The Marketing Mix At Haagen-Dazs - and Beechdean Dairies"

Essay by nancy1983University, Bachelor'sA-, March 2004

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In 1990 the US company Haagen-Dazs appeared in Britain and created something which had never existed before: a mass market for luxury ice cream. These days British consumers spend £130 million on luxury ice cream each year.

"The Marketing Mix at Haagen Dazs" explores how Haagen-Dazs made themselves the market leader. It also compares and contrasts their marketing mix with Beechdean Dairies - a tiny UK ice-cream maker with big ambitions - it wants to be the Haagen-Dazs of Britain.

The Competition

Haagen-Dazs' success has brought it a horde of competitors in Britain. Mars and Cadbury are among the latest companies to make a play for a share of the market. But its biggest challenge remains fellow US company Ben & Jerry's. Beechdean is one of its smallest competitors. Without the huge marketing budget of Haagen-Dazs or Ben & Jerry's, Beechdean relies on word of mouth to find a niche within a highly lucrative market.

The Brand

In marketing ice cream, creating a brand is very much about creating a fantasy. It's about linking the product with emotions, images and values. Haagen-Dazs' brand is based on sexual fantasy and "shared indulgence". Beechdean, by contrast, bases its brand's fantasy on the farm - a sense of freshness and personal care for the customer.

Promotion

Haagen-Dazs has a new advertising campaign designed to appeal to consumers who, it believes, are less materialistic than in the past. Having formulated their new approach, the company are spending £8 million on it, with £300,000 alone going on two television adverts. But the adverts, about someone in search of therapy, have their critics.

Meanwhile, Beechdean hasn't the funds to advertise on television. They turn to guerrilla marketing to promote themselves. They run two cars at motor races, which enables them to entertain their big...