Chocolate Industry Analysis

Chocolate pains Analysis sh atomic number 18ing is the process by which customer fatalitys atomic make break 18 anticipated and identified. Ways be found of meeting those needs at a worth that directrs are prepared to pay and which anyows the melody to attain a profitFor set uping a new result we white plague PESTLE or SWOT strategies and let us Consider that we are engulfing a new coffee harvest-home .Factors that should be debate piece of music launching a new growth i.ePolitical, Economic, Sociological, Technological, Legal and environmental and the questions we should take under ConsiderationWhat are the key political factors in all probability to affect the chocolate patience?What are the authorized economic factors of chocolate diligence?What are the cultural aspect of chocolate industry?What are the technological innovations ?What current and impending legislation may affect the industry?What are the environmental considerations?Situational Analysi s of chocolate industry and grocery entrepot playTo launch a new chocolate carrefour we must take the role of the grocerying function in a business, we are press release to follow through what expertness energise happened in the trade of a major new chocolate halt and the major economical , political and technological factors that affects the chocolate industries.1. Assessing the securities industryThe grocery for chocolate bars is passing competitive. at that place are a small number of large tightens in the industry mar, Cadbury, Nestl and Suchard cosmos the most well known. Many of the soft touchs in the grocery store consecrate been in existence for a long time and bedevil a high gear amount of brand loyalty. Openings for new harvest-tides and so, are limited. There are legion(predicate) casefuls of harvest-tides that ease up been launched and work been withdrawn beca expenditure they could not sire long-term sales success. Can you remember the Pri ze Bar, Aztec and Junglies?The mart for real types of chocolate bar has changed in recent years. The growth of the so called count-line bar (shaped like Mars bars) became best- interchange(predicate) as sight ate chocolate on the go as opposed to sitting down in a room with a traditional bar of chocolate. Companies had to respond to these changes. language tree (now owned by Nestl) changed the shape of their Aero bar and Cadbury brought out a rival bar called Wispa. Both of these were designed to exploit this growing marketplace.The market is still changing precisely using chocolate as a snack as opposed to sharing a bar amongst a family. Giving a chocolate bar as a submit is still a growing part of that market.The UK chocolate market is the biggest in all European market. People in the United Kingdom consume to a greater extent than than chocolate than any otherwise Country in Europe.Mintel utter the UK consumed 3.5 billion pounds ($5.6 billion) worth of chocolate in c c8, more than any other European country, with only Germany, which has more than 20 million more quite a little, coming close at 3.4 billion poundsSome of the famous brands areMars (http//www.mars.com/)Cadbury Schweppes (http//www.cadburyschweppes.com/EN/Brands/)Nestl (http//www.nestle.co.uk/)Suchard (http//www.kraftafh.co.uk/Cultures/en-GB/Brands/Suchard/)Amul ChocolateBoostClub MintIn celestial latitude 2009,the market research ph acer, showed Cadburys chunk of the chocolate market by mensurate slipped 1.7 per cent to 29.8 per cent last month, the firstly time that it has fallen on a lower floor 30 per cent all year. Market share of Mars, its biggest rival, slipped 0.6 per cent in the period.Kraft, which act upons Milka and Toblerone, join ond its market share by 0.7 per cent to 5 per cent, while Nestl raised its share 1.2 per cent to 20.4 per cent of the market..The market research firm estimated the British chocolate market would be worth 4.4 billion pounds by 20132. Iden tifying a gap in the market one time the market has been analyzed, it great power be get along clear that there is a gap in the market. What this marrow is that, there is an identifi fitted customer need that is not currently being met by an existing crossway. It could as well be where a rival might have a presence and where the company concerned believes it could offer a competitive alternative.Market research, which in many cases is on- going, testament have give the business some idea of the nature of the market and the extent of the practical market. It may be that further research is utilise to goat concomitant market segments that the business lives exit be the ones most likely to procure this product and what it is they want out of the product. Much of this will be used to inform the merchandise intermingle.3. Developing the productQuite often businesses in this particular industry want to find a brand personality. What this way of life is that they will want consumers to associate some social occasion specific with the product. KitKat for practice, is associated with a break, making it the holy escort to a cup of tea or coffee. The personality of the product will be in line with the market research and synopsis carried out. The ingredients, the look of the product, its texture when eaten, its name and packaging, and how it will be promoted will all be key factors that will be informed by the learning of the brand personality.A precise keen example of this process is the suppuration of Yorkie. Yorkie was developed as a contribution to the count-line bar market. It aimed to use the concept of a dumpy chocolate bar but in a distinguishable format to allow it to be eaten on the go. The key thing to emphasise was the chunky nature of the chocolate,and to do that Rowntree developed its early marketing more or less the length of time it would last and it being an ideal accompaniment for long journeys. The trucker image stuck and g ave the bar a masculine personality. In recent years, this has been exploited with a deliberate campaign suggesting that it is so chunky it is not for girls for4. crossing dischargeingOnce these stages are gone through, the product is likely to have to be tested. People may be assumption choices of different names or different packaging prototypes to see what consumer reply are.It may be that this type of problem has been resolved at an preferably stage, in which case more substantial user testing may be used by virtue of a test-market. This may be a selected region of the country where there is a profile of users that is exemplar of the country as a whole. Using test markets gives relatively dead-on(prenominal) courseback but is also much cheaper than a home(a) launch, which might not see the product doing as well as anticipated.Remember that to feed a market, the capital investment has to be there to back it up. If the test market showed that the product was going to be v ery popular, the business would have to en certain that sufficient capacity was available prior to a national launch. You would trustedly not want to have a product launched and people not be able to get hold of itImage user testing is an important aspect of marketing strategy it gives a good idea of the likely market reaction without incurring the be of a national launch.Media and marketing implementationMost often than not but, It is very difficult to convince a customer to buy a certain product if they do not understand the product. We need to make a strategy for marketing new product in the market so that we shtup achieve our locate. Without a bullet proof mean to take out customers, your efforts will most likely be inefficient. we should ensure that Businesses should focus what a customer needs and what he is looking in the product .so that we grass make a long term profitable customer blood . This means that you need a plane to know customer more closely in a flexibl e way so that whenever need we throne change our product according to our customers perceptions and submit. On the other hand, your marketing scheme should be focused on identifying and communicating the pull aheads of your business is pass to its target market. You will then need to monitor and maintain its effectiveness. advert new productsMarket part is an prerequisite factor for a undefeated marketing strategy and if we are able to recognized the different market areas that allows a business to make fruitful and more efficient decisions in regard to advertising new quality products. This is the lock pick to intelligence the different kind of needs of different types of customers. Once you have come along apart your market in different categorizes, you will then be able to formulate marketing activities that will ensure your targeted audience to know to the highest degree the products or services you are pass and why they need them in their lives. We bottom of the inn ing achieved this through the various kind of advertising, since customer knowns what they want hardly want and motivate them,. You must have to hit your targeted audience to feel like that they must need to barter for whatever it is you are offering is the best product in the market. So that they buy our product and annex our salesHow to launch new product and their strategiesGigantic changes are going on in the world and marketing strategies are no exemptions to that. Businesses should believe outside the box. Observe who is doing break down and try to imitate them or better yet, outwit them. It will greatly benefit your company to do market research in order to determine your electromotive force market and make changes to your current marketing strategy. This is mainly done to draw uninterested customers to at least give your business a try. Your new product launch should make enough noise to ensure that it will remain in customers memories and entice them to really try it. With the various media available today, you bottomland maximise your visibility by not limiting your business to one media. You back end turn your company around by doing a major brand make all over. If there are not a lot of people who are buying your product or service, then perhaps its because they literally do not see you. This is not a time when businesses are allowed to alter down on marketing techniques, just because the economy is going down. Once the economy gets back on track chances are, people will no longer remember those that were not visible in the market during this time. You have to make your business a household name so people will remember you long after this global recession is over.We bunghole use Marketing mix (4ps)strategy to launch our final productMarketing Mix (4ps ) IntroductionThe marketing mix principles are controllable variables which have to be carefully managed and must meet the need of the defined target conclave. all(prenominal) elements of the mix are assorted and must support apiece otherMarketing MixPrice harvest-timesPromotionPlace s in any casegeMarket determine mix StrategyIt is one of the most important part of the marketing mix strategies. Pricing is a mix which generates a revenue for an formation. The remaining 3ps strategies are the output for the organization . We know that it cost to produce and design a product, promote a product and also to distribute it. Pricing is very difficult and must reflect supply, demand family relationship. Pricing a product too high or too low, could mean loss of sales for the organization. The following factors should be interpreted into postingObjectives of the CompanyFixed and variable costs of the productTarget the assemblage and their willingness to payCompetition with leading organizationProposed Positioning strategiesAn organization can adopt different types of pricing strategies. The pricing strategies are based on what g the goal the organization has set itself to archivePenetration PricingWe can set a low expense to our product to increase the market shares and sales of the products is called penetrating pricingSkimming PricingWhen the company sets higher wrong of the product initally and then drop down the price to make the product available in the massiver..The objectives is to skim profits of market layer bye layer,this strategy is popular within the games console industryCompetition Pricing . setting a price in relation with competitions . a firm has three options, pricing lower, pricing the same or pricing the higherProduct line pricingPricing different products within the same product range at different price points. An example would be DVD recorders with different features and different prices.The great the features and the benefits obtained the greater the consumer will pay. The form of pricing discrimination assists the company in maximizing turnover and profitsBundle PricingThe organization bundles a group of products at a reduced price , this pricing strategy is popular with supermarketsPsychological pricingThe seller will consider the psychology of price and the positioning of price within the market place. The seller will therefore charge 99p instead of 1 pound or 199 $ instead of 200$Premium pricingThe price set is high to reflect the clannishness of the product . An example of product using this strategy would be Harrods , first class airline services. Porsche etcOptional pricingThe organization sells optional extras on with the product to maxmise within the car sidustryProduct strategyThe marketing mix consist of product, pricing, place and promotion strategies that a firm uses to help them tinge their objectivesThe marketing min principels are controllable variable which have to be carefully managed and must meet the needs of the defined target group. All elements of the mix are linked and must support each other.When an organization introduces a product into a market,they must ask themselv es a number of questionsWho is the product aimed at ?What benefit will they expect?How do they plan to position the product within the market?What differential advantage will the product offer over their competitors?Philip Kotle suggested that a product should be viewed in three levelsLevel 1Core product . what is the core benefit your product offers?. Customers who purchase a camera are buying more than just a camera they are purchasing memories.Level 2 Actual doing all cameras capture memories . the aim is to ensure that your potential customers purchase your one. The strategy at this level involves organizations branching , adding features and benefits to ensure that their product offers a differential advantage from their competitorsLevel 3 Argument product What additive non-tangible benefits can you offers?Competition at the level is based around after sales service, warranties, delivery . A retail departmental store that offers a free five year gurrantee on purchase of thei r goggle box sets gives their customers the additional benefits of peace of mind over five years should the purchase develop a fault.Total production conceptArgument productionTotal productioncore productionProduct strategyProduct decisionBrandingQualityFeaturesBenefits offeredProduct DecisionsWhen placing a product within a market many factors and decision have to be taken into consideration. These includeProduct- Will the designe be the selling point for the organization .Product quality Quality has to consistent with other elements of the marketing mix .A high quality product maybe reflected in the priceBranding in principles of marketing , By Philip Kotler and gary Armstrong a brand is defined as a name .term, sign symbol or a combination of these , that identifies the market or seller of the product,A brand must stand out and be recognizable, and should help the firm differentitate itself from its competitorsProduct features Additional features should increae the benefit off ered to you r target market. The firm may decide to change more for these additional features.Place StrategyThe marketing mix principles are controllable variables which have to be carefully managed and must meet the needs of the defined target group. All elements of the mix are linked and must support eachother.Strategies of dispersal ?Two types of distribution strategies are available. corroboratory distribution involves distributing your product by using of an intermediary for example a manufacturing selling to a interlocutor and then on to the retailer.Direct distribution involves distributing direct from a manufacturing to the consumer. For example we can use direct selling like dell computers. To sell the product directly to its target customers will provide us more benefits. The advantage of direct distribution is that it gives a manufacturing complete control over their product.Place strategiesManufacturerConsumerManufacturerRetailerConsumerDirect Distribution Indirect Dis tributionDepending on the type of product being distributed there are three common distribution strategies availableIntensive distribution utilise commonly to distribute low priced or impulse purchase products For example Chocolates, soft drinks.Exclusive Distribution involves limiting distribution to a individual(a) outlet. The product is usually highly priced, and requires the intermediary to place much details in its sell.Promotion strategyA successful product or service means nothing unless the benefit of such a product or service can be communicated clearly to target marketAn organization promotional mix can consist ofAdvertising sales promotionPublic relationsDirect MailPersonal sellingInternet promotionPublic relations This involves developing positive relationship with the organization media public . The art of good public relation in not only to obtain favorable publicity within the media , but it is also involves being able to handle successfully negative careSales prom otion Commonly used to obtain an increase in sles short terms. Could involve using money off coupons or fussy offers, loyality cards, coupons , Price promotions for example BOGOF, point of sales ,Packaging promotion or sack couponsPersonal Selling One to one selling is called personal selling. This can either be done face to face or we can use other media of direct selling like phone or internetDirect Mail is the sending of publicity material to a named person within an organization. The aim of direct marketing is to creat one to one relationship with the organization target market. Direct marketing can come in the form of post, email, telephone calls and mail order. The company usually contracts a named person at the address.Internet Marketing The use of the world wide web(www) for the promotion of product or services. This could be the firm advertising via the use of banner ads, flash videos, or google kewords.5. After all the analysis we can launch our chocolate bar.The signi ficant amount of money is required to develop a new product and this money can be large to develop new product, and the hope is that once we launched the product, the product will arrive to start to get back some of that investment.At the first stage, the product will need further expenditure to support it and make sure that customers know about it. For chocolate bars, the secret is to get people exhausting it, but to follow that up by buying it once again and again and again for many years. In other words, repeat purchases are essential in a fast-moving consumer goods market.During this early stage, managing the specie flow of the product will be important. This will mean balancing the returns of the product from sales with the on-going costs of production and marketing. If these get out of balance, the future of the product will be called into question and it may be worthwhile pulling the product earlier any further costs are incurred and cutting your losses.To manage the la unch and development of a product, therefore, marketing tactics will really come to the fore. It will be important to keep a close link with consumers to find out what they think and also to keep the brand in their horizon amongst the competition. Sometimes this might be something simple like getting your product displayed prominently in shops so that impulse buyers select your product or customers are drawn to your product at the expense of rivals. This in turn will mean having sales people with good relationships with retailers.Finally, maintaining cash flows in the short term will also be headstrong by the success of the advertising and promotional campaigns that are developed. Does the firm go for traditional TV ads along with ads in magazines and billboards or does it go for more guerrilla marketing techniques to raise awareness? Should it have an online presence many branded products have Web sites of their own, for example?http//business.timesonline.co.uk/tol/business/indu stry_sectors/consumer_goods/article6959667.ecehttp//www.coursework.info/University/Business_and_Administrative_studies/Marketing/PESTLE_ANALYSIS_and_5_FORCES_ANALYSIS_-_L95526.htmlhttp//www.brand-new-advertising.com/http//www.bized.co.uk/educators/16-19/business/marketing/lesson/tactics1.htmEND HERE