Marketing Report of Baskin Robbins


Contents
Current Market Situation 1
Market Description 2
Market Opportunities 2
Application of Marketing Mix 3
Product 3
Price 3
Place 4
Promotion 4
Analysis of Market Research 4
Bibliography 8

Baskin Robbins Marketing Report
Current Market Situation

As a food item, Ice Cream is one of those treats which has never went out of fashion and is still enjoyed globally. Baskin Robbins stands among the ice cream companies that is renowned globally. The journey of Baskin Robbins began in the year 1945 in California through a Snowbird store. This was followed by the opening of a Burton’s store. Years later in 1953, when both the founders Burton Baskin and Irvine Robbins joined the identities of both their stores to form the Baskin Robbins name which flowed through the franchise stores (Baskin Robbins, 2015). Baskin Robbins came to UAE in the year 1979 through the partnership with Galadari Ice Cream Co. The first store in UAE was set up in Satwa. Currently, Baskin Robbins has a leading market share of 21% in UAE with 3 Million scoops sold every year and 40,000 scoops being sold every day.
Baskin Robbins has gained a high podium and maintained it in its 35th year in UAE. Middle East as a whole is a big market for Baskin Robbins and has 650 stores in the region (Galadari Brthers Group, 2013). Basking Robbins provide 4 diverse range of products for UAE which covers many aspects of the dessert food criteria. The first range of products is its ice cream which is available in 30 different flavors which includes basic flavors like vanilla & chocolate to special flavors like chocolate chip cookie dough, mint chocolate chip and Tiramisu. The indulge range of products feature ice cream scoops with garnish and signature sundaes. The celebrate range of products feature custom cakes and chef special cakes and finally the refresh range of products provide four varieties of thick shakes (Baskin Robbins, 2015).
Market Description
UAE has been developing exponentially and currently it has one of the most advanced dairy sectors in the Middle East with many processing plants for ice creams and other locally owned processing and d trading companies which are in the ice cream sector. The companies which are locally established include International Foodstuffs (IFFCO) which produces Mother Dairy Ice Cream, Pure Ice Creams Company and the United Kaipara Dairies (UNIKAI International). The distribution and sales of Ice Cream in UAE happens through Ice Cream parlors and major grocery stores like Carrefour, Spinneys, etc. The global ice cream companies that have their franchise operations going on in UAE include Baskin Robbins, Dairy Queen, Haagen-Dazs, and Cold Stone Creamery (International markets Bureau, 2012). Customers are observed to indulge in impulse purchases of Ice Cream which accounted for 52% of total ice cream purchases and the rest was divided among dessert stores, parlors and grocery stores. The second leading source of sales was take-home ice creams which had a contribution of 18% in the total market share. Looking at the impulse based ice cream purchases, it can be safely said that increasing the number of ice cream parlors in mall areas, recreational parks and schools would be beneficial for Baskin Robbins.
The 40% market sales of the ice cream market relies on the people of age group of 18-34 years. The segment of teenagers and pre-teens account for 35% of the market and the 25% market sector is of the people aged 35 and above which shows a spike in the middle aged group regarding ice cream (International markets Bureau, 2012). The products provided by Baskin Robbins from all ranges are given to people of all ages. A high amount of ice cream is consumed by families and teenagers and the contribution of working individuals is minimal. There is also a growing attraction to frozen yoghurt which is diverting some customers from traditional ice cream products (SIAL Middle East, 2015).

Market Opportunities

The existing market segments can be observed for innovating and creating more marketing opportunities. The consumer segmentation shows that the consumers of Baskin Robbins belong to the age-group 18-34. Trying to know the customer’s demands would let us gain an insight regarding possible marketing opportunities. Analysis of market sample provides an opportunity to the company for introducing a low priced range of ice creams which would make Baskin Robbins accessible and would expand the market segments of Baskin Robbins. There is also a scope for a new product in Baskin Robbins. After secondary research, it has been derived that the reason why many people in the higher age group could not eat ice cream due to diabetes and would another factor is that girls rarely eat ice cream due to sugar content which has an impact on their weight. This is a concrete reason for introducing sugar free ice creams in the UAE market. Also due to the fact that majority of the population is urban in nature and would adhere to healthier options if available.
Application of Marketing Mix
The marketing mix of Baskin Robbins can be created by analyzing the 4Ps of Marketing which are Product, Price, Place and Promotion. Analyzing these aspects will lead to a well-defined marketing mix.
Product

Baskin Robbins provides products like Ice Creams which are available in single scoops, take-home boxes and Sundaes. Baskin Robbins also provides custom cakes and chef specialty cakes and thick shakes. There is a vast range of flavors available in every Baskin Robbins store. The products provided by Baskin Robbins are aesthetically pleasing and has a wide range of utility regarding eating and bulk orders. The downside regarding the products is that it is not durable for a long time. There is a possibility of innovating within flavors and the content of the ice cream to expand the market segment and include more population into the customer base of Baskin Robbins market.
Price

The prices of Baskin Robbins are higher than other ice creams so the company has applied both psychological pricing and promotional pricing techniques. Regarding psychological pricing, the prices are not rounded up and kept close to the next ringgit. The price range between kids, value and double scoop are close so it doesn’t feel like an option is much pricier which makes it reasonable. There are a lot of people who still do not find Baskin Robbins Ice Cream affordable on a regular basis. The company can concentrate on this factor and develop a product which is affordable to a wider audience.
Place

UAE has Baskin Robbins stores in 165 locations in UAE which makes Baskin Robbins Ice cream convenient to approach and accessible. All of these stores are placed possibly near malls and major public areas to boost sales. All of these stores are open every day of the year (Duncan, 2014).

Promotion

Around Ramadan, Baskin Robbins introduced Mini-Treats for people who are attending Iftars during the festival. Baskin Robbins has planned a major promotion event for the year 2020. Baskin Robbins is going to offer free ice cream to people who visit the Baskin Robbins store between 1 and 3 PM (Khaleej Times, 2013).
Analysis of Market Research

Before the analysis it is critical to not that the sample size is 100 and the target of the survey are the people who were having ice cream at an outlet of an Ice Cream parlor of any brand.

The age group of the sample has been denoted through the chart which depicts that the highest amount of people were in the age group 18-35 years. The lowest number of people belonged to the age group of 50 and above and this can be explained by reasoning that old people have health problems like diabetes and dental problems and would avoid eating Ice Cream.

After analyzing the results of the survey it was also found that more than forty people agreed and strongly agreed on the brand conscious factor while 15 were neutral and commented that factors like taste and price matters.

The frequency of people eating Ice Cream denotes that people of UAE often eat ice cream and at least once in a fortnight if taken an average of the data.

Most people tend to purchase at publicly accessible areas where they can have easy access to ice cream in the heat. These factors amount to the consensus that majority of the ice cream purchases are impulse buys and the purchases from the convenience stores are the ones amounting to the purchase of take-home packs.
When asked about the favorite flavor of Ice Cream, majority of the people voted for flavors like chocolate fudge, strawberry sorbet, and caramel chocolate while there were a few people who preferred their own different favorites. This made it impossible to track a huge trend of other than the classic flavors. This makes it clear that the statement “Every flavor may not be liked by everyone, but every flavor will be some one’s favorite”, a true statement.
Regarding the question of how often people had Baskin Robbins Ice Cream, the number of people who eat it every day reduced to zero but the rest of the data showed uniformity regarding the general ice cream eating population.

The satisfaction level of the people who had tried Baskin Robbins was very high and for some, it was a favorite Ice Cream. The people with a low level of satisfaction has complaints regarding prices of the ice cream.
Many people suggested that there was a scope of improvement regarding the inclusion of certain flavors and items other than ice cream. People around certain branches reported that there was a scope of improvement in the service factor.
Many people also agreed to the notion that there should be more flavors and some flavors can be eliminated but as the data regarding those flavors was very volatile a strong opinion regarding this factor could not be determined. The factor of flavors was important for most people in the purchase of ice cream. This was followed by taste, price, location, sugar content and then lastly, quantity.
The knowledge regarding new flavors came mostly through word-of-mouth and by approaching the store and noticing new flavors. For the recommendation of Baskin Robbins, more than 60% people said yes along with the factor that they would like people to try out some unique flavors.
Bibliography
Baskin Robbins. (2015). Flavors. Retrieved from dothetrix.com: http://dothetrix.com/baskin/en/flavors/
Baskin Robbins. (2015). Our History. Retrieved from www.baskinrobbins.com: https://www.baskinrobbins.com/content/baskinrobbins/en/aboutus/history.html
Duncan, G. (2014, 7 12). Baskin-Robbins franchisee Galadari Ice Cream to add 350 stores in region. Retrieved from www.thenational.ae: http://www.thenational.ae/business/industry-insights/retail/baskin-robbins-franchisee-galadari-ice-cream-to-add-350-stores-in-region
Galadari Brthers Group. (2013, 6 26). Baskin-Robbins and Galadari reach growth milestone with the launch of the brand’s 650th store in the Middle East. Retrieved from www.galadarigroup.com: http://www.galadarigroup.com/baskin-robbins-and-galadari-reach-growth-milestone-with-the-launch-of-the-brands-650th-store-in-the-middle-east/
International markets Bureau. (2012). Consumer Trends Ice Cream in the United Arab Emirates. Ottawa: Her Majesty the Queen in Right of Canada.
Khaleej Times. (2013, 11 27). Expo 2020: Baskin-Robbins to give free ice creams. Retrieved from www.khaleejtimes.com: http://www.khaleejtimes.com/kt-article-display-1.asp?xfile=data/nationgeneral/2013/November/nationgeneral_November335.xml&section=nationgeneral
SIAL Middle East. (2015). Ice Cream – United Arab Emirates. Dubai: SIAL Middle East.

Appendix
Survey Questionnaire

1. Have you had Baskin Robbins Ice Cream?
I) Yes
II) No
2. What is your age?
• 1-18 years
• 18-35 years
• 35-50 years
• 50 and above
3. What is your income range?
• Less than 20,000
• 20,000 – 50,000
• 40,000 – 65,000
• More than 65,000
4. Brand conscious when it comes to food products?
• Strongly agreed
• Agree
• Neutral
• Disagree
• Strongly Disagree

5. How often do you eat Ice Cream?

i) Every day
ii) 3-4 times in a week
iii) Once a week
IV) Once a fortnight
V) Once in a month

6. From where do you usually buy Ice Cream?
I) Ice Cream parlor II) Convenience Stores III) Malls IV) Carts

7. What is your favorite flavor of ice cream?
_________________________________________

8. How often do you have Baskin Robbins Ice Cream?
iv) Every day ii) 3-4 times in a week iii) Once a week iv) once a fortnight V) Once in a month
9. How satisfied are you with Baskin Robbins Ice Cream?
• Extremely Satisfied
• Highly satisfied
• Satisfied
• Somewhat satisfied
• Not satisfied
10. Do you think there is a scope of improvement in the products of Baskin Robbins?
• Strongly agree
• Agree
• Neutral
• Disagree
• Strongly Disagree
11. Is the product line of Baskin Robbins adequate? Or should there be more flavors
i) It is adequate ii) ii) I would like some more flavors

12. Which factors do you consider in buying ice cream?
I) quantity II) Price III) Flavor IV) Taste V) Sugar content VI) Shop location

13. How do you get to know about a new flavor of Ice Cream?
I) Television II) Word of Mouth III) Newspaper IV) Supermarkets

14. How satisfied are you with the Baskin Robbins service?
• Extremely Satisfied
• Highly satisfied
• Satisfied
• Somewhat satisfied
• Not satisfied
15. Would you recommend Baskin Robbins to your friends?
I) Yes II) No

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Posted on

March 7, 2018

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