever targets the masses
and produces the ice cream in huge
quantities. Del Frio market is niche
market, and thus the real competitors
are;
Moven Pick
Host Spot
Gelato Affairs
Competitors Analysis:
Moven Pick:
Moven Pick’s ice cream is considered as the most quality ice cream and very
expensive ice cream. Major reason, that why it is so expensive is that, they import the
ice cream in frozen for from Switzerland. For the purpose they have to pay a high cost
of franchise, and a heavy duty of transportation. That is the reason they charge a scoop
of ice cream in 149 Rs, which is 50 Rs more than what Del Frio offers of the same
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scoop. They charge per lit more than 1000 Rs, while Del Frio has a unique pricing
strategy for 1 lit which is below 600 Rs.
Gelato Affairs and Hot Spot:
Hot spot and gelato Affairs have their own outlets and they bear over heads charges,
that is why they also charge the high price of ice cream, they have to compromise the
quality to overcome these overheads.
Competitive and Market Position:
Ice cream sector is remained remarkably strong and resilient. Accordingly to the ice
cream sector is primarily dominated by major players such as Unilver, Igloo, Gelato
Affairs, Moven Pick and Omore’s. Smaller players also added to the escalating
competition among these companies to gain maximum market share as possible.
Commercial Ice Cream:
Igloo, Walls and Omore’s market their ice cream as commercial ice cream. They use
multiple artificial stabilizers to make the ice cream frozen. Their ice cream is essence
based. That is why they bear low cost of production, and sel ice cream at low cost, they
distribute their product all over the Pakistan. They have their own outlets and also
distribute the refrigerators all over the Pakistan. They do mass marketing in order to
overcome the huge overheads, but their ice cream is only of the standard to be accpete
by masses, they don’t use the actual ingredients.
Strategy:
Del frio go through the word of mouth strategy. We advertise ourselves through
Facebook. We have registered ourselves on Karachisnob.com (Where all types of food
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items either national or international are available at a single call). We have planned to
expend at Sofitel Clifton, Agha Super Market, Dolmin city clifron. Where we find the
more elite class spending.
Why we targeted CBM:
As our target audience is elite class, it is affordable to them. CBM is the ideal place for
targeting the selected class. There is the strength of 4000 students, 4000 students are
major source of brand awareness in their friends and their families. We have perfect
age group at CBM from 19 to 25 years. Del Frio had a very good response. Reasonable
rates, affordable by students (Rs 90 per Scoop). There are minimum over heads
charges due to university area and greater profitability.
Atrium Mall:
Ideal place for elite class.
Weekly 5000 people
purchase the product. It
becomes 20000 people, who
are aware of Del Frio.
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At Events:
Del Frio does not miss the chance to cater the events. Specially at Golf Club, Creek
Club, South end Club, where elite class is targeted. Recently there was targeted the
Basant Festival.
Market Segmentation
CHARACTERISTICS OF THE MARKET
Few of the characteristics upon which the market has been segmented are discussed
below:
GEOGRAPHIC
Del Frio is targeting its audience only in Karachi at present.
DEMOGRAPHIC
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Demographic variables of Del Frio target market are mostly age and income based. Del
Frio havecreated many sorts of ice creams. If we consider the income segmentation,
Del Frio is targeting upper, middle income levels. The pricing for the class is such that, it
does not bother the middle class to buy a scoop of ice cream, and it is also affordable
while purchasing a 1 lit deal.
PSYCHOGRAPHIC
The psychographic segmenting is done on the basis of the taste and health conscious
consumer. Del Frio targeted its market by creating an image of high quality and hygienic
products. Also relating fun and Shugal with ice cream helps depicting the life style of its
potential user, especially at events.
BEHAVIORAL
The behavioral segmentation is done on three different variables that tend to define a
particular behavior or attitude of a consumer. These are:
Occasions – regular occasions, special occasions
Usage rate – usage rate in cold, cold does not matter
Benefits – quality, presentation, taste, feel, texture, packaging
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TYPICAL BUYING PATTERN
Although in the present WALL’S enjoys leading the market from the day it came in the
business, Del Frioproducing a high quality ice cream has proved itself to be the best in
the market in a selected area, that is why the popularity is increasing day by day. The
nation have a tendency to follow others to the maximum extend. Pakistan is a nation
with a tendency to get influenced by others and especially by western communities. We
can categorize ice cream as fast food, which is a symbol of western community, so we
can very well imagine ice cream gaining its popularity.
Consumers with high purchasing power are becoming heavy user of products available
by Del Frio. Where else the consumers with very low purchasing power are light users.
The density of user can also be categorized geographically. Although Pakistan is
considered a hot climate country generally but it does have areas with low temperature.
Ice cram is a kind of food, which is not age bounded or class bounded. But it is a fact
that people of different ages and social classes may require different varieties of ice
cream at different price levels. So for that purpose WALL’S has adopted a rifle approach
and divided market into a number of segments according to different social classes and
ages and then tried to provide ice cream solution for all to satisfy the consumer within
his buying power.
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SEGMENTATION ON THE BASIS OF INCOME CLASSES:
1. UPPER CLASS
It includes the elite or higher income class who can afford even the most expensive
items without much botheration. They consume ice-cream more on the basis of taste
and preference rather than money.
2. UPPER-MIDDLE CLASS
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This class includes people with moderate kind of income. You can neither put them in
free hand category nor very less purchasing power category. These people normally
take the taste and affordability both into consideration.
3. LOWER-MIDDLE CLASS
These are the people with very little income to spend. These people usually prefer the
low price and economy than taste and preferences. They are not in the target audience
of Del Frio.
SEGMENTATION ON BASIS OF AGE:
1. ADULTS
Adults will mostly prefer the quality product which not only fulfill their taste and
preference requirements but also reflects their personality. The adults are normally
ready to pay for a product which fulfills their physical and psychological needs because
they are the income generators.
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2. TEENAGERS:
Teenagers don’t have any specific taste and preferences. New products and new ideas
always attract them. But they have a limited product and they have to maintain their
expenditure with in that.
3. KIDS:
Kids normally do not have a great know-how of the taste rather they are psychologically
attracted towards the product. They are not concerned with the taste of ice cream and
they just want ice cream. As they are dependent and cannot spend money themselves,
so their parents mostly just provide them with an economical ice cream, not any
specialized ice cream as it is not demanded.
SWOT Analysis:
Strenghts:
Available in 8 different flavours, with brownies, orios and
chocolate.
Prices are resonable, such that, a liter pack is much cheaper
than a single scoop of ice cream, but the single scoop is
also available at reasonable prices.
It got good food energy value, which is good for health.
All the ingredients are imported, although are made at Del
Frio, that is why the quality remains at top priority.
Weakness:
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It is homemade ice cream whithout artificial stabilizers, that is why the durability is not much
good, it melts very soon.
It does not have many outlets in target areas also.
Advertisement is not so good, that is why still not much famous among people.
Opportunities:
Come up with new flavous which would be able to attract the
youth.
People are aware of ice cream to serve in events, there is a
big market for it.
Del Frio is the first one to deliver the ice cream at homes, so
it is a big opportunity to be known for delivering at door
steps.
Threats:
There are many competitors in the Del Frio’s target
segment, who are trying to provide the same thing.
Increase in the prices of raw material is big threat, it will be
very difficult to stabilize the prices.
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