THE PRODUCT LAUNCH OF DREAM

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							                                                                                                                                                                                                                                                               Business 2000
                                      THE PRODUCT                                                                                                                                                                                                               SIXTH              edition



                                      LAUNCH OF DREAM                                                                                                     The Consumer Decision                                                     Linking Development and
                                                                                                                                                              Making Process                                                            Market Research
                                                                                                                                                                                                                                   The technical development of Cadbury’s Dream took
                                                                                                                                                                                                                                   place over four years and involved extensive use of
                                                                                                                                                                                                                                   consumer feedback. For a chocolate bar market
                                                                                                                                                                                                    Awareness                      research in the form of consumer testing will
            A WHITE OPPORUNITY - ADULT WHITE CHOCOLATE                                                                                                                                                Interest
                                                                                                                                                                                                                                   impact on the product’s recipe, texture,
                                                                                                                                                                                                                                   shape, format, size and packaging. It is
                                                                                                                                                                                                   Alternatives                    important to get all these elements
            The Importance of Strong                                        Market estimates value the total Irish chocolate market at about
                                                                               375 million of which the white chocolate market segment is currently                                                                                correct when launching a product.
             Confectionery Brands.                                                                                                                                         Focus of
                                                                            valued at 12 million, almost 3% of the total chocolate market. This                            Cadbury                   Selection
 Strong brands are very important in the chocolate confectionery                                                                                                                                                                   Recipe and Texture
                                                                            clearly represented an area for future growth.                                                Marketing
 market. Almost 80% of chocolate purchases are made on impulse.                                                                                                           to attract                 Purchase                      Market research carried out among
 Buyers generally decide quickly which confectionery product to buy                                                                                                        Impulse                                                 chocolate consumers found that
 with almost half of purchase decisions made within 10 seconds of           With proven levels of confectionery consumption, and growth                                   purchasing              Post-Purchase
                                                                            opportunity in white chocolate, Cadbury’s identified a gap in the Irish                                                                                consumers associated a unique intimacy
 arriving at the confectionery fixture in the store.                                                                                                                                                                               with white chocolate. Popularity of the
                                                                            market for a new white chocolate brand. Previously, white chocolate was
                                                                            targeted only at the kids market. The success of the previous launch in                                                                                product in market testing was attributed to
 The importance of developing strong confectionery brands is                                                                                                                                                                       several key features including flavour, sweetness, a
                                                                            2000 of Cadburys Snowflake, a white chocolate bar covered in milk
 therefore clear, with consumers using brands and packaging to                                                                                        Female Market for White Chocolate                                            creamy aftertaste and a melt-in-your-mouth texture.
                                                                            chocolate would set the scene for a successful introduction of a
 recognise products quickly and reduce perceived risks when                                                                                           Market research also shows that women purchase almost two-thirds of          These identified features would later be incorporated into
                                                                            mainstream white chocolate brand. Cadbury saw a further opportunity to
 purchasing a newly launched brand.                                         create an extremely strong brand, the Cadbury Dream bar, an adult         all confectionery but eat just over half of what they buy themselves, as     the product’s brand image and advertising.
                                                                            market thus capitalising on the growing appeal for white chocolate and    they are the gatekeepers when making purchasing decisions for the rest
 Chocolate confectioners recognise the importance of this and spend                                                                                   of the family. By targeting the gatekeeper with a new product the chances    Selecting a Brand Name
                                                                            develop a new product category.
 more on advertising than any other food category.The result of all this                                                                              of a successful launch is increased.                                         The name for the new product was chosen following extensive market
 advertising and marketing activity is that the chocolate confectionery                                                                                                                                                            research in New Zealand. This included consumer focus groups where
                                                                                                                                                                                                                                   groups of consumers were brought together to provide feedback on a
 category is full of strong brands.
                                                                                                                                                                                                                                   range of potential names for the new bar. Research found that the name
                                                                                                                                                                         Gatekeeper                                                ‘Dream’ represented the characteristics that Cadbury’s wanted to reflect
                 Irish Confectionery                                                                                                                                                                                               in the brand’s personality so that it would appeal to the target market –
                 Consumption Trends                                                                                                                                                                                                women in the 25 years to 34 years category.
 Having universal appeal, Irish consumers purchase and eat
 confectionery on a regular basis. Chocolate confectionery is very much                                                                                 Purchase                               Consumer             Disposal       A product’s brand personality is a description of its characteristics in
 a part of everyday life in Ireland. We have the third highest per capita                                                                                                                                                          relation to the target market for the product. It assists marketers to
 consumption of chocolate in the world at approximately 10 kg of                                                                                                                                                                   develop suitable advertising and promotional campaigns for the product.
 chocolate per annum and spend over 100 per person.                                                                                                                       Purchaser                                                  In the case of Cadbury’s Dream the key elements of its brand
                                                                                                                                                                                                                                        personality were designed so that they would appeal to female
                                                                                                                                                                                                                                         consumers seeking style, confidence, sophistication and self-
                                                                                                                                                                                                                                        assuredness in their lifestyles. Their research also found that it would
                                                                                                                                                      Within the female market, research shows an increasing preference            make the product stand out.
                                                                                                                                                      for white chocolate. The white chocolate market is considered to offer
                                                                                                                                                      significant potential for growth especially within the impulse segment.                                        Female


                                                                                                                                                                              In Ireland, the size of the white chocolate market            Stylish                                             Confident
                                                                                                                                                                                  has increased significantly. Increased impulse
                                                                                                                                                                                    buying, driven by consumption by children,
                                                                                                                                                                                                                                                                  Cadbury’s
                                                                                                                                                                                      and innovation in the market has seen its    Self Assured                                                    Sophisticated
                                                                                                                                                                                       size increase by 50% since Cadbury’s                                        Dream
                                                                                                                                                                                        launched Snowflake onto the market                                     Brand Personality
                                                                                                                                                                                        place in 2000. Up to 2000 the white
                                                                                                                                                                                        chocolate market was primarily a kids
                                                                                                                                                                                       markets. Innovation has further grown                      Figure: Cadbury’s Dream Brand Personality
                                                                                                                                                                                      this market with the launch of the adult     Shape, Format & Size
                                                                                                                                                                                     chocolate such as Snowflake.The launch of     Consumers also had preferences for squared block chocolate formats as
                                                                                                                                                                                   Cadbury’s Dream is expected to further          they are convenient bite sizes. This shape has proven to deliver a good
                                                                                                                                                                                develop this segment of the Irish market.          taste experience.



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Packaging                                                                                 Ensuring Consistency                                                                                              Trial and Sampling Programmes
The packaging for Cadbury’s Dream was also determined by consumer                                                                                                                                           Product trial and sampling programmes were run both before and after
research and influenced by the Cadbury’s Dream brand personality. It was                 with the Umbrella Brand                                                                                            the launch. An extensive sampling programme was used before and during                                                     GLOSSARY
designed to fit with the product’s image of being soft and indulgent and                                                                                                                                    the launch to generate awareness and trial. Miniature bars were used to
had a particular appeal among the female target market. Indeed the                   For Cadbury’s it is important that its traditional image is retained, as there
                                                                                                                                                                                                            drive trial and establish the taste of Dream with consumers. A nation-wide                              Gatekeepers: These are buyers of products who control the
selected colours on the packaging of a combination of blue and white                 are benefits for the new products to be associated with Cadbury’s and
                                                                                                                                                                                                            on-street sampling campaign also took place using the ‘Cadbury’s Dream                                  flow of information as well as making the purchasing decision.
were used for their attractiveness, as reflecting indulgence to the female           built upon the brand values that have been developed over 70 years
                                                                                     (Cadbury’s brand has been in existence since 1824). Research shows that                                                Team’ promotional staff. Dream was offered as free samples with
purchaser.
                                                                                                                                                                                                            Cadbury’s Drinking Chocolate and Cadbury’s Roses Top Box cartons, and                                   Market segment: A part of the market which has its own
                                                                                     colour recognition of purple is strongly associated with Cadbury’s and that
                                                                                                                                                                                                            free samples were given away on the cover of VIP Magazine, a popular                                    distinct customer profile and buyer characteristics such that, for
Research found that the final packaging showed the new product to be a               the Cadbury’s logo having the highest recognition of any logo among
                                                                                                                                                                                                            magazine with a large Irish female audience.                                                            marketing purposes, it can be targeted separately from other
modern and quality chocolate bar that was different enough to catch the              popular consumer brands. This is part of a ‘Choose Cadbury’s’ marketing
                                                                                                                                                                                                                                                                                                                    segments of the market.
consumer’s eye on a shelf. The variety of the products offered for the               strategy using the established ‘glass and a half ’ corporate purple and
                                                                                     flowing script that has become synonymous with Cadbury.
launch phase were the standard 45 gramme bar, shell egg, impulse egg, 100
gramme and 200 gramme bars. As well as the standard offering seasonal
                                                                                                                                                                                                                                          Conclusion
offerings e.g. Easter were also planned.
                                                                                                  Launching Dream in                                                                                        For Cadbury, innovation remains one of the key elements to the
                                                                                                       Ireland                                                                                              company’s success with new brands catering for changing tastes and                                           tasks and activities
                                                                                                                                                                                                            lifestyles. Identifying these changes in taste and lifestyle and matching these
                                                                                                                                                                                                            with quality products with strong brand values will mean that new product                               1.   Explain the benefits of consumer testing during the
                                                                                     Cadbury’s Dream was launched to the Irish market in February 2002. It
                                                                                                                                                                                                            development will continue to be an integral part of the Cadbury’s business                                   product development process? For a chocolate bar what
                                                                                     represented the outcome of intensive process by Cadbury Ireland
                                                                                                                                                                                                            strategy.                                                                                                    aspects should be examined in during this testing?
                                                                                     marketing team, and the beginning of a period of intensive advertising and
                                                                                     promotional activities to ensure that the product would have an
                                                                                                                                                                                                            There will also be further development of the Cadbury’s Dream range.                                    2.   Define the following terms:
                                                                                     immediate impact in the market place.
                                                                                                                                                                                                            Already this has seen Cadbury’s Dream varieties introduced into other
                                                                                                                                                                                                            market segments including the gift and take home segments. Speaking at                                       (a) Brand personality
                                                                                     Because the product had been launched in other markets before Ireland,                                                                                                                                                              (b) Above-the-line marketing
                                                                                                                                                                                                            the launch of the new bar, Michael Smith, Marketing Director, commented:
                                                                                     Cadbury Ireland could learn from research carried out and marketing                                                                                                                                                                 (c) Focus group
                                                                                     experiences in these countries.
                                                                                                                                                                                                            “Cadbury’s Dream is an exciting new edition to our white
                                                                                                                                                                                                            chocolate portfolio and marks a further commitment by Cadbury’s                                         3.   What is a consumer decision making process? How do
                                                                                     From the outset the primary marketing objective for the launch of                                                                                                                                                                   you think marketers use this to ensure a product is
                                                                                                                                                                                                            to this market.As leaders in the white chocolate market for adults,
Market research results                                                              Cadbury’s Dream was to build high awareness quickly for the brand and
                                                                                                                                                                                                            we plan to drive further market growth through the introduction
                                                                                                                                                                                                                                                                                                                         successful?
This market research included a range of sessions                                    get visibility for the launch of the product. To launch Cadbury’s Dream in
                                                                                                                                                                                                            of a complete cross category range.”                                                                    4.   Outline the objectives of a product launch marketing
where consumers were invited to taste the new                                        Ireland Cadbur y’s provided heavy marketing suppor t, with both
product and provide feedback to the marketing                                        above and below-the-line launch activity. Above-the-line marketing                                                                                                                                                                  strategy.
team on their views of the product. Feedback                                         includes outdoor or TV advertising
described Dream as having a better chocolate                                                                                                                                                                    Take home confectionery is generally purchased in a supermarket                                     5.   Identify three branded chocolate products for each of the
                                                                                     while below-the-line marketing                                                                                             for later consumption in and out of the home. Here consumers
taste, creamy, not as sweet, better texture and                                                                                                                                                                                                                                                                          following market segments – impulse, take home and gift.
                                                                                     includes promotional and sampling                                                                                          make more rational decisions and consider the price of the product,
more natural taste than other white chocolate. In
general findings indicated to the new product                                        activities.                                                                                                                the value they place in the brand, and quantity purchased.                                          6.   Explain the difference between the roles of gatekeeper,
would be a success. Findings included:                                                                                                                                                                                                                                                                                   purchaser and consumer in the decision making process.
                                                                                     Advertising to
◗    77% of females said they preferred                                              Reflect Brand                                                                                                              The gift segment of the market contains products that are
     Cadbury’s Dream to a leading brand in the                                       Personality                                                                                                                purchased for everyday gift occasions such as Valentines Day,
     white chocolate category.                                                       The advertising theme for the                                                                                              birthdays and Christmas. The core drivers in making a purchasing
◗    56% of consumers said they would buy                                            Cadbury’s Dream product launch                                                                                             decision in this segment are "need a token of appreciation", "need a
     Cadbury’s Dream as well as their current                                        was ‘All in a Cadbury’s Dream’.                                                                                            romantic gesture" and "need to celebrate a special occasion".
     purchase.                                                                       The advertising strategy was
◗    79% said Cadbury’s Dream packaging was                                          developed around the brand
     eye-catching and stood out from the rest.                                       personality of the product and                                                                                             Impulse purchases are typically products bought for immediate
                                                                                     sought to appeal to female                                                                                                 consumption.The core drivers for this type of purchase are indulgent
The research also found that white chocolate                                         chocolate consumers in particular,                                                                                         and immediate consumer needs such as "need filling up", "need a light
buyers were more likely to spend more on                                             their tastes and desired lifestyles.                                                                                       snack", "feel like indulging" and "need some energy".
chocolate and likely to buy blocks of chocolate                                                                                                                                                                 The impulse market accounts for 50% of total chocolate sales and 80%
more frequently.                                                                     This theme incorporated the                                                                                                of these sales are bought on an impulse basis in the UK and Ireland.
                                                                                     characteristics of indulgence and                                                                                          Research has found that growth in the impulse market is driven by
By getting an understanding of consumer                                                                                                                                                                         changes in lifestyles that are affecting the way we eat and an increase
                                                                                     luxury associated with the
intentions and attitudes toward a product the                                                                                                                                                                   in demand for convenience. Snacking has become a part of everyday
                                                                                     product. TV advertising ran across
Cadbury’s marketing team could get a better                                                                                                                                                                     life and chocolate has become a unique impulse category because it is
understanding of Irish consumer’s decision-                                          all the main channels. This was
                                                                                     supported by a widespread                                                                                                  eaten throughout the day rather than specifically at meal times. The
making processes.This information would be used
                                                                                     outdoor campaign on billboards in                                                                                             peak times for confectionery eating are late morning "elevenses", late
by Cadbury to convert a consumer who has an
                                                                                                                                                                                                                      afternoon, after school and during the evening.                                                                www.cadbury.ie
awareness of the brand to move down the steps                                        prominent places and at train
to actual purchase.                                                                  stations.

                                                                    While every effort has been made to ensure the accuracy of information contained in this case study, no liability shall attach to either The Irish Times Ltd. or Woodgrange Technologies Ltd. for any errors or omissions in this case study.

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