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Hypothesis:
The law of demand holds true in the case of ice-cream industry i.e. the
demand of ice-cream is inversely related to the price of ice-cream, ceteris
paribus.
SECONDARY DATA:
AMUL:
Amul enjoys a whopping 37% market share. During summer on an average sales
increase by 30 to 35% and the offers such as combo packs and 1+1 free etc.
increase during summers. Amul recently launched a range of sugar free ice creams
targeting the health conscious category of consumers who are unable to indulge in
delightful ice creams. The sales turnover for the year 2007-08 was Rs. 52554
million (1325 USD).
MOTHER DAITY:
Mother Dairy ice creams launched in the year 1995 have shown continuous growth
over the years and today has approximately 62% market share in Delhi and NCR.
Recently they have introduced new flavors like O’blast, an orange based ice cream
dessert and the Toffee Twist. It has a range of ice creams particularly targeting
children, like the Lic Lolleez, Cool buddies.
KWALITY WALLS:
Kwality Wall’s was launched in 1995 as Hindustan Unilever Ltd‘s master brand for
ice creams and Unilever claims to be the world's biggest ice cream manufacturer.
Recently they introduced a new product, Moo; calcium enriched ice cream with the
intention of luring kids and their mothers with its nutritional offerings. Some of
the most popular brands are Cornetto, Feast, and Paddle Pop. During summers on an
average, sales increase by 20 to 25%.
Data for study has been collected from Baskin and Robbins (ice-cream
parlor), Dehradun.
Data obtained for the study are
Baskin-Robbins is a global chain of ice cream parlors founded by Burt Baskin and
Irv Robbins in 1953, from the merging of their respective ice cream parlors, in
Glendale, California. Headquartered in Canton, Mass., Baskin-Robbins is part of
the Dunkin’ Brands Inc. family of companies. It claims to be the world's largest
ice cream franchise, with more than 5,800 locations, 2,800 of which are located in
the United States. Baskin-Robbins sells ice cream in 34 countries, including
Canada, Japan, Mexico, Bahrain, the United Kingdom, the United Arab Emirates,
Egypt, Saudi Arabia, Australia, the Philippines, Thailand, Vietnam, Indonesia,
Malaysia, China, Bangladesh, South Korea, India, Pakistan, Panama, Taiwan and the
United Arab Emirates.
The Baskin Robbins story in India began in 1993, when the first store opened in
Mumbai. Today it is spread across the country with more than 300 outlets in 61
cities. Baskin Robbins also caters to other premium channels like star hotels,
leading airlines, malls, multiplexes and top retail chains across India. Baskin
Robbins is one of the diverse businesses of the Graviss Foods Pvt. Ltd. It has an
exclusive franchise for the SAARC region. Our brand analysis is subjected to
strategies of Baskin Robbins in India only. But the brand has a global presence
where it maintains a similar brand strategy, yet with some small differences.
Supply In Dehradun:
PRIMARY DATA:
Demand Schedules for the flavors Mango, Vanilla, Chocolate, Praline Cashew, and
Litchi Gold Swirl; for the months October-November 2008 and May- June 2009 are
considered.
October
2008
1st Week
Day 1 Ice-Cream Mango 45 55
Day 1 Vanilla 40 58
Day 1 Chocolate 50 67
Day 1 Praline Cashew 60 38
Day 1 Litchi Gold Swirl 55 33
October
2008
3rd Week
Day 1 Ice-Cream Mango 45 55
Day 1 Vanilla 40 58
Day 1 Chocolate 50 67
Day 1 Praline Cashew 60 38
Day 1 Litchi Gold Swirl 55 33
October
2008
4th Week
Day 1 Ice-Cream Mango 45 55
Day 1 Vanilla 40 58
Day 1 Chocolate 50 67
Day 1 Praline Cashew 60 38
Day 1 Litchi Gold Swirl 55 33
November
2008
1st Week
Day 1 Ice-Cream Mango 45 53
Day 1 Vanilla 40 60
Day 1 Chocolate 50 68
Day 1 Praline Cashew 60 36
Day 1 Litchi Gold Swirl 55 35
Time Frame Product Flavors Price (Single Scoop) Weekly Demand
November
2008
2nd Week
Day 1 Ice-Cream Mango 45 53
Day 1 Vanilla 40 60
Day 1 Chocolate 50 68
Day 1 Praline Cashew 60 36
Day 1 Litchi Gold Swirl 55 35
November
2008
3rd Week
Day 1 Ice-Cream Mango 45 53
Day 1 Vanilla 40 60
Day 1 Chocolate 50 68
Day 1 Praline Cashew 60 36
Day 1 Litchi Gold Swirl 55 35
November
2008
4th Week
Day 1 Ice-Cream Mango 45 53
Day 1 Vanilla 40 60
Day 1 Chocolate 50 68
Day 1 Praline Cashew 60 36
Day 1 Litchi Gold Swirl 55 35
May
2009
1st Week
Day 1 Ice-Cream Mango 40 64
Day 1 Vanilla 36 62
Day 1 Chocolate 46 80
Day 1 Praline Cashew 53 45
Day 1 Litchi Gold Swirl 51 47
May
2009
2nd Week
Day 1 Ice-Cream Mango 40 64
Day 1 Vanilla 36 62
Day 1 Chocolate 46 80
Day 1 Praline Cashew 53 45
Day 1 Litchi Gold Swirl 51 47
May
2009
3rd Week
Day 1 Ice-Cream Mango 40 66
Day 1 Vanilla 36 63
Day 1 Chocolate 46 83
Day 1 Praline Cashew 53 49
Day 1 Litchi Gold Swirl 51 49
May
2009
4th Week
Day 1 Ice-Cream Mango 40 66
Day 1 Vanilla 36 63
Day 1 Chocolate 46 83
Day 1 Praline Cashew 53 49
Day 1 Litchi Gold Swirl 51 49
June
2009
2nd Week
Day 1 Ice-Cream Mango 40 65
Day 1 Vanilla 36 66
Day 1 Chocolate 46 80
Day 1 Praline Cashew 53 52
Day 1 Litchi Gold Swirl 51 47
June
2009
3rd Week
Day 1 Ice-Cream Mango 40 61
Day 1 Vanilla 36 67
Day 1 Chocolate 46 80
Day 1 Praline Cashew 53 56
Day 1 Litchi Gold Swirl 51 48
June
2009
4th Week
Day 1 Ice-Cream Mango 40 61
Day 1 Vanilla 36 67
Day 1 Chocolate 46 80
Day 1 Praline Cashew 53 56
Day 1 Litchi Gold Swirl 51 48
DATA ANALYSIS:
Elasticity of demand for Litchi Gold = (14/34) / (4/55) = 0.411 / 0.0727 = 5.65
We can conclude from the above findings that generally demand for ice- cream is
elastic in nature i.e. a percentage change in quantity demanded is greater than
the percentage change in price.
SUMMARY OF FINDINGS:
• Price remains constant for all the flavors in one particular season.
• Demand for different flavors is more in summers than in winters.
• Elasticity for mango, Vanilla, Chocolate and Litchi Gold is elastic whereas
for praline Cashew it is inelastic.
BIBILOGRAPHY:
• www.baskinrobbins.com
• www.economics.about.com
• https://support.sas.com
ANNEXURE:
Questionnaire
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Sex: a) M b) F
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