There is increasing nostalgia for ice cream products from former Soviet times. Consumers believe that the standards and requirements for food production and raw materials (milk) were higher then, and fewer preservatives were used, so the quality of the ice cream was better and the products were more natural and healthier.
Players are increasingly focusing on segmenting the consumer group for ice cream, for instance by targeting younger children, teenagers, and so-called generation Z. The leaders launched new products for children in 2018, such as Dytyache from Rud’ (Zhytomyrsky Maslozavod), and a product for children fortified with vitamins A, D and E from Limo (Lvivskiy Kholodokombinat), featuring the character Murozhko, who appeals to children.
Premiumisation has been seen in ice cream and frozen desserts, thanks to the development of ice cream foodservice outlets known as gelaterias, which offer many unusual flavours and formats. Consumers try the premium products available in these foodservice outlets, which then also drives demand for premium flavours and formats in retail.
Zhytomyrsky Maslozavod maintained its lead in ice cream and frozen desserts in value terms in 2018. Over the last few years, the company implemented a number of initiatives to expand the ice cream consumption season and the level of consumption.
Ice cream is one of the categories in which Ukrainians prefer products from local manufacturers. Ice cream requires storage in freezers, and long-distance transportation is not profitable.
Local producer Lvivsky Kholodokombinat lost value share in ice cream 2018 and 2019 due to the high level of competition in the category and the declining demand for ice cream in Western Ukraine, where the company is located. Although it remains a leading producer of ice cream in Ukraine, a lack of promotion and exciting novelties is leading it to lose popularity.
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Discover the latest market trends and uncover sources of future market growth for the Ice Cream and Frozen Desserts industry in Ukraine with research from Euromonitor's team of in-country analysts.
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This industry report originates from Passport.