Montreaux Case_Quezada, Isabella

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Apr 3, 2024

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Isabella Quezada Professor Somnolet MKTG-UB.55.001 Brand Strategy & Planning 20 February 2024 Montreaux Chocolate Case What are your main (1-3) observations from the trade visits? Pricing: All of the bodegas and supermarkets had the highest prices for chocolates at eye level. Hershey’s was the most expensive and took up one whole row of shelf space in the chocolate section. The shelf space right below Hershey’s was the second most expensive and had Ghirardelli products. The items below had simple chocolate bars and were the cheapest. Packaging: The packaging with the most eye-catching colors was placed at eye level. Wegmans brand and other chocolate brands that aren’t as colorful are on the bottom three shelves. The bars were on the bottom shelves and the pouch and bag packages were at eye level. Sizing: The largest packs of chocolate are at eye level. Hershey’s doesn’t have a single bar; instead, it has value packs of their products. Ghirardelli and Lindt are the same; they have pouches. Single bars are lined up along the bottom four shelves.
How do you market/position chocolate? Part of marketing and positioning chocolate relates to your target market. Women could distinguish premium chocolate from regular and associated chocolate with positive mood boosts. Men are more fixated on the price and practical characteristics of chocolate. Both value convenience at checkout and at the grocery store aisles (pg.4). Their target audience is the 45-64 age group, as they had the highest level of per capita chocolate consumption. Women are typically more brand loyal to Montreaux who are college educated, married with children, and concerned about their health and weight. The best way to position chocolate is to make a good quality product and build brand loyalty. From the case study, health and taste were the most important factors for chocolate consumers. Can you make chocolate healthy? Typically, chocolate isn’t a healthy snack. Milk chocolate has a maximum of 50% cocoa, which makes it the least healthiest. The higher the concentration of cocoa, the healthier. Dark chocolate has the most health benefits. For Montreaux, it’s important for their products to market a “healthy” product to its consumers. In the focus groups, 70% of cocoa was more favored by taste and perception of healthfulness . 90% was healthier; however consumers didn’t like it as much as it was too bitter. Fruit is another ingredient that can boost health perception. As many consumers are willing to try a new product, fruit can help deliver on this perception. How do you position upscale? Focusing on quality and taste is important to position upscale. For Montreaux, BASES helped the brand assess and optimize its dark chocolate initiative. BASES helped hone in on a new
product and strategy that was in line with Apollo Foods and Montreaux demonstrated high consumer viability, and delivered financially. “Premium” labels are also associated with an upscale product. Brand credibility can help with the upscale perception of the brand. For example, Hershey’s is not an upscale brand. They are perceived for their unhealthy chocolate products. Maison du Chocolat is perceived as a luxury chocolate brand, and this is reflected in their ingredients and high price point. Describe the new product development process followed by Andrea Torres and her NPD team. Andrea Torress and her New Product Development (NPD) team decided to explore the growing dark chocolate category. They partnered with Nielsen BASES to quantitatively assess their ideas and positioning. With the snapshot concept test, consumers were asked to provide feedback instead of trying the product. From this, consumers were unfamiliar with the Montreaux brand, and two dark chocolates with fruit variations were chosen from this snapshot. The 70% cocoa concentration was favored in focus groups over the 90%. With marketing, some consumers preferred smaller squares, while others favored the standard candy bar. The second snapshot test concluded with the 5-ounce stand-up pouch with small squares with healthy positioning being favored (pg.6). Taste is also a secondary element that should be communicated through healthy positioning. Are they ready to launch or should they field more research? Montreaux Chocolate USA should launch the new product line under the name Montreaux to build brand equity for the European company, but should also include Apollo Foods on the packaging to inform consumers that this is an Apollo Foods product and a sub-brand of the
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