Marketing Strategy - Hershey’s Take 5 Case Paper

...

1g. Political Legal/regulatory trends

Regulatory trends have stated that chocolate can only be label as milk chocolate bars only if it contains cocoa butter. Hershey’s at one point had to rename some of their brands as candy bars because they replaced cocoa butter with vegetable oil. With this policy, labels that states milk chocolate without cocoa butter now are labeled as “made with chocolate” or “chocolate candy”. This was a one aspect that Hershey’s had to strategized during the relaunching process of Take 5.

1h & 1i. Technology Trends & Sociocultural Trends

With the change of technology, the relaunch of Take 5 was the pretty opportunity for Take 5 to present themselves as a modern chocolate candy bar. Take 5 under Hershey’s has Facebook, Twitter, and Instagram accounts that customers can follow and be up-to-date with the products. Take 5 taking part in social media platforms can help it connect with young audience of the age group it wants.

Section 2: SWOT Analysis

Strengths

- Hershey’s is one of the most recognizable brands for chocolate on the market today.

- The product is praised by its consumers for its unique taste experience of 5 different flavors in one candy bar.

- The Take 5 candy bar being associated with such a strong company and successful sibling brands gives the candy bar a great initial start.

- The various packaging types gives customers many choices when picking a serving size.

- Interactive marketing campaigns designed to increase customer involvement help to influence purchasing decisions.

Weaknesses

- Hershey’s has too many strong top selling brands to conceivably support a struggling one.

- Sales for the Take 5 candy bar were low when compared to Hershey’s other brands.

- A new ‘activated’ philosophy that Hershey’s recently adopted limits the potential for marketing smaller, less successful brands to catch-up.

Opportunities

- Altering their packaging to ride the brand name ‘Hershey’s Chocolate’ more and appeal to the consumers’ already existing knowledge on the brand.

- Target new customers

Threats

- External threats that Hershey’s Take 5 currently face are strong competitors that have similar products. Hershey’s competitors include Nestle, Mars, Inc., and Mondelez International, Inc.

- Take 5 candy bar to stop receiving funding for marketing exposure.

Section 3: Marketing Goals & Objectives

- Increase the sales to match the other Hershey’s more successful brands is the first objective.

Sales of the other brands such as Kisses, Reese’s, and Kit Kat are casting a shadow on the Take 5 candy bar, and with Hershey’s current product promotion strategy, picking the struggling brands up is harder than it should be.

- Improve brand awareness

Increase the marketing on Take 5 candy bar and other unsuccessful brands. This can be done by increasing or starting to advertise the candy bar through various media channels such as the television and radios. Reinventing the wrapper away from the traditional red wrapper to a more vibrant, electrifying color will also help customers recognize the candy more. Right now the red wrapper resembles other candy bars too closely. A marketing campaign is also very effective as it often makes customers engage in many activities and helps influence the purchasing decision.

- Target new customers

After enhancing already existing customer relationships, Hershey’s should push for the sale of the Take 5 candy bar in new markets; international markets.

Section 4 Marketing Strategy

Section 4a: Target Market

To effectively re-brand Hershey's Take 5, Hershey's needs to target buyers from the age of 18-30—millennials. As indicated by Nielsen look into, in 2012, Take 5 recorded profoundly with family units making more than $100,000—its circulation there was 89% higher than with families making under $100,000.

Section 4b: Product Strategy

“Chocolate lovers need not be alarmed about the future of their favorite product,” the FDA said… (today.com)

Take 5 was presented in 2005 with no marketing support and restricted circulation. In 2015, the brand was $11 million in worth and had developed by 10%. What is the mystery? The "5" in the name alludes the blend of five exemplary fixings: milk chocolate, peanuts, caramel, peanut butter, and pretzels. This is blend of flavors that "make the ideal salty-sweet, chewy-crunchy remixed snack." The bar is carefully fit for the new era. (prnewswire.com) Due to its notoriety, The Hershey Company has created a few varieties of the first confection throughout the years:

• Chocolate Cookie - Substitutes a chocolate treat to supplant the pretzel

• Marshmallow (restricted release) - Substitutes a marshmallow creme to supplant the caramel

• Peanut butter - Has a nutty spread covering rather than drain chocolate

• White chocolate - Has a white chocolate covering rather than drain chocolate

"We recognized the evolving millennial tastes and their need for on-the-go eating occasions," says Chris Kinnard, TAKE5 brand manager. "They're flavor explorers and adventurous when it comes to food. They're looking for an experience, and the TAKE5 Bar's multiple flavors and textures allow them to have it all."

Knowing millennials desire legitimacy and co-creation, Hershey and the TAKE5 mark joined forces with them to help relaunch the bar. Showcasing understudies, and months of engagement with an exceptional board made only of differing millennial-matured understudies, started the huge thought behind the new