Libstar Group, through its Rialto division, has integrated 55 General Mills products including Häagen-Dazs into its South African operations to target premium shoppers. This move comes amid a heatwave in the Northern and Western Cape, highlighting logistical challenges in the warmer climate. Sales have already exceeded targets in the past five months.
Libstar Group's Rialto division has undertaken a significant expansion by incorporating 55 products from General Mills, such as Häagen-Dazs, into its local supply chain. This initiative aims to capture the premium segment of South Africa's ice cream market, which reached R5.8 billion in 2025 according to Imarc Group data, with a projected growth of 2.89% through 2034.
Derek Couzens, Managing Executive at Rialto, described the logistical demands: “You’re bringing a 40-foot container into a central frozen warehouse, for example, in Cape Town. And then you’re taking product, dividing it up and sending it to three regional depots or hubs in Gauteng, Cape Town and KwaZulu-Natal.” The ice cream requires storage at -22°C and delivery at -18°C, posing challenges in South Africa's warmer conditions compared to Europe. To address higher spoilage risks, the company budgeted for a 7% product loss rate.
A 2025 GeoPoll survey indicated that 42.3% of consumers prioritize quality over price and brand. Couzens noted that sales over the past five months have outperformed 2025 targets by twofold, suggesting early success. The products are available at major retailers like Checkers, Pick n Pay, and Food Lover’s Market, with a focus on forecourt convenience channels where nearly one quarter of ice cream sales occur.
Rialto partnered with Maxi Cool to refurbish 330 forecourt freezers and developed a portal for real-time monitoring of units, including sales performance. Experts like Brandon de Kock from WhyFive observed brand promiscuity among higher-income consumers, who mix standard and premium items without trading down. Paul Steegers from Nedbank noted a drop in confidence among higher-middle-income earners in mid-2025.
Beyond ice cream, the integration includes Nature Valley, Old El Paso, and Pillsbury. Couzens mentioned potential future local manufacturing to enhance the business. Rialto also plans to explore township markets, drawing parallels to global brands' success in India and China.