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MARKETING PLAN

I.

Executive Summary Chocolate is one of the most craved foods in the world since many

people turn to chocolates when they are sad. Studies show that chocolates have many chemicals that interact with the brain and enhance the mood. Some of the known chemicals are anandamide that causes the feeling of well-being, phenylephylamine that changes the blood pressure and blood sugar and increases the pulse rate similar to the feeling when in love, and endorphin, better known as the happy hormone, because it can lessen pain and decrease stress. This is the reason why there is a steady demand for chocolates all around the globe. Goya is a known chocolate brand among Filipino adults which is now manufactured under license from Delfi Chocolate Manufacturing S.A. Switzerland. Owned by Petra Foods Pte, Limited, one of the worlds top manufacturers of cocoa ingredients, Delfi takes pride in manufacturing chocolate products using Swiss-quality chocolate-making technology. And this level of world-class quality chocolates is what Delfi brings to the Filipino consumers, known for their passion and love for chocolates, through its two local, wholly-owned subsidiariesDelfi Marketing Inc. and Delfi Foods, Inc. Beside Goya, they have other brands including Delfi, which is known for its wide range of high-quality yet affordable chocolate products that cater to various consumer segments, making it one of the most sought-after chocolate confectionery brands in the world today. With Delfis trademark quality known all over the world, the Delfi Marketing Inc. wants to elevate the Goya brand to global quality level. Thats why this plan was created. It outlines communication tactics that will be utilized to raise the awareness of

consumers regarding the new variants of the Goya product line and to address some of the issues and challenges surrounding the introduction of these variants.

II.

Brief History It was in 1956, when the journey of the heritage brand began. The families

of Chua and Villabrille started to manufacture coffee and chocolates under the name of Philippine Cocoa. Throughout the years, this company has been placed under the stewardship of different owners. In 1997, Philippine Cocoa was acquired by Nestle. Petra Foodsa publicly listed company in Singaporecame into the picture in 2006 and they eventually bought Philippine Cocoa from Nestle. Petra Foods is among the top three suppliers of cocoa in the world and it has Delfi Corp. as its consumer marketing group.

III.

Marketing Objectives

Increase the awareness of consumers regarding the new variants of Goya Make the product more appealing to the adults Increase potential sales through promotional programs planned through the year especially during the holiday seasons. Increase market share of Goya using marketing strategies offering the market an assortment of innovative confectionary products. Sustain market share over the year through product innovations in product development, packaging.

IV.

Situational Analysis Do you ever wonder why we love chocolate so much? The answer may

seem as simple as because it tastes good, but there may be more to it than that. There are actual studies to back up some of the physical effects you can experience while eating certain kinds of chocolates. The stimulation your body gets provides a pleasant feeling to your taste buds, making you always come back for more. Chocolate is known to be a mild mood elevator, stimulating brainwaves and pushing your stress levels down. This is probably why a lot of people will stuff themselves with sweets when they are angry or upset. Little do they know, they are actually helping themselves out by eating chocolates. When your stress levels lower, you become more relaxed which in turn is beneficial to your health. Chocolates also raise antioxidant levels in the blood, which in turn help fight any foreign bodies that can cause illnesses. With healthier levels, you are much less likely to come down with viruses or other things that could affect you at various times of the year. And of course there is the benefit your taste buds feel when consuming your favorite candy bar or other chocolate treat. Eating sweets just puts you in a better mood, keeping you in touch with the child within. Whether it is peanut butter flavored chocolates, chocolate covered raisins, or creamy white chocolate you will be experiencing utter satisfaction when you indulge yourself. It's hard to explain, but only true chocolate lovers will understand this.

Thats what Goya plans to give us. Chocolates always conjure up childhood memories--as pasalubong from parents, aunties, or older siblings, or the many times we asked for coins and go to the neighborhood store for a couple of precious pieces. These homegrown varieties defined our Pinoy childhood long before their imported counterparts became as accessible as they are today.

Existing Products

Goya Classic Chocolates


Goyas classic milk chocolate is a creamy, soft bar of sweet milk chocolate. Available in most groceries and convenience stores, the current Goya chocolate bars are richer in taste compared to the chocolate bars sold years ago, which had a faint taste of chocolate. The improved milk chocolate bars have a more creamy and milky taste rather than strong cacao flavors, and is preferred by those who like their chocolates sweet instead of rich and bitter. Also, they added variants like milk chocolate with almonds, milk chocolate with raisins, milk chocolate with nuts, dark chocolate and creamy white chocolate.

Goya Pretzel Twists


Twisted pretzels covered in dark, white and milk chocolate with a price of P6.00. It can be bought in grocery stores, convenience stores even in sari-sari stores. It became popular when Kim Chiu endorsed this product using her contortionist ability.

Goya Splendor
This variant of Goya is a crushed almond in milk, white, and dark chocolates. It has a weight of 4.5Gm x4 with a price of P9.00.

Goya Cookies and Cream


The 38 gram bar is about 200 calories, but it satisfies and packs a flavorful punch. The white chocolate is not too sweet and the bits of dark cookie give every bite an interesting crunch. It is indeed a product that brings comfort and a bit of sweet happiness to every plate. One bar makes a good dessert. It also goes perfectly well with a cup of hot coffee or tea, or even a glass of orange juice. Best of all, the price is easy on the pocket. Indeed, one cannot ask for anything more from a chocolate bar--world class taste at a price that most people can afford.

Goya Dark Almonds It contains whole Almonds covered with Dark Chocolate which a price of P23.50. A pack contains 9-almost-1-inch oblong chocolate balls with almonds in its core.

Goya White on Almonds It contains whole Almonds covered with white chocolate which has a price of P23.50. A pack contains 9-almost-1-inch oblong chocolate balls with almonds in its core.

Goya Dark on White Almonds It contains whole Almonds covered with Dark chocolate and White chocolate which has a price of P23.50. A pack contains 9-almost-1-inch oblong chocolate balls with almonds in its core.

Goya Bits Goya Bits: Crispy is rice crisp filled coated with chocolate. The chocolate coating and candy coating taste good while the Goya Bits: Peanut is chocolate covered peanuts. The Goya Bits pieces are smaller than Nips, not because it has less chocolate, but the sugar coating is thinner.

Goya Nuggets It is chocolate with a rectangle shape and small size. It is available in milk chocolate, dark chocolate and creamy white chocolate.

Goya Take-it The packaging and taste is so close to Kit Kat. Its chocolate is a bit sweeter and its wafer is crispy with a distinct taste. It has a price of P9.50 and it is also a bit larger than Kit Kat.

Goya Black and White

Goyas version of the dark chocolate is available in two variants: as a chocolate bar or as bite sized circular chocolates packaged as Goya Black & White (mixed in with milk chocolates). Dark brown in color, soft and easily melts in ones fingers, Goyas dark chocolate does not have a strong bitter taste and is actually a tad sweet than your average dark chocolate. It also leaves a faint aftertaste of nuts, sugar and cocoa in the mouth. The white chocolate has a milky taste. It has a price of P27.50.

Goya Dark Mint

Goyas Dark Mint chocolates are circular-shaped nuggets with 9 pieces in a box. Upon opening the box and the foil that keeps the chocolate pieces fresh, a strong mint scents wafts out of the box, a telltale sign of how the chocolates will taste. The mint taste is stronger than the chocolate flavor, and the semi-sweet chocolate is creamy, soft and smooth and easily melts in the mouth. Those who have a penchant for mint chocolates will find Goyas version a cheap and enjoyable treat.

Goya Orange Peel


This dark chocolate variant of Goya is new. It has an orange peel. So the bitter taste of dark chocolate mixes with the sourness of the orange. Just like the Goya Dark Mint, it is a 9 pieces circular-shaped nugget in a box.

Goya Gold Coins Smooth milk chocolate shaped like coins and embossed with a picture of a caboose on one side, Goya Gold chocolate coins are creamy and have a melt-in-your mouth consistency, with a slight salty aftertaste. The chocolate coins size--about an inch and a half in diameter--are perfect for nibbling on when youre craving something sweet, you only need a few pieces for a sugar rush. Its price range from P19-25 per pack

Goya Raisins It contains whole raisins covered with dark chocolate and milk chocolate which has a price of P23.50. A pack contains 12 almost-1-inch oblong chocolate balls with raisins in its core.

Goya Crispy Chocs Type of Product: Rice Crispies in Milk Chocolate Flavor: Chocolate Net Weight: 30 grams (1.06 oz) Ingredients: Chocolate Coating (Sugar, Hydrogenated Palm Kernel Oil, Milk Solids, Cocoa Powder, Emulsifiers, Soya Lecithin, 476) And Vanillin, Rice Crispies, Confectioners Glaze And Tapioca Dextrin. May Contain Peanut And Other Nut Traces.

Goya Malt Crunch Crunchy Honeycomb malt biscuit balls wrapped in milk Chocolate, dark chocolate or creamy white chocolate.

. Goya Krispy Krunch The rice crisps of this product is covered in dark chocolate. It has a weight of 40 grams.

Goya Quadros This wafer is filled with milk chocolate. It has a price of P25 and is readily available in supermarkets and grocery stores.

Goya Seashells Milk chocolates in seashell shapes, praline filling placed on tray in a box that slides into another box made in Belgium. It is soft/melts at room temperature, but it is kind of hard once taken out from the refrigerator. It also has a thinner filling compared to imports from Australia/US/Europe.

Goya Spread
This is a chocolate spread made in Germany. The 400g of this costs P230. It became popular since it has the same taste as Nutella and yet it was cheaper. The 400g of Nutella costs P280. Many moms prefer this because in the P50 difference you can already buy the loaf bread.

Known for serving up mouth-watering delights, Goya has diversified into baking, manufacturing products such as easy melts. Easy Melt is milk chocolate and dark chocolate shaped like a button. Goya also has choco syrups and cocoa drinks.

Existing Pricing Strategies The Delfi Corp. used the market-oriented pricing for their Goya products. They can set their price higher since their chocolates are high class but they know that we Filipinos are tight in money and we love to purchase things which have the lowest prices thats why they based their price on how much the market can spend for a piece of chocolate.

Existing Distribution Strategies They are currently using the Intensive Distribution Strategy. They distribute their products to a variety of distribution networks. They sold their products to wholesalers who in turn sold it to retailers to distribute it in large retail outlets such as large grocery chains, supermarkets, convenience stores and drugstore chains.

Existing Promotion Strategies They have used media advertising such as television advertising and internet advertising. In their TV ad, they had Kim Chiu as the endorser of Goya. They used her contortionist ability for the ad of Goya Pretzel Twist. Her head was between her legs while talking to someone on her phone. For the internet advertising, they created their own page in Facebook. All the updates regarding the Goya product line are posted there. Lastly, they organize special events as their public relations. They had Kim Chiu do a meet and greet of Goyas loyal consumers.

V.

SWOT Analysis

Strength

Ability to cater to the majority of the population by offering low to midpriced chocolates in small packages Rich product mix Has acquired an ISO 22000 certification in a short period of time Support from the parent Petra Foods

Weaknesses

Limited use of promotional strategies The packaging is not appealing Lack of distribution network It was lost in the market for a long time

Opportunity

Co-branding with other manufacturers of food and drink and brand franchising to manufacturers of other goods and services both have potential The Philippine market and more specifically the urban areas where the penetration of chocolates is low can be developed as a future market through affordability and availability Since the competition is stiff, manufacturers pursue continuous product innovations to cater to changing consumer tastes and preferences Increase in the production of high quality cacao beans will help propel the local chocolate industry

Threats

Stiff competition in confectionary segments Rising prices of sugar The current tariff imposed on imported sugar is higher than the tariff for processed chocolate imports Government policies and regulations make the company become more eco-friendly therefore causing them to invest more of their revenue. Chocolate is not considered a healthy snack and the population is becoming more health conscious

Rising prices of gas increased the overall price There is an increase in the number of peanut allergies.

VI.

Competitive Analysis

Universal Robina Corporation. Universal Robina Corporation (URC) is the market leader in chocolates and the leading branded convenience food and beverage company in the Philippines. It manufactures enrobed chocolates and panned chocolates. Its popular enrobed chocolate brands are Cloud 9, Big Bang, Chooey, and Monster Munch while its panned chocolate, Nips, is the most popular in its category. It also exports chocolates to Thailand, Malaysia, Singapore, Indonesia, and Hong Kong. Commonwealth Foods, Inc. Commonwealth Foods, Inc. (Comfoods) is a manufacturer of chocolates as well as other products like coffee, cookies, biscuits, milk products, coffee beans, flour, and sugar. Its chocolate brands are Flat Tops, Curly Tops, Choco Mallows, and Chocolate Crunchies.

Other players. There are other chocolate manufacturers like Multirich Foods Corp. (Choco Mucho), Columbia International Food Products Inc. (Klicx Cruncher and Chocquick bars), Monde Nissin (Snitch Choco Bar), Twin Oaks Foods Corp. (Mayfair), Stateline Snack Food Corp. (Stateline Nimble Chocolates), New Unity Sweets Mfg. Corp. (Choc-Nut), Annie Candy Manufacturing (Hany Milk Chocolate), and Gracepoint Enterprises (Lala).

Aside from the manufacturers, there are also importers and distributors in the industry. These include Nestl Philippines Inc. (Kitkat and Crunch), Hershey's Philippines Inc. (Hershey's Kisses and Hershey's Milk Chocolates), Valiant Distribution Inc. (Hershey's Kisses), Cadbury Adams (Philippines) Inc. (Cadbury), Grand Dragon Ent. Inc. (Meiji chocolates, Yan Yan and Hello Panda), Mars Philippines Inc. (Mars, M&M, Snickers, and Malteeser), Sweetie Shoppe Inc. (Toblerone), Gandour Philippines Inc. (Tofiluk, Demolino, Safari, and Pik-One), Kenda International Inc. (Butterfinger, Baby Ruth, Frey, Swiss Delice, and Rittersport), Delfi Marketing Inc. (Delfi), Mega Marketing Inc. (Ferrero Rocher and Ferrero Tronky), and Rustan Marketing Specialists, Inc. (Marks and Spencer). There are also kiosks that sell high-end chocolates like Royce' and Leonidas. Royce' is a Japanese chocolate manufactured by Royce' Confect Co., Ltd. which offers chocolate-powdered chocolates that melts in the mouth. Royce' chocolates cost more than P500 for a 20piece chocolate box. Kiosks can be seen at Powerplant Mall and Greenbelt 5 in Makati, Trinoma Mall and Eastwood Mall in Quezon City, and Robinson's Place in Manila. Meanwhile, Leonidas is a Belgian brand that offers 100 percent pure cocoa butter for the coating with many flavors available. The price ranges from P1,700 to P3,500 for tin cans, P250 to P2,500 for boxes, and P200 for singles. Leonidas kiosks are located at SM Mall of Asia in Pasay, Alabang Town Center in Ayala-Alabang, The Podium in Ortigas, and Shangri-La Plaza Mall in Mandaluyong.

VII.

STP Analysis

Segmentation This is a process in which customers are divided or segmented into separate groups based on shared likes, dislikes and needs. Your business can then target its products or services to each particular group of customers in order to maximize sales. Marketing segmentation is a vital part of any marketing campaign as it helps you to gain a greater understanding of your customers needs. It is important to learn as much as you can about your customers in order to achieve the best match between their needs and your products or services.

Demographics

It consists of dividing the market into groups based on variables such as age, gender family size, income, occupation, education, religion, race and nationality. This is amongst the most popular bases for segmenting customer groups because customer wants are closely linked to variables such as income and age. Also, for practical reasons, there is often much more data available to help with the demographic segmentation process. Psychographic

This type of segmentation divides the market into groups according to customers lifestyles.

It considers a number of potential influences on buying behavior, including the attitudes, expectations and activities of consumers. If these are known, then products and marketing campaigns can be customized so that they appeal more specifically to customer motivations.

Behavioristic

Behavioristic Segmentation divides the market into groups based upon variables such as occasion, benefit sought, user status, user rate, loyalty rate, readiness stage, and consumers attitude.

Targeting Targeting is the process of selecting exactly which one of the groups will be the focus of advertising efforts. Once the company knows the customers it will concentrate on, it positions its products or services specifically for that group.

Demographics

Age: Above 4 years old Sex: Male and Female Income: minimum, above minimum Occupation: Professional and Technical, Students, Managers, Clerical, Sales

Psychographic

Personality: Low energy, Loves to eat sweets, Emotional Social Class: Upper medium class to Upper lower class Lifestyle: Adventurous, Sporty

Behavioristic

Occasions: Valentines Day and Holidays Benefit Sought: Satisfy the cravings Loyalty Status: Soft Core and Switchers

Positioning Market positioning is about how you want your customers to perceive your product or service in relation to their perception of your competitors and what marketing strategies you should adopt to reach this perceptual goal. In other words, what message about your product or service is your company trying to put across? We position Goya as the premium chocolate brand that is affordable. We want our consumers to think that they deserve to have a chocolate that is not so heavy in the pocket yet it also offers the same sensation. Also, we want them to ponder on the thought that anything that has to do with chocolates, Goya has one.

VIII.

BIG IDEA

IX.

Marketing Strategies and Programs

Product Planning and Development Plan

Features Goya Chocolate Cereal is just the cereal to reintroduce you to the joys of eating breakfast. This one features oats and granola clusters that have been infused with cocoa powder. The addition of slivered almonds and nuts makes every bite a memorable experience of chocolate-y, nutty goodness. Yet we knew that even more chocolate was needed, so we added chunks of soft, sweet milk chocolate, ensuring that you'll get a pronounced clout of chocolate in every bite.

Benefits Ready-to-eat cereal has fewer calories than almost any other common breakfast option. Cereal is also nutrient-dense. Without packing on calories, ready-to-eat cereals pack in: Vitamins Minerals Key essential nutrients

Cereal eaters consume less fat, less cholesterol and more fiber than non-cereal eaters. Todays cereals are more nutritious than ever. Many leading cereals are made with whole grain, calcium and vitamin D, while reducing sugar and limiting calories. And cereal is affordable, convenient and tastes good. Also, since it is chocolate cereals, kids will love it and even adults can start eating cereals from now on. Layout Presentation

Pricing Strategy Plan If you distribute the product in the right area, the people will come, but good pricing surely plays a role in getting them to come back. One of the main elements of every marketing strategy is the effective pricing of the product.

There are many factors that affect pricing strategy such as marketing and manufacturing cost, competitors price as well as consumer perception of the product, to name a few. (Kerin, Hartley & Rudelius, 2011). When it comes to chocolates bars however, they have always pretty much sold themselves for many years no matter what the price was. If you think about it, chocolate bars were first sold for10 cents in the early 1900s and now sell for over a dollar in many areas. Since we are marketing a new chocolate cereal for children and adults, we will need to adopt a pricing strategy that will allow us to penetrate the market in order to attract consumers to at least try the product at least one time. We need to price our products which will be affordable in the mind of the consumers. We will use the penetration pricing strategy to attract customers and gain market share. We have to get the attention of consumers and make them aware that we introduced another product. Once the initial launch period is over and hopefully successful, we would then adopt a competitive pricing strategy that will price our product in-line with other competitors, to ensure that no customers are lost due to higher pricing.

Distribution Management Plan Organizations and companies use distribution channels to bring their products to market and the consumer since we all know that the best product in the world will never make an impact in the business world if no one can locate and obtain it. It is very important to give a careful consideration of where we are going to place our products.

A distribution channel is a method of interdependent organizations which helps the marketer delivers their products to the consumer. Because of it being part of the marketing mix, it can be direct or indirect. Due to the expanded use of the internet, companies and organizations are able to sell their products directly to the consumer leaving the middle man out thus reducing their cost. Indirect distribution uses two or more level of channels before reaching the consumer. Some of these channels include wholesalers, retailers, agents and brokers. Companies use the indirect distribution best suited for their product in order to obtain the vast market share allowing them to focus on producing their goods.

We will still use the Indirect Distribution but this time, we will widen our range. We will make sure that all supermarkets and grocery stores are selling our product. We will go to places that havent reached by our product before and make sure to introduce this chocolate cereal to them.

Manufacturer

Wholesaler

Retailer

Consumer

Integrated Marketing Communication Plan As previously stated in the marketing objective for Goya, the next step should be increased the awareness of the product as well as increased their appeal to adult. To achieve the primary objective of increased awareness, the strategies employed include: advertising, sales promotion and public

relation. To achieve the tertiary objective of increasing market share, a new TVC will be shown. This plan will be targeted at families, or more specifically mothers. Besides the fact that this is their current target market, the reasons behind this are two-fold. For one, families with children between ages 6-17 have the highest consumption of cereal. Second, the reason behind targeting mothers more specifically is that even though men are doing more of the grocery shopping, its the women that have the decision making power. This power comes in the form of the shopping list that is given to the men that often includes details such as which brand names to buy. To increase the awareness of Goya Chocolate Cereals, it will be positioned as not only a breakfast cereal but as a bedtime snack as well as a cooking ingredient. This positioning strategy will help achieve our main communications objective of increasing the awareness of this product.

Advertising Television Advertising We will increase awareness about the new product line through TV commercials allowing viewers gain information. TV commercials help achieve the marketing and communications objectives set forth in this IMC. According to our research, the 7 most highly watched TV channels of the target market are: ABS-CBN, GMA7, and TV5. Example Scene: Assortment of photographs from everyday lives of young and old which focused on showing a series of emotions. The

purpose of this ad is to bring out the child in a man. The old man kicking the football, pregnant women craving for chocolate, young girls breaking into a spirit and a young man tossing chocolate cereal to his little sister departing to a bus. The common refrain linking them was the adult in a free child modespottiness, impulsive and carefree. Magazine Advertising By advertising in magazines, you can reach your target audience, educate them about your products or services, and move them closer to making a purchase. You can easily create an image with a print ad in a particular magazine. We will post our products in Food Magazines.

Internet Advertising Web Page Design

We will create a website of Goya wherein all information regarding this brand can be seen here. They can even shop online and have it delivered to their home. We will also post our product to the social media

sites such as Facebook, Twitter, Google and Youtube. We can even ask bloggers to make good reviews about our product in their blogs.

Facebook Due to its high traffic and amount of active users which surpass 300,000,000 to date, it would allow Goya to reach a wide market. Segmentations can be classified by age, sex, and geographic area, making it easier to reach the preferred market segment. Through the use of Facebook ads, knowledge can also be gained about who has clicked on the advertisements with feedback such as age, sex, region, and number of clicks that person made. This would also make it easier to further narrow the range of the market of interest, thus allowing for future cost savings by reducing the amount of unnecessary and ineffective advertising.

Google The use of sponsored link AdWords through Google advertisement we found to be another very beneficial channel in which to market customers. These types of ads which would show up at the top or to the right of the search engine results page, would target those who search for similar criteria as the ad. If someone were to search for the word Chocolate on Google, a goyachocolates.com link would show up as results, along with other keywords that would relate to Goya and chocolates product. Google reaches 80% of internet users and it is the #1 ad network. It also helps gain more qualified leads at a lower cost, boosting sales and ROI. Allows for feedback which shows what is working, what is not, and where your ads have shown.

Youtube

YouTube is widely known around the country and internationally and has been accessed by many different types of demographics. There are over 300 million users worldwide, while 37.8% of those users are ages 1843, which covers our target market of ages 2025. Through YouTube advertising, you are able to target viewers by what they are watching.

Sales Promotion Combo Offer Since the chocolate energy drink of Goya will be introduced soon, we will make a combo offer. Every purchase of a box of Goya Chocolate Cereal, you can have a 2 sachet of everyday chocolate energy drink mix. Consumer Contest We will organize contest to get the attention of consumers and also to increase the interaction with customers.

Public Relations Sponsorship We are going to sponsor some feeding program in different schools especially in those places where most of the students are underweight. Special Event We will organize events for the consumers of Goya. Also, we will conduct some conventions and seminars on how to use chocolates to add in your cooking and making deserts.