Premium Ice Cream at Half the Cost: A Summit Advantage Success Story
The Challenge
When developing Twin Peaks Creamery, we faced the challenge every small business knows well: how to source premium products at competitive prices while competing against established national brands. The ice cream industry is dominated by large corporations with significant buying power and established supply chains, making it difficult for independent businesses to maintain both quality and profitability.
Our Approach
Using the same strategic connection methods we employ at Summit Advantage Group, we conducted extensive research into manufacturers rather than accepting standard industry pricing. This included:
- Identifying manufacturers who supply major national brands
- Researching companies with long-standing industry presence and proven quality
- Directly contacting potential suppliers to establish relationships beyond standard distribution channels
- Negotiating based on long-term partnership potential rather than one-time purchases
The Solution
Our research led us to a century-old ice cream manufacturer with remarkable credentials:
- 100+ years of industry experience
- Current supplier to major brands including Ben & Jerry’s and Häagen-Dazs
- Comprehensive capabilities beyond just ice cream production
- Vertically integrated supply chain for ingredients and packaging
By establishing a direct relationship with this manufacturer, we secured:
- Premium quality ice cream at just $35 per 3-gallon bucket (compared to industry standards of $60-80)
- Single-source supply for ice cream, ingredients, and related materials
- Simplified logistics through consolidated ordering
- Access to the same quality ingredients used by national premium brands
The Results
This strategic connection transformed the business model for Twin Peaks Creamery:
- 42% reduction in product costs compared to closest competitor pricing
- Increased profit margins by approximately 30% while maintaining competitive retail pricing
- Simplified operations by reducing vendor relationships from potentially dozens to just one
- Enhanced product quality by accessing premium ingredients typically reserved for national brands
- Improved cash flow through more favorable payment terms than standard distribution channels
The Summit Advantage Difference
This case study demonstrates exactly how Summit Advantage Group creates value for our members. By leveraging our collective research, connections, and negotiation experience, we help small businesses compete with much larger competitors.
Just as we did with Twin Peaks Creamery, we help our members find strategic suppliers, partners, and resources that dramatically improve their business fundamentals – creating advantages that would be difficult or impossible to achieve independently.