Snikers with honey - Essay Example

Insert Insert Organizations Background Snickers Company first operated in the European nations attributing to the socio-economic context of the region that facilitated its quick establishment. The mother company of Snickers is Mars. Though as a brand they have been able to come out of it. Earlier they sold in UK and Ireland under the name of Marathon. It continued selling under the same name until it decided to bring synchronism to the product throughout the world. They then renamed it Snickers.

The environmental aspects that have positively impacted the company include demography of the area of operation which is within cosmopolitan regions. This also has been amounted to by the technological advancements within these regions especially that their products are furnished brands to the existing products. Lastly, the cultural trends of the regions of operations has been characterised by fashionable products which basically triggered the entry of Snickers into the market space. They have been around since 1930.

The original snickers is made up of Nougat, caramel and covered with chocolate. Product Description and Segmentation As regards the segmentation of the company’s core products, time and again it has come under criticism for producing very high calorie bar. It was associated with obesity. Because of the constant criticism faced it decided to reduce the size by dividing a single bar into two bars, and then they promoted the two bars that they made claiming that a person can have the other part later.

It still had to face criticism as people believed that it was not an actual size reduction but just a fad on the part of the company. Due to this they started producing the snickers mini and phased out the giant. The other issue they faced was related to the poison scare that had been caused by an unknown person who claimed that he had added poison in seven bars in Australia production plant. The company then recalled the whole batch. In spite of the small hurdles that they have had to face time and again they overcame it.

They have had successful affiliations and have made quite a lot of ads. They have a range of products, the original snickers, the dark snickers, the almond snickers and the ice cream. The ice cream comes in three forms, a cone, a brownie and a bar. Current Market Target Snickers has enjoyed a whopping 30% market share owing to its quick establishment as regards to the core products which long before never existed to satisfy the consumers’ needs, but if they did then were in meager or poor quality.

The main area addressed by Snickers to come as a cutting edge was their technological inclusion in the venture. This furnished the brand of the product. In addition to their quality products the government was quite impressed and considered funding the expansion in the production of this new brand of products. In addition to the aforementioned market share, Snickers considerations come along with the knowledge of the customers of probable benefits accruing from the entry of the new product, their willingness and capability to pay higher prices for the new products, their likelihood to adopt the new brand based on their attitude and their criticisms about the product which they would wish to be addressed; especially the health concerns.

Proposed Promotion Mix The current advertisement that they have been running is the “when you are hungry, you are not you”. It is this concept that has received recognition and they have made some really interesting advertisements that have earned them acclaim. This advertisement focuses on the fact that snickers gives you energy and makes you young and energetic. Other than this Snickers has also used various promotion strategies like Push strategy as well as the pull Strategy which has ensured the maximal exploration of all available channels of distributing the product to the market.

In these methods of advertising Snickers has employed various stratagems like Product comparison advertising; whereby it has enjoyed the benefit of an outstanding product. Other equally competitive marketing schemes include product family advertising; since their products are more to address the regularly used household and personal care products, and finally the products benefits analysis set upon the company’s standards for their market dominance. Product Market analysis and opportunity At launch of the honey snickers, a poll was conducted on facebook at different places like malls.

The main focus of the question was what would be the new flavor of snickers likeable to taste. The response was recorded and tabulated. Similarly, another pool that was conducted already had the flavors mentioned and people had to choose among them. They were honey, mint and some fruit. This poll was also conducted on social sites and malls. There was another question that was asked for having validity in the answers about what people feel about having honey flavored snickers. Through conducting these three varieties of surveys the results could be validated and then the company could be sure to a certain extent what actually people would be expecting when honey snickers came to mind.

(Smith, 2006) The most appropriate target market for the honey snickers would be athletes and marathon runners. People with low diabetes issue can also have this. Though there would be many people who would not want to imagine a honey snickers, as they are already considering the bar a calorie. It would seriously be a big no for all the diet conscious people. On the other hand some parent would now actually want their children to have the honey snickers as they would feel that it is a very healthy option for them.

Pricing and Distribution of the Product The product should be portrayed as a very healthy option instead of other chocolates as it contains honey. The placement is very necessary and same goes for the promotion tactics. This is one of the factors that the company considers in its pricing influenced by the net income requirement. In line with this the specific strategies deployed include skimming strategy; due to the high differentiation value if the products and also necessitated by the high market penetration and dominance.

The other strategy also used is the comparable pricing strategy; which has been set by the management and is in line with the organizations objectives. Once that is done a small question mark can again appear in the advertisements that are placed in the magazine. The promotion could be done best if the tag line of energy bar and a healthy sign inserted as an afterthought (Riggs, 2007). Snickers would not need to focus so greatly on the new bar except for the healthy energy bar they already have a very established market and a brand name and loyal customer base.

The major modes of distribution of the product include: On-premise sales whereby the sales officers visits the clients in their homes to sale the products; wholesale sales whereby the company’s middle-men sell its products to retail agencies; Direct sales whereby sales entity of the organization sell its products using technological aids like internet and telephone, and Full-service retail sales whereby the organization distributes its products through a full-service retail. References Riggs, T. (2007). Encyclopedia of major marketing campaigns.

Detroit, MI: Gale. Smith, A. F. (2006). Encyclopedia of junk food and fast food. Westport, Conn: Greenwood Press. Cadbury, D. (2010). Chocolate wars: The 150-year rivalry between the worlds greatest chocolate makers. New York: Public Affairs.