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Consumer Behaviour
MKT 410
Individual Assignment
Analysis of Ben & Jerry’s Consumers Decision-Making Process

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Table of content
Executive
Summary
........................................................................................................................
3
Introduction
......................................................................................................................................
3
a.
Company
Background
..........................................................................................................................
3
Methodology
.....................................................................................................................................
4
Findings
..............................................................................................................................................
4
a.
Macro-­‐Environment:
PEST
Analysis
..................................................................................................
4
Political
&
Legal
Factors
........................................................................................................................................
5
Economic
Factors
......................................................................................................................................................
5
Social
Factors
..............................................................................................................................................................
5
Technological
Factors
.............................................................................................................................................
6
b.
Segmentation
by
Consumer-­‐Based
Variables
...................................................................................
7
Market
Segmentation
Strategy
...........................................................................................................................
7
Usage
Situation
Aspects
.........................................................................................................................................
8
c.
Ben
&
Jerry’s
Target
Segment
..............................................................................................................
9
d.
Advertising
.............................................................................................................................................
9
e.
Consumer
Behaviour
Analysis:
Decision-­‐Making
Process
&
Influencing
Factors
....................
10
Awareness
of
a
Need
............................................................................................................................................
11
Research
of
Information
.....................................................................................................................................
11
The
Evaluation
of
Alternatives
........................................................................................................................
12
Make
the
Purchase
................................................................................................................................................
12
Evaluate
the
Decision
/
Outcome
...................................................................................................................
13
Evaluation
of
Ben
&
Jerry’s’
Marketing
Mix
and
Recommendations
..........................
13
Appendix
A
......................................................................................................................................
15
Appendix
B
......................................................................................................................................
15
Appendix
C
......................................................................................................................................
16
Appendix
D
.....................................................................................................................................
17
Appendix
E
......................................................................................................................................
18
Bibliography
...................................................................................................................................
19

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Executive Summary
This report focuses on segmentation and targeting critera to determine a consumer decision
process in relation to purchase a Ben & Jerry’s ice cream. Ben & Jerry’s own a large share of
the ice cream market but their positioning is clearly identifiable. It was found that the likely
core target customer is between the age of 20 to 38, a young professional or a student living in
a cosmopolitan city. The customer has a fashionable style, an active lifestyle and is concerned
with responsible consumption. The customers are likely to belong to the age cohort of Baby
Boomers. Purchasing Ben & Jerry’s ice cream falls under the category of habitual decision-
making and the company is using their four marketing Ps to influence consumers. The process
consists in ”covering characteristics that influence consumers’ decisions and behaviour, such
as demographics, lifestyles, personality, values, culture, and family” (Blackwell et al., 2001).
Socio-cultural influences such as recent health and environmental issues might have a positive
effect on consumers’ decision. In the future, B&J’s should be building up marketing and
communication strategies in order to reach as many consumers as possible while preserving
the values of hedonism that remain at the heart of the consumer. Indeed, in order to enlarge
profits, they could focus on new segments such as non-users looking for a lighter version.
They should also extend their distribution network and finally, keep putting effort in health-
driven innovation to retain consumer interest.
Introduction
The aim of this report is to determine a market segmentation in order to profile customers for
Ben & Jerry’s product. Taking in consideration the PEST analysis, we will suggest a market
segment. Thereafter, we will put a consumers decision-making process forward and comment
the current Ben & Jerry’s marketing mix, making recommendations.
a. Company
Background

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Ben & Jerry’s Homemade, Inc. was founded in 1978 by Ben Cohen and Jerry Greenfield. Its
headquarter is located in South Burlington, Vermont, United States. They quickly became
known for their flavours, made from fresh Vermont milk and cream (Unilever Global, 2013).
In 2000, Unilever, the British-Dutch conglomerate and ice cream market leader with 30%
value share in 2012 (Mintel Report July 2012 UK), purchased the company. Nevertheless, the
brand did their best to keep their artisan spirit.
In 1994, Ben & Jerry’s started distributing their products in the UK and fast begun a
worldwide famous brand.
The brand enjoys a high level of trust and differentiation, on the one hand through its classic
and innovative range, its eccentric marketing operations and on the other hand, via its unusual
social mission (Unilever Global, 2013). See also, SWOT analysis in Appendix B.
Methodology
In order to complete this report, secondary sources, literatures and databases have been
collected, using Regent’s College Library. The report was conducted using theorical bases for
segmentation and models such as the Consumer Decision Model framework, keeping in mind
that models can have limitations and represent a cleaned up version of reality. Theoretical
approaches to the study of consumer behaviour are subject to an ongoing dynamic
environment and such models should be adapted in order to consider new technology for
example. Thus, some reports were not up-to-date, such as the Mintel source used for
geographic segmentation.
Findings
a. Macro-­‐Environment:
PEST
Analysis
Given the large size of the UK market, the existing opportunities in the food and beverage
sector are very attractive to exporters worldwide. The UK ice cream market is a mature one:

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more than ten consumers are ice cream buyers. Ice cream sticks and tubs/pots are the favoured
formats. The market has grown tremendously (+19% in value terms) since 2007. Ben &
Jerry’s faces a fierce competition, with mainly Häagen-Dazs, Mars and Fab (Euromonitor
International, 2013).
Political
&
Legal
Factors
Some initiatives have been taken by the UK government about nutritional labelling, in order
to raise awareness on the nutritional value of products eaten by consumers. The aim is to
sway consumers towards healthier food choices. For more details, see Appendix B.
Economic
Factors
The British economy has fallen into a double-dip recession, which impacts consumer
expenditures in the short term. Consumers are more and more price-sensitive and looking for
discounts when buying goods (MINTEL, 2012).
Since 2007, the UK ice cream market has grown in value terms. Impulse products experience
growth, as consumers are willing to pay more for the occasional treat. Much of these results
were fuelled by inflation, with volume sales experiencing a decline over this period. And
volume sales are expected to decline, over the 2012-17 period (GMI/MINTEL, 2012,
DATAMONITOR 2013). For numbers, see Appendix B. As a consequence, high or rising
prices could be damaging for a brand and lead consumers to switch to cheaper brands or
snacks.
Social
Factors
• Health
Consciousness
The media, government campaigns and societal pressures have affected the consumption
behaviour of the British. One in four consumers is worried about health when eating ice
cream and one in fifth, particularly the 16-24s segment and people with young children, says
that they like the taste of light version products (GMI/MINTEL, 2012). Appealing to health-
conscious consumers could be an opportunity for companies though, because there is an

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interesting niche market to tap. Actions were taken by The Unilever Group. More details in
Appendix B.
More and more locally produced goods are purchased (Euromonitor, 2011). B&J’s could still
take advantage by offering natural and good quality products that are cheaper than locally
produced food.
• “Premiumization”
The ice cream market is moving towards premium products. Brands are extending their
product ranges by creating new sophisticated flavours. (Dairy Industries International, 2010)
In response, the consumption of B&J’s premium ice cream is expected to grow.
• The
Importance
of
Fair
Trade
British consumers are much more receptive to the concept of fair trade than organic foods,
they have demonstrated a strong desire for sustainable living. As a result, consumers are more
likely to buy products that benefit the environment.
The competition among manufacturers and retailers to be involved in environmental issues
and improve their products in this way will be stronger and stronger, especially in mature
markets like the ice cream one.
B&J’s is the first ice cream company in the world to use fair trade certified ingredients. Their
environmentally friendly products and ethical commitment are strategically relevant at this
time though. Awareness of the importance of environmental and ethical products
consumption will encourage sales of premium goods when recession will end.
Technological
Factors
An opportunity to take regarding this market is innovation. As a general trend, manufacturers
have been increasingly experimenting ice cream flavours and consumers have had an
enhanced choice in terms of packaging, flavours and textures (Mintel, 2012, Dairy Industries
International, 2010)).

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b. Segmentation
by
Consumer-­‐Based
Variables
Market
Segmentation
Strategy
Segmentation is used to create a group of likely target customer segments for a service or a
product. The first step in developing a segmentation strategy is to select the most appropriate
base(s) on which to segment the market. Nine major categories of consumer characteristics
provide the most popular bases for market segmentation: geographical; demographical;
psychological; lifestyle characteristics; sociocultural variables; use-related characteristics; use
situation factors; benefits sought and hybrid segmentation approaches (Schiffman, Kanuk,
2007).
B&J’s tries to target everyone who likes ice creams. But regarding the product they are selling
and the brand positioning, which falls into the premium ice cream market, there are some
specific segments that are more relevant than others to use. The brand has a fairly complex
brand message; they want to combine the ideas of quality products, fun and friendliness, with
social and environmental engagement.
Geographic
Segment
B&J’s is bought by consumers located everywhere in the country, but cosmopolitan cities
such as London, are likely to be where the majority of B&J’s consumers are located. Indeed,
ice cream consumers are more concentrated in agglomerations. Furthermore, touristic seaside
resorts such as Brighton are likely locations for ice cream consumption (Mintel, 2002).
Demographic
Segment
The likely consumers of B&J’s are young people aged from 20 to 35. Indeed, the market
growth is driven by young consumers, with adults aged 55-64 being less likely than average
to have eaten ice cream, sorbet and frozen yogurt and begging more likely to agree that they
are limiting the amount they eat because of health reasons (Mintel, Ice Cream, Issues in the
Market). Further research (Mintel, 2012) shows that The projected rises in the number of 25-
34s, families and those in the AB socio-economic group bode well for the future of the market,
these groups being more likely than the average to have bought ice cream.

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The Baby Boomers segment (Schiffman, Kanuk, 2010) would match the likely target
customer. The segment name is “confident and living well”, with the following
characteristics: high income, first consumers to buy a new product, stylish and trendy and
looking for luxury and premium goods and services. People belonging to this segment will
definitely be consumers of premium ice cream with appealing, funny and trendy packaging.
Psychographic Segment
The customers targeted by B&J’s pursue active lifestyles and follow the trends. Typical
consumers also are mainly concerned with sustainable issues and responsible consumption.
Other characteristics are organic food or health-consciousness and active social life. They are
open to marketers who will entertain them and meet their personal definition of trendiness. In
order to target these customers, B&J’s have launched frozen yogurt versions and re-
introduced single portion pots (Euromonitor, 2013). 64% of consumers are adventurous when
it comes to trying a new range of products (Mintel, 2012). Thus it is an interesting segment.
Socio-­‐Cultural
Segment
This segment is not relevant because it depends more on money issues than social class, even
though premium ice cream companies such as B&J’s have the reputation to be the sweetmeat
of high social class.
Usage
Situation
Aspects
Situational factors such as the time of year might influence the purchase of ice cream. People
are more likely to consume ice cream during summer days (Euromonitor, 2011). Furthermore,
consumption of ice cream is seen as occasional rather than a frequent habit.
Besides, there are two likely purchase situations for the product, either inside or outside the
house. Purchase of ice cream often happens at a festival, in a shopping centre or at the cinema,
when people socialise, during leisure times and when they want to treat themselves. Another
common buying situation is when people are buying it for home, for instance to enjoy a
dessert in front of the TV. In both cases, most of the customers are looking for an « original »
product combining tasteful pleasure and innovation.

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c. Ben
&
Jerry’s
Target
Segment
 Core target: 20 to 35 year-old consumers; living in a cosmopolitan city; AB social class;
original and fashionable style; like organic food; concerned with responsible
consumption; searching an « original » product combining tasteful pleasure and
innovation to an offbeat brand image.
For Secondary and Distant Targets, see Appendix C.
d. Advertising
B&J’s brand is using more PR or cinema ad than advertising TV campaign to engage
customers.
That engagement means interacting via the 200 scoop shops in the UK where they
communicate the brand messages and social mission programmes. The Ben & Jerry’s is also
active in social network such as Facebook where around 58 fan club groups can discuss their
favourite flavours.
But B&J's had undertaken its first UK TV campaign in 2010, marking a change in strategy
from the Unilever-owned ice-cream brand.
By analysing B&J’s ad, we illustrate how the brand is using marketing tools to reach the
target segments of the brand and how the ad is fulfilling some needs. The advertisement can
be seen at: http://www.thinkbox.tv/server/show/ConCaseStudy.1724
This commercial advert appears as cool and funny, natural and clever, quick and simple (stop
motion animation).
In order to analyse this advert, we used the FCB Grid Model and the Maslow Hierarchy of
Needs (see Appendix D).
From this model, one can see that the decision of buying a B&J’s ice cream is based on a
feeling or emotional basis. Indeed, the decision is based on taste and look (sensory effects).

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The brand tries to reach consumers though emotional appeal too, by giving information about
the product. We can also see that B&J’s is answering the physiological need that is, in this
case, hunger. Thus, by buying a B&J’s ice cream, the consumers are doing something good
for the planet and satisfying their physiological needs.
Besides emotional appeal, B&J’s is using humour, featuring a story telling around the subject
of fair-trade. Indeed, they use the word “fair” in the literal sense.
Using humour for a serious issue is relevant to target B&J’s fair-trade segment, and
appropriate because an ice cream is considered as a low involvement product.
As we have seen above, the motivation to buy B&J’s is also due to a social need: in the ad,
the video tackles a serious issue in a funny way and shows the product benefits. It shows that
people consuming B&J’s are responsible. This is a social need.
But there is more to this. Indeed, the quality and the price of the product ares suggested by the
long history and tradition of the brand which answers ego needs (prestige, status, self-esteem).
With this advert, B&J’s has identified a bespoke audience that goes beyond demographics and
geographics, targeting those who may be concerned with the environment and fair trade, and
reaching its objectives by improving the perception of B&J’s environmental credentials.
e. Consumer
Behaviour
Analysis:
Decision-­‐Making
Process
&
Influencing
Factors
You didn’t suddenly wake up and find yourself in front of a TV with a B&J’s pot in your
hands. You went through several steps between the time you felt the need for an ice cream
and when you actually bought one and savoured it at home. Indeed, the purchase of an ice
cream applies to the concept of habitual decision-making.
Different approaches were implemented in the study of decision-making. The cognitive
approach including the cognitive model “Consumer Decision Model”, developed by Engel,
Kollat and Blackwell in 1968, is one of the most widely cited analytical models and provides

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a framework of the key elements that are suggested to explain consumers’ behaviour. The
latest publication of the model is illustrated in Appendix D.
The model is designed around seven points: need recognition; search of information (both
internally and externally); evaluation of alternatives; make the purchase; post purchase
reflection and divestment. These decisions are influenced by two factors, which are produced
and received stimuli by the consumer in conjunction with memories of past experiences and
external factors in the form of environmental influences and individual differences. Culture,
social class, personal influence, family and situation are part of environmental influences,
while consumer resource, motivation and involvement, knowledge, attitudes, personality,
values and lifestyle are part of individual influences (Blackwell, Miniard et al. 2001).
Awareness
of
a
Need
Entry to the model is through need recognition when the consumer acknowledges a
discrepancy between their current state and some desirable alternative. (Bray, 2008)
The need recognised by a consumer in the case of B&J’s is the need of sweet food.
Consumers with a sweet tooth, organic food lovers, price-conscious and concerned with
responsible consumption are all likely to face this need situation.
The factors that may stimulate the recognition of a need for an ice cream are either
advertisement (external stimuli) or strong desire (physiological need). Most of the needs for
ice cream are impulsive needs, triggered by a sudden desire. This type of decision differs in
the amount of involvement the consumer has in the process (David R. Stokes, Wendy Lomax,
Marketing: a brief introduction). In the case of ice cream, the amount of involvement is
mostly low. Ice cream could be described as effortless food that people eat when they want to
satisfy a physiological need (Schiffman, Kanuk, 2010). This means that there will not be
much information to evaluate and that it will quickly lead the consumer to the decisional step.
Research
of
Information
Once the consumer has acknowledged the need, they look for some information, both
internally (own memories and previous experiences) and externally (interpersonal channels,

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mass media, retailers, etc.). Information goes through five stages: exposure, attention,
comprehension, acceptance and retention (Blackwell, Miniard et al. 2001).
Consumers are aware of the B&J’s brand thanks to advertising and especially direct
marketing such as promotional operations by the brand during public events and festivals
(exposure).
The consumer will probably look for brand recognition, price and contain (ingredients in the
product). B&J’s have a famous mascot and customers will probably recognise the brand
directly by seeing the packaging (attention). People who are more likely to love the brand and
buy it (acceptance) would be consumers paying attention to the design of the packaging or for
instance eco-friendly consumers, who support brands with ethical involvement. On the
contrary, people with low resources will probably go for another brand, even if the quality is
lower (retention).
The
Evaluation
of
Alternatives
At this point, most of the time, price is the most important factor as for ice cream consumers,
brand loyalty is less important than saving money (Mintel, 2012).
Nevertheless and regarding the core target, the social-cultural environment is determinant. As
explained above, a discussed issue regarding ice cream is health. As most of the core target is
health-conscious, low level of sugar, fair-trade and good quality products have resulted in
benefits to the B&J’s brand image. These factors will surely determine the consumer’s choose
of alternatives.
Make
the
Purchase
Ice cream products are mostly sold in grocery stores. Once in the store, consumers have the
possibility to compare products. There might be offers on any other ice cream that might
affect the final decision. Thus, many consumer decisions are made on impulse (Wilkie, 1994).
As a consequence, marketers put in a lot of efforts to influence decisions made at this stage.
B&J’s are using few promotional displays in store and this might be improved. Nevertheless,
the packaging is really showy and attractive, which is good for brand image and impulse
buying.

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Evaluate
the
Decision
/
Outcome
The post-purchase evaluation of a B&J’s ice cream is certainly low as the level of
involvement is low. The main factors that consumers will look at are the taste and if the
product is worth the high price.
Evaluation of Ben & Jerry’s’ Marketing Mix and Recommendations
B&J’s are positioned on the premium and naturalness ice cream market. They stand up from
competitors thanks to a fun and light-hearted approach in naming and packaging.
The brand uses a niche marketing strategy by focusing its marketing mix on product quality
leadership. Moreover, the brand is converting all of its products to be fair trade certified by
the end of 2013 (Unilever Global, 2013). According to the company’s home page, Product
Mission statement of Ben & Jerry’s has committed itself to make, distribute, and sell the finest
quality products “with a continued commitment to incorporating wholesome, natural
ingredients.” (Unilever Global, 2013).
The strategy of positioning, the choice of a niche marketing mix and the acquisition of the
brand by Unilever have propelled B&J’s on the ice cream market. However, competition is
fierce and there seems to be a real « ice cream war » between the different market players
(Euromonitor 2012).
As we noticed, British consumers are more concerned about environmental issues, which is
why B&J's should be able to give direction and enthusiasm to its commitments affecting as
many consumers as possible while preserving the values of hedonism that remain at the heart
of the consumer.
First of all, B&J’s should enlarge their market by focusing on non-users looking for light
version. According to Mintel Report (GMI/Mintel, 2012), 55-64 year-olds and retired are a
potential target because they are the most likely to pay for high-quality ingredients when
buying ice cream. Besides, this segment is the most health-conscious.

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A strategy should be built up to win this new target group. In order to meet this goal, they can
create a new less and zero-sugar B&J’s ice cream which currently does not exist, and market
it through advertising campaigns. This segment could be really interesting because consumers
will buy ice cream as a treat for themselves, but they could also buy it for their children or
grandchildren too.
Besides, B&J’s should extend their distribution network too, because people living in North
England and Scotland and people from villages and rural locations are the most likely to look
for high quality ingredients when buying ice cream (GMI/Mintel, 2012). Indeed, B&J’s aren’t
that present within these regions.
Finally, B&J’s should maintain their target interest by always putting effort in R&D and
creating limited editions. For instance, they can create ice creams with unusual ingredients
such as really good varieties of cacao. Indeed, the key role it plays in maintaining consumer
interest, as two thirds of users report liking to try new flavours when talking about food and
beverage market (MINTEL, 2012). For a brand like Ben & Jerry’s, health-driven innovation
will surely be the road to follow for future profitability.

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Appendix A
SWOT Analysis
Strenghts Weaknesses
♣ Reputation of the brand and for quality
♣ the UK's market leading super premium
ice cream.
♣ Widely recognized for its social
responsibility actions and its social
marketing
♣ Funny brand image that combines great
taste, originality and humor
♣ Great limited edition varieties and the
expansion of core ranges.
♣ Product relatively expensive when usually
ice cream is seen as an affordable treat
(4,49£ for 100ml in grocery stores).
♣ Target market is limited due to their
product being niche
♣ Profits decline in recent years
♣ Social responsibility actions may add costs
and reduce focus on core business.
Opportunities Threats
♣ UK consumers increasingly trade up to
premium variants and seek higher-quality
ingredients. Plus, the majority are
adventurous on new flavours.
♣ Increasing UK demand for low-fat
desserts and frozen yogurt.
♣ Success of many global firms in
extending successful brand in one
product range to others.
♣ Stagnation as resulted from the maturation
of the sector
♣ Forecast : the ice cream, sorbet and frozen
yogurt market is expected to decline in
volume sales.
♣ Many competitors, in particular Nestlé, 
constant innovation
♣ Health concerns and growing competition
from cheaper private-label product
Appendix B
Macro-Environment: The Pest Analysis
Pest Analysis Macro-Environment for Ben & Jerry’s
Political & Legal Factors The European Commission (EC) suggested a

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new Food Information Regulation (FIR). Each
product packaging will have to give
descriptive information on energy, fat, sugar,
fat content and other information such as
country of origin.
The Food Labelling Regulations (1996) says
that ice cream sold in the UK market must
contain at least 5% fat and 2,5% milk protein.
As a result, brand creating light version might
be forced to use terms such as “iced desserts”
instead of ice cream. (Watson, 2010)
Economic Factors The UK market has grown by more than 19%
since 2007.Over this period, much of these
results were fuelled by inflation, with volume
sales experiencing a 7,2% decline. The market
is expected to decline by 6.7% in volume sales
over the 2012-17 period. (GMI/MINTEL,
2012, DATAMONITOR 2011).
Social Factors Health Consciousness is really important. The
Unilever Group seems to be aware of this as
they have been focusing on social and
environmental issues for over centuries now,
promoting sustainable development, utilization
of renewable resources and creating brands
that are good for consumers.
Appendix C
Ben & Jerry’s Secondary and Distant Target Segment
 Secondary target: 36 to 50 year-old consumers; living in cosmopolitan city; ABC1 social
class; urban style; looking for a superior quality product; concerned with responsible and

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natural consumption.
 Distant target: All ice-cream consumers in search of great taste and superior quality.
Appendix D
- Maslow’s hierarchy of needs
There are five levels of needs in Maslow’s theory: physiological needs, safety needs, social
needs, ego needs and self-actualization (Schiffman and Kanuk, 2007).
- FCB Grib Model
This model, suggested by Dave Berger and Richard Vaughn, combines high and low
involvement, and left and right brain specialization (feeling and thinking) (Ratchford, 1987).

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Appendix E

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Bibliography
Books
Blackwell, R.D., P.W. Miniard & J.F. Engel (2001),Consumer Behavior, ninth edition,
Harcourt.
Schiffman, L.G., Kanuk, L.L (2007), Consumer Behaviour, Saddle River: Pearson Education
Journal articles
Cone, E. (2005) ‘Flavor of the Month. Ben & Jerry’s beats the heat with Web feedback.’, Cio
Insight, July, p. 20
Dairy Industries International (2010) ‘A natural treat’, Dairy Industries International, October,
21-22
Ratchfort, Brian T. (1987) “New insights about the FCB grid”, Journal of Advertising
Research, Vol 27(4), 24-38.
Watson, E. (2010) “ New ice cream definition would boost reformulation work”,
FoodManufacture.co.uk [online] (cited 21 May 2010) Available from :
http://www.foodmanufacture.co.uk/Regulation/New-ice-cream-definition-would-boost-
reformulation-work
Wills, A. (2008) “Behind Ben & Jerry’s cool brand values we find fresh environmental
initiatives that work”, Travel Trade Gazette UK & Ireland, 12 September, p.22
Wilkie, W.L (1994) Consumer hebavior, 4e
edition, New York: John Wiley & Sons.
Websites

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Unilever Global (2013) Ben & Jerry’s (cited 13 July 2012) Available from:
http://www.unilever.com/brands-in-action/detail/ben-and-jerrys/291995/
Databases
“Ice Cream in the United Kingdom” 2013, Ice Cream Industry Profile: United Kingdom, pp.
1-34, Business Source Complete, EBSCOhost, viewed 7 April 2013.
Mintel, Ice Cream – UK, July 2012 Date viewed: 9th March 2013
Mintel, Ice Cream Impulse – UK, February 2002 Date viewed: 9th
March 2013
Euromonitor International, Ice Cream In the United Kingdom – January 2013 Date viewed 9th
March 2013

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