JANUARY 2014 - $25.00
National Ice Cream Retailers Association Flavor Trends for 2014 by Melissa Healy Weber Flavors 2014 is here and with it comes a new year of flavor trends for ice cream. 2013 was full of interesting new flavor combinations and trends and 2014 is set to bring even more. Here are some of the trends to look forward to. SMOKEY/BROWN FLAVOR NOTES This trend was big in 2013 and is expected to grow and continue into 2014. Flavors in this category would include smoky bourbon flavors, burnt and brown sugars, crème brulee, and Indonesian and Tahitian vanillas. Some Smokey/ Brown concepts include: FUDGE BOURBON CARAMEL ICE CREAM: Rich Chocolate Fudge Ice Cream with a Whiskey Caramel and Chocolate Fudge Swirl and Chocolate Chunks. MAPLE BACON ICE CREAM: Maple Ice Cream with smoky candied bacon pieces. This smoky sweet flavor also works well with the breakfast flavors trend. RASPBERRY CRÈME BRULEE ICE CREAM: French Vanilla Custard or Crème Brulee Flavored Ice Cream with a raspberry variegate or burnt sugar variegate and burnt sugar pieces. This rich premium dessert translates well in ice cream. RETRO DESSERTS From southern style peach cobbler and bread pudding to pistachio pudding and pound cake retro desserts are on trend. Other retro dessert concepts include: PEANUT BUTTER & JELLY ICE CREAM: Peanut Butter Flavored Ice Cream with a Grape or Strawberry Jelly type Variegate. This nostalgic flavor would be popular with adults looking to recapture tastes of their childhood and with kids as a dessert version of the lunchtime favorite.
IN THIS ISSUE
Flavor Trends for 2014 by Melissa Healy, Weber Flavors.................................1 Master-Bilt Recognized.....................................................2 Food Addiction Claims Threaten Ice Cream Industry by Garry Buttermann, TopHill Bakery LLC................2 When to Run, When to Hide: Tips that Could Save Your Life by Dennis Krebs...........................................................7 Wintertime Promotions by Kelly Larson, Sweet Temptations............................8 Dingman’s Dairy Awarded Brass Ring..............................9 Are You Penny Pinching Yourself Out of Business by Sean C. Castrina.....................................................10 Butter Prices.....................................................................11 Officers, Board Members, Supplier Officers...................12 OATMEAL SCOTCHIES ICE CREAM: Oatmeal cookie ice cream with a butterscotch variegate and butterscotch chips and oatmeal cookies pieces. An ice cream twist on the popular classic cookie. BOURBON BREAD PUDDING ICE CREAM: Bread Pudding Flavored Ice Cream with a whiskey caramel variegate, cake pieces and raisins. A boozy twist on a classic dessert this also fits into the growing trend of liquor flavors in ice cream. RICE KRISPIE TREAT ICE CREAM: Crispy Rice Treat flavored ice cream with a marshmallow variegate, Rice Krispie Treat Pieces and Colorful confetti sprinkles. Kids and adults alike love this nostalgic flavor. SWEET POTATO PIE ICE CREAM: Sweet Potato Ice Cream with a Brown Sugar Variegate and a Marshmallow variegate. A fall favorite. FUNNEL CAKE ICE CREAM: Funnel Cake flavored ice cream with a powdered sugar variegate and fried dough or pizzelle cookie pieces. A delicious ice cream version of the delicious festival favorite. PINEAPPLE UPSIDE DOWN CAKE ICE CREAM: Pineapple Upside Down Cake Flavored ice cream with
CALL YOUR NICRA SUPPLIER MEMBERS FIRST Pineapple Pieces, Maraschino Cherries and Yellow Cake Pieces.
Cream Swirled with Donut Flavored Ice Cream and a Donut Glaze Variegate with Donut Pieces.
STRAWBERRY SHORT CAKE ICE CREAM: Sweet Creamy Ice Cream with a strawberry variegate, whipped cream variegate and shortcake pieces.
BEVERAGE FLAVORS Many fun popular flavors that have been happening in the beverage industry are now making their way to frozen desserts. Some fun concepts are:
BLACKBERRY COBBLER ICE CREAM: Blackberry Ice Cream with a blackberry variegate and pie crust pieces. BREAKFAST FLAVORS Traditional breakfast flavors have been worked into desserts and other meals lately and this trend is continuing into 2014. Some concepts working into this trend are: BLUEBERRY WAFFLE ICE CREAM: Waffle Maple Butter Flavored Ice Cream with a blueberry variegate, waffle pieces and blueberry pieces. Maple flavor is rising in popularity as well and this would play into that trend as well. ORANGE CINNAMON BUN ICE CREAM: Cinnamon Bun Flavored ice cream with a cinnamon honey variegate and an orange flavored frosting variegate with cinnamon bun pieces. COFFEE & DONUTS ICE CREAM: Coffee Flavored Ice
SWEET TEA/ARNOLD PALMER ICE CREAM: Sweet Tea flavored ice cream with a lemon variegate or a lemon variegate and tea cake or sugar cookie pieces. Tea and Sweet Tea specifically has been huge in the beverage industry in the past few years and the flavor trend is now making its way over to ice cream. Lemon and Honey are always popular additions to this. ROOT BEER FLOAT: Root beer flavored Ice Cream with a fluffy vanilla cream variegate or Vanilla Ice Cream with a root beer variegate. This popular treat made with ice cream now works well as an all in one flavor. CHERRY LIMEADE ICE CREAM: Cherry Ice Cream swirled with Lime Sorbet. CARAMEL MACHIATTO LATTE ICE CREAM: Coffee or Espresso Flavored Ice Cream with a creamy caramel variegate and chocolate pieces. HORCHATA ICE CREAM: Horchata flavored Ice Cream with a cinnamon honey variegate. ALCOHOL FLAVORS Alcohol and boozy flavors are making their way into many desserts including ice cream. These fun adult flavors make for very tasty ice cream. Some concepts include:
The Natural Choice For FlavorsTM
Super-premium f lavors for:
Ice Cream r Soft Serve Gelato r Sorbet Custard r Sherbet Frozen Yogurt No artificial ingredients No artificial taste
800-639-8653 GreenMountainFlavors.com *One-pint minimum order
2
MARGARITA ICE CREAM: Tequila Flavored Ice Cream with a Lime variegate. BLACKBERRY MOJITO ICE CREAM: Blackberry Mojito/ Mint Flavored Ice Cream with a Blackberry Variegate and Blackberry and Mint Leaf Pieces. BEER AND PRETZELS ICE CREAM: Chocolate stout beer flavored ice cream with a chocolate stout fudge variegate, a salted caramel variegate and chocolate covered pretzel pieces. IRISH COFFEE ICE CREAM: Irish Cream flavored ice cream with a coffee variegate and a whipped cream variegate. GREEK FROZEN YOGURT Greek yogurt exploded in the market in 2013 and is set to expand even larger into the frozen dessert market into 2014. Here are some yummy concepts for this product trend: TOASTED COCONUT GREEK FROZEN YOGURT: Coconut Greek Frozen Yogurt with Toasted Coconut NICRA January 2014
NICRA January 2014
3
CALL YOUR NICRA SUPPLIER MEMBERS FIRST Flakes and Chocolate Chunks. This plays into the growing popularity of coconut as well. BLOOD ORANGE POMEGRANATE GREEK YOGURT: Blood Orange Flavored Greek Yogurt with a Pomegranate Variegate. LEMONGRASS BASIL GREEK FROZEN YOGURT: Lemongrass Basil Flavored Greek Yogurt with a Lemon Variegate. BLUEBERRY PINEAPPLE GREEK FROZEN YOGURT: Pineapple Flavored Greek Yogurt with a Blueberry variegate and Pineapple and Blueberry Pieces.
SUPPLIER MEMBER SPOTLIGHT Food Addiction Claims Threaten Ice Cream Industry by Garry Buttermann TopHill Bakery LLC In 1994, the Associated Press reported a study stating, “Drug cravings gene also linked to food addiction.”
CHOCOLATE CHEESECAKE GREEK FROZEN YOGURT: Cheesecake Flavored Greek Yogurt with Rich Chocolate variegate and Graham cracker pieces.
In 2001, a researcher for the National Institute on Aging told the Society for Neuroscience, “It appears that food addiction is probably the major health problem in the United States.”
POMEGRANATE MANGO GREEK FROZEN YOGURT: Mango Flavored Greek Yogurt with a Pomegranate variegate.
In 2009, former FDA Commissioner David Kessler published a book titled The End of Overeating that claimed the food industry develops processed foods that “hijack our brains.”
Have fun creating new on trend flavors and have a great 2014 season!
MASTER-BILT RECOGNIZED BY FOODSERVICE EQUIPMENT AND SUPPLIES MAGAZINE AS 2013 BEST IN CLASS Master-Bilt, manufacturer of a full line of commercial refrigeration equipment, was recognized for excellence by Foodservice Equipment and Supplies (FE&S) magazine’s 2013 Best in Class study for the second consecutive year. FE&S asked foodservice dealers, consultants and multi-unit operators to rate individual manufacturers on a list of specific attributes. Master-Bilt received the top ranking in Walk-in Refrigeration in the Operators’ category in both 2012 and 2013. Bill Huffman, Master-Bilt’s vice president of sales and marketing, attributes their success to quality products and outstanding attention to detail. “Master-Bilt attends to the details that make a difference, such as five and six-inch panel thicknesses, ideal for supporting snow loads and for providing additional energy efficiency,” says Huffman. “Since doors receive the most wear and are vital to good refrigeration, Master-Bilt takes extra steps to design energy efficient and durable doors. We offer quick ship, a wide range of panel finishes, refrigeration systems and other customizable options to enhance the customer’s experience.” “We are very grateful to all the operators who chose us for this award,” Huffman said. “It’s rewarding that our customers place their trust in our products, and we are working to keep earning that trust every day.” 4
In 2011, Kessler was featured on “60 Minutes” in their first segment on food addiction titled “The Flavorists.” He claimed artificial flavors are getting people hooked stating, “We’re eating fat on fat on sugar on fat with flavor.” His theme that industry was hijacking our brains continued. Since then, many others in the news have suggested sugars and fats and salts are bad for our health and consumption should be strictly regulated. The attacks on the food industry, including the ice cream industry, are on the rise! One example was a New York Times reporter who wrote a book titled, “Salt, Sugar, Fat: How the Food Giants Hooked Us.” The author suggests that the food industry is conspiring to find a perfect outcome of addictive foods by researching and developing new flavors and tastes. Another example was a Google search volume study of the concept of addictive foods. A graph showed a dramatic increase in searches spiking in 2004 and 2006 through 2011. However, internet searches in 2012 increased at least tenfold compared to 2011 and this trend is continuing. It seems researchers and consumers are reacting to the negative press more than ever before. Recently, Opinion Research Corporation conducted a national poll indicating 58 percent of Americans already agree with the statement that some foods are addictive and 51 percent believe that food companies intentionally manipulate recipes to create addictive foods. It seems the regulators conversely have no problem with “hijacking our brains” despite Kessler’s warning. Activists advancing the addiction theory are attacking the soft drinks industry to establish a precedent to attack other types
http://www.nicra.org
NICRA January 2014
NICRA January 2014
5
CALL YOUR NICRA SUPPLIER MEMBERS FIRST of food industries later. Specifically, the “addictive combination of sugar and caffeine” in colas is emphasized. Could the “addictive combination of sugar and fat and salt coupled with flavorings” in ice cream be next on their attack agenda?
currently? The FDA requires labeling for foods under the Federal Food, Drug, and Cosmetic Act and its amendments. Food labeling is required for most prepared foods, such as breads, cereals, canned and frozen foods, snacks, desserts.
The activists will draw a parallel comparison between the ice cream industry and the tobacco industry. We should recall that over ten years ago, plaintiff’s attorneys were trying to prove that consumers were not personally responsible for their decisions to smoke cigarettes. Activists believe that the “extra” sugar, salt, or fat in ice cream are the same as the nicotine that makes cigarettes addictive. These people want to use this idea to have government control how much sugar, salt, and fat we can use in our recipes.
Obesity rates in the U.S. have consistently surpassed other industrialized countries since 1960. According to Wikipedia, in 1962 obesity for adults over 20 years of age was 13% living at or near the poverty level. By 1997, it was 19.4%. In 2010, the Centers for Disease Control and Prevention reported 35.7% including 17% of all children. Obesity has been cited as a contributing factor to approximately 100,000400,000 deaths per year and allegedly costs society roughly $117 million in direct (treatment) and indirect (lost earnings) in cost. Commentators and politicians speak of an “obesity epidemic.”
We feel that rich, high quality ice cream is a product trying to please more customers. But they feel it is a product of some industry conspiracy. And if they prove that richer and tastier ice creams contain “extra” ingredients, does this make them addictive? And even if it can’t be “proven” addictive, will the simple idea lead to government regulations on ice cream products beyond the current regulations of today. New warning label laws for packaging might only be the beginning. Tobacco faced a multi-billion-dollar legal settlement after nicotine memos were discovered during the course of class action lawsuits. Yes, ice cream industry supporters should be warned that it could happen to ice cream too if we don’t respond, both individually and collectively. Yale’s Rudd Center for Food Policy and Obesity is advancing the food addiction theory. So is the National Institute on Drug Abuse. So is a former FDA Commissioner. In 2013, the American Medical Association declared that obesity is more than a medical condition for overweight Americans. It is a disease! This news brings into consideration the impact on consumer choices of good tasting foods from advertising ice cream with sugar and fat and salt content. In fact, shortly after AMA’s declaration, a columnist from the Dallas Morning News demanded that Wendy’s new pretzel bun cheeseburger must have a warning label. So how far behind this news are the trial lawyers who are looking for a new cause? Tobacco class action claims were in the billions of dollars. The food industry is a much larger target for lucrative settlements. All lawyers have to do is suggest that food executives “knew” their companies were selling “addictive foods” and they can use parallel comparisons with tobacco lawsuits claiming consumers’ personal choices were made under the influence of addictive foods advertising and marketing ploys. Therefore, it’s not consumer personal choice because it’s an addiction. Higher risk of contracting obesity disease and/or heart disease was caused? Why didn’t someone warn consumers? Lawyers can claim, “It’s not their fault!” and jurors might listen.
Three U.S. studies showed a link between sweet soda and fruit drinks to obesity. One study showed that “drinking sugary drinks was affecting genes that regulate weight and increased the genetic predisposition of a person to gain weight.” The other two showed that “giving to children and adolescents calorie-free drinks like mineral water or soft drinks sweetened with artificial sweeteners resulted in weight loss.” Ice cream was not mentioned. American diets favor foods with high carbohydrate content. A more sedentary lifestyle is another possible contributing factor due to irregular physical activity where more than 60% of adults do not exercise and approximately 25% do not exercise at all. In summary, the first major battle over “addictive foods” will be fought in the market place as activists and government pursue new regulations to control the distribution and consumption of foods containing sugar and fat and salt. Meantime, activist lawyers are working in hopes of finding sufficient cause to file class action lawsuits against food manufacturers and marketers. This one-two punch will not only affect the soft drink industry. Other food industries, including ice cream, will be caught in the cross fire and must be prepared to defend their good-tasting foods by educating the public via advertising and other means. NICRA members sell frozen dessert products loaded with nutrients that create a healthy benefit to our customers! Our products are priced so that all Americans can afford ice cream including families in poverty. There are many positives associated to our products which offset any negatives that could drag us over the “addictive foods” line. But we must be proactive in order to demonstrate those benefits to society before the activist regulators can overwhelm us via legislation which would limit our customers’ right to choose. For more details on existing federal regulations harmful to our industry and customer rights, contact The Center For Consumer Freedom on their website at www.ConsumerFreedom.com in Washington, D.C.
How does the U.S. government address consumer concerns 6 http://www.nicra.org
NICRA January 2014
When to Run, When to Hide: Tips that Could Save Your Life
by Dennis Krebs
It seems that mass casualty shootings—active shooter situations in law enforcement terms—have been occurring with alarming frequency. Yet, such sad incidents are nothing new. One of the earliest recorded was in 1949 when a lone gunman killed 13 people in Camden, New Jersey. Since that time towns and cities like Jonesboro, Arkansas; Littleton, Colorado; Fort Hood, Texas; Newtown, Connecticut; and Washington D.C. are but a few of the places where the ugliness of mankind has become apparent.
The law enforcement community as well as fire and rescue services have adapted to meet these threats. Often times however, these incidents end as quickly as they begin. The Federal Bureau of Investigation notes the average active shooter incident lasts less than 12 minutes; 37% last less than 5 minutes. Thus, relying solely on local law enforcement to mitigate the situation may not be in your own best interest. Forty-three percent of the time the assailant stops prior to the arrival of police.
But simple measures can keep you, your friends, and your family alive. Consider the following:
1. Mentally prepare yourself. Unless you have been trained to deal with emergent situations, the simplest of actions may be difficult to accomplish. One moment you may be shopping for a Christmas or birthday gift, when suddenly gunfire erupts. You can’t believe what you are seeing and hearing. You want to do something…yet your muscles won’t react. The mind has difficulty accommodating radical change. Certainly someone being shot only feet away, when you are purchasing a gift, could be considered radical change. So, mentally prepare yourself. Take a second and play the “What If” game. Is there a door at the rear of the store with an exit sign over the top of it? That sign means the door or the hallway beyond will lead to the outside of the building.
2. When in doubt, run. Grab the kids and run! Nope, leave the packages behind. They are not worth your life. It was surprising watching videos of the shooting incident at Los Angeles International Airport on November 1, 2013. Passengers were running through the terminal dragging one, sometimes two pieces of luggage behind as they tried to flee. Think about it, is there anything in that Samsonite that is worth your life?
3. Assist others that may need help – and hide. Assist others nearby that may need help in their escape. However, do not fall victim to someone else’s reluctance to flee—get out. If you are trapped, find an office, closet, or classroom. Close and lock the door; barricade it with heavy furniture if NICRA January 2014
7
CALL YOUR NICRA SUPPLIER MEMBERS FIRST necessary. And, find something heavy to hide behind, a large desk or heavy piece of equipment will do nicely. At a recent mall shooting, a store employee quickly closed the heavy gate at the entry to the store so the shooter could not enter. Great thinking!
It would be nice to think that we would never see another mass shooting. Yet, the reality is that it will happen again. Sometimes the simplest of measures can have the biggest impact on life and death in tragic situations. Be prepared and stay safe.
4. Keep yourself quiet. Stay quiet and silence your cellphone. The last thing you need is for it to give away your position. Shut off any radios or TV’s nearby, they may draw the shooter’s attention.
Dennis R. Krebs spent 7 years as a tactical medic and a combined 40 years in the fire and rescue service. His past job titles include Captain of the Baltimore County Fire Department, Decentralized Medic for the Casualty Care Research Center of the Department of Defense, Mission Support Specialist for the Federal Protective Service of The Department of Homeland Security, Senior Mission Specialist for the Johns Hopkins Division of Special Operations, instructor of tactical medicine for S.W.A.T., and instructor of Tactical Combat Casualty Care. Krebs has written guides including When Violence Erupts, A Survival Guide for Emergency Responders and Special Operations Mission Planning Guide. He has also done countless articles, seminars, and periodicals on fire, EMS, and law enforcement. His newest book Medic Up: Where Criminals, SWAT Teams & Medicine Intersect is based on his experiences in the field.
5. Call 911. Once you have escaped the area or have barricaded yourself in a room, then call 911. Take a deep breath and stay calm. Easier said than done, however the 911 operator will need to understand what you are trying to convey. Your information is a monumental help to responding law enforcement and fire/rescue. Let the operator know where you are located and whether anyone with you is injured. Did you see anyone else injured as you attempted to escape or head to your hiding place. How many gunmen are there? If you caught a glimpse of the shooters, provide their physical description to 911 (height, weight, race, clothing, etc.). What type weapons did they have—handgun or rifle? The FBI reports that in 2% of cases the shooter brings along improvised explosive devices (IEDs). Let the operator know if you heard an explosion or you saw the suspect carrying any strange looking devices. At Columbine, Harris and Klebold set a number of IEDs throughout the school grounds.
6. Clarify your identity. When the police arrive, put your hands up and drop anything that might be in your hands. Remember, they aren’t positive who the shooter might be. In fact, someone else seeing you running away may have mistaken the cellphone in your hand as a weapon and provided your description to responding officers. There have also been instances where suspects have changed clothes.
7. Follow the officers’ directions. Follow the direction of responding officers exactly. You may even be handcuffed initially. Do not argue! Follow officers’ direction on which way to evacuate. Do not attempt to retrieve personal belongs prior to exiting!
8. Save a life – if possible. The reality of these situations is that people will be injured. Some may die. However, you may be able to save a life with a few simple interventions. If someone is bleeding, grab whatever absorbent material is nearby—towel, shirt, even a sock—and apply direct pressure to the wound. Most bleeding can be controlled in this manner. If no absorbent material is readily available, you can use the heel of your hand. Rarely are there rubber gloves available to protect against the spread of disease; any plastic material within arm’s reach will do. Should you hear gurgling noises from their airway, they may be choking on blood. Roll them to their side to let the blood drain. Finally, cover them with a blanket or coat to prevent shock. These efforts may just be enough to save a life.
8
Wintertime Promotions by Kelly Larson Sweet Temptations Winter is here to stay and those of us who are still open sometimes wonder what we are doing! Here are a few ideas to keep customers coming in the door! 1. SALES - Just last weekend we had a spur of the moment half price ice cream sale. Our ice cream sales were twice that of those compared to the same weekend the year before. We only advertised on Facebook and through our email list. I also love to do white sales in January (anything white is 25% off) as well as periodic cake sales (quarterly?). I advertise those a bit heavier and get a great holiday preorder business. 2. SNOWING - I think I stole this idea from my friends at Anderson’s, but for the last 5 years or so we’ve had ice cream be half off when it’s snowing. This is a fun thing for our customers and it makes them think of us when it snows. My friend in the advertising business thinks that I should get mini snow scrapers for cars and put “Half Off When It’s Snowing at Sweet Temptations” on them. He figures I’d be slammed if I went out during the first blizzard and stuck them on cars in our local factory parking lots. 3. SUNDAE BARS - Who says your catering business can’t be as busy in the slow season? There are as many anniversaries, employee incentives and parties over the winter as there are over the summer. With your extra time, develop a catering plan and bring samples to your local companies with your new flyer. Perhaps you could have a
http://www.nicra.org
NICRA January 2014
CALL YOUR NICRA SUPPLIER MEMBERS FIRST winter special. Heck, who wouldn’t love 200 sundaes at $4.00 instead of $5.00 when it only costs you an hour or two of labor this time of year? 4. FUNDRAISING - Start calling schools. Have incentive nights where you give a portion of the sales. Have them sell gift certificates for you. Call all of your local churches and private schools and make sure you are on their SCRIP list (and do double reward for the first month to get people excited about buying your gift cards!). Then go to all of the local non-profits. Have a fundraising night for them too, and better yet, develop a sundae or a special flavor just for them to push on their big night. A fun group to partner with is your local schools’ Drama departments. Last night we did a fundraising night for ours and the characters from Charlotte’s Web came in costume and signed autographs. The other local school, not to be outdone, is coming in a couple weeks in their Beauty and the Beast getups. I missed promoting this the first time to the local elementary and preschools, but I will certainly do an email blast to all of the school secretaries asking them to pass it on to the teachers (and they will because it’s for the school!). 5. PARTY - Who says you can’t have fun this time of year? On my calendar towards Christmas this year, we are going to have an Ugly Christmas Sweater Party. We also have a PJ Party over the winter and added the International Eat Ice Cream for Breakfast Day to our lineup. Make up a reason and go with it. It doesn’t have to be expensive, it just has to be fun and get people in the door. Ask for your employee’s help.
DINGMAN’S DAIRY AWARDED 2013 BRASS RING FOR THE BEST NEW PRODUCT Dingman’s Dairy, Paterson, New Jersey was awarded the 2013 Brass Ring for the best new product in Food Services at the IAAPA Attractions Expo in Orlando, Florida this past November. Dingman’s Dairy, owners of Scara’s New York Gourmet Italian Ice, was proud to accept the award for its 8 oz. chocolate Italian ice cup. The chocolate ice was judged as having super taste as compared to others in the competition. Dingman’s Dairy has been working on perfecting the new, chocolate flavor and we are very satisfied with the results. It has that old-fashioned taste and texture that is enjoyed until the last spoonful. The chocolate ice is reminiscent of the homemade ice made by small specialty shops in years past. This is the seventh Scara’s flavor added to the 8 oz. cup line, in addition to the existing 19 flavors in the 2.5 gallon tubs. Scara’s New York Gourmet Italian Ices brand name was born when Scara’s opened its retail store in Keyport, New Jersey in 1995.
6. COMMUNITY EVENTS - Our fire safety week was midOctober. I provided my $1 gift certificates to all 6 local fire departments to pass out to kids. There is a holiday parade that we walk and pass out gift certificates. I could do a float if I wanted to. Try to coordinate with what’s going on in town instead of compete. Winter sales in my neck of the wood won’t ever match the summer, but we keep pushing them to help pay those bills! Good luck!
Make Your Plans NOW to Attend NICRA’s 81st Annual Meeting November 11-13, 2014 Hyatt Regency Hotel Lexington, Kentucky NICRA January 2014
9
CALL YOUR NICRA SUPPLIER MEMBERS FIRST
Are You Penny-Pinching Yourself Out of Business?:
Five Expenses You Should Never, Ever Skimp On
If you’re a small business owner, it’s probably a vast understatement to say that you don’t
have money to burn. But according to Sean C. Castrina, there are some areas in which it
doesn’t pay to cut costs. Here, he outlines five areas in which you should never be cheap. If you’re bootstrapping your own business, you know all about doing more with less. The ability to stretch a budget is a survival skill, especially in those cash-strapped early days. And because you know you’re never much more than a bad quarter or an unexpected expense away from closing your doors, you’re always looking for new ways to save money. But here’s the real question, says Sean C. Castrina: Are you being cheap about the wrong things? “If your goal is to cut costs at any cost, you’re heading into dangerous territory,” says Castrina, author of 8 Unbreakbable Rules for Business Start-Up (Champion Publishing, 2013, ISBN: 978-0-989-10456-2, $14.87, www.newbizcoach.org. “And too many entrepreneurs don’t just wander into Cheapskateville—they set up shop there. “Avoiding unnecessary expenses is one thing; becoming a fear-driven perpetual penny-pincher is another,” he adds. “Too many people can’t see the difference. And that’s too bad, because ‘cheapness’ can hurt the value of your product or service, or the efficiency of your business, both of which will drive customers away.” Having started more than 15 companies in industries including direct mail, home services, property management, retail, and more, Castrina knows just how tough it is to write checks to employees, vendors, landlords, banks, etc. when your hopes, dreams, credit, and livelihood are at stake. Yet making those checks too skimpy can cost you big down the road. “Subject every prospective cost-saving measure to this litmus test: What are the possible short- and long-term effects of this decision?” he advises. “Will it save my business money without negatively affecting profits? Sometimes, the answer is ‘no.’” Here, he takes a look at five penny-pinching sins that are costing your business: PENNY-PINCHING SIN #1: Paying employees the bare minimum. Excessive tightfistedness on payday sends a very clear message to your employees: “I place a low value on you and what you do for my company. I don’t see you as a person with talents and unique abilities, but as a debit on my monthly expense report.” And that, Castrina points out, is the 10
kind of message that sends skilled employees running for the hills, costing you money in lost productivity, turnover, and customer dissatisfaction. “Yes, some low-skill positions can be filled by just about anyone and shouldn’t come with a high salary,” he comments. “But if you have experienced, efficient employees with a high level of expertise, you need to compensate them fairly. Quality employees can make or break your company. Ask yourself: Would I want this person working for the competition? If not, pay them well and keep them on your team indefinitely.” PENNY-PINCHING SIN #2: Using an in-house bookkeeper. According to Castrina, too many small business owners do bookkeeping in-house. Why is that a problem? First, he says, many boss-designated bookkeepers don’t completely know what they’re doing. For instance, they may use unnecessarily broad headings or classify items incorrectly. Sooner or later, your accountant (or worse, the IRS) will charge you to correct these mistakes, saving you nothing. “The larger problem, I’m sad to say, is that it’s easy for an in-house bookkeeper to steal from you,” Castrina says. “It’s happened to me and to many other small business owners. Now, I’m adamant about hiring a third-party bookkeeper who reports to me directly. I ask my staff to leave this contractor alone, just as they would an IRS auditor.” PENNY-PINCHING SIN #3: Skimping on legal services. Castrina recalls going through a touchy legal matter several years ago. When he described the matter to an older business colleague, his colleague had this to say: “Your attorney is a nice guy, and he’s good with general matters, but for this situation you need a killer. You need someone whose name strikes fear into the heart of opposing council!” “I took my colleague’s advice because I knew he’d been in my shoes,” Castrina says. “And I’m so glad I did! The matter went away quickly and was some of the best money I ever spent on higher-priced billable hours. For general matters, I like hiring young, new-to-their-firms attorneys whose rates are low and who are really trying to earn my business. But for matters in which your company’s survival is at stake, hire the best lawyer you possibly can.” PENNY-PINCHING SIN #4: DIYing branded materials. “You have one chance to make a good first impression.” We’ve all heard this advice our entire lives, but too often, business owners forget it…often, to their detriment. “We’ve all encountered a business that made a poor impression because their employees weren’t wearing uniforms or because their signage wasn’t professionally created…and don’t even get me started on forms, business cards, stationery, and websites made with ‘do it yourself’ kits!” Castrina says. “The fact is, customers are always going to judge busi-
http://www.nicra.org
NICRA January 2014
CALL YOUR NICRA SUPPLIER MEMBERS FIRST nesses by their covers. So if you want to be paid like a great company, you need to look like one.” PENNY-PINCHING SIN #5: Relying on word-of-mouth marketing. Have you ever heard of Budweiser? This, of course, is a ridiculous question. Everyone has heard of Budweiser. Among (many) other things, the company produces an endless stream of expensive, Hollywood-quality commercials just to remind consumers of the well-established fact that it sells beer. The point is, no matter how successful they are, great companies are always trying to communicate with and attract potential customers. “If I hear one more small business owner tell me that he or she believes in ‘word-of-mouth marketing,’ I may scream!” Castrina comments. “Don’t get me wrong; customer referrals are very powerful and can really help drive your business. But I’ve never owned or worked with a company—even those with A+ BBB ratings—that owed more than a third of sales to word-of-mouth business. The fact of the matter is, if you try to save money by not budgeting for marketing, you’ll save your way right out of business. You simply must spend money to attract customers.” “Here’s the bottom line: In business, you get what you pay for,” concludes Castrina. “If you try to skimp on something that affects the experience your company offers consumers or that compromises its ability to run efficiently, your efforts will probably backfire. As an entrepreneur, it’s good to be frugal…but it really doesn’t pay to be cheap.”
About the Author:
Sean C. Castrina is the author of 8 Unbreakable Rules for Business Start-Up Success (Champion Publishing, 2013, ISBN: 978-0-989-10456-2, $14.87, www. newbizcoach.org) and the soon-to-be-released 8 Unbreakable Rules for Small Business Dominance. He is also founder of newbizcoach.org. A successful business coach and a true entrepreneur, he has started over 15 successful companies over the last 18 years. His companies have ranged from retail, direct mail marketing, and advertising to real estate development and home services. Sean is a sought-after speaker and can speak with authority on what it takes to start, sustain, and grow a business.
BUTTER PRICES November 27, 2013 - Grade AA Butter finished at $1.6500 The weekly average was $1.6600. (2012 price was $1.6375) December 6, 2013 - Grade AA Butter finished at $1.6450. The weekly average was $1.6410. (2012 price was $1.5870) December 13, 2013 – Grade AA Butter finished at $1.5700. The weekly average was $1.6300. (2012 price was $1.5940) December 20, 2013 - Grade AA Butter finished at $1.5525. The weekly average was $1.6105. (2012 price was $1.5575) Support prices for butter start at $1.05. Butter prices are reported from the Chicago Mercantile Exchange every Friday. The Merc is considered a spot market for butter.
Subscribe to
The National Dipper ®
The only magazine that keeps you up-to-date in the retail frozen dessert industry.
Regular columns include: • New Products • Industry News • Calendar of Events • Classified Special features include: • Equipment Reviews • Management Articles • Association Events • Employee Training • Promotions • Annual Source Book Also Available: • Dipping Tips Training Posters • Manuals for Costing Products • Employee Training Posters • Point of Sale Posters • Magazine Binders
®
NICRA January 2014
Call or write for a subscription today! 1028 West Devon Avenue • Elk Grove Village, IL 60007-7226 Phone: (847) 301-8400 • Fax: (847) 301-8402 e-mail:
[email protected] Subscribe on-line at: www.nationaldipper.com 11
2014 NICRA OFFICERS
President Nanette Frey, Frey’s Tasty Treat, Inc., E. Amherst, N. Y. President Elect Carl Chaney, Chaney’s Dairy Barn, Bowling Green, Ky. Vice President Jim Oden, Debbie’s Soft Serve, Smithsburg, Maryland Immediate Past President David Zimmermann, Royal Scoop Homemade Ice Cream Bonita Springs, Fla. Executive Director Lynda Utterback, Elk Grove Village, Ill. Terms Ending Annual Meeting 2014 Valerie Hoffman, Yummies, Warsaw, N.Y. Kelly Larson, Sweet Temptations, Grand Haven, Michigan Johnny McGregor, Clemson University Clemson, South Carolina Bob Turner, Dairy Corner, Urbana, Ohio Terms Ending Annual Meeting 2015 David Deadman, Chocolate Shoppe Ice Cream Madison, Wisconsin Cliff Freund, Cliff’s Dairy Maid Ledgewood, New Jersey Vince Girodano, Sno Top Manlius, New York Bob Hearn, Hearn’s Ice Cream, St. Marys, ON, Canada Juergen Kloo, Joy Cone Co. Hermitage, Pennsylvania
MISSION STATEMENT FOR NICRA
The mission of the National Ice Cream Retailers Association (NICRA), a non-profit trade association, is to be the leader in the frozen dessert industry that others look to for help, support and education. NICRA will promote business growth and development throughout the industry.
VISION OF THE ASSOCIATION
NICRA will associate with similar associations dedicated to the same interests. NICRA will facilitate communication and education that both newcomers and veterans in the industry desire to be successful. NICRA will maintain a feeling of family within the association as it grows, and be dedicated to responsibly managing the association while maximizing value to the members.
NONDISCRIMINATION POLICY
Terms Ending Annual Meeting 2016 Jim Brown, Penn State University, University Park, PA Mary Leopold, Leopold’s Ice Cream Savannah, Georgia Jim Marmion, Advanced Gourmet Equipment Greensboro, North Carolina Neil McWilliams, Spring Dipper Mammoth Spring, Arkansas
2014 SUPPLIER OFFICERS
President Andrew Jones, Lloyds of Pennsylvania, Exton, PA Vice President Hank Sweeney, Classic Mix Partners, Neenah, WI Secretary/Treasurer Lisa Gallagher, ConAgra Foods, Naperville, IL Chairman Mary Kircher, Dingman’s Dairy, Paterson, New Jersey
COMMITTEES AND COMMITTEE CHAIRMAN
Executive Committee Nanette Frey, Frey’s Tasty Treat, Inc., E. Amherst, N. Y. Nominating Committee David Zimmermann, Royal Scoop Homemade Ice Cream Bonita Springs, Fla. 12
Convention Committee Carl Chaney, Chaney’s Dairy Barn, Bowling Green, Ky. Membership Committee Jim Oden, Debbie’s Soft Serve, Smithsburg, Maryland Ice Cream Clinic Committee Mark Leichtman Scholarship Committee Cliff Freund, Cliff’s Dairy Maid Ledgewood, New Jersey Web Site Committee Jim Brown, Penn State University, University Park, PA
NICRA is committed to a policy of nondiscrimination in all of its endeavors. To that end, NICRA shall not tolerate any words or acts of discrimination, harassment or any inappropriate behavior in general against any person affiliated with NICRA, including its members and guests, with regard to race, sex, color, creed, religion, age, national origin, disability, marital status or sexual orientation. This Bulletin is published by: National Ice Cream Retailers Association 1028 West Devon Avenue Elk Grove Village, IL 60007-7226 847/301-7500 - Fax: 847/301-8402 Jim Oden, Chairman Publications Committee Lynda Utterback, Editor ©2013 National Ice Cream Retailers Association Vol. 35, No. 1 This issue of the NICRA Bulletin is now available online at http://www.nicra.org. Click on the Members Only button and enter your Username and Password. If you cannot find your Username and Password, call the NICRA office at 866-303-6960 or send an e-mail to info@ nicra.org requesting the information.
http://www.nicra.org
NICRA January 2014
