Case Analysis of Rogers Chocolates

1273 Words Mar 8th, 2014 6 Pages
Key Issues

There are multiple issues facing Rogers’ Chocolates. Rogers’ has a dated value proposition. In order to expand they need to compromise the history behind the brand. The service tactics and packaging is old fashioned. The need for a different look was further backed by a consultant hired by Rogers’. Their current traditions may be well received in Victoria but they aren’t working to fully expand markets.
Rogers’ brand image was tarnished due to the import of raw materials from West Africa. West Africa was faced with issues of forced labor and child labor used in the production of cocoa beans. In Victoria, matters concerning the social and community environment were important to consumers. This poor brand image had
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They should consider offering a more price friendly product vs high price point to open the market up to those who aren’t affluent but still will pay for quality chocolates. In their retail stores they should continue creating a positive image of the brand in the mind of the visitors. They should also continue to create strong brand loyalty and continue to market themselves as a unique gift item which can be given to others.

Porters Model

Threat of New Entrants
The growth rate in the chocolate industry is falling, which makes the threat of new entrants low. However, the traditional manufacturers are moving toward premium chocolate in an effort to maintain significant profit margins. This makes a moderate threat of entrants. They are doing this through market acquisitions or up marketing. There is also a greater profit margin in case of premium chocolate which makes it a more attractive tactic for the new entrants.
Bargaining Power of Consumers
Consumers have a moderate level of bargaining power. The loyal Rogers’ consumers dictate the packaging and store experience. Rogers’ has held onto this traditional view for their consumers. Consumers will pay the higher price because they value Rogers’ and will not switch brands.
Bargaining Power of Suppliers
The suppliers have moderate level of bargaining power. Consumers wanted healthier options but Rogers

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