Marketing Analysis Of Haigh ' S Chocolate

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

Moreover, other market targeted by the company are those premium markets where there is high disposable income having high income level and would like to demand best quality products for self-consumption or for gift purposes.

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

Haigh’s Chocolate provides quality products and service throughout Australia and make sure to produce only the best raw materials from

Clare’s Chocolate Cafes has always used good quality cocoa to make their chocolate products. This is, in itself, an amazing marketing product because customers know that while they may be paying a little bit more, the product is worth it. As well, the organization makes a wise customer draw when each hot beverage is served with a high quality chocolate product. The early practice of making chocolate products by hand and providing individual or pre-packaged products, of all sizes, for the customer to select, was

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.

Amid the 1950s and 60s, Haigh 's chocolates were additionally sold at the movies. In the 1960s TV controlled the silver screen as a type of excitement so John Haigh looked somewhere else to develop the business. In 1965 Haigh 's opened the principal store outside South Australia, in Collins Street Melbourne, where Haigh 's chocolates ended up being generally as well known.

Research has proved that humans have been consuming cocoa for over 2600 years from once upon a time being used as currency to becoming serious pirate loot to being the key ingredient along with sugar in producing chocolate today.

With the increasing trend in healthy diet preference, the underlying drivers of change of competition in premium chocolate industry at the strongest level are the buyers’ preferences for differentiated, refined products, instead of standardized ordinary products that are no longer demanded. In addition, baby boomers - generation with their disposable income are spending a lot on high quality premium chocolates.

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

Haigh’s has always given world class experience of chocolates to its customers without compromising with quality. This has obviously proven to be another great strength of the company. The reputation and positioning of the family business in the market is another strong point. Innovation of the company lies in its concept of factory tours by its customers which brings in customer’s awareness and a sense of reliability. Internally seeing, the senior management of the family business is its strength as the love and affection for the business is in the blood of Haigh’s managing

Haigh 's Chocolates is an Australian confectionery industry organization offering astounding chocolate and related items to clients in South Australia, Victoria and New South Wales. The organization is situated in Adelaide, South Australia, where it was established in 1915 by Alfred E. Haigh. Haigh 's behaviors free voyages through its manufacturing plant on Greenhill Road. Alfred E. Haigh was conceived in

Opening a facility in Kentucky allows the company to ship their products to the Scharffen Berger retail stores located in New York City (Upper West Side and Greenwich Village), and other upscale department and retailers, such as Trader Joes, located throughout the United States. This will save transit time and freight costs substantially[2] .as compared to shipping directly from California to the stores. In a cost comparison researched showed that there was a delta of $4,167.43 when shipping from the West Coast facility to New York compared to shipping from the East Coast facility to New York. This opportunity to reduce transit time can ensure the integrity of the chocolate to conceal the freshness. With a new

‘’organisations exist and function within society and consequently are subject to a variety of social influences. These influences, which include demography, social class and culture, can change over time and affect both the demand and supply side of the economy. Marketing organisations recognise and make use of these factors when segmenting markets for consumer goods and service’’ Worthington, I (2009) p.135.

The purpose of this report is to identify, analyse and evaluate the marketing factors that Whittaker’s has adopted in attempts to position themselves as a top-quality chocolate confectionery brand. In addition, this report would also be an aid to the major assignment in terms of developing detailed plans with marketing factors, data and facts.