Market trends of in the chocolate industry
-Target: Those parts of the public who purchase chocolate are most often children or men (generally executives) between the ages of 18 and 40. The customers who buy this chocolate either live alone or as part of a family unit. So, it can be seen that their target market is very vague and consist of most of the population.
-The Price: The price of the product is not often an impediment to its purchase. For example, the price of Nutella is higher than that of other spreads but it is more popular than the others, its price suggests (to customers) that Nutella is better. It is a psychological price.
- The Product: It has nutritional qualities. That are a result of a variety of nuts that it is made up of and the company guarantees its originality.
Nutella is the leader of the chocolate spread market holding over 80% of the shares in 2002.Nutella has very loyal consumers since 85% do not buy anything other than Nutella even if the store they go it is out of stock. Most consumers think that the competitors of Nutella are imitations of the chocolate spread.
Distributing chocolates at celebrations is common. Although it is more expensive than its competitors, the price of Nutella is not a barrier to its purchase. Thus, economic crises or wage levels do not influence the urge to buy Nutella its price is low for a consumer product.
Tags - Ferrero group, Ferrero Rocher, Nutella, brand positioning
[...] The product is sold at a price that is affordable to most of the population and is considered to be of high quality in the market of spreads. It maintains the lead in the market as most customers perceive its competitors to be imitations of it. It is distributed in all kinds of stores, including department stores, supermarkets and neighborhood stores. [...]
[...] Although it is more expensive than its competitors, the price of Nutella is not a barrier to its purchase. Thus, economic crises or wage levels do not influence the urge to buy Nutella its price is low for a consumer product. ϖ Strategy for sales promotions Our strategy includes publicizing: Easter is the most widely celebrated festival in France, and what better occasion can there be to promote chocolate. The promotion will take place on a platform that is surrounded by chocolate or candy. [...]
[...] The range of chocolate confectionery contributes to the positioning of the brand "Ferrero" After 50 years of experience, the Ferrero Group has become the 3rd largest group of confectionery producers in Europe and the 6th biggest group in the international chocolate confectionery sector .It is the leader in Germany, Italy and France. The group has 16,500 employees in many factories around the world and four research centers in Europe. It operates in 34 countries and has generated sales of 4.4 billion euros in 2002 and 4.7 billion euros in 2004. The Ferrero group has products such as Nutella, Kinder, Ferrero Rocher, Tic Tac and Darling that are very popular all over the world. Ferrero Rocher is present in 5 markets and has acquired a small part of each. [...]
[...] Two flagship products that help their brand identity are Nutella and Ferrero Rocher. Both these products are present and popular the world over. Nutella was developed in 1960 and represents 80% of the market of chocolate spreads in France. Ferrero products are the ‘most consumed' in France (has acquired 85% of the market). More than 85 million jars of Nutella are sold each year in France because its quality had enabled it to be a monopoly in the chocolate spread market. [...]
[...] On the internet, communication is through a website that is dedicated to Nutella i.e. www.nutella.fr. This website is a vector of information about the company. It has a number of pictures, testimonials from consumers, links, articles etc. The site encourages the consumer's relationship with the product . The site emphasizes on the components of the product, after putting forward the advantages of his product. These include the tastiness and the nutritional values of this chocolate spread from Ferrero. Three elements contribute to its credibility i.e. Expertise, confidence and popularity. [...]
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