In this presentation, I will be discussing the market strategy (which I have set) for a chocolate company called Chocolicious. The main things I will be discussing are;
1-Understanding customer needs
2-Keeping ahead of competition
3-How to achieve marketing aims
5-How to achieve marketing aims
6-Constraints on marketing
Before a business can develop a marketing strategy they have to understand customer needs. Finding out customer tastes and preferences is very important. Before you sell the product you have to make sure it tastes good or otherwise no one will buy the product.
To find out whether the product tastes good and that people will buy it the company can make surveys/questionnaires and also sampling to test there product on focus groups to test the product and see whether people like the taste, design of chocolate and packaging. If any problems are found Chocolicious will be able to make the necessary adjustments.
To make sure the company is successful the product and pricing, place and promotion (marketing mix) is also a key factor making sure the organization does well.
The product ‘sweet dreams’ has to be of a good quality, taste good and look good to make sure the product can sell and compete with big competitors like Cadbury’s
As the chocolate is aimed to kids/teenagers who on a majority don’t work means the chocolate should be affordable .the price has to be affordable and competitive. A good example is Cadbury’s ‘timeout’ chocolate. Timeout was introduced on the market at 28p while standard bar was priced at 30-32p. Sweet dreams should be introduced at 26p, which is affordable and competitive.
The distribution of the chocolate should be through newsagents, supermarkets and school tuck shops as this is where the chocolate is most likely to sell at it’s best.
Promoting the Product
By repeatedly exposing the consumer to ‘sweetdreams’, or to the appearance or package, I hope to incline consumers towards buying the particular product. I suggest Advertising on television, radio, and billboards; in newspapers, magazines, and catalogs. Maximum exposure at the beginning of promoting the product will maximize its chances of doing well in the market.
Keeping ahead of competition
The reason why businesses like Cadburys are still around is because the know how to keep ahead of competition by staying competitive. Chocolicious PLC could use ideas from Cadburys like consumer research.
Cadburys have also become a brand name. This means people are more likely to buy it because of the name that will communicate certain values to other people. Chocolicious could also achieve this over a period of time.
Consumer loyalty is also important because in all markets a small number of consumers account for a large proportion of sales. Loyal customers are the most important as these are the customers who will buy the product over and over again.
Communicate effectively with customers
An efficient system of communication is essential for any sort of promotional venture. This will allow an organization to communicate with customers and satisfy their expectations. This falls within what is known as the promotional mix. The promotional mix can be broken down in to two main areas, controllable and non-controllable.
Controllable communication involves marketing messages directed to achieve businesses promotional aims. This may include: adverts, direct mail, public relations, product presentation, sales promotion, sponsorship and direct selling.
A non-controllable way of getting none about is through word of mouth and recommendation. This has advantages, as it doesn’t cost an organization anything.
To achieve its promotional objectives, an organization has to set its promotional strategy.
A short way used to describe a promotional strategy designed to persuade a customer to make a purchase is known as ‘AIDA’
‘A’ is capturing a customer’s attention and making them aware of the product.
‘I’ is the impact of the promotion stimulating interest in the product.
‘D’ when a customer is convinced they are being deprived not having the product, which stimulates desire for it.
‘A’ is the action taken when purchasing the product.
Constraints on marketing activities
There are constraints that face organizations with market activity, which involve.
Internal constraints which refer to the resources capabilities of an organization.
External constraints which includes a number of factors which limits the organizations activities. Example, consumers, competitors, economy, laws.
An organized market company will research these constraints and try to find a solution. In Chocoliciouses case, the internal constraints for them are their customers. Because any market work was done before they weren’t able to identify their needs.
Looking at the success of companies such as Cadbury’s and research that I gathered I believe that Chocolicious will be more beneficial than ever before as they are now better organized and have a market strategy.
From the information gathered they will be able to improve a number of things and sales are shore to go up.
If they follow the strategy I have set I’m shore that the company will be more successful then ever before.