REPORT I: Marketing EnvironmentEconomic Trends:• Increasing production costs such as packaging or ingredients. Chocolate bars are considered impulse purchases, meaning they don't require any thought. This is due to their low cost. However, if an ingredient such as sugar increased dramatically, the cost of the candy bar would also change the buyer's perspective on the product class. Social and Demographic Trends: • Although candy bars are believed to have been more popular with younger consumers, crunchy crunch has always focused on older demographics. This is demonstrated through their mature confection commercials. Healthier Living: • Consumers are now careful about what they eat and want to avoid products that contain ingredients considered fattening. Technology: • Internet advertising is at an all-time high and consumers are attracted to products about which they can learn more on the Internet. In addition, you can efficiently create a "buzz" promotion via the Internet. Policy: • French/English packaging • It is illegal in Canada not to have both English and French writing on the packaging. Ingredients: • All ingredients must be labeled on the package. Market Analysis Total Canadian Size and Growth: • From 1996 to 2000, the chocolate market experienced a total growth rate of 19.1% with retail sales in 2000 producing a whopping 13.7 billion dollars. Competitive Analysis Market Trends: • Hershey Canada is one of the largest competitors in the chocolate bar market. Hershey brands have a strong market value and a long history dating back to 1903. Hershey Canada owned three of the top five candy bars sold between 2000 and 2001. Hershey's top three brands held... half the paper. .. ..to recreate the brand image, the window is still open for opportunities as an alternative. Threats: (External) • Cadbury must be able to create or review a marketing mix that maintains a strong market position against major competition from Nestlé and Hershey, both with highly successful campaigns for their chocolate products.Statement positioning• A Crispy Crunch bar contains the group of chocolate and peanut brittle which offers a distinctive and delicious flavour. Eat your Crisply Crunch bar before someone eats it for you! “The only thing that tastes better than my Crispy Crunch is someone else's Crispy Crunch.” Target Market Definition• Men and women aged 15-24, who currently work and find time to go out with friends and family. They are infrequent users because they are health conscious and may prefer another brand.
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