Haagen-Dazs vrs Ben and Jerry’s

So, what exactly is ice cream made of? Ice Cream is made of milk-fat and solids, sugar, flavoring, stabilizer (usually gelatin), sometimes eggs, fruit, and nuts (www.infoplease.com). As was previously mentioned, Ben and Jerry’s and Haagen-Dazs are famous for their super-premium ice cream. Super-premium ice cream has a higher milkfat content then regular ice cream or frozen yogurt does. The ingredients for Haagen-Dazs’ Chocolate super-premium ice cream are: cream, skim milk, egg yolk,

Between 1992 and 1997, Ben and Jerry’s opened a chain in Russia and called it Iceverk. This was an attempt at brand extension in the Russian republic of Karelia. The purpose was to “help promote understanding and communication between what was then the Soviet Union and the United States.”(www.benjerry.com) Ben and Jerry provided the equipment and the knowledge needed to start this venture. Iceverk proved to be successful, and more stores opened in cities such as Moscow and St. Petersburg. When the political climate changed in Russia, it transformed into a democracy and a market economy. Once this happened, Ben and Jerry changed their goals for Iceverk. The local managers were doing a fine job, so Ben and Jerry decided to focus on “transferring…business skills and experience [to them].” Eventually Ben and Jerry’s donated the equipment and let the local managers take over. Iceverk continues to produce ice cream, but no longer uses the Ben and Jerry’s name.

Next, we will look at the ice cream industry. The International Dairy Foods Association reports in 1999 the total size of the United States ice cream/frozen dessert market is $20.3 billion. Also in 1999, 1.6 gallons of ice cream were produced. In addition, the average American person consumes 48 pints (5.68 gallons) of ice cream per year, implying it is no longer an exclusive summer treat. Nearly 91% of American households in 1999 consumed ice cream and frozen desserts. Ice cream is marketed with its nostalgic appeal in mind, but the ice cream market reinvents itself with new kinds of flavors, products, and different retailing techniques. The top five flavors in the United States are: vanilla, nut, fruit, chocolate, Neapolitan, and candy mix-in. Ice cream is no longer reserved for ice cream parlors. In fact, a survey done by Market Facts in the Dairy Foods journal issue in March of 2001, 54.1% of ice cream is purchased in supermarkets. Scoop shops come next at 24.5%, and other (drug stores, club stores, foodservice) at 9.9%, convenience stores at 7.1% and vending machines at 4.4% of ice cream sales. As for the types of ice cream Americans purchase, the National Agricultural Statistics Service, USDA did a survey in the year 2000 (listed most popular to least popular): hard ice cream, low fat ice cream, frozen yogurt, and sherbet. Moving to competitors, there was a 52 weeklong study, ending on December 31, 2000, titled “America’s Favorite IceCream Brands,” by Information Resources Inc. (published in Dairy Foods). According to this survey, neither Ben and Jerry’s nor Haagen-Dazs is America’s favorite ice cream brand. The survey lists twenty, from most favorite to least: Private label, Breyer’s, Dreyer’s/Edy’s, Blue Bell, Haagen-Dazs, Ben and Jerry’s, Well’s Blue Bunny, Turkey Hill, Dreyer’s/ Edy’s Grand Light, Healthy Choice, Breyer’s IceCream Parlor, Dreyer’s/Edy’s Dreamery, Kemps, Mayfield, Dreyer’s/Edy’s Homeade, Friendly, Dreyer’s/Edy’s Presents, Pet, Deans Country Charm, and Starbucks.

Although Ben and Jerry’s and Haagen- Dazs have so many competitors, they successfully manage to keep their products stand out from the rest. However, each company markets its products in a different way. For example, this fall, Haagen-Dazs is promoting the “Apple Pie” frozen yogurt for a “limited time.” In addition, it offers a $3.00 certificate redeemable at supermarkets for one free Haagen-Dazs Pint or one package of Haagen-Dazs ice cream bars. In contrast, Ben and Jerry’s is promoting its seasonal fall ice cream “Apple Crumble” ice cream. A portion of the sales for “Apple Crumble” will be donated to the “Tom Joyner Foundation, which donates 100% of its proceeds to fund scholarships fo

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