The “My Choice” frozen yogurt company is a speciality shop for frozen yoghurt. In the frozen dessert industry, frozen yogurt is a new popular dessert since ice cream. Although frozen yogurt businesses have developed greatly in the past few years in New Zealand, and are going strong in the future. Frozen dessert category is characterized by high demand in New Zealand and Australia. New Zealanders love their ice cream products than other country people.
Many big manufacturers sell their products through retail stores and wholesalers and stores which are operated under franchise agreement, which has contributed to industry growth in the past five years.
Outline the size of the market, its prospects for growth and any trends likely to impact
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Consuming Frozen Yogurt as breakfast and as a daily meal are the new trends in some countries.
Describe each of the major competitors. Include relevant information on their size, market share, distribution channels, pricing strategy, target market, product lines, brands etc.
The major competitors are New Zealand Natural, Fresh n Fruity and Kiwi Yo.
New Zealand Natural:
New Zealand Natural is an economy range frozen desert brand. It is an international branding and reputation made it a potential target to companies in frozen desert category all over the world.
New Zealand Natural operates with branded franchises across the world. Currently New Zealand Natural products are sale to New Zealand, UK, Hong Kong and Korea and then it will move further in to some Asian and Europe countries.
Fresh n Fruity:
Fresh n Fruity is a subsidiary of Fonterra and it is a 100% New Zealand brand. Tip Top's gross sales are worth more than $200 million a year in ice cream segment. Fresh n Fruity is the largest manufacturer, distributor and wholesaler of ice cream.
Kiwi Yo:
Kiwi Yo is created new hype in the Frozen Yogurt Market. It established as a Frozen Yogurt store and made tremendous hype for Frozen Yogurt in the market and became a role model for other firms to enter in the market.
Describe any barriers to entry into the industry. How
Consumers are increasingly skipping breakfast and morning food sales are on the decline. Yogurt tastes are changing as well, with many consumers opting for Greek yogurt as opposed to regular yogurt. GIS was greatly impacted by these changes in consumer preferences and saw US cereal sales drop 3% from 2017 to 2016 while US yogurt sales dropped 18% year-over-year. In July of 2017, GIS introduced a new French Style yogurt brand to appeal to changing consumer tastes and increase yogurt sales. One positive for the industry is that consumers are snacking more often. Consumers want convenient filling foods that fit in with their busy lifestyles. The packaged food industry can take advantage of this growth capitalize on the growing popularity of quick meals and nutritious snacks. Snacks comprise 21% of GIS’s total net sales and this is expected to continue to grow as GIS introduces more healthy options. Another concern is aging populations in the developed world. As consumers age, their dietary needs change. Older populations move away from many foods products with high levels of sugar and fat in favor of more nutritional products. There is slow population growth with birth rates below the replacement level in many developed nations. This decline in new consumers is a problem for the industry as they can no longer rely on consumer growth
Frozen yogurt’s popularity has skyrocketed over the years, making it very well known to the public, maybe even more liked than another popular product. Ice cream isn’t the same as frozen yogurt and it just doesn’t receive as much love. There are also many benefits to eating frozen yogurt. Plus it just tastes so rich and creamy while ice cream is somewhat harder and not as good as frozen yogurt. More people are eating the swirly goodness of frozen yogurt because of the better health benefits, lactose intolerance benefits, and the fact that there are more fun frozen yogurt parlors to go to.
Yogen Fruz is a frozen yogurt company attempting to expand its number of stores within China. The brand is built around the idea of using high quality healthy ingredients in their products while creating a unique environment that customers will enjoy and want to return to. While most frozen yogurt competitors are just entering the Chinese market, Yogen Fruz is already established
Nature's Delights, an international gourmet food chain that is considered to be the world's leading retailer of natural and organic foods
Firstly, we see the word natural in a lot of everyday stuff we use. In marketing it is a common named that is used for selling the product. Advertisers use the word “natural” to persuade people who are looking after their health to buy their product. Like in the product Kettle chips, they use the slogan in the ad “We make our potato chips using the freshest natural ingredients.” Like all natural cheddar or sea salt. The ad features a jingle with the announcer describing the product. They are trying to get the people to buy their chips, by knowing what is in them makes people want to buy it. Also, by thinking it is going to make them more healthier. Knowing that it is made with all natural ingredients and no preservatives. Another ad that
Portray the competitive strategy of the (competing) firms using the grid of “strategic target” and “source of competitive advantage”.
The company distinguishes its products from the competition by using natural ingredients and a special process that gives the yogurt it creamy and smooth texture without having to use thickeners. Other distinguishing factors for Natureview includes using milk form cows that have not been treated with rGBH and the average shelf life of Natureview yogurt is 50 days instead of 30 days. Over the past 10 years, Natureview revenues have increased from $1000,000 to $13 million. Natureview offers 8oz and 32 oz. cups for purchase. Initially starting out with two flavors, Natureview has expanded to offer twelve flavors in the 8 oz. cups and four flavors in the 32 oz. cups. Sales of the 8 oz. cups made up 86% of Natureview’s revenue while sales of the 32 oz. cups made up the rest (14%). Natureview has found a niche market in the natural foods channel. Customer can find Natureview yogurt at a variety of natural food retailers including Wild Oats, and Whole foods. The price for Natureview yogurt at natural food stores was $0.88 for an 8oz cup and $3.19 for a 32 oz. cup. Compared to supermarket channels ($0.74 for 8oz, $2.70 for 32 oz.), prices for Natureview yogurt was higher due to multiple parties involved in the distribution. Natureview has to use three distributors in order to get the product to consumers. Each distributor collect their margins, which leads to higher prices.
The yogurt started appearing as a lunch choice about a year ago, in Idaho, New York, Arizona, and Tennessee. It was so successful that the USDA decided to make it a permanent option that will expand out to other states as time goes on.
We believe that Ice-Fili, to stop the decline in its market share, should focus on the market opportunities in the Russian ice cream market. The main opportunity seems to lie in consumers’ behavior. They only consider ice cream as an "on the go" snack. Ice-Fili should use all possible means to create a change in their way of consumption. It would be doubly useful as it would both increase ice cream sales in restaurants but also in supermarkets so that families eat them at home.
In the essay “What's Natural about Our Natural Products?”, Sarah Federman claims that although many people believe that the word natural on a food label means that a product is healthier than others, natural doesn't actually mean anything, because is an unregulated word. The author describes how marketers use the word “natural” to bait people in to buying a certain product thinking that is better than another “unnatural” product. She says that the word is most prevalent at the grocery store, and gives examples of different products with the word “natural” on their label. Federman explains the difference between the products that don't have “natural” on the label and the ones that do. She states that, often, the “natural” food products are more
This is turning out to be the new generation of producing ice cream and still be able to satisfy customer needs. According to the director of marketing at Blue Bell Carl Breed, “We plan to go after the low carb and Hispanic influence market. But we will continue to provide fabulous tasting ice cream, that appeal to almost every customers and we will never lose sight of the fact that ice cream is supposed to
We at Temple Consulting have completed an analysis of Ice-Fili’s current corporate standing using data collected over the past several years. Using tools such as Porter’s Approach and SWOT we have analyzed the internal and external environments and have recommended several strategic plans of action. Current areas for improvement such as marketing initiatives and re-evaluation of distribution channels will increase sales and profitability almost instantly. Long term plans such as lobbying against luxury tax on ice cream, partnerships with franchise vendors, and bringing new products to the market, performing an IPO, and planning more global efforts will help keep Ice-Fili rooted as the
1. Think about size, growth, locational aspects and segmentation 2. Market Structure 3. Performance metrics used 4. Trends
Natureview has succeeded in the natural foods channel over the usage of sales brokers that send its yogurt to natural food stores. Nature View has prospered by apprehending 25% of the natural food market. To cement the success, the company has planned to raise the sales of its 8 grain and 32-ounce portions and to create apportion diversity by introducing the children multi-pack.
Ben & Jerry’s Homemade, Inc. has been in business since 1978. Approximately 40% of the world 's frozen dairy desserts, 5.6 billion liters per year, are manufactured at more than 450 U.S. ice cream plants. This makes the United States the largest producer of ice cream and related products in the world. With the world 's largest milk supply, an abundance of land, and investments in research & development, U.S. frozen dairy dessert production has remained