Friday, November 25, 2011

Chapter 8 : Segmenting and Target Markets

In order to sell their products successfully they have to identify their target markets. Although Hershey's products are widely available and enjoyed by many if we take a closer look we see that they have a few segments and one of the most important onces is the segmentation of the family life cycle. Through research they have found out that mothers play a large role in the decisions in the house and introducing brand loyalty. Being aware of this is why they have a variety of commercials of mothers or families bonding over a Hershey product.

Children are of course the targets for the chocolate products but if we pay attention we see that many adults have a sweet tooth as well. This was proven by some research that adults consume over 55% of all the candy sold. Therefore by demographics they market the bite size chocolates to adults. They started out with the Hershey Kisses that is now loved by all. Recently by adding more bite size chocolates they appeal to those who are trying to be health conscious and feel that a regular chocolate bar is too much. By having bite size versions they feel as if they aren't over indulging and are also viewed more portable alternative. The adult target market is very profitable and where most of their business comes from. This is how they have managed to stay ahead of the competition.  

Friday, November 18, 2011

chapter 11- Developing and Managing Products

New Products are important to sustain growth , increase revenues and profit, and replace obsolete items. A product can be new several ways either to the world, to the market, to the producer or seller, or some combination of these. Hershey usually takes part it extending their existing product lines such as with their newest product Hershey's Air Delight bar which is based off the classic chocolate bar.

In the early to mid 2000's Hershey consistently debuted 200 new products every year according to consumer product tracker Mintel. In 2008 only 146 were debuted and the numbers dropped to 40 in 2009. Then they began to implement a tool on their website in which they ask their customers what their ideas are for new product are. This has helped them develop new products that such as Bliss and their pieces line.

Unlike their competitors such as Mars and Nestle, Hershey has fallen behind in the development of new products lines instead just like their new marketing strategies that focuses on their core brands any new products are going to be additions to top existing brands with in the company this is the strategy that has helped the company survive through out the recession. A larger part of their band history is to be innovative and its time that Hershey has a break through moment with a new innovate product. As they have done in the past with Kisses.  

Friday, November 11, 2011

Chapter 16: Integrated Marketing Communications

AIDS concept is a model that outline the process for achieving promotional goals in terms of stages of consumer involvement with the message: th acronym stands for attentions, interest, desire, and action. Hershey just like any other company puts the AIDS concept into action to promote its products such as Kisses. In their commercial for kisses they grab your attention while your waiting for your TV program to resume or a video on you tube to start.

 In commercial just like the one above, are very animated in order to keep your attention since the Hershey as a brand is already established as well as the Kisses product. It creates interest by showing a check list that one of the kisses is holding while another Hershey kisses is being produced that says delicious and it is checked off. Then they produce desire by zooming in on the one of kind checked off. Then it is deposited with a happy mom and daughter sharing some Hershey's Kisses. This is the action part in that these people have bought it and so should you which is reinforced with their slogan at the end “ Delightfully Delicious One-of -Kind Kisses”
This commercial does a good job of getting the viewers attention and creating the desire for a chocolate.  


Friday, November 4, 2011

Chapter 10- Product Concepts

Hershey's has been around since the 1900's and is now one of the  most recognized chocolate companies in the and as well as a leader here in the United States. Since its beginnings its product mix has grown significantly since they have branched out into other categories besides chocolate such as gum, mints and snacks. 


Their products can be categorized as convenience products because they are relatively inexpensive and are widely available in a variety of stores across the nation. They manufacturing company strongly believes in its branding and this has been the secret to their success in the recent years. As I have stated before their new aggressive marketing plan has been based on reintroducing its iconic brands such as Hershey's Kisses, Hershey's Bliss and Resses through new commercials and magazine ads.They use a combination of both family branding and individual branding which is important when they have so many products under one company.  This over the years has created brand loyalty which Hershey's heavily realizes on. Also they have trademarked their products such as Kisses and with such popular products they have used product line extension. This can again be seen in Kisses as there are a large variety of them available all year round such as special dark, caramel. Or sometimes for they holidays they have exclusive flavors such as this year where they include Kisses dark chocolates filled with mint truffle, Chocolates filled with Cherry Cordial Crème, and candy cane flavored Kisses. Products such as those have Hershey's stay on top.