AVO

Ice Cream
No wrong way to eat an avocado

Team 3:
Lillie Spivey, Rob
Lamb, Marcela Roa,
Connor Pangman &
Kelly Wallace
 Executive Summary
✘ Create more value from avocados by making an avocado ice cream product

✘ Market Definition: health-conscious people who still want to indulge their

sweet tooths and are up for trying adventurous flavors
✘ Ingredients: Avocados, milk, limes, sugar, heavy cream
✘ Key Success Factors: Fresh ingredients, Distributor relationship, Market
Differentiation
 Operations Strategy
✘ Location of Production Plant:
○ Location is close to the port of Barranquilla
○ easier to keep the ice cream cold
○ The warehouse and Production Plant in same
building
 Operations Strategy
✘ Warehousing Decisions:
○ Location: Barranquilla, Atlantico
○ close to the port in Barranquilla
○ warehouse used for production and storage of the ice
cream
○ lease is 3,296 square feet. The cost is $3,214 USD/month.
 Operations Strategy
Inventory Management Decisions:

➔ Keep safety stock on hand

◆ Protect us from uncertainties in

either demand or replenishment time
◆ In the case of ice cream melting on
the ship
◆ Defective refrigerators
 Inbound Logistics
Supply needs:
Entry Mode:
● produce and package in ● avocados, milk, limes,
Colombia sugar, heavy cream, 3
● export to U.S. refrigerated trucks, 3 ice
● Use distributor to help cream refrigerator, ice
distribute to retailers cream maker
Choice of supplier or distributor:
● Avocado Farms in Montes de Maria Colombia
● Supplier Triton Colombia (STC) LTDA
 Inbound Logistics
✘ Use of intermediaries: distributor will help when the product gets to Miami

✘ Freight forwarding considerations: knowledge and expertise in transporting

refrigerated product; strong network of international freight agents;
flexibility; customer service level; level of technology available

✘ Method of Payment and Insurance: letter of credit for payment; Marine

Cargo Insurance; commercial credit insurance
 Target audience persona
tes Colombia
United sta
female Male/Female
35 years old 25 years old
Health conscious Health conscious
Drives a Subaru Adventurous shopping
Adventurous shopping habits
habits
 Branding & positioning
POSITIONING STATEMENT

✘ We are the only avocado-based ice cream that uses fresh

avocados directly from the source

OUR PROMISE

✘ We put quality at the forefront of our product

 Market differentiation
United States Colombia

● Packaging is clean and ● Vibrant color on

packaging
looks fresh
● Sold in Popsicle form
● Sold in pints
● Target Audience: Men
● Target Audience:
and women who are
health-conscious Moms health-conscious
 United States Price
Ingredients:

Avocado: 1.5 avocados ($0.40/avocado)

Milk: 1/2 cup ($0.13/half-cup)

Use Limes (Called Lemon Juice): half a

tablespoon ($0.08/tablespoon)

Sugar: ¼ cup ($0.08)

Heavy Cream: ¼ cup ($0.28)

Container (Pint) $1.14
Unit Cost (1 Pint): $2.31

Retail Price: $8.99/pint

Colombian Price
✘ Unit Cost (1 Pint): $2.31/pint

✘ THere are 4 servings in a pint and 1

popsicle will be 1 serving

✘ Retail Price: $2,000 pesos/popsicle

✘ Unit Cost (1 Popsicle): $0.60/popsicle

 Campaign Strategy

Advertising
Publicity
Support Media
Display Advertising
Sales Promotion
Direct Marketing
 1.
Viral Campaign
Traveling Ice Cream Truck
 Traveling Ice Cream Truck
✘ Park in “ mom filled locations” and popular beaches in Miami FL
○ Whole foods, Public Parks, Sport Complexes
✘ Samples of AVO Ice Cream
✘ Handout Coupons
✘ Postings on Twitter, Facebook, Or Instagram to inform
followers of our location
 2.
Awareness Campaign
Social Media and Endorsements
 Facebook

✘ We can reach the 140 Million ✘ Picture Submissions from

users aging from 18-44 families enjoying their AVO
Ice Cream to receive great
deals
✘ Our ads and viral campaign
will increase:
○ Traffic ✘ Promoting our ads will
○ Engagement further solidify our brand in
○ Word-of-Mouth the Health Conscious market
Ice cream
Ice cream

Stressful day at work?

You deserve to #treat

yourself

NEW AVO Ice Cream

Direct Marketing
Direct Mail Coupons:
We will focus on sending direct
coupons during particular times. This
includes long periods of rain, or heat
waves during the summer, as well as
around stressful times like tax day
and back to school.

Email:
We will give buyers the option of
signing up for coupons via email on our
website. Therefore we will be able to
spread knowledge of our product while
providing an incentive.
 Outbound Logistics
✘ Order Taking/Fulfillment:
○ Order Management Software called Vin eRetail
■ inventory management
■ order management
■ point of sales
■ low total cost of ownership
■ rapid implementation
■ real time visibility of inventory
✘ Channels of Distribution: refrigerated trucks and boats
 Transportation Mode

Truck f
rom Mo
nte ort
de Mar
ia to th o r t he sh
e ks f
wareho truc twee
n port
use n ce be
dis t a ort
Truck u s e and p
ho
ware

Warehouse ship
ier
o m Suppl
f r our
Truck truck bia to
the product will be put on ships
o lo m
nC
Trito from the port of barranquilla to
house
ware the port of miami (1330 Nautical
miles - 5.5 days at sea at 10 knots
 Transportation Mode (continued)

Goods shipped from

barranquilla port to
Port in miami
Distributor transports
product to retailers

port Warehouse

Truck

Truck from Port to retail

Warehouse in Miami
 Shipping Cost

✘ 250 ice cream containers x 20 cases per pallet= 5,000 ice

cream/pallet
✘ 5,000 pints of ice cream x 10 pallets on container = 50,000
pints/shipment
✘ Value of Merchandise per shipment = $115,500
✘ Freight cost from Colombia to Miami = $3,500
 Outbound Logistics
✘ Transportation Documents:
○ pro-forma and commercial invoice
○ certificate of origin
○ documents with a form designated for entry
○ bill of lading and packing list

✘ Distributor/Retailer Selection: Modern Retail stores:

trader joes, whole foods, natural food stores,
grocery stores that promote a healthier lifestyle;
Supplier Triton
 thanks!

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