design:CASE / Hansens Flødeis

design:CASE With design as a key element in its business strategy, ice cream maker Hansens Flødeis has achieved convincing results in just four years. This family business has seen impressive growth both in Denmark and abroad, an accomplishment that is strongly related to a brand created through the strategic use of design. danish design centre

FACTS ABOUT HANSENS FLØDEIS (million DKK)

2004 2005

2006

Pre-tax profit

0.152 0.156

1.049

Equity

0.363 0.520

1.569

Gross profit

- 2.683

7.437

• Hansens Flødeis dates back to 1922, when Hans Hansen founded his dairy and ice production.

• In 2003, the third generation of the Hansen family

began manufacturing ice cream under the brand name

Hansens Flødeis (Hansen’s Ice Cream).

• Hansens Flødeis is a family business, which currently

involves Hans Jørgen Eibye and his two sons Anders

and Rasmus Eibye. The company has an additional staff

of 12 as well as a freelance designer.

• Hansens Flødeis is available in Denmark and Sweden.

• Hansens Flødeis sells ice cream bars, ice cream in tubs,

and ice cream gateaux.

• Posters, packaging, cars, caravans and shops

have undergone a design process in order to support

the Hansens Flødeis brand.

• Hansens Flødeis has integrated design in the

company’s business strategy from day one.

• Every year, 5% of the company’s total turnover

is allocated for design investments.

HANSENS FLØDEIS 5, Landerslevvej Lyngerup 3630 Jægerspris Denmark Tel +45 4752 2307 www.hansens-is.dk

DESIGN FROM DAY ONE

“The design should be good enough to make the customer buy the product, and the product should be good enough to keep the customer coming back for more.”

Rasmus Eibye, Managing Director, Hansens Flødeis

Hansens Flødeis dates back to 1922, when Hans Hansen embarked on the ice cream adventure with his first dairy company, which later changed its name to Frederiksborg Is (Frederiksborg Ice Cream). Hans Hansen’s grandson, Hans Jørgen Eibye, took over Frederiksborg Is in 1987. But in the 1990’s, there were major changes in the Danish ice cream market.

From a market with many relatively small manufacturers, it came to be dominated by a small number of large manufacturers, who controlled prices and concepts. These difficult conditions caused Hans Jørgen Eibye to sell Frederiksborg Is and its customer base to the multinational group Nestlé in 1997.

In 2003, Hans Jørgen Eibye and his two sons decided to resume the ice cream adventure that Hans Hansen had started in 1922.

Bringing the family together behind Hansens Flødeis proved a powerful cocktail: As a group, the family members possess the right skills for running a healthy business.

Anders, Hans Jørgen and Rasmus Eibye

Hans Jørgen Eibye has in-depth knowledge of everything concerning the production, while Anders Eibye is a trained designer, and Rasmus Eibye has had his own advertising agency.

This mix of competencies has also altered priorities in the business strategy. For example, both Anders and Rasmus Eibye have insisted that Hansens Flødeis must stand out in the ice cream market by applying design as an integral part of the overall business concept.

“We chose our designer based on great chemistry and a cool style.”

According to the two brothers, this enables them to build

Rasmus Eibye

the Hansens Flødeis brand in a novel approach that has not been seen before in the Danish ice cream market. The family company has decided to invest in design from day one, because design is one of the most important competitive parameters today. This design priority means that Anders concentrates full-time on designing the universe around Hansens Flødeis, assisted by Rasmus Eibye. The company works with freelance designer Mads Berg, partly to bounce all their ideas and products off an outsider, and partly to have a fresh set of eyes assess upcoming products and plans.

DESIGN AS BRAND

From the outset, Hansens Flødeis was aware of the need to

Most people will have noticed that modern food does not taste

adopt an untraditional market approach to achieve a healthy

the way it used to. And that is not just a matter of nostalgia.

bottom line. As a new initiative in the ice cream industry,

In the past, raw ingredients were treated differently.

Hansens Flødeis therefore chose to work strategically with

For example, ice cream production was not as fast-paced as

design to create a brand that gets noticed. Rasmus Eibye

in today’s large-scale production, which uses cheap ingredients

talks about the branding considerations:

and then beats more air into the mix to improve its appearance.

Hansens Flødeis avoids these products and methods. Instead,

“Together with our designer, my brother and I set out to develop

Hansens Flødeis is manufactured on old-style machinery, using

a universe and an overall identity for Hansens Flødeis, which

old-style ingredients. That is why Hansens Flødeis is able to

included a logo, postcards, posters, etc, all in the same style and

manufacture ice cream that tastes like ice cream used to taste.

with the same message. In order to create a consistent brand, style in every point of contact with the customers, as that is

“The corporate design helps position our brand as an exclusive alternative to the competition.”

the basis for creating a good and a credible brand. Of course,

Rasmus Eibye

we make sure to tell the same story and express the same

this means that we have to abandon otherwise good ideas and opportunities, because the universe and brand only allow for

One of the key influences on the flavour of ice cream is

a certain type of products and designs.”

the pasteurisation process. The large ice cream factories use so-called plate pasteurisation, which completes the process

This keen awareness of design from day one springs from

in a matter of seconds. At Hansen’s factory, the same heating

the product itself and the high level of quality, as Hansens

process lasts an hour, which preserves the natural structure

Flødeis strives for consistency between form and content.

of the ice cream. With this production method and the retro-

Since the product is high-quality ice cream produced in accor-

style packaging design, Hansens Flødeis aims to offer ice

dance with the old methods of ice cream production, it was

cream experiences that let adults remember their childhood

a natural choice for Hansens Flødeis to design retro-style luxury

and provide children with lasting memories. In other words,

packaging. Hansens Flødeis is always made from fresh milk

the exclusive and retro-based design simply reflects the

and cream from local dairies, free from artificial additives and

content – luxury ice cream made in the old, traditional way.

aroma substances. The family company draws on the original recipes from 1922, which Hans Hansen used in his day,

By making luxury ice cream and even wrapping it in retro-

and which the third generation of Hansens Flødeis now use

design, Hansens Flødeis has also latched on to a current trend.

as the basis for the current ice cream production.

Today, many customers have begun to focus more on buying

“To me, a brand is what the customer feels and associates with the individual company. We want our products to be unique and exclusive, so we have tried to create a brand that associates Hansens Flødeis with quality, history and good experiences.” Rasmus Eibye

unique quality products – also when it comes to ice cream.

Rasmus Eibye illustrates this trend: “When I go on sales visits, it is obvious that the design is almost as important as the product itself. I can tell that we have found a design that appeals to the customers; people often say to me, ‘those are really nice-looking ice cream bars’, and then they add, ‘and they taste good too’. That tells me that customers often choose our ice cream bars because of their unique and appealing design.”

Although design has always been a natural element at Hansens Flødeis, integrating design as a strategic tool in the company’s business approach has not been without its challenges. “Initially, we had some problems convincing our finance and production manager that it makes sense to invest in good packaging design. He had a problem with the design investment because he had to finance it without knowing whether it would pay off.

Besides, there was the hassle of implementing a new packaging machine. Fortunately, we now know that it was worthwhile, for example, to design beautiful and striking packaging for our ice cream bars. I would claim that the packaging has helped make customers choose our ice cream bars over the competitors’ products, because our ice cream bars stand out.

So today, our finance and production manager can see for himself that design has a positive effect on the bottom line,” says Rasmus Eibye.

“Our design gives the customers a good ice cream experience at the same time as it makes our products functional.” Rasmus Eibye

in style because everything, from the waitresses’ uniforms to the chairs, counters and store fronts, features the characteristic retro-style design and pastel colours. That ensures coherence

Hansens Flødeis adds new products on an ongoing basis

in all the interfaces between Hansens Flødeis and the individual

to create renewed interest and strengthen the family company’s

customers, which helps strengthen the brand and build a context

brand. Hansens Flødeis set out making ice cream in tubs

around it.

but soon expanded the product line with ice cream bars and ice cream gateaux. In a corresponding process, the Hansens Flødeis

“Originally, the basis for this particular design and brand was

universe has expanded. It began with a logo and some postcards

to create a packaging design that illustrated our quality product

and posters, but today Hansens Flødeis also has its own ice

as well as possible. From the outset, we were aware that design

cream shops as well as cars and caravans that reflect the brand,

could help brand Hansens Flødeis as a company that is focused

all meticulously designed in the distinct retro-style. This design

on quality, history and good experiences, so we have included

consistency ensures that any customer will recognise,

design into all our products, activities and plans from day one

for example, a Hansens Flødeis shop from far away. The ice

to ensure that we create a consistent and credible brand,”

cream shop design is so comprehensive and characteristic

says Rasmus Eibye.

MANAGING CREATIVITY AT HANSENS FLØDEIS

To maintain customer interest in Hansens Flødeis and expand the customer base, the family company has to keep coming up with new products and events. “I have to stay on my toes all the time to come up with new ideas for the company.

And I can’t just sit at my desk and dream up new, bright ideas.

I need changes and unexpected experiences to come up with good ideas. I do everything I can to get into that creative mode – anything from travelling, art exhibitions, going to the movies, shopping etc. Currently, we are developing an ice cream bar aimed at children for the upcoming season, so I am very aware of shapes and colours that evoke the right sort of experience.

I still haven’t found the right idea, but it will come to me,” says Rasmus Eibye with a smile.

Any new initiative at Hansens Flødeis means coming up with a new design within the characteristic universe. Both Anders and Rasmus Eibye are involved in all design processes. “Every time a new design process begins, we’ll give our freelance designer an extremely detailed brief. We control the process very tightly because that ensures the best result. That may not sound very democratic, but we have to control the overall setting 100%, because the colour can never be another shade of pale blue; but within these constraints, the designer is allowed to be extremely creative and come up with new ideas,” says Rasmus Eibye.

After a detailed briefing at the outset of the design process, Rasmus and Anders Eibye carry on an ongoing dialogue with the designer. They all meet again toward the end of the design GOOD ADVICE FROM RASMUS EIBYE

process to look at drafts and models. “Usually, we end up with something that I hadn’t anticipated, because amazing and unex-

• Make sure to create a unique product

pected things often happen in the dialogue with a designer.

• Check the market, and get to know

But we make sure that we’re always on the right track, so that

the competition

all our initiatives remain Hansen-like,” says Rasmus Eibye.

• Define your story • Find out which designer matches your company

The reason why Anders and Rasmus Eibye manage the design

• Make sure that the chemistry between

processes so tightly is their awareness that every new product

has to be an integrated part of the Hansens Flødeis universe.

company and designer is good

• Do not stop the design process until you

As a group, the products have to support the brand, and conse-

quently, at Hansens Flødeis, creativity is reined in by very clear

are really excited about your product

• Seek inspiration – it helps develop

criteria for what is possible and what is not. All products should

feature the overall retro-style design, just as all products should

your company

be of superior quality.

DESIGN CREATES DEMAND

Since the ice cream adventure began in 2003, Hansens Flødeis has logged impressive growth rates. The family company is trying to manage this growth and keep it down to +80% a year, but at times it has exceeded 400%. “If we wanted, we could have more expansive growth rates, but, for example, we have decided not to take in any more retailers between 1st of May and 1st of September 2007, because we simply can’t keep up, and that would make it impossible for us to stay completely true to our brand,” says Rasmus Eibye.

“We put a high priority on design, because it is a natural part of the way we think, and because it is good business.” Rasmus Eibye In addition to high demand in the domestic market, Hansens Flødeis has also been successful in exporting their luxury ice cream. They have managed to enter the ice cream market in Stockholm, where they are also experiencing growing demand.

“We began exporting to Sweden in 2006, and results here have far exceeded our expectations. But our ambitions go further than that. We would love to export to more European metropolises, and here, design plays a key role. Design can help make a product unique, and that makes it easier to sell in Denmark and in the rest of the world,” Rasmus Eibye concludes.

“We would like to grow bigger in time, but never at the expense of our exclusivity and our brand.” Rasmus Eibye

danish design centre

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The Danish Design Centre has its headquarters

Danish Design Centre

on Hans Christian Andersens Boulevard in the middle

H C Andersens Boulevard 27 1553 Copenhagen V

of Copenhagen in a building, designed by professor, architect Henning Larsen. The building houses offices, exhibition halls, a professional conference centre,

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a shop and a café, all run by the Danish Design Centre.

design@ddc.dk

The Design Centre was established in 1978 and moved

www.ddc.dk

to its present headquarters in 2000.

Text: Sanne Lund Hansen

The Danish Design Centre’s assignment is based on the Danish government’s design policy of promoting innovation and growth in Denmark and strengthening the international competitiveness of Danish businesses.

The Centre is an independent institution under the Danish Ministry of Economic and Business Affairs. In addition, the Danish Design Centre handles a number of specific promotional tasks for the Danish Ministry of Culture.

The Danish Design Centre’s vision is to document, promote and brand Danish design on a national and international level by: • Increasing the knowledge about design and the

economic effects of design in Danish industry

especially in the small and medium-sized companies

• Professionalizing the Danish design companies and buyers of design through development of competences

• Branding Danish design nationally and internationally His Royal Highness Crown Prince Frederik is the patron of the Danish Design Centre.

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Design and layout: Scandinavian Branding A/S and Peter Ørntoft, DDC