Ben & Jerry’s: Eco-Green Marketing

Mktg 600 Dr. Carter

Sarayut Trakulroong (JUI)Cheng-Hsien Tsai (Vincent)

Silver AriasNeeraj Rama

Zachary Blackhurst

A little history…• 1978: Ben & Jerry open their first homemade ice cream shop• 1983: Contribute ice cream used in the “world largest ice cream

sundae” 27,102lbs!!!• 1985: Ben & Jerry foundation is established• 1988: Receive Corp. giving Award from Council on Economic

Priorities / establish 1% for peace non-profit• 1991: Ben & Jerry’s Circus bus hits the streets• 1994: Search for a new CEO• 1998: Un-bleached “Eco-pint” released• 2000: Acquired by Unilever

Ben & Jerry’s: Eco-Green Marketing

Mktg 600 Dr. CarterSarayut Trakulroong (JUI)

Cheng-Hsien Tsai (Vincent)Silver Arias

Neeraj RamaZachary Blackhurst

Ben & Jerry’s eco/green value

• CERES Principles

• Green Team

• Eco/ green Ben & Jerry’s scoop shops

• Values-Led Sourcing

Values-Led Sourcing

Criteria for Ben & Jerry’s suppliers

• Environmental commitments

• Social vision

• Third party certifications

Eco/green advantage

• Good for environment

• Create a better reputation

• Build loyalty relationship with customers

Relationship marketing

Relationship marketing concept will fit with Ben & Jerry

• Long-term focus• Quality of interactions• Importance of internal marketing to marketing

plan success

All Ice Cream Eaters

All Ice Cream Eaters

Segment 2

Segment 2

Segment 3Segment 3

Segment 1Segment 1

Target = LOHAS

Ben and Jerry’s Market Segmentation: Broad to Narrow

* Segment 1 – Education

* Segment 2 – Loyalty Status

* Segment 3 – Life Style

Target Market – LOHAS consumersLifestyles of Health and Sustainability

• Based on the new segmentation, the LOHAS consumer comprises 16 percent of all U.S. adults in 2006 (nearly 35 million people)

• LOHAS consumers are interested in products covering a range of market sectors and sub-sectors, including:

• Green building supplies, – socially responsible investing and "green stocks", – alternative healthcare, – organic clothing and food, – personal development media, – yoga and other fitness products, – eco-tourism and more.

LOHAS Characteristics

• Show tremendous leadership in their attitudes towards the environment, society and socially responsible businesses

• Less price sensitive • More brand loyalty • Have influence over friends and family • More educated• More Socially Conscious

Assessing the LOHAS Segment Attractiveness

Scoring Key: 5 = Highly Attractive, 4 = moderately attractive, 3 = Average, 2 = Moderately Unattractive, 1 = Highly Unattractive Score for Segment Growth

Score for Competitiv

e Superiority

Score for fit with

Resources, core

competencies

Score for Economic,

Technological Factors

Score for Environmenta

l Threats

Overall Score

Segment 1

4 4 3 3 3 17

Segment 2

5 4 4 3 3 19

Segment 3

5 4 4 4 3 20

Segment 4(LOHAS)

5 4 5 4 3 21

Differentiated Marketing Strategy

• We will target an immensely diverse group of segments with individual marketing mixes of people:– People who want to give to charitable causes– People who want to be socially responsible– People who want organic foods

– People who enjoy quality ice cream

Differentiated Marketing Strategy

• Use DMS by:– Collaborating with charitable organizations– Online marketing with socially responsible

organizations– Promote “Points for Pints” on packaging– Promote “Green Clean Ice Cream”

Ben and Jerry’s Competitive Advantage

% of LOHAS consumers stating the following are very important in product purchase decisions* % LOHAS

2003 % LOHAS

2005 Compound Annual

Growth

Food & Beverage

Contains soy 7% 14% +100%

Organically grown 25% 40% +63%

No artificial colors 31% 47% >+50%

Locally grown 24% 34% +20%

Gives to charitable causes

21% 33% +23%

No genetically modified ingredients

38% 53% +21%

Recyclable packaging

35% 56% +21%

Fair Trade certified ingredients

25% 27% +20%

Trans-fats 36% 48% +20%

Competitive Advantage

• Use meaningful differentiation by promoting: • “Green Clean Ice Cream”

– recyclable packaging – give to charitable causes, socially responsible – all ingredients are locally grown

– our new ice cream flavors are organically grown ingredients

Mission StatementStriving to achieve social

responsibility by collaborating our products, practices, and values to

create the best ice cream and earth.

“Green Clean Ice Cream”

Market Direction

Maintenance

• Sustain our current revenue and market share

• Wring short-term profits from the products and markets

• Prepare for future growth

Marketing Objectives• Introducing the “pints for points program” • Introduce three new ice cream flavors • Increase renewable energy use in plants to 50% • Increasing traffic to website by 10% in the next

year • Maintain unit sales within 2 % of the last year’s

amount

Marketing supportCustomer service• Maintain our high reputation • Customers come first • Sharing opinions through our website • Building the customer relation • Customer service before the sale

Marketing Performance & Implementation Control

• Schedules:Gantt Charts

• Strategic Controls:Quarterly Marketing AuditsNet Promoter Score

The P’s

• Great Taste• Strong Values• Above and

beyond services

• Total Eco-Green Sustainable operation

The P’s

• Green from the inner most shell to the outside layers for our product

• Perfect Correlation for the LOHAS Community.

Promotion

• Target Lohas.com to get the members of the Lohas community aware of our product and our practices.

• Use Google to search out the websites where socially conscience consumers visit.

Possible Promotions

Promotions

• Label each container with a eco green symbol

• Symbol will be focused on

healing the world

A new Motto• Nike has “Just Do It”• McDonalds has “I am Lovin It”• American Express has “Don’t leave home with

out it” • Kay Jewelers- Every kiss begins with Kay Ben and Jerry’s……

Green, Clean, Sweat Tasting Ice Cream