Baskin-Robbins, which is marketed and operated by Allied Domecq Quick Service Restaurants (ADQSR), has formed an alliance with Chicago-based Dean Foods Co. under which Baskin-Robbins’ independently owned-and-operated franchised stores throughout the United States will purchase ice cream products from Dean Foods.
Dean Foods has been manufacturing ice cream for Baskin-Robbins stores for nearly 30 years — currently through its Belvidere, Ill.; Birmingham, Ala.; Albuquerque, N.M.; and City of Industry, Calif., facilities.
“We anticipate this alliance with Dean Foods will benefit Baskin-Robbins and its franchisees as we take advantage of Dean’s experience in manufacturing Baskin-Robbins ice cream and its standing as one of the leading ice cream producers in the country,” said Jack Shafer, chief executive officer, ADQSR.
“We are extremely pleased that Baskin-Robbins has chosen to align with Dean Foods nationally. Baskin-Robbins is the leading ice cream store chain in the U.S. with a strong franchisee base, terrific brand recognition and a loyal consumer following. Our alliance provides the possibility of extending beyond ice cream production and distribution to a broader relationship with ADQSR’s other retail businesses,” said Howard Dean, chairman and chief executive officer of Dean Foods Company (NYSE: DF – news).
“Our customers will continue to find the same quality and variety of products they love at Baskin-Robbins stores,” said Tad Wampfler, vice president, ADQSR supply chain. “This alliance signals Baskin-Robbins’ exit from the ownership of ice cream manufacturing and distribution, and allows the company to better focus on retailing, marketing and brand building.”
Concurrent with this alliance, Baskin-Robbins will close its facility in Owensboro, Ky., on March 15. Baskin-Robbins is prepared to offer the 99 affected employees outplacement support, such as job placement seminars, a job fair, and help-available ads in local and regional newspapers.
Unchanged by this alliance are the territorial franchise agreements with two dairies that service approximately 400 territorial franchised stores in the Midwest and Northwest. Also unchanged are the current supplier arrangements for certain products such as ice cream cakes and novelties.
Dean Foods is a leader in ice cream manufacturing and has a strong heritage of producing high-quality dairy products at competitive prices. One of the nation’s leading dairy processors and distributors, Dean Foods produces a full line of branded and private-label products, including fluid milk, ice cream and extended shelf life products, which are sold under the “Dean’s” and other strong regional brand names. Dean Foods is the industry leader in other food products including pickles, powdered non-dairy coffee creamers, aseptically packaged foodservice products, and refrigerated dips and salad dressings.
As the world’s largest chain of ice cream specialty stores, Baskin-Robbins creates and markets its innovative, high-quality premium ice cream, specialty frozen desserts and beverages in the company’s more then 4,500 retail stores around the globe. Based in Randolph, Mass., Allied Domecq Quick Service Restaurants is part of U.K.-based Allied Domecq PLC, one of the world’s largest spirits and quick service restaurant companies. ADQSR also operates Dunkin’ Donuts and Togo’s.