Chocoberry Case Study

The premium chocolate industry is a large market in the United States and continues to grow around 10% annually. It is also populated with very strong

At Scharffen Berger Chocolate Maker, Jim Harris was the COO (chief operation officer) and was with the company for about 18 months and was observing the increased demand for their chocolate. “America’s finest dark chocolate” company wanted to increase production by equipping factories with new machineries and equipment but did not want any difference in the taste of the chocolates they produced. As the company totally agrees on not compromising the taste of chocolates and increase the production in order to meet the rising demand for their chocolates they should probably get into customizing chocolates blend for the mass-market retailer in order to grab huge market share, increase accessibility of the chocolate to customers and provide variety of choice to the customers by maintaining the taste they are known for. As the demand is increasing from 50%, 100%, to 150% by the start of 2006, Harris has to make a significant decision in order to invest Scharffen’s capital budget in expansion of the Company. Harris is recommended to acquire the required machinery in order to fasten the production and increase the capacity of the plant and should be careful about the quantity to be produced as the acquiring of machinery will increase productivity multiple times but the initial demand for

Hershey’s and Cadburys are moving towards the premium chocolate market through the acquisition or upmarket launches (Zietsma, 2007). The profit potential present in this sector supported by its 20% annual growth rate make it very attractive for large organizations to come forward and avail this opportunity. There is a low threat of new entrants prevailing in this chocolate industry because of the high capital requirements and expected retaliation by current manufacturers. Current players in the industry also possess some barriers to entry for new entrants by maintaining economies of scales with their large production capacity and keeping their product differentiation with their specialized and novelty chocolate products. Even though there are low switching costs and easy access to distribution channels, but still the brand loyalty of the customers including the Rogers’ Chocolate itself make it harder for new firms to come into the competition.

While Europe and the United States account for most chocolate consumption, the confection is growing in popularity in Asia and market forecasts are optimistic about the prospects in China and India (Nieburg, 2013, para 9). According to the CNN Freedom Project, the chocolate industry rakes in $83 billion a year, surpassing the Gross Domestic Product of over a hundred nations (“Who consumes the most chocolate,” 2012, para 3).

It focuses on the craft of premium chocolate making from cocoa beans sourced from manors around the globe. Cooking procedures are innovative. Production line groups use fastidious artisan abilities to make chocolates that

3. To become established as the national retailer of choice for chocolate connoisseurs within the next 3 years.

One important underlying driver of change in the chocolate industry is the large manufacturers lobbying to change the definition of the term "chocolate" under USFDA guidelines, if they are successful in doing this then this could potentially have a dramatic impact on the competitive environment, with lots of cheaper products

The premium chocolate market has been growing at 20% annually, showing that buyers are willing to pay more for a better tasting and better quality chocolate. The declining growth of the overall chocolate market and rapid growth of the premium chocolate market is positive for current producers of premium chocolates in that the decline

Theo Chocolate was first established in March 2006 by Debra Music and Joe Whinney in the Fremont- neighborhood of Seattle, Washington (theochocolate.com, our story). For Theo, they want to do more than just chocolate. It is about the land, the people, the dedication, and the interconnected relationships that bind all of them together. That is why Joe Whinney- Theo’s founder- first pioneered the supply of organic cocoa beans into the United Strates in 1994. Traveling and working in the tropics of Central America and Africa, Joe fell in love with the land and

Through a series of BASES screening and concept tests, an original set of 45 ideas for concept development was first narrowed down to 12, then to 5. Of these final five concepts, all involved dark chocolate with fruit. Further research found that when comparing the taste of 70% cocoa to 90%, consumers preferred the 70% mix with the top three fruit flavors being cranberry, pomegranate, and blueberry.

Q.1. Assess the business scenario for ChotuKool? What are the critical success factors for this product to succeed?

For instance, there exists market for Novelty Candies and Private Label Candies. Equally, the availability of partnership, Franchising and Licensing can be of great help to The Cherry Lady Company which is still expanding

2. Evaluate the achievability of the company objectives for Montreaux USA. Identify the most salient (or important) aspects of the chocolate confectionary industry, globally and domestically, that are critical for understanding a new product introduction of this type. Provide support for your conclusions.

After a thorough analysis of Apollo Foods business situation, a decision plan regarding the launch of a new chocolate product for its new branch acquisition Montreaux Chocolate USA has become clear. This decision plan is based on the following key challenges and marketing issues that need to be addressed. These challenges and marketing issues can be best summed up by a decision on what brand the product will be home to, whom the product will be marketed to, the ingredients and formulation of the product, the packaging of the product, can the product perform well enough in a sales forecast plan to exceed a $30 million dollar hurdle rate, and finally to launch or to test market the product. After reviewing Apollo Food’s data, their market research findings, and sales forecasts. A decision plan that addresses all of the key issues and marketing points has been created and will be

Some of the critical strengths of Cowgirl Chocolates that determine the success of this small business include product differentiation, quality, flexible return policy, and personalization. Cowgirl Chocolates is very modern creation since it meets the needs of a specific market of spicy and chocolate fans by combining both cayenne, a spice, and chocolate, a sweetener. The business also is known for using premium ingredients in all of the chocolates it offers. The business not only offers a flexible return