The Keg is hoping a popular menu item, Billy Miner Pie, succeeds in ice cream form at retail.
The restaurant chain has been leveraging its brand equity for 25 years in grocery stores. It first leaned into steak seasoning, then going into sauces and salad dressings used on its menus, before it “leaned in hard” into the protein category, says Dave Harris, who runs The Keg’s retail division of products.
Harris tells strategy the steak chain has a core of about 35 SKUs nationwide, with “respectable” distribution coast to coast. And now it can add the “ultra premium” ice cream segment to the list, which is experiencing double digit growth. Billy Miner Pie, available in the 500 ml format and at a price point that is reasonable, was a natural fit for a decadent desert, and something that enticed Loblaw, Harris says.
Billy Miner Pie is coming to the grocer’s national, discount and market division, and also Walmart, Longo’s and, eventually, Metro and Sobeys.
According to Harris, one of the advantages The Keg has over other entrants is that it doesn’t have to give product away. The strategy at retail level, he says, is to lean into loyalty programs like PC Optimum, where it does not have to discount the product down, but rather, can entice trial in exchange for reward points. Walmart, meanwhile, has internal static cling programs and The Keg is also leaning into this tactic to generate interest.
Harris tells strategy that The Keg is going to establish a good beachhead in the ice cream category, one that is driven by innovation.
“It’s important for us strategically to have at least two to three SKUs as a family on shelf, which creates that brand presence,” Harris says. “We recognize that one SKU would get lost really quickly.”
“The retail side was not [originally] intended to be a major sales driver for The Keg, it was intended to be a brand awareness and impressions driver for the brand,” says Jimmy duDomaine, VP of marketing and food services at The Keg, who adds that it does not advertise the retail side of its business too heavily.
The launch of Billy Miner Ice Cream is meant as complementary experience, not about taking people out of the restaurant. That said, he says it has no intention of being a minor player in this category.
DuDomaine tells strategy Billy Miner Pie has been longtime staple of the steak chain since the 70s, and that it serves more one million slices annually. That gives it strong enough brand equity to be successful in grocery. It’s primarily going after Keg fans, for whom the dessert is synonymous with birthdays and special occasions.
The packaging was a joint effort between CVi (Corporate Visuals Inc) and The Keg’s internal marketing department. And it’s meant to look clean and bold to pop off at shelf.
“Everything we do, we try to make look premium, or what we call ‘accessible premium,'” DuDomaine says.
According to DuDomaine, everything you find in the pie, the crust, almonds, caramel, chocolate, are all in the ice cream. The lid has those ingredients listed so people can see it’s all there.