Dive Brief:
- A holding company with ties to Monster Beverage executives plans to “revitalize” the recently acquired Thrifty Ice Cream brand “without altering the core of what made it unforgettable,” the company said in a press release.
- The new ownership group said it brings “deep experience” and aims to elevate the brand through new flavors and retail expansions. Thrifty will roll out a revitalization strategy to reconnect with longtime consumers and introduce it to new individuals.
- Hilrod Holdings, owned by Monster CEO Hilton Schlosberg and former Monster co-CEO Rodney Sacks, purchased Thrifty from Rite Aid during its bankruptcy proceedings for $19.2 million, according to court documents filed June 26. The transaction was approved by a federal bankruptcy judge in New Jersey on July 1.
Dive Insight:
While ice cream and energy drinks have minimal overlap, the Monster executives are no strangers to rejuvenating a brand. Sacks and Schlosberg, considered the co-founders of Monster, transformed the company from a soda and juice provider known as Hansen’s into an energy drink powerhouse with more than $7 billion in annual sales.
Thrifty, founded in 1940, should benefit from its nostalgic presence with consumers who grew up with the brand, especially on the West Coast. The challenge for Sacks and Schlosberg, however, will be to not only grow the offering within its existing territory but also bring it into new areas where consumers are less familiar with the novelty.
Despite its long history, Thrifty will be going up against big-name brands such as Ben & Jerry’s and Häagen-Dazs, which are more well-known, have wider distribution and the support of deep-pocketed food company owners, such as Unilever and Nestlé.
Thrifty will continue to be available on shelves with existing retail partners, and Hilrod plans to bring the brand to new retail locations and geographic regions starting this year. It is also upgrading manufacturing and logistics to ensure quality, availability and long-term growth.
“The brand is reigniting its legacy with a commitment to quality, nostalgia, and accessible indulgence for all generations,” the press release noted.
Ice cream is a roughly $7 billion business in the U.S., even with consumption on the decline as health-conscious consumers cut back on fatty and sugary foods. In 2023, the average American enjoyed 11.7 pounds of regular ice cream, according to the USDA, down from 16.1 pounds at the turn of the millennium and the lowest number since recordkeeping began in 1975.
