In the course, Principles of Marketing Communication, I was equipped with marketing communication skills necessary for today’s global marketplace. Market and product consumption trends will be explored as well as principles and methods used by global marketers to promote their brands.
As one of the assignments for this course, I were ask to do a marketing communication plan for Chocolate Factory brand, a chocolate cafe. After analyze the situation of the café, my group and I came up with objectives: to increase awareness among chocolate lover and to build loyal customer base. We also have to come up with the message and channel for the communication as well.
1.
Chocolate Factory
Marketing Communication Plan
By
Vinita Kasemsupapun 504 53643 28
Sarintorn Puangyoykaew 504 54666 28
Orakarn Chantaramungkorn 504 53769 28
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2. SITUATION ANALYSIS
[Market Analysis]
The level of chocolate consumption in Thailand is considered as relatively low
when compared to other foreign countries, especially those in Europe region.
Although the chocolate consumption rate in Thailand has gradually increased
from 0.144 kilogram per year per person in 1997 to 0.26 kilogram per year per
person in 2007, countries in the Europe region have the chocolate
consumption rate as high as 11 kilogram per year per person. While country in
Asia like Japan has the consumption rate of 2.2 kilogram per year per person.
Therefore, the chocolate market in Thailand still sees a lot of potential market
channels that can lead to overall market expansion.
Nonetheless, when it comes to chocolate, Thailand has limited production
feasibility namely low quality and quantity of cocoa that can be produced
domestically, together with lack of expertise in chocolate production. As a
result, most of the chocolate products in Thai market, such as Coin Chocolate
and Ball Chocolate, are considered as chocolate flavored sweets that contain
less than 20 percent of cocoa. The market, therefore, largely depends on
imported chocolate products, especially high quality premium chocolate
which contain high percentage of cocoa. These include the different varieties
of forms of dark chocolate such as bars or truffles with or without fillings.
Although there is an increase in chocolate import, the percentage growth rate
is slowing down. One of the reasons can be contributed to the reduced
purchasing power due to global economic recession. Thus, consumers change
their consumption behavior by cutting cost on products that are not necessary,
especially on luxurious products including chocolate. Chocolate is largely
perceived as unhealthy and expensive sweet; thus, it is likely that it will be
considered as the first few groups of products that consumers will reduce or
stop their purchase and attracting new customers is also not likely. Kasikorn
Research Center predicted that chocolate consumption in Thailand would be
reduced from 0.26 kilogram per year per person in 2007 to 0.18 kilogram per
year per person in 2008. Furthermore, the effects of the past year’s breaking
news about melamine contamination in dairy products may linger in chocolate
market.
On the other hand, what may help rebuttal the downturn in the Thai
chocolate consumption is to gradually spread the knowledge of benefits of
chocolate found in many researches, together with health trend in Thailand. It
is confirmed that anti‐oxidant agent in chocolate reduces the risk of heart
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4. Coffee shop/Café market trend
‐ rapid growth of the both coffee market
‐ rapid growth of coffee shops/cafés market
o largely depend on big foreign franchise like Starbucks
o increasing awareness in Thai brands
‐ fiercer competitions need for effective marketing programs
‐ low consumption rate, leaving plenty of room to expand the market
‐ more widespread coffee‐drinking habit of Thai consumers
‐ more demand for coffee shop/café experience, not just coffee itself
Premium coffee shop/café is considered by investors and consumers as one of
the rising stars in the market because of the increasing market growth and
widespread coffee‐drinking habit of Thai consumers. More and more groups
of people turn to coffee shop/café. Thai coffee drinkers are willing to pay
more for quality coffee and comfortable environment.
Thai consumers respond well to the change. They turn their back on instant
once‐popular coffee and get straight into the shops where they offer freshly
made coffee as well as convenience and pleasing decorations for more
enjoyable drinking experience.
Despite the growing coffee‐drinking trend, Kasikorn Research Center found
that Thai consumers still have low rate of consumption which is 200 cups per
person per year, compared to Japanese (500 cups per person per year) and
American (700 cups per person per year). Thus, this void in the market has
drawn large number of both foreign and domestic investors into the coffee
shop/café market. Although the large picture of the competitions in this
segment seems fierce, each coffee shop/café has their own positioning that
attracts different groups of customers. However, it is inevitable that the
market is getting more competitive.
During the past three or four years, premium coffee shop/café market growth
has been astonishing. Big foreign franchises from foreign countries, mainly
Starbucks, largely play the part in stimulating the growth in the market. Thai
coffee shops/café brands also established itself successfully and are growing
rapidly.
Furthermore, the overall coffee market is gradually growing. According to
Kasikorn Research Center, coffee‐related product market in 2005 was worth
21,000 million baht, skyrocketing for more than 100 percent from the value in
2002. This number can be divided into (1) instant coffee 9,300 million baht, (2)
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6. [SWOT Analysis]
Strengths
• Use high‐quality chocolate in all of the chocolate menus
• Various types of menus to choose from‐ few of the menus are very
interesting and unique eg. Mango Chocolate Frappe
• Catchy slogan‐ Live Life Chocolately
• Clean
• Friendly and helpful staffs
• The shop was easy to access as it’s surrounded by escalators
Weaknesses
• Not very well known‐ still new to the market
• Small shop space, therefore can only serve a limited capacity of
customers
• Confusing logo
• Inconsistent shop theme
• Location
o Can be very noisy at times as the shop is located next to a
children’s playground
o Traffic is very low
o Hard to find
o Does not attract current target audience
• Menu
o The names are very boring and not unique
o Some of the menus are exactly the same but just with different
names eg. Banana Split Choco and Chocolate Frappe Banana
o The bakery menus are very ordinary
o Some of the products may not suit the right taste for Thai
customers
o The current prices of the products can be considered as
expensive
Opportunities
• Increase in the gourmet chocolate trend due to concerns for health and
wellness among consumers
• The market is still on the open. The amount of direct competitor is still
relatively low
• Thai people like to spend their day in the mall where it’s cooler and
more relaxing.
• Central World is located in the center of Bangkok and can be easily
accessed by various types of transportations such as the BTS Sky Train,
buses, tuktuks, and taxis. It also offers over 7000 parking spaces.
• Central World attract 150,000 customers per day
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7. • Central World always holds events for many companies on daily basis.
Participants from these events can wait and hang out at our store
• There are no direct competitors located in Central World
• Thai and Australia FTA reduces the price of import Australian milk
which can be used as ingredients
• Currency appreciation
Threats
• Because there are other forms of chocolate available for consumers to
purchase easily and conveniently (eg. in supermarket and seven‐
eleven), consumers may choose to buy cheaper alternative of
chocolate bars or chocolate drinks instead
• Most Thai people still view chocolate as an unhealthy indulgent
• Rapid increase in the amount of third place Café’s, bakery shops, and
Coffee shop franchises
• The popularity in premium coffee shops/cafés yield more competitions,
especially those in department stores, hypermarkets and discount
stores. Each looks for the ‘golden location’ making the cost of business
expansion increased
• Consumers’ positive view on other famous coffee shop brands such as
Starbucks and True Coffee, our secondary competitors, as a safe and
quiet place to work or hang out
• Political tension between the government and the red‐shirt protestors
• Increasing oil price can escalate shipping and delivering costs
• Thai and Australia FTA reduces the price of import Australian milk
which can encourage chocolate bars manufacturers to mass produce
• Economical recession
These strengths will be emphasized throughout our market communication
program in order to make Chocolate Factory stand out from the competitors.
However, we need to focus only on the strengths that are marketable and will
benefit Chocolate Factory the most. We, therefore, chose to emphasize one
the slogan‐ Live Life Chocolately‐and develop it as our main concept. We also
emphasize on the strength of Chocolate Factory using high‐quality chocolate in
all of its chocolate menus. Other strengths are encouraged to be preserved
and carry on at the same or higher standard.
Although there are few strengths in the Chocolate Factory brand, there are still
also quite a lot of weaknesses in the brand that need to be improved. We need
to prioritize all the weaknesses in accord to their importance. Although the
biggest weakness of the Chocolate Factory shop is its location and the size of
the shop, it would be difficult to change the location and the size of the shop in
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9. [Competitor Analysis]
Direct competitors
Chocolate Cafés
These chocolate cafés, although they have their own unique selling points,
have the similar target group as that of Chocolate Fact. They are located at the
heart of Bangkok and boast the quality of their various chocolate menus.
1. Summer Chocolate House @ Soi Promsri, Sukhumvit 49
a. A chocolate bakery owned by Pol Tantasathien, a famous Thai
actor
i. Get a lot of coverage from different media
b. Naughty names that catch attention and get viral
i. BTS (Better Than Sex) – baked chocolate cake with pastry
cream and whipped cream
ii. Cup C – baked chocolate cake in bowl with ice cream
c. All‐in‐one eatery which may enhance customers’ experiences
i. Spring Dining Room
ii. Summer Chocolate House
iii. Winter Bar
2. Numero Uno Café @ Bangkok Marriott Resort & Spa
a. Various choices for customers
i. 300+ types of handmade chocolate
ii. Focus on but not limited to chocolate products which can
attract more customers and their companies
b. Seasonal products
i. Valentine’s Day
ii. Thanksgiving
iii. Mid‐Autumn Moon festival
c. 3 Gold Medals in chocolate making
d. Marriott brand
i. guaranteeing quality and gaining customer’s trust
ii. frequent joint promotions under Marriott
3. Cherubin Chocolate Café @ Sukhumvit 31
a. Teddy bears as the café’s unique selling points
i. Give warm and cozy feeling and image
b. Kid’s zone with children books
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10. c. Located only 100m from Prompong BTS station
d. Frequent promotions, in‐store and online
e. Large customer base
i. used to be ‘made‐to‐order’ chocolate specialized bakery
ii. gained reputation and recognition
4. Kakao Café @ Sukhumvit 24
a. Space available for rent
i. Draw people including media into the shop
b. Informative and interactive website
i. Product collections with details
ii. Ability to order chocolate online
iii. Past and coming events
iv. Contact information
c. Promotions focused on “limited edition” chocolate
i. 99 limited edition chocolate created by HRH Princess
Siribha Chudabhorn for auction
ii. 99 limited edition “The Sweet Zodiac”
d. New menu as free complimentary for dine‐in
i. Positive experience
Secondary competitors
Third‐place Cafés and Bakeries
Cafés and bakeries mushroom in Bangkok area. They offer customers similar
menu to that of Chocolate Fact but they are not limited to chocolate. The
following are some of the well‐known cafés and bakeries that have become
third places for Bangkokians.
1. Starbucks Coffee
2. True Café
3. The Oriental Shop
4. Vanilla Brasserie
Chocolate Specialized Shops
Chocolate specialized shop market is highly competitive. Most of them are
located in department stores in Siam area of which 90 percent sells chocolate
truffles. Price and menu are very similar and therefore attract the same rup of
customers.
1. Le Gourmet @ G Floor, Siam Paragon
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11. 2. Jim Thompson Chocolate @ Saladaeng Café (Saladaeng Soi 1) and Café
9 (Surawong)
3. Belgio @ Siam Bypass, Siam Square
4. Royce @ Emporium
5. Visage Chocolate @ G Floor Siam Paragon
6. Mrs. Flower Chocolate @ Central Chidlom, Central World, Siam
Paragon, The Mall Ngamwongwan
7. Chocolate Buffet @ Sukhothai Hotel
Mass Products at Supermarket
Competitors in this market come in different qualities and prices. Although
the brands who share the same target audience with Chocolate Fact may lend
toward higher end ones, consumers who are price‐sensitive may turn to other
less expensive brands as their alternatives. Its widespread availability is also a
threat to chocolate cafés like Chocolate Fact.
1. Lindt
2. Godiva
3. Neuhaus
4. Van Houten
5. Ferro Rocher
6. Hershey’s
7. Tobberone
8. Ritter Sport
9. Cadbury
10. Meiji
Since our competitors come in many facets and are relatively strong in their
positionings, it is important for Chocolate Fact to have a solid concept to be
able to compete with them. The concept must be unique and consistently
linked throughout the IMC plan in order for Chocolate Fact to forcefully
standout from its competitors. Although Chocolate Fact does not face any
direct competition in Centralworld, it does need to be aware of its secondary
competitors such as Third‐place Cafés and Bakeries and try to take advantage
of being the only chocolate café in Centralworld.
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12. OBJECTIVES
Objectives of the whole marketing communication plan are as followed;
(1) to increase awareness among chocolate lovers
• number of fans in Facebook 1,000+
• number of people who play quizzes in Facebook 500+
• number of views of the drama series in Youtube, Chocolate Fact
website, and Facebook 3,000+
• number of people who shares the drama series with their friends
500
• number of visitors of the web 3,000+
• number of time visitors spent on the web 3
• number of people participating in “Pass the Sweet Moment Forward”
campaign 700
• number of invitations sent during the “Pass the Sweet Moment
Forward” campaign 300
• number of people joining the Choco Life Café through the “Pass the
Sweet Moment Forward” campaign 100
(2) to build loyal customer base
• number of registrations of the Choco Life Café community 1,000
• number of subscriptions of the membership card 400
(3) others
• number of media coverage and its values at least 3X
• content analysis favorable
• number of participants showing on the launch event day 100
• sales increased by 30%
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13. TARGET AUDIENCE ANALYSIS
Attributes
• Age: 18 – 35 (Young adults and first jobbers)
• Gender: Female 65%, Male 35%
• Highly social – like to hang out with friends
• Middle to upper socioeconomic class, university graduates
• Urban
• Opinion leader among social groups
Insights
Buying preferences
• driven by quality, flavor and personal preference
Decision‐making process
• not price sensitive – looking for value and personal satisfaction
• emotional decisions over logical decisions
Influencers
• Friends and peers
• Media including Internet
o Eating programs and publications viral
• Bloggers event for bloggers to visit the shop
Motivation
• Self‐indulgence
• Pleasure
• Personal health
• Quality that reflects sense of self‐worth
• Impressing others
Values
• Outgoing
• Easygoing
• Friendly
Behaviors
• very socially‐oriented
• open to new things
• seek new and stimulating experiences
• want more than just a product
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17. MARKETING COMMUNICATION:
MESSAGE AND CHANNELS
All of the components in marketing communication relate back to the big idea
of the campaign – Live Life Chocolately.
The following is the roadmap for the whole campaign:
1. create awareness in the coming drama series “Chocolate Prince” and
online community “The Choco Fact Café” through social media network
and press releases
2. launch the drama series “Chocolate Love” on Youtube and Chocolate
Fact’s homepage
3. promote online Chocolate Fact community “The Choco Fact Café” in
the Chocolate Fact’s website to encourage participation and build loyal
customer fan base
4. lead all IMC to the launch event
Drama Series (See Storyboard in the Index)
This short online drama series will be GTH‐styled romantic genre that suits our
target audience well. The story will emphasize on our concept of bitter sides
and sweet sides of life through the key characters– a young office man who is
frustrated with his career life and a college woman who just finished her
exams and is happy with her life. This links to the concept of our shop as a
place where customers can both come to enjoy themselves when they are
happy as well as to comfort and cheer them up during their tough times. All of
the scenes in the series will be shot at the Chocolate Fact shop at Centralworld
to create buzz and to help promote the shop.
As shown in the storyboard, the series does not only help promote the
Chocolate Fact shop, but also the upcoming launch event and the online
community.
However, due to the limited budget, we’ve decided to hire an unknown but
good‐looking actor and actress to act as our two lead actors. The drama series
will also be posted,for free, on Youtube and on the Chocolate Fact website,
where viewers can interact with each other and exchange thoughts about the
series. Also, to ensure that the clip reaches our target audience, we will send
announcements to offices around the Central World area as well as major
universities in Bangkok areas.
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18.
Social media network
• Chocolate Fact’s target audience is highly active in social media
network, especially on Facebook.
• We will tag our target group with the mini‐drama series that will be
posted on Chocolate Fact’s Facebook page. They can reply their
answers in the Facebook page as well. Those who participate have a
chance to win a free meal or discount coupons at Chocolate Fact.
• Quizzes such as “What is your character in ‘Chocolate Prince’ drama?”
“How chocolate is your life?” will be posted.
• The Facebook page will be more updated to promote different
promotions, websites and Choco Life Café.
Press Releases
• Due to the limited amount of budget available, public relations play as
one of the crucial parts of the whole campaign.
• Press releases will be distributed to lifestyle sections or eating sections
of the media channels should be the ones that reach to our target
audience
o (1) broadcasting media including free televisions, cable
televisions, and radio, (for example Krua Indy)
o (2) print media including magazines and newspapers, and (for
example Cleo, A Day)
o (3) online media including various websites and bloggers
• Incentives such as discount coupons will be given as incentives for the
audiences to join.
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19.
Online community “Choco Life Café”
• To achieve the objective of building loyal customer base, participation
will be highly encouraged. Those who register to be one of our
community members will get special coupon.
o Online community will be a place for anyone to share both of
their bitter and sweet moments of their lives, according to our
concept. The community will be a goodwill community where
users support one another and therefore not only engage the
target audience but also build positive image to our brand.
o Moreover, to encourage participation even further and
empower our customers, polls will be conducted monthly in
online community. Users choose from 3 menus that are not in
the usual menu and the menu that gets the highest votes will be
the special menu of that month.
Website
• We think that the current design reinforces Chocolate Fact’s concept,
especially the color of brown, yellow and orange. However, Chocolate
Fact’s website needs a lot of improvement and gets interactive on its
content. Pages will included:
o (1) About Us – to show the passion in bringing the best quality
chocolate to customers and be there for customers whenever
bitter or sweet moments,
o (2) Menu – to give customers information about our quality
products,
o (3) Facts About Chocolate – to encourage chocolate
consumption and positive views towards chocolate
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20. o (4) Promotions – to keep the customers updated on the
activities and special offers from the shop
o (5) Location – to help the customers find the shop easily
o (6) “Choco Life Café” community,
o (7) Multimedia – to give customers mouthful experiences such
as mini‐drama series, exclusive behind‐the‐scene shots, actors’
profiles, Chocolate Fact’s video tour and ‘meet the staff’ videos,
videos about our signature or special products, lighthearted
flash game, and ‘pass the sweet moment forward’ campaign.
• “Pass the Sweet Moment Forward” is an interactive sales
promotion where a community member can invite other
people to join the community through prettily designed
e‐cards. They will get discounts of five percent, ten
percent, fifteen percent until twenty percent according to
the number of new members they invited to join the
community.
Promotions
• Apart from monthly special menu picked by the community members
and “Pass the Sweet Moment” promotional campaign which are
detailed above, the Chocolate Fact will launch the membership card
and promote its own “Chocolate Day”.
o Members of the Chocolate Fact will be separated from
community member. They receive the privilege of discounts and
exclusive free tastes of special menus as well as welcoming gifts.
Membership will encourage repeat purchase and build loyal
customer base.
o Chocolate Day is every first Sunday of the month where special
discounts will be given to any customers, with the members
getting the discount on top. This will help drawing people in.
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22.
Timeline
June IMC
Week 1 Press Release to print media
Week 2 ‐
Week 3 ‐
Week 4 ‐
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23. July IMC
Week 1 • Facebook
• Website + Choco Life cafe
Week 2 • Press Release to TV and online media
Week 3 • First episode of drama
Week 4 • Second episode of drama
August IMC
Week 1 • Launch Event
• Promotions
Week 2 •Promotions(contd)
Week 3 •Promotions(contd)
Week 4 •Promotions(contd)
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24. BUDGET
Total
Item Description Units Cost/Unit (Baht)
1 Media Kit – PR to print media 3,420
Printing Cost (4 colors, A4) 200 15 3,000
CD + Cover 20 11 220
Brochure 20 5 100
Folder 20 5 100
2 Website - Social Media 16,200
Website Design + Administration 1 15,000 15,000
Hosting + Domain name 1 1,200 1,200
3 Promotions 10,625
3.1 Discount coupons
Graphic Design 1 1,500 1,500
Printing Cost 1000 0.5 500
3.2 Free coupons
Graphic Design 1 1,500 1,500
Printing Cost 250 0.5 125
3.3 Membership card
Graphic Design 1 2,000 2,000
Card + Design 500 10 5,000
4 Facebook – Social Media 5,000
Administration 1 5,000 5,000
5 Menu sign 13,450
Graphic Design 1 3,000 3,000
Plate + Design 1 2,000 2,000
6 Production – Mini Drama Series 70,000
Actors 4 7,000 28,000
Director 1 15,000 15,000
Camera renting 1 10,000 10,000
Grip equipment 1 8,000 7,000
Unit production cost 1 6,000 5,000
Location 1 10,000 5,000
7 Interior Shop Design 14,400
Table 4 2,000 8,000
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25. Chair 16 400 6,400
8 Live Life Chocolately – Launch
Event + workshop 48,000
Pretty 8 4,000 32,000
Workshop utensils 20 400 8,000
Workshop ingredient 20 300 6,000
Decoration 1 2,000 2,000
Total 181,095
7% Vat 12,677
Grand
Total 193,772
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27. RECOMMENDATIONS
1. Discard the current logo and use the current slogan as logo to
gain consistency with the overall shop
2. The website needs continuous maintenance and all links should
work properly to reduce frustration among website visitors and
to show professionalism
3. The menu sign should be in a much bigger size. Customers can
barely see the menus on the current menu sign because the text
is too small.
4. The color palette used in the shop design should be more
consistent with the ones used in other IMC materials. Instead of
giving the customers a chocolatety feel when visiting the shop,
the yellow color that the shop is currently using is too light and
makes the shop looks like a honey shop instead of a chocolate
shop.
5. Change the current stiff‐looking chairs and tables in the shop to
a more comfy one. This help provides comfort to customers who
like to take their time during their visit to our shop. Also, this
helps to encourage customers to stay in our shop longer and
visit the shop more often due to comfortable and calm
ambience.
6. Use stickers of chocolate splatters to create a trace/path that
leads CTW visitors from the central escalator to the shop. This
helps to create suspense among CTW shoppers while helps to
lead new customers to the shop, tackling the problem of hard‐
to‐find location of the shop.
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