2.12 Promoting and marketing a product oversees

As the aim of my project is to promote my product is the UK. I did some research into how to promote  and market a product overseas. I found the information from this website: www.businesslink.gov.uk very useful. Although the process of promoting Golden Tree chocolate in the UK will involve a whole team of researchers, planners and the executives. As my chosen field is in design, the most I can do, is researching the UK Confectionery market. I created a diagram which shows the steps in completing this project.

Stages in Promoting a product in an overseas market

Based on this diagram, i will do with my position as a packaging design and the information i have access to:
1) Research Your Overseas market
2) Refine your position for the overseas market
3) Review and refine your product for the overseas market
5) Promote your product

Researching the Market
These are the questions that needs to be answered for the market research;
1)is there a demand for my product?
Is there a demand for foreign chocolate like Golden Tree chocolate, how are other international brands doing, such as Lindt?

2)how large is my target market?
At the moment, my target market is the UK, but once this product suceeds in the UK, it should do well in Europe and America.

3)who would buy my product and why?

4)what price can you sell for? Place a price target for the different bar sizes and product range, such as gift sets and box sets.

5)a.how does the competition operate?
The brand have established certain characteristics which the audience identify with them, and they stick to it.
b. what are your selling points?
c. clearly establish why customers should buy from you and not your competitors.

6)what are the best ways to reach customers in your target audience?
Tradtional media: television commercials, radio, print media, billboards and displays and through the Web.

7)are there any cultural issues in your target audience that will affect my sales and promotion?
They are more used to the European standard of chocolate, smooth and creamy texture. The UK Market promotes health, so people are very concious of sugar levels and daily calorie intake.

8)Are there any legal or regulatory requirements that would affect your marketing and promotional activity?

I would reiterate that as my chosen field is in design, i would focus on researching the UK market. This project is not an official launch of GoldenTree de luxe chocolates into the market, i will not go into much depth after research apart from what needs to be done before the design stage.

Sources
Selling and Promotion overseas
Available at:http://www.businesslink.gov.uk/bdotg/action/layer?r.i=1077723560&r.l1=1073861169&r.l2=1073858854&r.l3=1077723376&r.s=m&r.t=RESOURCES&topicId=1077723376

2.6 Foreign chocolates

It is already known that the number of shops that have GT chocolates are very limited in the UK excluding major retail stores. Even so, i could only find them in few Ghanaian shops, I used the Internet to try to find some websites that sold GoldenTree chocolates but they was only one website. In the UK, Organic chocolates are still not popular enough to be found in stores or supermarkets but they are a number of webstores that sell organic and fairtrade products, some are organisations dedicated to organic and fairtrade products, others are webstores that sell products from around the world. I tried to find chocolate bars from other parts of the world that could relate to the chocolate brand i am trying to promote.

Grenada Chocolate Company
The Grenada Chocolate Company was formed in 1999 with the aim of creating an Organic Cocoa Farmers’ and Chocolate-Makers’ Cooperative. The Cooperative located in the Grenada’s rainforest is overseen by the founder Mott Green, the farm currently covers 150 acres and everything from growing the cocoa to production of the chocolate is done on site. Grenada Chocolate Company is now very well-known although it has many attributes that could make it fairtrade, it still stands on its own. From seeing video footage of how the company operates, it gives me inspiration and I want to persuade people to try their organic chocolates. For me, I think fairtrade creates a market for organic products to be recognised as gives a company a good reputation, like Green & Black’s Maya Gold story. The Company was recently awarded Silver Medal at the 2011 London Academy of Chocolate Awards.

Old packaging of the Grenada Chocolate

Apart from the operation of the Grenada Chocolate Company, I also like the packaging of their chocolate range, it is colourful, vibrant and artistic – it will definately stand out on the organic chocolate shelf. The packaging design for the chocolate was redesigned a few years ago, based on the previous design. I prefer the vertical layout of the new design, the mildness of the picturesque scene used in the chocolate packaging and serif used for the text.

Current package design for Grenada Chocolate

Dagoba Organic Chocolate

Dagoba Organic Chocolate - the Eclipse bar

Dagoba Organic Chocolate Company was founded in 2001 by Frederick Schilling. The Dagoba organic chocolate consists of a range of 17 chocolate varieties. Since the chocolate are sourced from the part of the world where chocolate first originated mainly South America, some of the flavours used are inspired the spices used by the Aztecs. The chocolate is made from organic cacao beans and production is based on sustainablity.
I love this chocolate brand because of the diverse range of flavours and ingredients used, which are not very popular: namely Achai, Goji berries, currants, hazelnuts, lemon, ginger, chillies, blueberries and lavender. The names of the chocolate varieties are very unsual and reflect the history of chocolate from its tribal past.
I also like the range of mild colours used, which re-enforces the positive image of the brand to be pure, exotic, green and sensual.

Ibarra

Ibarra Mexican Chocolate

Ibarra Chocolate Company is a mexican confectionery company established since 1925. Their most popular product is Ibarra Mexican Chocolate, chocolate tablets which can be dissolved to make hot chocolate drinks, used for bakery and much more. I chose this products because I wanted to find a company that creates chocolate based on the originality of the cacao pioneers “the Aztecs”. This product is not very popular in the UK(i found some on Mexican products website) but it is quite popular in America, it is sold on Amazon.com under the Grocery and Gourmet Foods department.
This research has given me an insight into how foreign chocolates have not yet come into the UK Market, this project seems very useful to me now because GoldenTree chocolates will create a market for international chocolate bars.

Sources
Ibarra – Products
About Dagoba
About the Grenada Chocolate Company

2.10 The Fairtrade market

1.1 Fairtrade Foundation

The Fairtrade Foundation Logo

What is Fairtrade?
Fairtrade is about better prices, decent working conditions, local sustainability, and fair terms of trade for farmers and workers in the developing world. By requiring companies to pay sustainable prices (which must never fall lower than the market price), Fairtrade addresses the injustices of conventional trade, which traditionally discriminates against the poorest, weakest producers. It enables them to improve their position and have more control over their lives.

What is the Fairtrade Foundation?
The Fairtrade Foundation is a development organisation committed to tackling poverty and injustice through trade, and the UK member of Fairtrade Labelling Organisations International (FLO). The Foundation works with businesses, civil society organisations and individuals to improve the position of producer organisations in the South and to help them achieve sustainable improvements for their members and their communities. Certification and product labelling (through the FAIRTRADE Mark) are the primary tools for our development goals. The backing of organisations of producers and consumers in a citizen’s movement for change is fundamental and integral to our work.

What is the Fairtrade Mark?
The FAIRTRADE Mark is an independent consumer label which appears on UK products as a guarantee that they have been certified against internationally agreed Fairtrade standards. It shares internationally recognised Fairtrade standards with initiatives in 20 other countries, working together globally with producer networks as Fairtrade Labelling Organisations International (FLO). The Mark indicates that the product has been certified to give a better deal to the producers involved – it does not act as an endorsement of an entire company’s business practices.

How big is the UK Fairtrade market?
The UK market is doubling in value every 2 years, and in 2007 reached an estimated retail value of £493 million. The UK is one of the world’s leading Fairtrade markets, with more products and more awareness of Fairtrade than anywhere else. Around 20% of roast and ground coffee, and 20% of bananas sold in the UK are now Fairtrade.

Where can I buy Fairtrade products?
Details of national stockists can be found on our products pages . They are available in major supermarkets, independent shops, in cafés, restaurants, through catering suppliers and wholesales, as well as through online shopping channels. Also check out shops that are part of BAFTS (British Association of Fair Trade Shops) which often have product ranges not available in mainstream stores.

Why is Fairtrade unique?

Fairtrade’s focus is on helping farmers and workers improve the quality of their lives and take more control over their futures.
Their mission is to connect disadvantaged producers and consumers, promote fairer trading conditions and empower producers to combat poverty, strengthen their position in world markets and take more control over their lives.

Unique in the market

Loyal customers

Fairtrade has a strong global grassroots consumer base. There are now over 750 Fairtrade Towns – including Rome, San Francisco and London – that use Fairtrade in municipal purchasing, schools and retail outlets and promote Fairtrade through local press. Strong networks of family, friends and colleagues actively promote Fairtrade – one third of people first learn about Fairtrade through these networks. A 2008 GlobeScan study of 14,500 consumers in 15 countries showed half of consumers are now familiar with the FAIRTRADE Mark and 91% of these trust the Mark. A further 64% believe Fairtrade has strict standards, a quality that closely correlates to consumer trust. In the UK specifically, three quarters of people are familiar with the FAIRTRADE Mark.

Market leader

Since Fairtrade’s beginnings in the 1980s and the launch of the current FAIRTRADE Mark in 2002, Fairtrade has become the most widely-recognised ethical label in the world. Sales of Fairtrade certified products have been growing at an average of 40% per year over the last five years. Fairtrade has achieved very strong market share in certain markets, including 53% of bananas in Switzerland and 22% of ground coffee in the UK. There are now over 10,000 Fairtrade products sold in over 70 countries. Sales of Fairtrade products are now taking off in new markets including Eastern Europe and South Africa.

1.2 Green and Black’s

The Green & Black's logo

A research

Source:
Title: The Fairtrade Foundation | Fairtrade – FAQs
URL: http://www.fairtrade.org.uk/what_is_fairtrade/faqs.aspx

Title: The Fairtrade Foundation | Fairtrade – Why is Fairtrade unique?
URL:http://www.fairtrade.org.uk/what_is_fairtrade/fairtrade_is_unique.aspx

Image: Green and Black’s logo
URL: http://www.foodepedia.co.uk/restaurant-news/2010/oct/Green_And_Blacks.htm

Title: Going Organic: Cadbury’s acquires Green and Black’s
Written by: Euromonitor International
URL: http://www.marketresearchworld.net/index.php?option=com_content&task=view&id=182&Itemid=77

2.3 The UK Confectionery Market

According to the Confectionerynews.com website in 2007.
The Private label brands also known as ‘in-store brands’ and ‘own label’ market share continued to grow strongly.

Studies by Nielsen for the Private Label Association showed the statistics across 15 countries in Europe.
The Western European Countries showed significant growth, however, the strongest growth patterns were for Central and Eastern European countries.

 

The implications of this figure shows that profit made from ‘in-store brands’ is growing. Most in-store brands make chocolate available in the value or cheap range, normal range and premium range. These brands compete with chocolate brands based on price and quality. Apart from the organic and premium brands researched, Golden Tree chocolate will also have to compete with in-store brands, so I have to take premium ‘own label’ packaging designs into consideration for the redesign of GT Chocolate.

 

Sources
Title: Own Brand confectionery grows across the European Markets.
By: Karen Miller
URL: http://www.confectionerynews.com/Markets/Own-brand-confectionery-grows-across-European-markets
Accessed: 3/11/2011

2.5 Lindt and Green & Blacks

A brief history of the Lindt Company

Lindt Chocolate Company offically called Lindt & Sprüngli started in a small pastry shop in Markgasse, a small town in Zurich. It was owned by Confectioner David Sprüngli-Schwarz, who run the bakery with his son Rudolph Sprüngli-Ammann. The idea of Lindt chocolate came about as a decision by David Sprüngli to create a smooth-textured quality chocolate bar in 1845. At that time, chocolate was mainly consumed as a drink, the italian were the first to create chocolate bars but David Sprüngli aim was to create outstanding chocolate bars. The Chocolate treat quickly became popular in Zurich and after two years, the pair had to move to a bigger location, even though it was just a small factory. The new factory was located in Horgen, a small town along the Lake of Switzerland with ten employees.

In 1859, Confectioner and his son Rudolph opened a large pastry shop located in Paradeplatz, in Zurich. David Sprüngli-Schwarz shortly passed away in 1862, and his son took over the business. Rudolph looked after the business very well and in his care, the business continued to expand, it was now located in a booming area, next to a luxury hotel and the stock market. In 1870, the business moved to a former location in Zurich called “Werdmühle” because the bakery was not large enough. By the 1880s, the company had grown in size and reputation, it was now exporting chocolates and pralines to many European counrties and even to India, and the number of employees were about eighty.

Before Rudolph Sprüngli-Ammmann withdrew from business in 1892, he divided the company between his two sons: Johann Rudolf Sprüngli-Schifferli and David Robert. The elder son, Johann Rudolf was given the chocolate factory and the younger Robert was given the two confectionery shops. David Robert’s business was known and recognised around the world but it was Rudolf’s company which stood and has grown to it is now.

After the 1800s, the company changed the name to “Chocolat Sprüngli AG”, it was successful but had difficult times. Chocolat Sprüngli AG bought the Berne based factory and some of the manufacturing secrets for making chocolate, including conching, a method used by Rodolfe Lindt. The Company name was changed to “Chocoladefabriken Lindt & Sprüngli AG” and run by the company partners Lindt and Sprüngli. Lindt and Sprungli went through tough times such as during the world wars were sugar, cocoa and other chocolate making ingredients were rationed, but they were still determined to make quality chocolates.

By the end of the 1990s, the company has acquired other foreign chocolate companies and were now making Lindt chocolates in these countries. By 1998, there were production companies in Germany, France, Italy, USA and Austria. Lindt & Sprüngli currently have sales offices in England, Hong Kong, Spain, Poland, Canada, Australia, Sweden, Mexico, Czech Republic, Dubai and Ireland.

Lindt – The Master Chocolatier of Chocolate since 1845

Do You Dream In Chocolate? This television advertisement

Target audience
Women – mature late 20s, early 30s
Imagery of chocolate being made, whipping, pouring.
To make the audience desire chocolate
People who love ‘smooth’ chocolate, made by chocolate experts
An feature of a male chocolatier could also appeal to men, it tells the audience that it has a man’s touch, so perhaps men won’t feel left out but respected.

 

Green and Blacks – how it started

Although Green & Black’s has not been as established as long as the Lindt chocolate company, it has become one of the leading organic chocolate makers in the UK. According to the founders, Green & Blacks the brand name came from ideas based on confectionery brands of their childhoods, always a pair. However, the symbolism of the brand name is “…green for the strict organic principles we employ and black for the intensity of the chocolate and iconic style of the brand”.

GREEN & BLACK’S was created by Craig Sams and his wife Josephine Fairley. The brand was born from a unique tasting experience of organic dark chocolates.
It began in 1991, Craig Sams, a founder of Whole Earth, a pioneering food company, was sent a sample of 70% organic dark chocolate. When he took it home, his wife Josephine Fairley, an environmentalist columnist for The Times newspaper and a chocolate lover tried the samples. Josephine loved the flavour of this unique chocolate bar and was convinced that other chocoholics will like it too.

The company is located in Central London and now owned by Kraft Foods from its acquistion of Cadbury’s Plc. Green & Black’s source their organic cocoa beans from the Dominican Republic for their dark 70% chocolate range. In 1994, Maya Gold was added to their range, the first British Fairtrade product. Maya Gold was created after a holiday to Belize by the founders Craig and Jo. They met a group of Mayan smallholder cocoa farmers, who used to grow cocoa for a large chocolate company in Belize. After the company had withdrawn from Belize, they were left with no market. Craig and Jo agreed to use the farmer’s cocoa, bought them at a fair price and created Maya Gold based on a Mayan traditional chocolate drink.

Sources
About Lindt
Green & Black’s – Our Story

2.11 Finding a market

I can compare Golden Tree chocolate to these brands, although they are made mainly in the UK. Realistically, i would promote this brand to companies where we can establish a market. i believe that Golden Tree chocolate are a niche brand, so the niche market is where it belongs.
The target audience for these chocolate brands are similar to the target audience for GT chocolate:

  • Traidcraft
  • The Chocolate Trading Co.
  • Green and Blacks
  • Divine Chocolate
  • The Grenada Chocolate Company
  • Dagoba Organic chocolates
  • Ibarra mexican chocolate

Pricing and Retail Distribution

Price range
10g bar – £0.30p to £0.42p
20g bar – £0.40p to £0.52p
50g bar – £0.69p to £0.78p
100g bar – £1.15p to £2.09p

Retail Distribution
Gourmet shops on the high street and websites
Chocolate Trading Co, website http://www.chocolatetradingco.com/
Natural Collection, website http://www.naturalcollection.com/
Amazon, website http://www.amazon.co.uk/
Greenlife, website http://www.greenlife.co.uk/
Chocolate and Love, website http://www.chocolateandlove.com/
Chocosphere, website http://www.chocosphere.com/cgi-bin/webstore/web_store.cgi
Rococo Chocolates, website http://rococochocolates.com/
Choc Adores, website http://www.chocadores.co.uk/

2.7 Researching on the Packaging Industry

Packaging Design

  1. Graphics
      Colours
      Story
      Cultural issues
      Illustrations
  1. Shape
      Creating Shelf Standout
      Protecting the product
      Making the product easier to use
      Sector conventions
  1. Sustainability
      Packs made from sustainable materials
      Redesigning without different materials so that the package can be recycled as a whole
      Designing shelf ready packaging so that less materials are used in transit and at point of sale

Courtauld Commitment
The Courtauld Commitment was introduced in July 2005 by the government’s Waste and Resources Action Programme (Wrap). It is a voluntary agreement between grocery retailers and brand owners, the agreement set out to design out weight from packaging waste. Over 40 major brand owners and retailers, representing 92% of the grocery retail sector in the UK, signed up to the first stage of the agreement.

Wrap launched the second stage of the agreement in March 2010, the Courtauld Commitment 2. The three main targets set for March 2012, are based on the results of 2009:

  • A 10% reduction in grocery packaging
  • A 4% reduction for household food and waste
  • A 5% reduction for product and packaging waste in the supply chain.
For Packaging Designers, an organisation known as INCPEN, the Industry Council for Packaging and the Environment, has set up design guidelines for sustainable package designing.
  1. Materials – glass, plastic, cardboard, etc
  2. Regulations
  • The Portman Code – to promote sensible alcohol consumption
  • Braille has been mandatory for the pharmaceutical industry in labelling their products since 2005
  • The Food Labelling Regulations 1996 (SI 1996/1499) requires packaging to carry accurate descriptions of the product, including ingredients, place of origin and sell-by date.
  • Packaging Waste Directive – Their regulations came into force on 1998/1999, companies with a turnover of more than £2m, which handle more than 50 million tonnes of packaging a year are legally required to register with the Environment Agency or an approved compliance scheme.

Source: http://www.designcouncil.org.uk/about-design/Types-of-design/Packaging-design/

2.9 My Favourite Product Packaging designs

My Favorite brands are The Body Shop and Avon. In terms of their product packaging, you always get what you see on the package. Most of their products are made from natural products such as fruits, plant extracts, sand, mud, every natural products you can think off. I like to clear packaging used for their lotions and shower gels so that you can see what you are buying. These are some examples of my favorite body shop products.

The Body Shop Earth Lovers Biogradeable Shower Gel range

I also like their products because they are from different parts of the world. The packaging almost looks quite busy but it looks sophiscated, feels feminine and fresh.

Avon Tahitian Holiday Fragrance for women

2.1 The history of Chocolate

The history of chocolate started in the hot equatorial regions of south and central regions and amazon regions. It was believed to have been discovered by monkeys before humans learned from the example of the monkeys. The cacao fruit, not chocolate was first discovered and became a delicacy in among many tribes, spanning from the pre-columbian experience (1200 b.c to 1492 a.d)

During this period, the cacao plant and fruit were eaten as raw food. The beans were later discovered for medicinal uses, used as gifts(because they were highly treasured) among nobles and kings, food, porridges, healthy drinks and bitter drinks, a source of power and conflict.

By the turn of the century, chocolate was soon to be discovered by Europeans. Around 1519, Hernan Cortes, one of the conquistadors reported the chocolate drink to the king of Spain at that time, King Carlos the First. After coming to Mexico, they witnessed the king’s 50 a day chocolate drinking habit, the cacao bean storehouses and the value of cacao beans as a currency.

The Spanish shortly colonised many of the South and Central American regions, and took chocolate drink back to Spain, adding sugar to the original recipe. The Spanish also took cacao beans the new islands and countries discovered, and many parts of the New World, they were cacao plantains. Between the 16th to 17th centuries, chocolate had spread to Europe, from Spain to France, then France to other parts. The french added sugar, milk and egg yolk and different flavours to the drinking chocolate.

Chocolate was praised for the medicinal properties it was thought of as a cure-all for all types of illnesses. The early european really adapted chocolate to their taste, from the way it was prepared and the ingredients used.

As the popularity of chocolate increased it fell under religious scrutiny. The catholics debated whether its comsumption was right during fasts. The protestants were offended by chocolate drinking that when they settled in Plymouth, North America they banned it. The socialisation in the chocolate house next door was irritating so they called it ‘devil’s food’. During this entire period, chocolate was consumed by the rich and noble, and it took a complicate process to make fresh hot chocolate.

The coming of the next century brought with it the industrial revolution which made the complete development of cacao bean to hot chocolate liquor to chocolate bar. The chocolate bar would not have existed without the process of extracting cacao butter from the liquor. Before his intervention, the cacao butter would rise to the top and have to be boiled off but his invention of the hydraulic press, meant that cocoa butter and cocoa butter could be extracted from the chocolate liquor. The dutch chemist invented the process of dutching. Thanks to Conrad Van Horten, cocoa powder could be boxed up and sold as a commercial product on a mass scale. By 1830, Van Horten had patented a process for chocolate production, and chocolate could be enjoyed by everyone.

Up until the end of the 1840s, chocolate bars had to be dissolved in water or milk before they could be eaten. In 1847, Joseph Fry a chocolate maker from a long line of English chocolate makers who were Quakers found out that powered cocoa and cocoa butter made a mixture that holds well together, the mixture was moulded into bars and became solid chocolate. Fry called his discovery “Chocolate Delicieux a Manger”. The Frys of Bristol soon became the largest manufacturer of chocolate in the world.

2.2 The process of Chocolate-making

Making chocolate – From Cocoa Bean to Chocolate

  • Cocoa beans comes from the fruit of the cocoa/cacao tree called Cocoa, the fruits are called cocoa pods.
  • After Cocoa is ripe, most cocoas are about the size of a small pineapple and yellow in colour. The beans are taken out from inside the fruit.
  • The beans are fermented for a few days. Then dried in the sun, till they are dry and hard. If the beans are to be exported to chocolate makers, this is the last stage of production of home soil.
  • The beans are roasted at high temperatures to bring out the flavour.
  • The beans are winnowed, which takes out the cocoa bean from its shell. Beans can be winnowed by cracking them. The bits needed are called nibs
  • The nibs are blended to produce a liquid called the chocolate liquor, which is not alcoholic
  • The chocolate liquor now goes in a couple of directions, the liquor is pressed to extract the cocoa butter(contains most of the fat), the solid mass remaining is known as cocoa powder.
  • The cocoa butter is needed for the process of chocolate making. The chocolate liquor is also needed to make the chocolate
  • Ingredients such as milk and sugar, chocolate liquor and plant extracts such as vanilla are mixed together until the flavours are well combined.
  • Machine called conchers are used to massage the chocolate ingredients and smooth it out. It may take up to 6 days.
  • The last stage is called tempering ‘a process where the chocolate is slowly heated, and slowly cooled’ allowing the cocoa butter molecules to solidify. This makes the chocolate harden properly
  • The chocolate mixture can be poured into moulds and then cooled off in a cooling chamber.