Being the president of an ice cream company has its perks, but sometimes, I have to make tough decisions. One of those decisions was whether or not to decrease the size of Turkey Hill’s ice cream packaging.
I remember when buying a half a gallon of ice cream meant you actually brought home a half a gallon of ice cream. But times change. Today, the half gallon is extinct, and the new standard throughout the ice cream industry is 1.5 quarts. That includes Turkey Hill. Our containers used to be 1.75 quarts (56 ounces). At the beginning of the year, we began the shift to 1.5 quarts (48 ounces) for our Light Ice cream and Frozen Yogurt. In August we’re going to start changing over the Premium Ice Cream line.
The difference is about a cup of ice cream – about two servings – but it feels like more, doesn’t it? That’s why I struggled with the decision to downsize our containers. In fact, I resisted it for a long time. Longer than both our national brand competitors.
Contrary to what some may think, this is not a case of ice cream companies trying to deceive customers or yield huge profits. In the end, we had to do it. In our industry, and in many others, manufacturing costs continue to escalate. The costs of ingredients such as milk, cream, cocoa and sweeteners are also rising. So is the cost of packaging, fuel and labor.
Considering the circumstances, Turkey Hill was faced with three choices. First, we could use cheaper, lower quality ingredients to make a frozen Dairy Dessert (that’s not ice cream), as others have done. Anyone who’s ever tasted Turkey Hill ice cream knows that wasn’t even an option. Second, we could keep the containers the same size and raise the cost. That also wasn’t an option because raising the price would prevent Turkey Hill products from being able to compete for many grocery store sales promotions and everyday low cost programs. We also conducted focus groups and surveys, and our customers told us that raising the cost wasn’t something they’d like to see.
Instead, the overwhelming majority in our focus groups told us that keeping the price the same and decreasing the size of the package was the best answer, even if no one was really happy about it (including myself). It really is the most sensible solution, and one that will allow us to continue making ice cream in Lancaster County – instead of making it somewhere for less cost – and continue to use the premium ingredients that make our ice cream taste so good.
While we have reduced the size of the package we have maintained the quality recipes and selections of finest ingredients. We have also announced a small reduction in price effective October 6th to help stretch your dollar at the grocery store.
We hope you would agree with us that what matters is not the size of the package, but the passion of the people who make the product and the quality of what’s inside.
Quintin Frey
President, Turkey Hill Dairy
P.S. – More than anything, I want to know what you — our customers — think about this issue. Please feel free to offer your opinion by leaving a comment below.
These comments are intended to be a discussion of the information presented in the blog postings. Any product-related questions or other issues not related to the post should be referred to our consumer response team through the link on our Contact Us page, as they are the true experts in answering any questions or concerns you may have about Turkey Hill and its products.
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If you’ve got a technical question about the ice cream making process or some other inquiry about the nuances of America’s favorite treat, chances are Ernie has the answer. He might not be able to answer all questions, but he’ll try his best and some may be featured on the Ice Cream Journal.
Robert, try Blue Bunny ice cream. It’s the same size as the new, ‘improved’ reduced for your own good Turkey Hill, but it’s better ice cream by far.
David S., of COURSE you are correct. The crooks at Turkey Hill THOUGHT they could fool all of the people all of the time. Happily for them, they still have none too bright customers who will pay the half gallon price for a quart and a half, but hey, more power to the crooks.
Hey Quentin, did you see this video on CNN? Even the media now knows you are crooks. Rock on, Quentin. Caveat emptor, right?
http://www.cnn.com/video/#/video/us/2008/11/17/lawrence.small.size.cnn
It isn’t right and Turkey Hill knows it. The answer is to simply not buy their products. Our family stopped when they went to ridiculous 1.5 size carton. There are plenty of good alternatives around.
Disappointing that you gave in to the perceived “peer” pressure within the industry and couldn’t find the originality or integrity to make a stand, and be honest from the outset with the consumers. This token backpedalling apology is a transparent public relations maneuver. Insulted, and no longer a customer.
Of course we would all like to have the largest quantity for the same price? But then, we aren’t in charge, or are we? Previous posts have stated that Quintin is the man in charge and he can decide if the carton should be shrunk or kept the same. I disagree. The market determines price (thats basic Economics) the market also determines the products that are produced and sold (and the sizes they are sold in)! I don’t think Turkey Hill came to this decision lightly – they knew they would make a lot of people angry, why else would they have this post? I’m sure they did plenty of research and determined that they would loose more customers/sales by keeping their carton size the same – that means the MARKET determined the size of the carton, by the way, the market is you and I, the consumer. We can choose to buy quality or quantity – I for one, choose quality.
One other thing, with prices rising which one of us doesn’t want to be paid more this year than we were paid last year when prices were lower? Of course we all want a raise if not only to compensate for the rise in prices… its the same for corporate America, prices, demand, quantity and quality all change, we either adapt or die.
Ethan, it isn’t a question of quantity over quality. The shrinking cartons are not higher quality. It is a question of integrity.
But Quintin Frey is not the man in charge. Turkey Hill is owned by Kroger and that tells you all you need to know about where this decision was made.
I met one of the Wegmans execs at a store grand opening recently. I asked him what he thought of this downsizing in ice cream and he agrees that companies like Turkey Hill have really misplayed this one. He said that is why they still offer the larger cartons in their own brand of ice cream which is excellent btw.
There are good alternatives folks.
Do you realize by making a smaller package you are using more packaging – Hello!! And it takes up more room in the freezer. And you have to go to the store more often to buy more. If your family eats a lot of ice cream, the 1.5 size in ridiculous. I rather pay more for what we had, then pay more for an inconvenience.
Al Block, there are sadly no other choices in the Northeast.
The last holdout, Haagen Dazs, has decided to follow Turkey Hill in thievery and is lowering their ‘pint’ to 14 ounces, all the while graciously keeping the same price, therefore raising it.
Blue Bell is THE only holdout in the U.S. who has decided not to hose the loyal consumer and take advantage of the stupid consumer who pays more money for less product. Hopefully they too will not give in to greed, but that remains to be seen.
The sad part is, Blue Bell is only in the South and Southwest. All of the ice cream manufacturers selling less quantity for more money are located in the Northeast, where the consumer is stupid and the ice cream manufacturers are theives.
Has anyone else noted that Quintin didn’t bother to personally address his loyal consumer at all since his original pronouncement?
What do you think, guilt? Or just enjoying his thirty pieces of silver?
Fortunately, ice cream is NOT one of the major food groups.
Dolores, while the greedy brands like Turkey Hill have gone to 48 ounces, some of the store brands like Wegmans and HarrisTeeter (which are excellent) have stayed at 56 ounces and I am told they will remain there.
To your point about Mr. Frey, perhaps he thought his song and dance would dazzle his customers. But clearly they aren’t buying it.
Hey Mr. Frey, how are sales?
I am going to trust Mr. Frey that he is making the best decision for Turkey Hill. Most of us don’t know what it takes to run a business and even more of us don’t know simple terms like “profit”, “cost”, etc. Why don’t we let Mr. Frey do what he does best – run an ice cream company. Until you run your own ice cream company, it may be better to keep your mouth shut.
Turkey Hills says: “In our industry, and in many others, manufacturing costs continue to escalate. The costs of ingredients such as milk, cream, cocoa and sweeteners are also rising. So is the cost of packaging, fuel and labor.” Huh??? Costs of everything associated with the food industry are DOWN right now. Ingredients, packaging, fuel and labor – all down. None of this makes sense other than Turkey Hill trying to increase profits when the general public are losing their shirts in a faltering economy. Turkey Hill clearly isn’t alone with this approach. I buy Kroger’s house brand of ice cream, like it very much, and have seen them downsize from 2 quarts to 1.75 quarts to the most recent 1.5 quarts – all within about a year. The idea that the “price hasn’t changed” is clearly part of the problem. Of course the price has changed folks. We’re paying more for our half gallon, we’re just not purchasing it all at once now. In my profession in this economy, I couldn’t offer my “product” in this manner (I work in the transportation management field). My customer’s would demand to be charged less – and I would comply. They have less money to spend (as do I). I simply earn less, just like everyone else right now. The offset is that most things cost less. I can tell you that diesel fuel prices are WAY WAY down. Transportation costs aren’t about fuel alone. I can tell you that trucking companies are earning ALOT less now because they are not able to charge as much for their services (I know this because I pay them). I can’t speak with specific experience about the costs of ingredients, packaging and labor, but I cannot imagine the situation could be significantly different than it is for transportation. I’ll try to be PC here, but we all know that we have an almost endless supply of cheap labor now, and within the food industry, capitalization of this labor resource is most prevalent. So two major ingredients affecting TH’s decision – transportation costs and labor are very questionable. I would gather the other factors are probably questionable now as well. Anyway, I’m really disappointed that you’d reduce your package sizes and not just increase the price on the old package sizes. We’re paying more either way, so what’s the real difference? You’re creating a reputation of deception for your company. Really pitiful.
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Wow, what a load of crap. They charge the same for the smaller package as they did for the bigger. Therefore they are still raising the price. So there is absolutely no reason to shrink the product. If you’re going to raise the price than raise it and leave the size alone. Everything is shrinking from orange juice to ice cream to canned vegetables and soups. They think if they gradually shrink the packages no one will notice and they’ll get by with it. Pretty soon it’ll take four cartons of ice cream to fill an ice cream cone. Well, there’s an ice cream place not to far from me that sells a half gallon for the same price as the tiny little cartons in the store and they are far better than anything Turkey Hill pumps out.
I have talked with many friends and read these many comments on the blog. The theory that people preferred to have smaller cartons does not seem to be upheld by those who have expressed their own opinions absent the skewed questions on poll.
If you had wanted simply to accommodate those who wanted a carton that was more than a pint and less than a half gallon, a quart, with its own pricing, is the obvious, honest answer. I love your original, natural chocolate ice cream but I don’t love the excuses and half truths used to explain the deceptive packaging. I may have to start churning my own ice cream in order to have an honest product with wholesome ingredients without corporate mumbo-jumbo.
The reason Turkey Hill lowered the price is that their sales are in the tank. So after claiming that they shrunk the carton because the price of ingredients was soaring, now they claim they can lower the price?
It is a big fat lie.
The only time I still bring Turkey Hill hoe is when Wegmans gives it away for free. I have not purchased a carton ever since they reduced the carton size a second time.
Turkey Hill Neopolitan Ice Cream 1.5 quart size
LOT #l2/53 expiration: 4/14/10 purchased in Lodi, NJ ShopRite.
Let’s talk about deceptive advertising. On the picture of this container, you will see vanilla, chocolate and strawberry ice cream in equal sizes split in thirds.
When you open the lid, it’s more like 1/2 vanilla and 1/2 strawberry with a chocolate strip in the middle.
This is clearly cheating. I will be addressing this to the appropriate weights and means commissions.
If Mr. Frey is reading. Please address this issue.
Something doesn’t compute. Can’t raise prices? Shrinking packaging and keeping the price the same IS RAISING PRICES. I feel slightly insulted. 2 boxes used to be enough for our family. Now we go with 3 boxes to cover the hungry bases. The upside is we get 13% more ice cream for 50% more money and 1 extra flavor.
PS. My advice. Make the “half gallon box” 2.5 quarts. Price it what it is. Your ice cream IS remarkable, I don’t want it to be cheaper – not really. Be generous and I will buy generously. And tell my friends by having it at all our birthday parties. AND when my wife asks, “why do you buy the more expensive kind?” I will boast, “Honey, we got MUCH more ice cream for our money.” It’s easier for me to streeeetch the value proposition than to explain the shrinking package for the same price. To myself and to my wife. And you would be selling me 5 qt. instead of 4.5 qt. Irrational indeed – and true.
The cost of goods decision was made during an unusual economic time due to higher distribution and raw material cost. Generally it takes months to reformulate and repackage a product BUT
everybody knows that the production of any produce in a larger size is generally much more cost effective. The product size decisions were made when fuel cost were the highest ever and farm costs especially feed stock was out of control. We now are in a complete reversal of that trend and possibly might not see farm prices like that for some time to come. The raw material for ice cream aside from sugar, flavorings and such is milk. The bulk milk farm price to supplier is probably the lowest in twenty years. So the panic decision to reduce sizes of retail packaging to keep bottom lines in check is now reaping pretty good profits. With retail gallons of whole milk the some locations at $1.29 its almost like the depression when farmers dumped milk rather than get nothing. I noticed the change last year as did everybody else. Im curious what has happened to sales? I suspect that certain brands are sitting in the case.
So much for saving the bottom line. I have stopped buying many of the brands I used to buy. They have become a lousy value. Why not go back to the original size and spend a few bucks to advertise back to the old original package and make everyone happy. Coke was fast to realize their mistake a few years ago and many more consumers realize when a bad decision is made. Customer buying habits show that. Its interesting that the fastest growing segment is house brands in all markets. Standard sizes lower prices. Turkey Hill is still one of the finest house brands in food service but please dont continue to talk about the past lets look to the future of what can still be a wonderful product.
Why can’t you compete? Hershey Ice Cream has dealt with this why can’t you? They have a superior product and have a true half gallon. Yes they are not the cheapest brand but like anything else you get what you pay for. You changed the packaging and didnt say anything about it hoping no one would realize it.
Mr. Frey, 118 comments with the overwhelming majority being negative about TH shrinking the carton size. Seems like you are not listening or just don’t care what your customers think.