Brand Case Study Assignment
Branding Strategy
Chapmans VS Breyers
For: Steve Howell
Due: October 11th, 2013
Submitted By: Christina Dente
Introduction
Canadians' appetite for ice cream has been melting away, as evidenced by weakening
consumption and falling revenue. Production volumes of ice cream treats have dropped
dramatically over the past five years to 2013 as a result of growing health consciousness. This
report will compare and contrast two of Canada`s ice cream brands that currently dominate the
market; Chapmans and Breyers. Both brands have a long and strong reputation and brand
loyalty that has been built with their consumers. This report will seek to compare and contrast
strategies and success.
Chapmans Ice Cream
Product Positioning
-Positioned as the last ice cream on the
shelves at eye level in the frozen treats aisle
-Chapmans has a strong reputation as the
leading store bought brand of ice cream in
Canada (celebrating 40 years)
-Positioned as high quality ice cream for a
good value
-Distinct difference between the packaging of
both Breyers and Nestle ice cream which both
seem to blend into one another
-The Chapmans Original packaging is designed
as a block of ice cream and packaging appears
slighter and cheaper,
-Chapmans Premium has similar tub/ lid as
Breyers
-The cheaper but large tubs of ice creams
which appeal to customers looking for
quantity over quality are positioned below the
Chapmans brand
-Chapmans has been strategically positioned
by Zehrs to appear as lower quality brand of
ice cream as it shares vertical shelf space with
no name value brands
-Chapmans appears to be fighting an uphill
battle in terms of product positioning within
Zehrs as its placement associates it with lower
quality ice cream
Breyers Ice Cream
Product Positioning
-Positioned as the first ice cream on the
shelves in the frozen treats aisle
-Positioned as high quality brand (The
American Ice Cream)
-Household name for store bought ice cream
for over 100 years
-Owned by Unilever
-Placed directly beside the Nestle brand
(higher end) of ice cream
-Packaging is extremely similar to the Nestle
and PC packaging, could easily mistake the
three
-All lines have the same packaging but differ in
coulours
-Breyers packaging has a lid and appears more
luxurious to the consumer when compared to
the peel away top Chapmans offers
-Positioned at eye level and shelved vertically
by flavours
-Breyers Creamery Style (black package) is
positioned at eye level, while Breyers Classic
(blue package) is a little lower down
Target Market
-Exclusively sold in Canada
-Chapmans advertises “for the kid in all of us”
Target Market
-Similar to Chapmans, Breyers markets itself as
bringing families together for over 140 years
-Chapmans target market is “families”
-Mother’s ages 25-45 who are both married
and single and have one or more children
-These women have a secondary school
diploma and are working or stay at home
mothers, looking for a low cost product to fit
their budget
-They are purchasing ice cream regularly for
their family, are not looking for anything
fancy, just good quality
-Chapman’s logo of “Penny and Dave”, two
small children sharing ice cream works on two
levels in attracting adults and children
-It is a child friendly cartoon drawing that is
appealing to kids and it triggers nostalgia in
adults who are reminded of their own
childhood and the simple happiness that
comes with enjoying an ice cream treat
-Chapman also targets consumers who have
specific allergens and dietary needs within
their family
-Peanut, gluten and lactose allergies are
extremely common, Chapmans has a long and
strong reputation with guaranteeing safety to
this target market
-Thus Chapmans has been successful in
creating brand insistence even for those
consumers who are not necessarily the ones
consuming the product
Goals & Perceptions
-Canadian product and company since 1973
-Canada’s largest independent ice cream
company
-Still a family run business by the Chapmans,
David and Penny
-Chapmans is an exclusive ice cream and
frozen treats company
-They are not marketed for their value, but for
the quality, variety and taste of the product
-Breyers target audience are consumers who
want an ice cream that they can indulge in for
a special occasion or treat
-Moms aged 25- 45, college educated, working
mom, the social glue of the family but
struggles to find emotional closeness with
busy schedules, Breyers will help her engage
with her family
-Breyers is targeting special family moments
that shared over a bowl of Breyers ice cream
-These consumers do not mind paying more
for their ice cream as the quality of the ice
cream is associated with the quality of shared
family moments of togetherness (can’t put a
price tag on that)
-Target market is looking for same quality of
product they would treat themselves or their
family members to in a restaurant but instead
while they are at home watching a movie
Goals & Perceptions
-American company that began in 1866 and is
only sold in the U.S and Canada
--Their mission is to provide quality, taste,
variety and enjoyment
-Prior to 2006 Breyers was known for
producing ice cream with a small number of
natural ingredients (noted in commercial of
little boy struggling to pronounce the
-Markets itself as high quality and great value
ice cream
-Chapmans mission it to provide ice cream for
everyone
-Chapmans was the original Canadian ice
cream product to guarantee peanut/ nut free
lines
-In 2003 was recognized for their peanut/ nut
free red flag labeling on ice cream by
Anaphylaxis Canada
-Awarded the Susan Daglish award for
leadership and commitment to anaphylaxis
safety
-In 2005 made several of Chapmans products
gluten free to meet the needs of celiac disease
and those with an intolerance of gluten
-Also market no sugar added, and lactose free
frozen treat products
-Consumers with allergens or parents of
children with allergens have strongly adopted
the Chapmans brand because of its long and
solid reputation as a safe product for
consumption
-These consumers have strong brand loyalty
and feel a sense of security which is very
important to them, it is trusted and
consumers buying Chapmans don’t stop to
check the label
Perceived Objectives
-Originally, Chapmans distinguished itself by
offering variety such as orange pineapple and
butterscotch ripple while their competitors
only had chocolate, strawberry and vanilla,
but has lost its edge of new and exciting
flavours when compared to the appealing
varieties that Nestle and Breyers now offer
-In 2009, one of the Chapmans manufacturing
plant in Onatrio was destroyed due to fire
-Business never stopped and were able to
rebuild within seven weeks and maintain their
position on shelves from the inventory that
was untouched from the fire
-As ice cream sales have fallen since 2005,
ingredients in a competitors brand)
-Originally 4 ingredients on the label: milk,
sugar, cream and vanilla
-Breyers Ice cream is perceived as a gourmet
brand of ice cream and it mimics many of the
newer flavours made by Nestle or the ones
you would find in an ice cream shop
-This product line called Fun and Indulgent
-These flavours include those with bits of real
candy bars, and creamsicles mixed into the ice
cream
-Recently, Breyers has gone under fire for
changing their recipe and adding additives and
modified milk ingredients rather than real
dairy.
-Brand loyalists have complained about both
the taste and the lack of natural ingredients
INGREDIENTS: Modified Milk Ingredients, Water, Sugar,
Glucose, Maltodextrin, Hydrogenated Coconut Oil, Mono
& Diglycerides, Cellulose Gum, Natural & Artificial
Flavour, Guar Gum, Polysorbate 80, Colour (Contains
Tartrazine), Carrageenan. May Contain Peanuts And / Or
Other Nuts. Ingredients and Nutrition Facts are current
as of 3/1/13. Please see shelf packaging for any
changes.
Perceived Objectives
-Breyers brand was losing share as
competitors with "better for you" ice cream
variants tempted consumers away.
-From 2005-2010 average yogurt consumption
grew by 22%
-Functional and fortified yogurt remains one
of the most dynamic dairy segments in Canada
-Consumers have growing demand for
ingredients such as probiotics
-Yogurts now own 13% of the market which
ties with premium ice cream
-Breyers has introduced Yogurt Swirls, Fat Free
and No Sugar added products
-The launch of Breyers Smooth & Dreamy -
Canadian consumers become more health
conscious and limit their dairy fat intake
- Unit prices are increasing as manufacturers
are shifting towards more premium brands.
-Chapmans has introduced 15 premium ice
cream flavours which come in similar
packaging to the tub and lid many other
premium ice cream brands have
-Industry trends that sacrifice quality for
profits has been a barrier
-Chapman continues to use Canadian milk in
an industry where the ice cream being
produced has more vegetable oil than cream
-Despite making a higher quality product,
Chapmans is under constant pressure from
retailers to match competitors price
with just half the fat of traditional ice cream was an attempt to fight back
-In recent years due to cost cutting, Breyers
reformulated many of its flavours with nontraditional, additive ingredients despite their
early mission
-As a result the Breyers Classic no longer
contains enough milk products to be
considered ice cream
-In Canada these products are now labelled as
“frozen dessert”
-The size was also reduced from 64 ounces to
42 ounces
-Sales have dropped by 5% since 2009
Brand Positioning
-Sold in Canadian grocers and convenience
stores
-Communicates with consumers via Facebook,
Twitter, interactive Chapmans kids website, in
store promotions, print ads
-Chapmans Original is sold for $3.99
-Chapman’s Premium is sold for $5.99 the
same price as Breyer’s Classic, but contains
higher quality ingredients and is holding its
own as a newer product line in comparison to
Breyers premium brands
-Chapmans Original holds 15.5% of market
-Premium holds 4.6%
-It falls behind Nestlé and Unilever (Breyers) in
terms of revenue generated, but in terms of
sheer volume of ice cream sold, Chapmans is
number 1
-Discrepancy exists because Chapmans only
recently began to offer a premium brand
which is still sold a substantially lower cost
compared to other premium ice creams
-Dollars do not add up fast enough when
compared to Breyers or Haagen Daz who
charge $7.99
-Chapmans has been able to maintain strong
brand equity and the original has been
Brand Positioning
-Sold in Canadian and American grocers and
convenience stores
-Breyers Classis is sold for $5.99
-Breyers Creamery is sold for $7.99
-Communicates with consumers via Facebook,
Twitter, interactive website, in store
promotions, print ads, commercials
-Since Breyers recent change of recipe, it no
longer boasts “All Natural”, but instead
“Quality”
-The price for Breyers “real” ice cream
(Creamery) is $4.00 more than Chapmans
Original which has the same quality of
ingredients
-Breyers Classic currently has 17% of the
Canadian market and current leader after
Nestle
-Premium holds 5.6%
-Consumers have adopted Breyers Creamery,
but the changes to the classic has affected
consumers brand perception
-Breyers needs to regain some brand equity
after the recent recipe and taste discrepancies
of their classic brand
-Further analysis of their current target market
and a shift in marketing plan is required
-
adopted by consumers for its high quality low
cost appeal
Bibliography
http://www.ibisworld.ca/industry/ice-cream-production.html
http://www.canadianbusiness.com/business-strategy/ice-cream-headache/
http://www.cdc-ccl.gc.ca/CDC/index-eng.php?id=3800
http://www.nytimes.com/2013/04/17/dining/remembering-when-breyers-ice-cream-was-youknow-ice-cream.html
www.breyers.ca
www.chapmans.ca
PMB Quick Reports Ice Cream/Ice Milk/ Sherbet/ Frozen Yogurt 2008-2013