ICE Cream
Packaged Food -US$2.2 trillion
Ice Cream- US$71.6 billion
Dairy - US$436.2 billion
Oils and Fats - US$116.1 billion
Sauces, Dressings and Condiments US$114.4 billion
Global packaged food value share (2012):
1.9%
Global packaged food value growth (2011-2012):
5.2%
Unilever described 2012 as “bi-polar”, with sluggish growth in mature markets contrasting dynamic growth in emerging markets. The company’s turnover increased by 10.5% over 2011 taking the company past the €50 billion milestone for the first time. The company’s Personal Care and Home Care divisions showed double-digit growth.
Unilever reported double-digit growth in ice cream driven largely by volume as the company used price discounting to drive sales. Magnum sales exceeded €1 billion for the first time in 2012.
The company has a wide geographic presence in the ice cream category. It also benefits from a strong brand in Magnum, which continues to see strong growth.
Ice cream is a core focus for Unilever. Its positioning is largely premium with Magnum heading up its presence but supported by sales of Ben & Jerry’s largely in the US market. Unilever has pushed Magnum into new formats, Magnum Minis and Magnum Luxury tubs. The brand however will need to find a stronger presence in emerging markets in order to sustain growth.
The emerging markets will continue to outperform with Asia Pacific expected to see a 4.2% CAGR, while Latin America and the Middle East and Africa will see CAGRs of 3.7% and 4.2%, respectively.
Ice cream remains key business for Unilever
Ice cream was Unilever’s single most important category by value sales in 2012. Its share stood at 21.5%. Ice cream is expected to post a 2.3% CAGR over the forecast period. Regionally growth will be led by Asia Pacific in absolute value terms followed by Latin America. Unilever’s share in these regions stood at 8.4% and 28.8%, respectively, in ice cream. The ice cream market in Asia Pacific is far more...