Marketing Communications Plan for the Chocolate Confectionery Industry - Assignment Example

1. Marketing communications strategy and objectives for the chocolate confectionery industry After considering all the issues being raised against the weaknesses of and threats against the chocolate confectionery industry, three main issues have to be addressed in order to maintain and even support for an increase in the projected growth rate of the industry. These issues are: Health related issues against chocolate consumption Price sensitivity Issues with social dimension/ unfair practices image Marketing communications strategies will therefore have to concentrate on these issues in order to become effective in inducing further sales of chocolate confectioneries, and avoid a pattern of decline in sales growth brought about by the impact of the said issues. Some of the strategies that will have to be undertaken are the following: 1. Promote the healthy chocolates - reposition dark chocolate as a health food with beneficial effects, and should be made part of dietary/meal plan - undertake campaigns that promote healthy eating/responsible eating of chocolates, highlighting the nutritional values of chocolates in the campaign - introduce new ways and new experiences of eating chocolates, given the technological advances in the manufacturing process, i.e. sugar-free chocolates, chocolates with fruits and nuts, chocolates with cereals, etc. 2. Appeal to the emotions, appeal to the appetite - While there is common notion that chocolate purchases decline during economic recession, there are reports that suggest portion of the consumer budget is being used for personal indulgence, as indicated by the decline in savings ratio during economic downturn. Strategic communications must be able to target this market that will spend on chocolates for indulgence in spite of economic downturn - Strategies should include campaigns that will highlight the lingering good feelings resulting from eating chocolates at a time when negative sentiments brought about by economic recession dominate the general mood of the public 3. Go on the offensive to combat the negative image of chocolate manufacture - publicise the corporate social responsibility (CSR) activities of major chocolate producers - encourage chocolate manufacturers to engage in CSRs activities that help the environment, promote child welfare, and engage the public in discussion of socially relevant issues Marketing communication objectives: To promote healthy eating habits that include chocolates To counter the negative impact of economic recession on chocolate purchases To improve the image of chocolate manufacturers as responsible and caring corporate citizens Given the above objectives, the marketing communication efforts should be able to contribute to the overall target of the chocolate confectionary industry to grow by as much as 17 percent in the next five years, or an increase of two percent in real terms. 2. Promotional mix The promotional mix should be able to communicate effectively to its target market its key messages, to wit: Message 1 – Chocolates are healthy. Eaten the right way, they not only provide nutritional benefits, but also an emotional experience of ‘feel-good’ about one’s self. Message 2 – Chocolates are value for money. Buy chocolates, you get something good in return. Message 3 – Chocolates are produced by corporate citizens who give back to society what it has received from the public. It practices social responsibility and looks after the welfare of the community where it operates. To communicate effectively, the promotional mix efforts will have to hire advertising agencies to develop effective sales ads; sales promotion specialists to design targeted sales promotion programs; direct-marketing specialists to build database and interact with customers and prospects by mail and telephone; web developers/graphics design artists/IT experts to develop and maintain the marketing campaign online, and public relations firms to supply product publicity and develop positive image for chocolate products and the chocolate-eating habits. What is important in the marketing communications mix is to be able to determine what to say, to whom, and how often. This should be able to provide the guide as to the marketing mix media to use and to invest in, in order to effectively reach the target market of the marketing efforts. The marketing communication mix to promote chocolate confectionery will be implemented through the following: Advertising – print and broadcast ads in both regional and national levels. Advertising will be in the form of ad placements in print and broadcast media. Print media ad placements include national and regional broadsheets and tabloids, and lifestyle/fashion/food/sports magazines. Broadcast media includes running 30-seconds TV and radio ads pitching for healthy chocolate consumption message. Direct marketing – use of mail, telephone, and other non personal contact tools to communicate with or solicit a response from specific customers and prospects. Direct marketing will target certain segments of the market, such as the social grade C2 (skilled workers) who have been reported to have the widest chocolate eating habits, chocolate being part of their snack choices. Direct marketing will aim to introduce new and various ways to enjoy their chocolates, aside from advocating healthy eating patterns. Internet based marketing campaigns – through the creation of website, blogsite, social networking platforms such as Facebook, Multiply and Tweeter accounts, email campaign. Internet based marketing campaigns will target the market segment that includes the social grade AB where professionals and those in the managerial positions belong, and who are most likely internet savvy. Target audience also includes the younger generation set who are active internet users, and who engage in social networking using various social networking platforms, i.e. facebook, friendster, multiply, tweeter. Events promotion – participation in trade fairs, product road shows, mall events, or sponsorships. The aim is to create additional visibility for the marketing campaign, providing opportunities for live interaction between target audience and chocolate advocates. Public relations and publicity – programs designed to carry out the key marketing messages that aim to promote or enhance positive image for chocolates. PR campaign will create stories that seek to dramatize the positive features of chocolates, chocolate-eating patterns, and chocolate manufacturers. PR activities can dramatize the message and create a more credible and appealing stories for the target audience. It will also try to capture segments of the audience that simply dismisses the key messages passed on through advertisements. Specifically, the marketing campaign will take the following form: Media Type Forms Advertising 1. Broadsheet newspapers – every Sunday, Wednesday, and Friday targeting serious news readers, professionals, parents 2. Tabloids – every Tuesday, Thursday, and Saturday targeting general public readership 3. Top 10 lifestyles/health/ food magazines, issues in at least once or twice a month 4. Regional and national TV and radio programs 5. Leaflet campaign - local newspapers might be a viable partner in this campaign strategy Direct marketing Mail, telephone, and other non personal contact tools to communicate with or solicit a response from specific segments of the target market E-Marketing strategy Use of social networking media such as facebook and tweeter accounts will help in promoting or communicating the key messages Events Promotion Trade fairs, events sponsorships, mall events, product road shows, health/sports events, food demo, culinary tours PR The specific PR business objectives are: Create positive image for chocolates, chocolate-eating habits, and chocolate manufacturers Enhance the civic duties responsiveness image of chocolate manufacturers, especially in areas where the factories operate 3. Scheduling and implementation According to Kotler, marketing implementation is “the process that turns marketing plans into action assignments and ensures that such assignments are executed in a manner that accomplishes the plan’s stated objectives”. Assuming that a marketing group headed by a marketing manager has already been organized to implement the strategic marketing plan, the following action program will be implemented with specific milestones and timeline in order to keep track of the progress of the marketing plan implementation. Main Activities Critical Elements Milestones Person Responsible Finalise Marketing Strategy 1. Availability of marketing research output 2. Brainstorming output reflecting all the inputs of chocolate industry stakeholders 1. Marketing plan blueprint 1. Spearheaded by the marketing manager, supported by industry stakeholders/ participants Advertising program 1. Advertising programs including budget per advertising tool has been prepared 2. Advertising firm has been identified to implement the program, including execution of ad placements 1. Ad agency contract has been finalized and signed 2. Launch of ad campaign started 1, Marketing manager and staff in-charge of ad placements Direct Marketing activities 1. Direct marketing program has been finalized and a direct marketing firm has been contracted 1. contract has been finalized and signed 2. direct marketing program has been launched 1. Marketing manager and staff in-charge of direct marketing Creation and development of online presence 1. Concepts have been designed for implementation 2. Target market has been clearly identified for targeted campaign 3. Cooperation of IT experts who will implement and execute the online marketing program 1. Launch the advocacy website. 2. Launch of advocacy activities blogsite 3. Facebook and tweeter accounts have been created, with fan pages hitting desired numbers 4. Email campaigns have started 5. Online ads are visible and apparent 1. IT staff under the supervision of the Marketing manager Events promotion activities 1. Launching of various events 1. Launching programs approved and implemented 1. Marketing manager and events management staff, in partnership with partners and sponsors Public Relations activities 1. PR program has been drawn and PR firm has been contracted to implement the program 1. PR contract has been signed. 2. Press kits have been prepared and distributed 3. PR programs have been implemented 1. Marketing manager and staff in-charge of PR A 12-month Action Program Time Line will be considered as indicated in the Gantt Chart: Activities Mo 1 Mo 2 Mo 3 Mo 4 Mo 5 Mo 6 Mo 7 Mo 8 Mo 9 Mo 10 Mo 11 Mo 12 Finalise Marketing Strategy Advertising program Direct marketing Creation and development of online presence Events promotion activities Public Relations activities Start month Continuous activities 4. Budget, evaluation and control The proposed plan will cost £2 million or about five percent of current worth of UK chocolate industry. Design Agency Fee 150,000 Photography 70,000 Production of materials 54,000 Printing Costs / Overall Leaflet Costs 145,000 Media Newspapers 200,000 Media Magazines 300,000 Media – Radio 250,000 Media - TV 150,000 Media Outdoor 100,000 Market Research 120,000 PR Agency 175,000 Miscellaneous 50,000 Internet 100,000 Trade Promotion 250,000 Total 2,114,000 The marketing group is expected to plan and control the marketing activities. But as things are sometimes happening unexpectedly, and many changes occurring during the implementation of any marketing plan, the marketing group has to monitor continuously and control the marketing activities. It also has to measure the impact of the message on the target audience to determine the effectiveness of the promotional mix. This involves asking the target audience whether they recognize or recall the message, how many times they have encountered it in a given day, how they felt about the message and/or the product, and the resulting attitude towards the product, i.e. chocolates. Feed back on audience response, such as how many people bought the product, how many liked it, and/or talked about it to others, must be collected to gauge the effectiveness of the message. Other measures include: 1. Advertising efficiency Advertising cost per thousand target chocolate buyers reached by media vehicle Percentage of audience who noted, saw/associated, and read most of each print or TV ad, or heard about radio ads Consumer opinions on the ad content and effectiveness Before-after measures of attitude toward chocolate purchases 2. Online marketing campaigns Website visitors tracking can be monitored Blogsite hits will indicate effectiveness of blogging to promote the product Facebook network and fan or friend requests can indicate popularity Tweeter accounts network Online inquiries through emails 3. Sales – promotion efficiency Increasing sales pattern after the promotion campaign All in all, the success of the marketing plan will be measured by the way the objectives that were set to be accomplished beforehand were met. If the bottom line objectives were met in terms of increased sales, and a developing positive image and acceptance of chocolate companies/manufacturers, then the marketing plan would have been a success. References Cateora, P. International marketing. 9th edition. 1996. Irwin Group. U.S.A. Kotler, P. Marketing Management – analysis, planning, implementation, and control. 8th Edition. 1994. Prentice Hall Inc. New Jersey, USA. ______. FT Advertising. 2010. [Online] Available at: http://www.fttoolkit.co.uk/advertising/rates.php [Accessed 07 May 2010] ______. The British media is here. 2010. [Online] Available at: http://www.mediauk.com/ [Accessed 07 May 2010] Read More