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Final Project

By: Brittany Beatty, Dillon Breslin, Liu Lu, Kelsey Kucik, & Simona Giulio

Wednesday, December 14, 2011


Need for Ice Cream? Ice Cream is a food category worth $74 billon annually worldwide in 2011 (which is equivalent to the gaming industry)

Work Cited Kaplan, David. CNN. Fortune Magazine. 16 May 2011 http:// management.fortune.cnn.com/2011/05/16/general-mills-global-sweet-spot/ Wednesday, December 14, 2011


Research Proposal •

Marketing Objectives were to focus on frozen yogurt lovers who also have a liking in tea. Through this we wanted to raise brand awareness through staying on trend while boosting sales and appealing to a younger demographic.

Research Objectives through an extension of a new flavor and reinventing packaging.

Research Hypothesis Häagen-Dazs would increase their sales by bringing in two new flavors, reinventing packaging, while going after new target market.

Research Methodology (mixed) overview: Ethnography, Netnography, Qualitative (including Projective Techniques), Quantitative, trend and brand research.

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General Background • • • • • •

Tagline: Anticipated like no other -- Häagen-Dazs."

• •

Häagen-Dazs has grown at an annualized rate of 21%

Owned by General Mills (GIS) since 2001 General Mills is the fourth largest player in the Global ice cream industry 45% is sold in United States Last quarter alone earnings rose 18% primarily because of sales abroad Sales in 81 countries up 11% for the 2011 fiscal year (double the growth rate for all General Mills International Brand)

80% of Häagen-Dazs revenue in China comes from shops - America opposite, Grocery Work Cited Kaplan, David. CNN. Fortune Magazine. 16 May 2011 http:// management.fortune.cnn.com/2011/05/16/general-mills-global-sweet-spot/

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Integrated Marketing Campaign: •

NEW Flavor all proceeds went to honey bee research foundation

125 Million PR Impressions

Revenue up by 4%

2009 PRWeek Award

Titanium Silver Lion Cannes 2009

2009 silver SABRE (Superior Achievement in Branding and Reputation) Award

Work Cited

Kaye, Katie. Citing Website. Haagen-Dazs Re-Ups Social Cause Campaign for Honey Bees, Again. December 30, 2009, from http://www.clickz.com/clickz/news/1710115/haagen-dazs-re-ups-social-cause-campaign-honey-bees-again Wednesday, December 14, 2011


Integrated Marketing Campaign: Five Only 5 natural ingredients Kelly Awards for outstanding magazine advertising

Work Cited “Häagen-Dazs Company Inc.” Business and Company Resource Center. Gale, 2008. Web. 3 September 2007. Wednesday, December 14, 2011


Brand IMC Insights & Category Trends Personalization Health Conscious Tea Flavors Frozen Yogurt Shops Different Kinds of Yogurt (Greek, French, American)

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SWOT Strength: Häagen-Dazs has presence in 54 countries throughout the globe. It is seen as the super-premium brand of ice cream due to it’s manufacturing process, involving less air in order to create a denser product. Häagen-Daz also tries to position itself in high traffic areas, in order to make advertising effects similar and more effective. The luxury brand is infamous for their limited time flavors and fans are always the first to buy it out of shelves. Most of their flavors are produced with a chocolate base but they also have numerous vanilla based products which help to broaden their audience that may have an allergy to either. Their branding and legendary product has produced a stir around the product and is known by all. Weakness: The pricing for Häagen-Daz has remained an issue because of heightened demands to make it more affordable for consumers. However while creating the luxury brand, it comes at a cost. Not to mention the quality ingredients used to create the product, aren’t cheap. Another weakness in the brand is that their advertising isn’t as present as other companies, which could be seen as an outlet that is being passed over.

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SWOT continued Opportunities: H채agen-Daz has a lot of room for growth within the brand. For example their take on single serve and also keeping with the frozen yogurt trend keeps them on the scene and still makes them a viable competitor. New lines can be created to boost customer satisfaction and increase sales. They can also partner with a coffee company in a form of a brand extension, seeing as their coffee flavor is a crowd favorite and one of the top sellers. There are many ways this company can get a face-lift. Even though it has aged gracefully, a bath in the fountain of youth never hurt. Threats: A major threat for H채agen-Daz would have to be the in-store rise in customer interest. A great deal of self-serve either ice cream or frozen yogurt shops have began to line up around big and small cities, grabbing the attention and the dollars away from independent, distributed products like H채agen-Daz. Now even though H채agen-Daz has some small stores with the product, it rarely is seen as an actual market presence. The idea of the overall experience when going to these shops is something that the company can not provide, but if we can give the customer an even better experience to top, we will be able to bring the consumer back to our side of the spectrum.

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Work Cited "Favorite Ice Cream/Frozen Yogurt Chains, 2001." Restaurants & Institutions, Choice in Chains (annual), http://www.rimag.com, 1 March 2002. Business Rankings Annual 2003. Gale Group, 2003. Wednesday, December 14, 2011


Competitors Three Main Competitors Kemps Dreyer’s/Edy’s Ben & Jerry’s

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Competitor: Ben & Jerry’s Integrated Marketing Campaign

Ben & Jerry’s is currently campaigning FairTrade Vanilla which allows farmers in developing countries to make a Fair Trade for their product at a fair cost. Therefore, bringing an income to the community & bettering impacting it in a positive manner.

Ben & Jerry’s Foundation awards 1.8 million annually which get distributed throughout the country. The Foundation offers five different grants programs; The National Grassroots Grant Program, The National Movement Building Grant Program, The Vermont Capacity Action Team Grant Program, The Employee Gift Program.

Recently, Ben & Jerry’s facebook has been updating status notifying customers that if they can not get their hands on Schweddy Balls they could order online. Schweddy Balls is in high demand because its the flavor of the year, the flavor will no longer be available come 2012.

Occupy wall street with non-violent support. Important issues for Ben & Jerry’s; • The inequity that exists between classes in our country is simply immoral. •

We are in an unemployment crisis. Almost 14 million people are unemployed. Nearly 20% of African American men are unemployed. Over 25% of our nation’s youth are unemployed.

Many workers who have jobs have to work 2 or 3 of them just to scrape by.

Higher education is almost impossible to obtain without going deeply in debt.

Corporations are permitted to spend unlimited resources to influence elections while stockpiling a trillion dollars rather than hiring people.

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Cleaner Greener Freezer, does not contribute to global warming. Used as a new packing freezer for retail stores and protecting environment.

Ben & Jerry’s hosts a Free cone day once a year in the month of April. Stop by any Ben & Jerry’s retail store and receive a free cone.

Ben & Jerry’s ensures that the ingredients they purchase oversea will be a fair trade. Vanilla, Cocoa and Coffee are ingredients that are fair trade certified.

Source: Ben&Jerry.com


Competitor: Ben & Jerry’s Frozen Yogurt Target Householder Income-Total Consumption Index 200

Race-Total Consumption Index

150

120

100

90 50

60

0

30

Under $10,000 $30,000 - $39,999 $75,000 - $99,999

0 White (Non-Hispanic) Hispanic

Black (Non-Hispanic) Other (Non-Hispanic)

$10,000 - $19,999 $40,000 - $49,999 $100,000 or More

Spectra indicates that, Ben & Jerry’s highest demographic in regards to Race is, Other (Non-Hispanic) followed by a close tie between White (Non-Hispanic) & Black (NonHispanic).

Householder Age-Total Consumption Index

Demographic Skews Cosmopolitan Urban Mix

140 105 70 35 0

Spectra indicates that, Ben & Jerry’s highest Household Age is between the ages of 45-54.

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$20,000 - $29,999 $50,000 - $74,999

Indicated in Spectra, Householder IncomeTotal Consumption is over $100,000+.

Age 18 - 24 Age 45 - 54

Age 25 - 34 Age 55 - 64

Age 35 - 44 Age 65 or More

Demographic Skew in Spectra indicated results by TotalConsumption & Index. However, there are some demographics that have a high Index number but a low TotalConsumption percentage. For example; Cosmopolitan Urban Mix, Prosperous Suburbs, Suburban Aristocrats, Urban High Society, Cosmopolitan Suburbs and Midscale Suburban Mix.

Total Consum ption

Index

9%

182

Income $100,000 +

35%

172

Prosperous Suburbs

7%

161

Suburban Aristocrats

6%

159

46%

152

5%

144

29%

134

Cosmopolitan Suburbs

7%

134

Midscale Suburban Mix

5%

130

31%

118

College Graduate Urban High Society Age 45-54

1 person households

Source: Spectra


Competitor: Ben & Jerry’s

Channel Summary Grocery All Other

Total Volume % per 100 Volume HHs 85% 2.07 15% 0.35

Ben & Jerry’s main distribution is through grocery outlets with 85%. Meaning they sell most of its products through grocery stores rather than an actual Ben & Jerry’s retail store which all other is only 15%.

Product Diagnostics

Out of the Total Consumption Ben & Jerry’s Penetration rate is 0.84%. The Penetration rate is high but there is always room for improvement.

Measures

Brand

Category

2.42

87.12

Penetration

0.84%

8.89%

Buying Rate

2.90

9.80

Total Consumption

Source: Spectra

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Competitor: Ben & Jerry’s Websites Cable Services Magazines

TV Show Types Day-time talk Late-night talk Featured Films Primetime

Radio Weekday 7:00 pm - Midnight Weekend 10:00 am - 3:00 pm Source: MRI+

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What is Edy’s/Dreyer’s? •

Dreyer's Grand Ice Cream manufactures premium ice creams and other frozen dairy desserts.

Products are marketed to food retailers and foodservice operators under the Dreyer's brand in the western US and Texas, and under the Edy's name across the rest of the country.

Internationally, Dreyer's is distributed in parts of the Far East, and the Edy's brand, the Caribbean and South America -- all told some 25 overseas markets. 

Dreyer's distributes Nestlé's Häagen-Dazs brand ice cream and frozen dairy novelties, too, along with operating the Häagen-Dazs Shoppe Company, which franchises ice cream parlors worldwide. Dreyer's is a division of the Swiss food giant Nestlé.

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Integrated Marketing Campaign Edy’s/ Breyer’s •

Events:

1 Edy’s New Yogurt Party; 2 Wal-Mart Ice cream Social in which offers free Sample of Edy’s ice cream 3 “FarmVille Dreyer’s/Edy’s Fruit Bars Crop Now Available to Plant” 4 Nestle launches a Mobile Marketing Campaign for Edy’s and Dreyer’s People are talking about Edy’s on Facebook:We like pumpkin pie, apple

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Who is more likely to buy Edy’s/Dreyer’s

Districts: A f fl u e n t S u b u r b a n S p r e a d s a n d Comfortable Country are the two major consumers districts, which occupied 25% and 21% of the consumption of Dreyers/ Edy’s frozen Yogurt.

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Who is more likely to buy Edy’s/Dreyer’s

Age Group: Age 65 and above group is the largest group, with 27% consumption; Age between 55 and 64 is the second large group with 26% consumption.


Who is more likely to buy Edy’s/Dreyer’s

Family size: two-person households is more likely to buy Dreyer’s/Edy’s Frozen Yogurt, with 45% consumption.

Who is more likely to buy Edy’s/Dreyer’s Income: Income above $100,000 group is more likely to buy Dreyer’s/Edy’s Frozen Yogurt, with 29% consumption. Race: White (non Hispanic) and Other groups (Non Black and Hispanic) are the two major groups. Wednesday, December 14, 2011


Netnography Ethnography

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Ethnography of Bubble Tea Locations: Bubble tea stores in Chinatown in different times Time: 9:00 AM to 10:00AM; 6:00 PM to 6:30 PM Buying environment: 1. Alone: A cup of tea, usually with cake or bread 2. With friends: talking all the way, eating and shopping along the street Popular Flavor: Raspberry Bubble Tea; Peach Bubble Tea; Red Tea Bubble Tea; Green Tea Bubble tea

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Ethnography In-store Findings: Jewel 1224 S Wabash Ave, Chicago, IL 60605 October 20, 8:00PM Thursday

Brand Interactions: *Ice Cream aisle is scanned quickly, but no grab & goes *First noticed flavor, price scan of competitors price in same flavor *Probably browsed for less than a minute Artifacts: NO ONE picked up Frozen Yogurt *Mainly single females (mid40’s+) in Ice Cream isle *Has purse, no list, and did not see phone out *Other groceries: produce, bread, meat, chips, soda, etc. Outcropping: *Window shop first (COLD aisle) *Took time searching the different rows of flavor, brands, and prices

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In-home visit Findings: 21 Year Old College Student Female Usage: *1/2 fat & really prefers because of taste *Once a month (not frequent) Behavior: *Works out regularly *Athletic shoes *Prefers to walk than ride train or bus Priorities: *GOOD taste, flavors, choices *More importantly good for you *Healthiest choice in category


Ethnography of Trends Location: Starbucks Brand Interaction: Fast pace, always moving, customers know what to order Artifacts: Wallets, purse, phone, briefcase, backpack Key Findings: The consumer knew exactly what they were ordering, had no patience while waiting for it and our not very conscious of cost. Location: Argo Tea Brand Interactions: Slower pace, more mindful of decision, generally relaxed Artifacts: Laptop, book, iPod, newspaper, hardly any visible cell phones Key Findings: The consumer took their time with their decision, with no visible time crunch. Also most customers stayed to enjoy their beverage.

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Ethnography Yogen-Fruz on 333 South State Street Tuesday October 11, 2011 from 1-2pm 40

39 Females 16 Males

30

_ All customers chose a topping _ No one ordered coffee product from menu _ Majority of customers where students _ Majority of students had backpacks _ Customers left after purchase

20

_ 15 spoke on cell phone hung up once ordering

10 0

Information Gathered

_ Constantly 2 customers in line Female

Male

Customers 50 37.5

_ Majority wearing gym or causal clothing _ 1-3 minutes for customers to make decisions

42 Students 13 Working Professionals

Customers Who Dine-In Customers Who Carry-Out

25 93%

12.5 0 Wednesday, December 14, 2011

Students Working Professionals

7%


Netnography of Edy’s/Dreyer’s Social Media: 1.No twitter account 2.Facebook Page: 2824 people “liked” this, 50 people is talking about this

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Netnography Exploration of Häagen-Dazs Overall Average minutes per mention

Sentiment

Strength

Last mention (per minutes)

6 5

Unique authors

12% Passion 29% Reach   44%

positive 201 neutral   457 negative   13

389 Retweets 29

Overall, the buzz created is neutral according to Social Mention, TF’s buzz as well as Addict-o-matic were both mainly positive.

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Netnography Exploration of Häagen-Dazs

Solja_TGG: Munching #Häagen-Dazs ice-cream :D micosphere: I should be running 21k today in KOTR, instead I am wolfing down cups of vanilla Haagen Dazs. Uh oh. DJFinylFaze: I scream, you scream, we all scream for Haagen-Dazs !!! lindsay_thom: Public Service Announcement: $3.88 HAAGEN DAZS @ METRO

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Wordpress.com (OCTOBER 20)

• Free ice cream anyone? Book a session at the Häagen-Dazs Boudoir • Kuwait's Haagen-Dazs is not Haagen-Dazs! • Marketing smart of the day: Häagen-Dazs Five • GUILTY PLEASURE: Haagen-Dazs Five • Mmmmm! FREE Haagen Dazs Ice Cream Treat.


Netnography Exploration of Frozen Yogurt Trend

Frozen yogurt has a positive presence through the social media and internet world. Addictomatic.com Wednesday, December 14, 2011


Netnography

Soicalmention also shows that Ben & Jerry’s is desired on twitter. Some fans “Health bar crunch is a weakness”, others desire to “chug”, some “love” the chocolate fudge ice cream. Ben & Jerry’s is a Neutral Sentiment here on Socialmention.

Source:Social Mention

Wednesday, December 14, 2011

Ben & Jerry’s online commentary is 14 minutes per average mention.


Net

Ben & Jerry’s facebook presence is amazing. Daily updates on products and information about what the company is doing as a whole. Also promotes campaigns like ‘Fair Trade’ and other events that are going on. Status updates gives customers information and direct link on where to gather more information or get involved. The facebook site engages the its fans to communicate with Ben & Jerry’s.

Source: facebook Wednesday, December 14, 2011

The comments are amazing one post generated 335 likes, 1,283 comments and 97 shares in 6 hours.


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Demographic Summary The highest demographics include: White Women Education Graduated high school Age 35-44 Household Income $75,000-$149,999 Marital Status Now Married

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Spectra Product Diagnostics Measures Brand Category

Channel Summary % Volume Total Volume per 100 HHs Grocery 83% 1.20 All Other 17% 0.24

Total Consumption 1.44 87.12 Penetration 0.59% 8.89% Buying Rate

• • • •

Primary Sold in Grocery stores Low percent of consumption in overall brand category Less than 0.6% of US Households have tried in last year Average US Household buys 2.5 pints a year

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2.46 9.80


MRI Reports Websites/Social Media Index Yahoo Mail & Facebook

Radio Index Weekday 6:00 am - 10:00 am

TV Index Fox, A&E Television Network, & CNN

Magazine Index General Editorial

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Sky Lounge for Focus Group

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Qualitative Research Focus Group

Objectives: Discuss with consumers the appeal of a new flavor and new packaging. Screener: All members had to have a palette for frozen yogurt and tea.

Discussion Guide

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Qualitative Research continued Discussion Guide continued

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Qualitative Research continued Discussion Guide continued

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Projective Techniques

Match each celebrity to a brand A. Ben & Jerry’s B. Haagen-Dazs C. Kemps

Key Findings (Results) Zooey Deschanel - Ben & Jerry’s , Kemps Reese Witherspoon - Kemps , Haagen-Dazs Jennifer Aniston - Haagen-Dazs Ben Affleck - Kemps Matthew McConaughey -Ben & Jerry’s Owen Wilson - Ben & Jerry’s

Each brand is categorized into different views like: Ben & Jerry’s fun, Haagen-Dazs premier and Kemps mediocre. Based on the results of this activity, the actors were paired based on their ideas of that the brand stand for. Zooey, Matthew and Owen are portrayed as comical and fun like Ben & Jerry’s. Jennifer and Reese are the only ones seen as Haagen-Dazs like they are upscale actors. Ben was the only one who was paired with Kemps seen as mediocre since Ben has recently left the media seen. Wednesday, December 14, 2011


Projective Techniques Continued.... When you drink tea what do you think....... Key Finding (Results) ... I need a break ... Meeting friends for tea ... Relaxing ... My throat hurts ... I’m relaxing and want to distress ...I don’t really like tea... more sugar ... Relaxing

Based on the data collected, the results indicate that a majority of tea is consumed when someone wants to distress and relax. Therefore, a tea flavored frozen yogurt might instigate people to distress by consuming frozen yogurt instead of actual tea.

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Projective Techniques Continued.... Answer the questions with the first thoughts that come to mind. If Haagen-Dazs was a car, it would be _________ -Small & European -Volkswagen -Toyota Sadan -White -Benz -Volkswagen

If Haagen-Bazs was a home, it would be _________ -Small & cozy -Cottage -On story family size home -Mansion -In the snow -A country home

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If Haagen-Dazs had a job, it would be __________ -Working at an ice cream place -Milk man -Yogurt store employee -Lawyer - Works internationally -A farm

If Haagen-Dazs was a holiday, it would be _________ -Like Christmas -Christmas -July 4 -Christmas -In the summer -Apple picking


Key Findings of Focus Group Participants felt the Chai Latte frozen yogurt was a better flavor than the Green tea. They also stated that they would definitely purchase the new packaging and seemed excited about the toppings option.

Interesting quotes from the recording:

“I think at least the flavor is not competing with the specifically the aroma of the chai “I disagree a little bit, I like the contrast, tea because it’s really really powerful, and because the frozen yogurt is kind of subtl it complements the sweetness” and now the green tea is subtle so im Regarding flavor of frozen yogurt and chai trying to figure out which one has, I don’t combination. know, neither one of them are powerful, I don’t know, I generally like more of a “Frozen yogurt is just better with contrast” stuff in it” Regarding flavor of green tea and frozen Regarding the new packaging with added yogurt combination. toppings.

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Quantitative Key Findings From our questionnaire, we learned some valuable information. There is positive, neutral and negative information that we gathered through the response data. Please note: Not everyone answered every question. So % are based off the answer count. Positive Findings: • 108 participants completed our survey • 85.3% of participants were under the age of 21 but age 25 maximum • 83.5% of participants liked tea • 79.8% of participants liked frozen yogurt • 30.8% of participants said frozen yogurt sounded most appealing • 91.2% of participants liked Green and Chai Tea over red tea. • 96.1% of participants liked toppings on their yogurt • 93.6% of participants buy frozen yogurt at least one time a year • 39.1% of participants selected Häagen-Dazs as their brand of choice Neutral Findings: • Since 85.3% of participants were younger than 21 and maximum age 25, the survey answers mainly reflect the younger generation • 16.5% of participants did not like tea however they were then screened out • 39.1% of participants selected Häagen-Dazs as their brand of choice, the 2nd highest total Negative Findings: • 67.9% of participants were female • 50% of participants selected that they rarely purchase frozen yogurt • 48.7% of participants said they would likely spend a maximum of $3.99 on frozen yogurt • 46.9% of participants selected Ben & Jerry’s as their favorite brand of frozen yogurt • Many participants were reluctant to answer all the questions, which reflects in the data Cross-Tabulation Note: Out of the 78 participants that answered question 11, 41% of them said they would drink their tea out of a tumbler. Wednesday, December 14, 2011


Project Summary & Results

Overall Learning

As far as our original objective we’ve found it to be successful, a younger demographic was interested in the brand.

As far as our original hypothesis we’ve found it to also be successful. Consumers are excited and interested in the new flavor line and new packing however the tapioca did not go over well.

Research Limitations: could not actually make product or new packaging for test market.

Possible Marketing Implications: through all of our research we feel like the new packaging stood out stronger than the new flavor in consumers needs. • 96.1% of participants from survey liked toppings on their yogurt

Recommended Next Steps: manufacture new packaging to incorporate granola toppings on already made flavors.

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Works Cited "Favorite Ice Cream/Frozen Yogurt Chains, 2001." Restaurants & Institutions, Choice in Chains (annual), http://www.rimag.com, 1 March 2002. Business Rankings Annual 2003. Gale Group, 2003. “Häagen-Dazs Company Inc.” Business and Company Resource Center. Gale, 2008. Web. 3 September 2007. Kaplan, David. CNN. Fortune Magazine. 16 May 2011 http:// management.fortune.cnn.com/2011/05/16/general-mills-global-sweet-spot/ Kaye, Katie. Citing Website. Haagen-Dazs Re-Ups Social Cause Campaign for Honey Bees, Again. December 30, 2009, from http://www.clickz.com/clickz/news/1710115/haagen-dazs-re-ups-social-cause- campaign-honeybees-again

Photographs and some charts sourced from www.specialtyfood.com and International Dairy Foods Association www.idfa.org “Ice Cream Sales and Trends.” Data and Charts sourced from www.mirplus.com, www.spectra.com, and www.surveymonkey.com Competitor Data sourced from www.ben&jerrys.com, www.kemps.com, www.dreyers.com, and www.edys.com

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SURVEY MONKEY RESULTS

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Brand Words • Kemps: Most have never heard of it • Häagen-Daz: Rich, classic, expensive,

smooth, classy, elegant, and traditional

• Edy’s/Dreyer’s: Slow churned, 1/2 the fat, large amount of choices

• Ben & Jerry’s: Pricey, fun, yummy, odd flavors, hip, and clever

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