3rd sept. br final
TRANSCRIPT
OUR HISTORYBurt Baskin and Irv Robbins began making ice cream in 1945.
Initial concept of 31 Flavors.
1000 different flavors ranging Sundaes, Smoothies, cones and Shakes, etc.
leader in the ice cream industry with innovations.
Contd….
Entered India in 1993.
200 Franchised stores in 35 cities.
Baskin-Robbins is owned by Dunkin’ Brands, Inc.
CORPORATE HISTORYStarted out in separate ventures.
In 1945, Irv opened Snowbird Ice Cream in Glendale, California.
Store featured 21 flavors
Year later, Burt opened Burton's Ice Cream Shop in Pasadena, California.
By 1948, they had six stores
It has maintained solid, controlled growth over the last several years through development of stores
sells ice cream in over 30 countries
5,800 locations, 2,800 of which are located in the United States.
1949, there were more than 40 stores in Southern California
1953: dropped the separate identities
VisionVision“The BEST PREMIUM ICE CREAM PLAYER”
ValuesValues We value Integrity, People, Connection, Innovation,
Performance, Discipline, and Quality.
GoalGoalTo make people smile inside and out.
Baskin-Robbins
'What's Your Flavor?' - 31 to Choose From:'What's Your Flavor?' - 31 to Choose From:
The punch line emphasized the wide range of flavors offered by the company
Demand Drivers
• Growth of malls and multiplexes- boon for Baskin Robins.
• An increase in customers who demand the best.
• happy to pay more if given a quality product at par with the best available internationally.
Preference of Ice Cream at Baskin Robbins
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Vanilla PeanutButter
Flavor of Ice Cream
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Trends
• Increase in demand for premium products.
• Penetrate the smaller towns and rural belts, as they promise to offer the next surge of growth.
Industry Recognition
2008-named as top ice cream and frozen dessert franchise.
In addition it has earned the following distinctions:
No. 1 brand of hard scooped ice cream.
No. 1 ice cream franchise worldwide.
Winner of a Silver Addy for excellence in advertising.
Focusing on the Customer:
Internal call center with trained staff for home delivery service
in Mumbai.
Ensure same service over the phone as one would get on visiting a store.
Unique challenges faced in India: Customs, Systems, etc.
Birthday Club Irresistible Treats, Smiles, and Fun
Began in the 1950s
Mailed card which were redeemable for a free scoop of ice-cream,on their Birthday.
Birthday Club is open to "kids of all ages.”
Marketing strategies of Baskin-Robbins
• Hollywood Dreams
• Innovative Flavoring
Logo Design Elements
One of the Marketing Strategy in the Year 2003:
2003 –Dream Works Pictures Ltd. Released Animated children’s Movie- Sinbad: The Legend of the Seven Seas
The Promotion campaign- developed a range of ice creams and novelties based on the theme of the movie.
Approximately 2400 Baskin-Robbins' stores participated in the promotion.
Partners with Kraft.(Yr 2007)
Has joined with Kraft Foods, in a co- branding agreement.
Kraft's newly reformulated Handy-Snacks ready-to-eat pudding add flavors inspired by Baskin-Robbins' ice creams.
First co-branding announcement.
Featured special offers, coupons and discounts on-pack
Designed to drive ice cream and pudding lovers to their local Baskin-Robbins ice cream shops.
Yoyo with the new flavors at Baskin Robbins(Yr 2007)
Baskin-Robbins brought in flavors inspired by the new action series Blazing Teens on POGO, in June.
Flavors of the Month : 1. Blazing Yo Yo 2. Berry Tales 3. Have a Break
Baskin Robbins agreed to become the largest ground partner by opening all it's 200 + outlets to CN/POGO
to retail these toys from.
Baskin-Robbins teams with Oreo for "Lick-A-
Thons"
Teamed up with Oreo on a back-to-school promotion, on Sept 20.
As part of the promotion, Baskin n Robbins featured ten Oreo-based ice cream flavors and treats.
The idea: The Company notes that 20.5 million Oreos are consumed nationally every day, indicating the popularity of the iconic brand.
Baskin Robbins and Spider-
Man 3: Baskin Robbins had integrated the feel and look of Spider-Man 3.
Super-Hero Flavors gave away Marvel’s Super-Hero comics on purchase of Super-Hero Flavors.
Promotion of the movie Drona:
• Abhishek Bachchan at a Meet-n-Greet session..
Future Planspioneers in introducing the concept of ‘Flavor of the
Month’ and offering “Free Taste’ of Ice Cream.
flavor bank-more than 1000 Flavors.
you will get at least 31 Flavors in any BR Parlor at any point of time.
explore opportunities in neighbouring countries.
Besides, brand plans to penetrate into the smaller towns.
Baskin-Robbins enters 2009 with several new real estate concepts.
the BR Express concept - brand new soft serve-based kiosk design.
Baskin Robbins eyes smaller cities in India
Revamp up its store count in smaller cities seeing rise in demand and consumer spending.
Plans to open 100 every year.
Scaling up plant and machinery.
Recruiting the right kind of people.
and finding the right franchisees.
•Growth in modern retail, Multiplexes have helped generate demand for its brand.
•The ice cream maker is looking at tie-ups with Airlines as well.
•The ice cream chain spends 8- 9 % of its revenues on advertising each year.
•Their ice creams have often been called expensive by the consumers until its competitors entered the scene like Gelato.
Issues and Concerns:• Escalating price of real estate-retail
business is going to find it increasingly hard to deliver returns.
• Lack of quality and increase in prices.
• Shakes and Ice- creams contain with a whopping 2,600 calories, 135 grams of fat, and 263 grams of sugar.
Problems faced
• Products were expensive.
• Developing new flavors was not an easy task .
• Therefore, the ice cream was priced higher than that of other local stores.
• There was limited seating space in
Stores.
Rivalry among Competing Sellers
• Large, diversified companies- Amul and Kwality.
• Intense rivalry • Switching to rival brand is easySteps Undertaken: 1.Sales- increasing Tactics.
2.Change in presentation of the Co's logo, the introduction of ice cream cakes
3. and home delivery.
4) Co-branding efforts with other chains, including Pizza Hut. 5) Reduced ingredient costs.
They firmly believe that the right combination of:Product, Product, Pricing,Pricing,
Marketing, Marketing, and DistributionDistribution
will eventually unleash a great leap upward in consumption, yielding profits that will more than
compensate for these rough years.
Strengths: Strong brand awareness
Never-ending focus on fun combined with our commitment to innovation and a quality customer experience.
5,000 global locations in over 40 countries and are continually opening new franchises.
Baskin-Robbins FranchiseSWOT Analysis
More than 1000 flavors of ice-cream in the library include low fat and no sugar ice-cream.
Provide several services for different age group.
Weaknesses:
Not all branches offer the same products.
Quite expensive initial investment.Some people might find it difficult to open their own Baskin-Robbins ice cream parlor.
Baskin-Robbins Franchise
Opportunities:
The population of India is enormous.
India has 3 seasons-seasonal flavors.
Less foreign brand.
Threats:
The number of increasing competitors.
Switching between products is relatively easy.
Economic condition in India – hence, the buying power for premium ice cream is low.
Baskin-Robbins in Indonesia
7P’s of marketing:-
Brand Power:-Today, is the world's largest chain of
exclusive ice cream stores with over 5,600 retail shops.
India also throws up its unique challenges; but at the same time overall market behavior tends to mirror the larger trends.
Baskin Robbins enjoys great patronage among high end institutional clients
Baskin-Robbins is the pioneer in ice cream marketing. It created a unique positioning for its brand by introducing exotic new flavors.
The brand plans to aggressively penetrate into the smaller towns.
Baskin Robbins
Franchising:-• Set up its operations in India in 1993.
• Its manufacturing plant is in Pune, Maharashtra the only of its kind.
• Baskin-Robbins franchisees benefit from a well-established support system.
• In India, its presence is spread across 58 Cities having more than 200 Ice Cream Parlors.
• They offer attractive Business Opportunities to budding entrepreneurs.
• The Business Model is based on the principle of maximizing profits.
• Baskin Robbins is known for its innovation and excellent flavor.
• It also offers extensive training programs and comprehensive operating systems.
• Baskin N Robbins has proven to be a simple business to run with convenient hours of operation, minimal equipment, little waste and a majority of inventory
Operational Support:-
• A winning franchise team :-Baskin-Robbins' franchising support team includes
development and construction experts, operational support professionals, training gurus, and field marketing managers.
• TechnologyEssential to help franchisees operate more efficiently and cost
effectively. • Financial opportunities Although they do not provide
financing, Baskin-Robbins® has taken significant steps to help find the resources they
need.
Marketing• Great brands are strengthened by great
marketing.• From in-store merchandising to advertising and
online marketing.
Training - “we’ll teach you to make magic”
• Comprehensive training platform is among the industry's best and includes:
Classroom teaching Online courses and mentoring sessions On-going coaching from franchising operations
experts.
•Growth:-• The demand for Baskin-Robbins is
growing—and so are they.
• Baskin Robbins is planning to increase its store count in smaller cities
• Prior to 2000, the average size of its stores was 1,000 sq ft.
• In 2002, the company consciously adopted a strategy to compress its store size.
• Turnover of nearly Rs 60 crore in FY08,• Company is growing at the rate of 35 per cent
a year as compared with the industry average of 12 per cent.
• The ice cream chain spends 8 to 9 per cent of its revenues on advertising each year.
• Their ice creams have often been called expensive by the consumers until its competitors entered the scene like Gelato.
• One of the major challenges in its growth path, is the escalating real estate prices in Indian cities.
BCG MATRIX
QUESTION MARKS:
• Gelato
• Naturals
• Mother Dairy
STARS:
• Amul
• Baskin N Robbins
CASH COWS:
Kwality Walls
DOGS:
• Havmor
• Vadilal
Why Gelato a competitor
Gelato Italiano give us hundreds of delicious flavors of ice-creams
The good news is Gelatos are not sinfully fattening! Unbelievable, but totally true! Whereas Baskin Robbins shakes and ice- creams
contain with a whopping 2,600 calories, 135 grams of fat, and 263 grams of sugar.
Gelatos are denser than normal ice cream, and never completely solidified.
A cup of gelato can be pricey, than other ice creams like Baskin Robbins and Naturals.
The outlets of Baskin n Robbins are more as compared to Gelato Italiano so Baskin Robbins is more easily accessible.
Gelato is a new brand, so there is a lot more curiosity, for people who are bored of Baskin n Robbins.
Gelato Baskin n Robbins
Definition: A type of Italian ice cream, made by stirring frozen milk with other ingredients
A sweet dish made from frozen milk, cram, sugar, fruits, chocolate, and other ingredients
Over view: Gelato is a favorite of ice cream lovers for its great taste and wide variety of flavors
Ice Cream is popular as a dessert on hot days, for dates, entertainment, holidays.
Flavors: Hazelnut, Chocolate, coffee.
Vanilla, Chocolate, Strawberry
Calorific Value: Less than ice cream More than gelato
Baskin-RobbinsMarket Competition Analysis
Total Investment $145,700 - $527,800 $86,800-$397,100
Initial Franchise Fee $30,000 $30,000
Royalty Fee 5.9% 4%
Starts Operating 1945 1961
Starts Franchising 1948 1977
Ranks in Franchise 500® #31 (2005) #335 (2005)
Outlets (2005)
International : 2845
USA : 2279
(2003)
International : 438
USA : 231
Baskin-RobbinsMarket Competition Analysis (contd)
Training Available at headquarters: varies
Two-week initial training class at headquarters
Ongoing Support NewsletterMeetingsToll-free phone lineGrand openingSecurity/safety
proceduresevaluations
Initial on-site training and assistance upon opening a shop planning support
Marketing Strategies of Gelato Italiano:-
As there is an improvement in living standard, the requirement in quality of life also improved.
GELATO produces three products for three different segments; familyfamily, gourmet gourmet and lifestyle.lifestyle.
GELATO's marketing mix; the 4Ps (Product, Promotion, Price and Place) will change in different seasons.
GELATO manager closely monitors sales performance and take actions
REVAMPING:-
Chocolate Sin: Rich and creamy light Milk Chocolate ice cream, (less than130 calories and 4.5 grams of fat in a scoop)
Berry in Chips: Light Raspberry flavored ice cream with bittersweet chocolate chips, (less than 140 calories and 4 grams of fat in a scoop).
Rocky Road- almonds, marsh n mellows mixed together with whipped cream and caramel on top.
Wow factor:-
1)The flavors are distinctive.2) Each flavor is assumed to have more
quality, prestige or exclusiveness 3) Ice cream lovers can also make their
favorite sundaes into lighter treats by using these flavors.
4) Less Sweeter.5) 50 percent less Fat and 20 percent lesser
calories than Baskin n Robbins regular Ice Cream.
MARKET PENETRATION PRICING:-
Baskin N Robbins aims at maximizing their market share.
They plan on setting a reasonable price, assuming the market is price sensitive.
The following conditions favor setting a low price:-
The market is highly price sensitive and a low price stimulates market growth.
Production and distribution costs fall with accumulated production experience.
A low price discourages actual and potential competition.
ANALYZING COMPETITOR’S COSTS, PRICES AND OFFERS:-
• Baskin n Robbins takes competitors' costs, prices and possible price reactions into account.
• It considers the nearest competitor’s price.
• On this basis, the firm will decide whether to it can charge more or less than the competitor
PRICING OBJECTIVE:-
• MAXIMUM CURRENT PROFIT
Plans to set a price that will maximize current profits.
Baskin N Robbins has knowledge of its demand and cost functions which are difficult to estimate in reality
PRODUCT-QUALITY
LEADERSHIP:-• Aims to be product-quality leader in the
market.
• It strives to be “affordable luxuries”-
5 C’s OF MARKETING:-
Consumers
Context
Convenience
Convergence
Community
Marketing Plan:-1) MARKETING STRATEGY: (of the
flavors re-launched) New product-manager should develop a
preliminary strategy plan.
The plan consists of following parts – The first part describes the target market’s size,
structure and behavior. Market share and profit goals sought in the first
few years. The second part outlines the planned price,
distribution strategy and marketing budget for the first year.
The Financial projection:- The 3 flavors will be sold at a retail price of
Rs.110 a box, each. Dealers will be offered one case free for every four
cases bought. Plus cooperative advertising allowances.
Free samples will be distributed door to door. Coupons that entail a price reduction of 10percent to
customers will appear in newspapers.
An advertising budget of Rs.175 million will be split 50:50 between national and local.
Two-thirds of advertisement budget will go on television and one-third into the print media.
During the first year, a substantial amount will be spent on marketing research to monitor market reaction and buying rates.
CHOICE OF A SPECIFIC ATTACK STRATEGY:-
PRICE DISCOUNT:-
Conditions to be fulfilled:-• 1st condition- the flavor and the
service provided are comparable to the competitor.
• 2nd condition- the buyers must be /are price sensitive.
• 3rd condition- the market competitor must refuse to cut its price in spite if its competitor’s attack.
VALUE PRICED PRODUCT AND
SERVICES:-Combining reasonable prices and high quality
to snag the market share from market leaders and competitors.
PRODUCT PROLIFERATION:-
It aims at attacking competitors by launching a larger product variety, thus giving buyers more choices.
IMPROVED SERVICES:-It aims at offering Better services to Customers.
MANUFACTURING COST REDUCTION:-
• It aims at achieving lower manufacturing costs than its competitors through more efficient purchasing, lower labor costs and more modern production equipment.
INTENSIVE ADVERTISING PROMOTION:-
• It plans on increasing expenditures on advertising and promotion since the product and the advertising message is superior.
MARKETING STRATEGIES TO AVOID PRICE RISE
• Shrinking the amount of product instead of raising the price.
• Reducing or removing product features.
Conclusion: -
Burton Baskin and Irvine Robbins shared a dream to create an innovative ice cream store.
1,000 flavors available in its ice cream library.
Today Baskin-Robbins claims to serve more than 150 million customers worldwide.
Baskin-Robbins has long been dedicated to making the experiences of eating ice cream an enjoyable one.
“America’s Favorite Neighborhood Ice Cream Shop" is a philosophy at Baskin-Robbins shared by everyone.
• From the ages of one to ninety-nine, people visit Baskin-Robbins.
• Baskin-Robbins stores are visited by over 300 million happy customers year after year.
• A number that continues to grow as Baskin-Robbins spreads throughout the world.
PROJECT COMPILED BY:PROJECT COMPILED BY:
• Vikita-03Vikita-03
• Mona-11Mona-11
• Bhavna-35Bhavna-35
• Reshma-48Reshma-48
• Lorraine-57Lorraine-57
• Sandhya-60Sandhya-60
Thanks…