ChocolatierLeung Wing Sum 11182433d
Law Yu Ling 11160643d
Tse Yee Kiu 11173426d
Guillermo Garcia-Muchacho 11904473x
Lee Wing Ting 11021093d
HTM 2121 Tourism and Hospitality Marketing
Outline1. Business concept
2. External environmental analysis
3. Competitor analysis
4. Target market
5. Marketing mix strategies and programs
6. Implementation milestone
7. Marketing budget
8. Marketing control
9. Reference
Business concept
• enter the chocolate market in HK • Be the “cash cow” in the market• increase competition power & market control. • slogan : ‘where art meets chocolate’• personalized chocolate products • special shape & favours, packed with girlish
decoration.
External environmental analysis• Demographic trends• Total residents population in Hong Kong is 7,071,576
keep increasing • Marital status
• Educational attainment
Upper secondary, nearly 35%
27.3% of the population is post-secondary
Sex Total number Married Never married
Female 3,768,561 1,847,554 1,008,811
Male 3,303,015 1,760,524 964,739
• Social –cultural trends• Hong Kong is a multi-cultural society• Including Chinese, Indonesian, Filipino, Western,
Indian, Japanese, Thai, etc.• Residents usually affected by the Western culture
• Economic trendsOne of two Special Administrative Regions (SARs)
of the People’s Republic of ChinaOne of the world’s leading international financial
centresUnique economy system
free market system
(ranked the freest in the world by the Index of Economic Freedom for 18 consecutive years)One of the “Four Asian Tigers”
• Ecological trends
1. cocoa beans affected enormously by the weather conditions
• shortage of cocoa beans in the Ivory Coast more severe in Indonesia, Cote d'Ivoire and Ecuador
2. unsustainable farming practices
reduces the availability of cocoa• methods used in the Ghana
Hence, the availability of cocoa beans will go down
increase the operating cost of the organization.
companies raise the product price
•Technological trends
7 machines are necessary during the chocolate production process.
1. Chocolate Forming Machine
2. Chocolate Conche and Refiner
3. Chocolate Thermal storage Cylinder
4. Chocolate Packaging Machine
5. Chocolate coated machine , etc.
• ensure the stability of the high quality of homemade chocolate • alleviate the labor cost for producing homemade products.
Competitor analysis
• Based on the location of the store
1. Godiva
2. Leonidas
3. City’ super (one of the products they sell is Ferrero Rocher)
Godiva Leonidas City’ super(Ferrero Rocher )
Products Chocolate, gummy candy, and biscuits
Chocolates, Ice cream
Ferrero Rocher
Price 100 HK$ to 250 HK$ per 100 gram
80 HK$ to 120 HK$ per 100 gram
25 HK$ for 3 piecesOther price per box
Promotion Mall Billboards, etc Special offers, etc news paper ads, etc
Place Online Store, 15 Stores in HK
Online Store, 4 stores in HK
4 Stores in HK
Strengths:
Eye catching design
Many distribution channels
Weaknesses:
diversify their product
unsuccessful on numerous occasions.
Opportunities:
expand higher-end collections
Threats:dependant on the
economy
Godiva
Strengths:
Large variety of products
Good customer relation
decorated depending on the season’s theme
Weaknesses:
don’t stay fresh for long
keep the stock full
not sold within 2 weeks thrown away.
Opportunities:
Growth in chocolates consumption per capita
different occasions
Renovated stores
Threats:
Fierce Competition
Price differentiation depending on mall
Leonidas
Strengths:
Product Range
Store Size
Weaknesses:
not located in a very visible location
not well exhibited inside the store
Opportunities:
promote more around the mall
Threats:
Handmade luxury chocolates take over the
whole market
City’s Super
Target market
• Segmentation• Females who aged from 18 to 40 • middle-class• enjoy chocolates • buy chocolates for their lovers• potential and strong market
• Position• Target market potential purchasing power• Harbour City (middle-class shopping mall, popular to ladies)
‘Choco Lady’
• A girlish and feminine chocolatier• service of making tailor-made chocolates• attract female customers • create memorable and special memories
Marketing mix strategies and programs
• Services and Products• Price• Place• Promotion
4P
Products and Services
Products
Chocolate• handmade chocolates • cacaos from South America
Shape• butterfly-shaped• heart-shaped,• flower-shaped
Products
Package• Cute and fancy: pink and red • Cute ribbons, lace ad flowers• For young girls and students
• Elegant :Dark red and purple• Ribbons and roses• For elegant and mature ladies
Products
Taste• Special and unique tastes
e.g. rose, lavender, peach
• Chocolate dessert • Other chocolates desserts
e.g. chocolate cakes, chocolate mousses, chocolate cupcakes, chocolate hotpot, chocolate ice-cream
Products
• Chocolate baskets and gifts
• Chocolate drinks• Handmade chocolate drinks
e.g. iced chocolate, mocha, chocolate milk shake
Services
• Chocolate Relaxation• Chocolate massage and facial• New in Hong Kong market• Minerals in chocolates are good for bodies
e.g. improves the skin texture, anti-aging
Suitable for female to enjoy
Pricing• The price of the product contains certain degree of the
raw materials cost and the operation cost, including employees salary, package cost, rent, utilities, etc.
Products Desserts Drink Hotpot Basket Package Chocolate Message
Price $20-45 $30-40 $98 per person
$300-450 $35-280 $9-35 $350 per person
Place
Harbour City• On of the largest shopping mall in Hong Kong• Located in Tsim Sha Tsui • Attract almost 300,000 high-spending consumers
to visit
due to convenient access and recognizable
brand name
Promotion
• Playing the video of manufacture process• Invite the customers • Monthly themes • Large event
in winter --- hotpot
in summer--- chocolate ice-cream
On Valentine’s Day--- making chocolate workshop
MilestonesProgram Period Description Budget Person in charge
“Choco Valentine’s”
7-14 Feb 2012
Couples could enjoy the chocolate massage together with a special discount
$ 500 per pair
Staff who are responsible for doing massage
“Chocolate Egg Hunt”
1-9 April 2012
Launch of the limited edition of chocolate eggs and rabbit-shaped chocolate
$ 10,000
Sales Manager
“Choco Cool”
SummerMay to Aug
Sells low-fat and low-sugar chocolate ice-cream and cool drinks for customers
$ 20,000
Sales Manager
“Choco Warmth”
WinterNov to Jan
Launch of chocolate hotpot for customers
$ 50,000
Sales Manager
“Choco Santa”
Christmas1-26 December
Launch of limited series of Christmas chocolate in different shapes, like Santa Clause, Christmas Tree, Deer
$ 10,000
Sales Manager
Item Expected expense DetailsRent $ 200,000 per
month
Wages $ 9,800 per general staff$ 10,000 for sales manager
Staff:2 for waiters 2 for chocolate factory2 for beauty treatment1 Sales manager
Raw Material (Included transportation cost)
$ 200,000 Coca beans from South America
Budget
Tools and Equipment
$ 500,000 All tools and equipments used for making chocolates
Furniture $ 100,000Promotions $ 300,000 Includes all
advertisement cost
Program $ 200,000/program Includes all the expenses of each program, depends on its length and scale
Decoration and Package
$ 100,000 Includes all the decorations and packages for the chocolates
Marketing control
• Marketing control =a process for organization to monitor the proposed marketing plans and adjusting when the actual performance against the expectations
Strategic control
Annual plan control
Profitability control
Efficiency control
• Efficiency control concentrates on evaluating whether marketing activities can accomplish the marketing goals will be used
And three techniqueswill be used
ongoing research
keeping tabs on promotion
ongoing testing
Reference
• Allen, L. (2012). Chocolate Fortunes: The battle for the hearts, minds and wallets of China’s consumers. The World Financial Review. Retrieved March 5, 2012, from
http://www.worldfinancialreview.com/?p=548• Allen, L. (2010, September 30). Fighting For China's Chocolate Palate. Forbes. Retrieved March 5, 2012,
from
http://www.forbes.com/2010/09/30/china-chocolate-market-nestle-ferrero-rocher-mars-hershey-markets-economy-book-excerpt.html• Bromma, H. (2007). How to Invest in Offshore Real Estate and Pay Little Or No Taxes. McGraw-Hill
Professional: United States of America.• Census and Statistics Department. ( 2012). 2011 Population Census. Retrieved February 8, 2012, from
http://www.census2011.gov.hk/tc/census-result.html• City’super. (2012). Corporate Profile. Retrieved March 2, 2012, from
http://www.citysuper.com.hk/corp_profile.php• eHow Money. (2012). Five Major Marketing Control Techniques. Retrieved March 15, 2012, from
http://www.ehow.com/list_5999389_five-major-marketing-control-techniques.html• Godiva Chocolatier Inc. (2010). Godiva Family. Retrieved March 5, 2012, from
http://www.godiva.com.hk/family• Harbour City. (2012). About Harbour City. Retrieved February 20, 2012, from
http://www.harbourcity.com.hk/home• IBS Center for Management Research. (2010). Management Control Systems (2nd Edn). ICMR: India. • Ingredients Network. (2012, January 11). Cocoa prices rise on supply shortage fears. Retrieved February
12, 2012, from http://www.ingredientsnetwork.com/news-content/full/cocoa-prices-rise-on-supply-shortage-fears
• International cocoa organization. (2010). Impact of El Niño / La Niña weather events on the world cocoa economy. Retrieved
February 18, 2012, from http://www.icco.org/Attachment.aspx?Id=ok570647 • Jean-Paul Hevin. (2012). Profile- Presentation. Retrieved March 4, 2012, from
http://www.jphevin.com.hk/profile.html • Juneja, R. (2008). The Chocolate Massage-One of natural’s best kept secrets for beauty and anti-aging. Knol. Retrieved
February 23, 2012, from http://knol.google.com/k/the-chocolate-massage# • Leonidas. (2007). Leonidas Today-A century of freshness, generosity and tradition. Retrieved March 4, 2012, from
http://www.leonidas.com/pralines?id=137 • Marketing Teacher. (2012). Marketing Controls-Measuring and monitoring the marketing planning process. Retrieved March
10, 2012, from
http://www.marketingteacher.com/lesson-store/lesson-control.html • Moskvitch, K. (2011, July 5). Printer produces personalized 3D chocolate. BBC. Retrieved February 18, 2012, from
http://www.bbc.co.uk/news/technology-14030720 • Ntiamoah, A & Afrane, G. (2008). Environmental impacts of cocoa production and processing in Ghana: life cycle assessment
approach. Journal of Cleaner Production. 16, 1735-1740. • Organic Consumers Association. (2009, September 8). Another Reason to Buy Organic Fair Trade Chocolate. Retrieved
February 16, 2012, from http://www.organicconsumers.org/articles/article_19089.cfm • Organic-nature-news.com. (2011). Organic Chocolate. Retrieved February 21, 2012, from
http://www.organic-nature-news.com/organic-chocolate.html • Sing Tao Daily. (2011, January 12). 全球最自由經濟體港18連冠 . Retrieved February 26, 2012, from
http://hk.news.yahoo.com/%E5%85%A8%E7%90%83%E6%9C%80%E8%87%AA%E7%94%B1%E7%B6%93%E6%BF%9F%E9%AB%94%E6%B8%AF18%E9%80%A3%E5%86%A0-032000199.html
• Suzhou Gusu General Works of Food Processing Machinery. (2012). Chocolate making equipment. Retrieved February 18,
2012, from http://www.gusujx.com/news_1.asp?id=30 • Wood, A. (2010, March 7). Cocoa cost bites as chocolate prices rise. Sydney Morning Herald. Retrieved February 16, 2012,
from
http://www.smh.com.au/national/cocoa-cost-bites-as-chocolate-prices-rise-20100306-ppnd.html • World Cocoa Production. (2011). ICE Market Overview. Retrieved February 10, 2012, from
https://www.theice.com/publicdocs/ICE_Cocoa_Brochure.pdfReference