Is There Still Room For More Ice Cream?

I was recently introduced to an absolutely delicious ice cream brand called Gelupo.  Now I know you are thinking is this yet another great food brand Norman gets to work on and enjoy eating in the evenings?  Well, not quite, but I have become most interested in the brand and the business because of the crowded market place in which it is operating and its distinct product offering.  Looking at this made me consider some pertinent questions for start-up businesses.

Firstly Gelupo is not just an ice cream.  It’s much more in several ways.  Gelupo makes Gelati (or ice cream as we call it), Sorbets and Granitas – a semi frozen desert only made well in Italy in my experience!  But secondly Gelupo is not just an ice cream or even a desert brand, it is an authentic ice cream parlour linked to a successful delicatessen.  So this means that both the product offering is highly differentiated to a normal ice cream brand but perhaps of more significance is that the business model and brand proposition also need to be very different from other ice cream businesses in the main stream retail markets.

To me Gelupo stands the best chance of long term success by placing people right at the heart of the brand.  This is both different and remarkable within the market I think particularly if it is underpinned by a rigorous recruitment programme to find highly credible, natural brand ambassadors to work in the parlours and a rollout of parlour stores in strategic locations. The brand does have some health claims that come from using less cream in the product – but in my view this is not different and is poorly marketed/communicated, and does not drive the consumer to want to eat the ice cream anyway.  Ice Cream is ice cream – if you want to lose weight you don’t eat it!

I also think the brand needs to fully commit to its proposition whichever way it wants to go. This is something I see in FMCG fairly often.  It is no longer enough to say your food is the best because you know where it originates from or because you have some great flavour concepts.  Yes these are very important but you have to tell the consumer why they are important – you must commit.  Is Gelupo the world’s best tasting ice cream because of where it comes from, or is it a unique taste that everyone should try at least once because of where it comes from? The flavour names sound exciting, but what is the inspiration behind them? Where do all the ingredients come from? Who makes these recipes and of most importance (and commitment) why should customers know and love this story?

Alongside a roll out of ice cream parlours, either through financing or franchising, the business could also move into traditional retail.  This would be a brave move requiring substantial marketing investment of course, but the question I would ask before that is “what is the right business model to make this brand flourish?” A large retail contract with an outsourced production solution always seems easy and very attractive.  But what if people are the most attractive part of the proposition and the bit that’s remarkable.  Can this be carried through to a differentiated retail offering?  I think it can but it is far from easy and needs a full marketing mix maximising the use of social media and PR to work alongside retail implementation to preserve the brand.

To me Gelupo is a brand to watch and one that can definitely flourish.  I would offer up that a critical aspect of that success will be a commitment to the brand that consumers can see, and the integration of its branded proposition to its business model for growth.  These must work in harmony or as we have all seen with some large high profile brands recently, consumers spot the disconnect and loose belief in the brand.

Keep an eye on http://www.gelupo.com/index.php