Skip navigation

BUILDING ON ICE CREAM

WASHINGTON -- Ice cream and novelties can be used to build department and total store traffic, according to a report by the International Ice Cream Association here.The two categories also can increase the amount spent by each shopper, states the study, "Category Review for Ice Cream and Frozen Novelties," prepared by ACNielsen, Chicago, for the IICA's Ice Cream Market Research project.As a result,

WASHINGTON -- Ice cream and novelties can be used to build department and total store traffic, according to a report by the International Ice Cream Association here.

The two categories also can increase the amount spent by each shopper, states the study, "Category Review for Ice Cream and Frozen Novelties," prepared by ACNielsen, Chicago, for the IICA's Ice Cream Market Research project.

As a result, retailers should place more emphasis on space and merchandising by giving the assortment the appropriate amount of doors and running frequent features.

According to the study, 93% of households buy ice cream and novelties in the supermarket. Since nearly every shopper is a potential customer, ice cream/novelty promotions offer an effective way to attract incremental shoppers to the freezer case and the entire store, the study states.

Ice cream novelties generate about 25% of frozens department profits and contribute significantly to total dollar sales, according to the study. Shoppers who buy ice cream and novelties increase their shopping basket value by 70%. The average shopper spends about $21.54 per shopping trip, compared with $36.56 when ice cream and novelties are included.

Overall, each shopper spends about $42.23 per year on ice cream and novelties, the second highest amount in the frozens department, after dinners/entrees, on which consumers spend $62.01. Also, more affluent shoppers purchase the category.

But not all retailers are carrying the right assortment. Of the nation's retailers, King Soopers, Denver, has the largest percentage of ice cream novelty shoppers purchasing the category, while Albertson's has the smallest amount. According to data, 78% of King Soopers' ice cream and novelty shoppers actually purchase the category, compared with 52% of Albertson's, according to a study.

One of the reasons for this is that Albertson's was underdeveloped in the ice cream category relative to its size in the marketplace, according to the study. The report suggested Albertson's stock more healthy products. According to the report, the top-selling healthy ice cream products in the market are five private-label 64-ounce products: low-fat butter pecan, low-fat Neapolitan, low-fat fudge royal, fat-free pecan and low-fat chocolate.