Pricewatch: 10 August, 2018 – Ice Cream
As the summer heat continues, find out how you store compares on ice cream pricing
The dominant pricing trend for a 90ml Feast ice cream lolly, according to this week’s Profit Checker graph, was Booker’s £1 RRP.
For those who chose alternative prices, £1.10 and £1.20 were the next most popular options, each favoured respectively by 11% of retailers. This variation was reflected by the six stores in the Price Checker table, where three shopkeepers stuck with Booker’s RRP, while the remainder opted for £1.20 and £1.30.
Of the 12 products featured in the table, only Magnum Double Raspberry was priced on average below Booker’s RRP.
|ICE CREAM||AVERAGE UK SELLING PRICE||BOOKER RRP||VILLAGE HIGH STREET SHOP IN SOUTH DEVON||OFF LICENCE AND LOCAL SHOP IN LEICESTER SUBURB||NEIGHBOURHOOD SHOP IN RESIDENTIAL AREA OF READING||LOCAL POST OFFICE AND SHOP IN KENT VILLAGE||HOLIDAY CAMP SHOP IN EAST YORKSHIRE SEASIDE RESORT||SMALL LOCAL SHOP IN RESIDENTIAL SUBURB OF LARGE LANCASHIRE TOWN|
|MAGNUM CLASSIC 110ML||£1.90||£1.90||£1.90||£1.99||£1.90||£1.90||£2.20||£1.90|
|MAGNUM WHITE CHOCOLATE 110ML||£1.90||£1.90||£1.90||£1.99||£1.95||£1.90||£2.20||£1.90|
|SOLERO EXOTIC 90ML||£1.42||£1.40||£1.40||£1.40||£1.40||£1.40||£1.50||£1.40|
|MAGNUM MINT 100ML 3PK||£1.92||£1.90||£1.90||£1.99||£1.95||£1.90||£2.20||£1.90|
|MAGNUM DOUBLE RASPBERRY 88ML||£1.97||£2.00||£2.00||£2.09||£2.00||£2.00||£2.20||£1.90|
|CLASSIC ICE CREAM PM 75P||£0.75||£0.75||£0.75||£0.75||£0.75||–||£0.75||£0.75|
|CORNETTO CLASSICO 90ML||£1.43||£1.40||£1.40||£1.20||£1.40||£1.40||£1.50||£1.29|
|FLAKE ICE CREAM CONE||£1.73||£1.50||–||–||£1.85||–||–||£1.80|
EDFM is a specialist in helping leading suppliers to the UK’s independent convenience channel get value, insights and business benefits from EPoS data. To find out how they could help you, call 07976 295094
Boghar Bros Store
Size: 1,300sq ft
Type: main road Top Tip Always ensure you have your ice creams available near the till and not at the back of the shop I normally add 10p on top of the RRP because ice cream is an impulse product and customers won’t mind paying a bit extra, especially during the summer when demand can shoot up. I make sure I stock a variety of products, and those from Wall’s are some of my most popular items. The store is based near a housing estate and schools, which means there is high demand during summer. The best advice I can offer is to make sure the ice cream is visible, otherwise you risk reducing the likelihood of making a sale.
Spar Wylde Greene
Location: Sutton Coldfield
Size: 3,000sq ft
Type: main road Top Tip Local suppliers can help differentiate you from any competing shop nearby Our ice cream products are purchased from Booker and Blakemore, and we aim for margins of 30%. Customers can get a range of products from well-known suppliers, but there’s plenty of demand for ice cream parlours and we introduced this option a year ago. We noticed a lot of these popping up in the town centre, which was one of the reasons behind our decision. It’s a very profitable area; sales can reach £3,000 a week during the peak summer trading period and the average profit margin is about 70%.
Ancoats General Store
Size: 3,000sq ft
Type: city centre Top Tip Differentiation is key when it comes to ice cream, as we’re in an area with a trendy customer base With many of our ranges, we have niche suppliers and sometimes we invite them in on certain days of the week where they’ll sell their products as a concession or food stand. Ice cream is one category where this works well. An example includes Drizzle City Sundaes’ range, which includes Carrot Cake, Rocky Road, Lemon and Blueberry. We’ve also had vendors outside the shop. The products often sell out and customers associate us with ice cream, which makes us different to other convenience stores.
The General Store
Location: Tufnell Park
Size: 650sq ft
Type: city suburbs Top Tip Make sure you get your displays right, as this attracts customers’ attention We get our ice cream from Nisa and Booker across my three stores. We stick to the RRP and this results in average margins of 25%. As ice cream is a seasonal product, sales will shoot up during summer and ice lollies are some of our most popular products. We have support from suppliers and use branded PoS and displays where possible. If customers see well-known branding, they’ll be more likely to buy ice cream. They’ll associate the brand with quality. My Tufnell Park store is in a residential area and there’s plenty of demand.
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