BSBMKG608 Develop Organizational Marketing Objectives

1.3 PEST ANALYSIS

PEST ANALYSIS: The pest analysis is very helpful for understanding market growth or decline and such as position potential and direction for the businesses analysis is a business measurement tool. Pest is an acronym for political, economic factors, which are used to assess the market for a business or organization.

1. POLITICAL: Government is currently passing legislation that requires business to monitor and reduce their waste and energy use. Significant penalties are planned for business that doesn’t comply with the new directives.
2. ECONOMICAL: Disposable income has reduced due to rising interest rates this shortfall expected to be recovered in the long term, with wages including expected to outstrip inflation rates by 2%unemployment levels are also increasing and expected to climb steadily to 6% in the coming year.
3. SOCIAL: cocoa delights company will try to capitalize on the social trends of consumers being more health conscious, by promoting the health benefits of dark chocolates and offer the largest range of dark chocolate varieties and more products.
4. TECHNOLOGY: Technology developments with the broadband rollout across Australia have been delayed, although the rollout is continuing and will be completed in the next three years. Internet retailing options are expanding, and most retailers are taking advantage of this new technology.

1.4 RISK: Risk management is very important to the operations of the cocoa delight store. The identification assessment and control of all risks are important to the successful achievement of the store vision and mission.

2.0 Main objectives

2.1 SHORT TERM OBJECTIVES

• Managing brand awareness.
• Featuring products from dark decadence range asa first step to sign loyalty.
• Work closely with joint ventures to advertise brand.

2.2 LONG TERM OBJECTIVES

1. Create brand awareness.

• This benchmark to be achieved in every new market.
• Use of Joint venture TV advertising campaign.
• Will cost $1.1 million in each new market, funded by using money set aside in

provisions.

• Comply with Competition and consumer act 2010.

2. To increase market share of cocoa delight gourmet chocolate by 18% in every Australian capital city.

• Comply with vision of dominance in market.
• Develop market plan.
• Resources from Halt & Burrows and 5% of turnover will be allocated to

Finance the budget.

• Comply with rules set by ACCC for the market dominant player.

2.3Business objectives:

1. To increase revenue by 6% yearly over the next 3 years.
2. To become the gourmet chocolate market leader within 5 years.
3. To become established as the national retailer of choice for chocolate connoisseurs within the next 3 years.
4. To increase our share of the dark chocolate market by 15% over the next 3 years.

2.4 Marketing objectives:

1. To increase awareness of the Cocoa Delights website.
2. To increase Facebook friends by 10%.
3. To increase followers on Twitter by 10%.
4. To expand marketing reach.
5. To increase brand name recognition.
6. To establish Cocoa Delights as Australia’s most respected chocolate maker.

2.5 Advertising objectives:

1. To exceed company growth targets in the next 12 months.
2. To achieve 1 million hits on the Cocoa Delights ‘Get in touch with your dark side’ microsite by the end of the campaign.
3. To receive at least 500,000 responses to our campaign emails by the end of the campaign.
4. To optimize the penetration of target customer groups and markets.
5. To increase brand awareness for Dark Decadence by 10% amongst the target audience in one year.
6. To inform existing Dark Decadence customers of changes in the product range.
7. To communicate the health benefits of the Dark Decadence chocolate products.
8. To persuade at least 30% of potential customers emailed to purchase a product from the Dark Decadence range.
9. To persuade at least 15% of our main competitor’s customer base to switch brands.

3.0 Geographical markets

The primary market will be inner city and suburban areas throughout Australia in order to capitalize on the shopping centers and local hubs of the major Australian cities (Brisbane, Melbourne, Perth, Sydney and Adelaide). 

4.0 Key performance indicator

• Established markets will allocate 20% advertising budget for brand awareness.
• 30% sales of machine-made chocolate will indicate that new markets are on track to

achieve sales target.

• To achieve 18% market share break even target of $3 million should be achieved.

The following characteristics make up the primary target market (approximately 60%) of Cocoa Delights customers: 

• females
• aged 25–55
• from various backgrounds
• approximately 50% are married
• have an average household income of $190k
• are dark chocolate lovers
• Live in inner city or suburban areas.

The secondary target market of Cocoa Delights customers is defined less by their collective love of dark chocolate and more by making health-conscious and environmentally friendly consumer decisions.

The marketing strategy will first seek to create customer awareness of the Dark

Decadence product line and then work towards building customer loyalty and referrals.

The message that Cocoa Delights will seek to communicate is that Cocoa Delights offers the highest quality Australian chocolate available and the largest range of dark chocolate varieties in the country. 

This message will be communicated through a variety of tactics including a mini-movie advertisement which will be shown on TV and the internet, an interactive microsite, a competition, an email campaign, social media, radio and print advertising, all of which will feature our catchy slogan ‘Get in touch with your dark side’. 

The budget for this advertising campaign is AUD$3 million.

5.0 Marketing strategy

Cocoa Delights is committed to becoming the leader in the Australian market for premium quality chocolate and maintaining a company culture which breeds continuous improvement. We have established a solid stronghold in the rapidly growing ‘healthy chocolate’ arena and are poised for growth. Our aim is to become the national retailer of choice for chocolate connoisseurs within the next three years. Our mission is to provide Australian consumers with the highest quality chocolate on the market whilst maintaining the promise to trade fairly with both local and overseas suppliers and promote sustainable behavior along the supply chain and reducing the environmental impact caused by our production and distribution processes. 

Marketing objectives

1. Improve Cocoa Delights website awareness.
2. Increase Facebook friends by 10%.
3. Increase followers on Twitter by 10%.
4. Expand marketing reach.
5. Increase brand name recognition.
6. Establish Cocoa Delights as Australia’s most respected chocolate maker.

5.1 Financial objectives

1. A double-digit growth rate for each future year.
2. Continue to increase our gross profit margins.
3. Continue to decrease the variable costs associated with chocolate production.

5.2 Positioning

We have positioned ourselves in the market as an up-market provider of gourmet chocolates and chocolate products – we provide chocolates of European quality. Cocoa Delights is a contemporary, innovative and customer-focused company that provides enormous variety and choice, especially in healthy and eco-friendly alternatives. Australian chocolate connoisseurs recognize the unique value of Cocoa Delights.

Cocoa Delights’ positioning takes advantage of these strengths and pivots around two central priorities: 

• Product: Cocoa Delights provides some of the highest quality chocolates available on the Australian marketplace. Cocoa Delights is the only company in Australia which processes more than ten different types of cacao from several countries and works solely with fine cacao. We use locally sourced sugar, fruit, nuts and dairy products.

Cocoa Delights offers the largest range of dark chocolate varieties and products available and tailor our product to customers with specific dietary requirements (dairy-free, low GI, organic, etc.). We are the only company able to satisfy all of these under-met needs in the national marketplace.

• Service: Cocoa delights only employs staff who are experienced in matching customers’ needs with our superior product. Our staff always ensures that our customers have the most enjoyable chocolate experience possible every time they enter one of our stores.

6.0 Marketing Mix

Cocoa Delight’s marketing mix has the following approach to pricing, distribution, advertising and promotion, and customer service.

• Pricing: the product cost is 40% of the total retail price.
• Distribution: Cocoa Delights chocolate products are distributed through a chain of retail stores which customers can access easily.
• Advertising and promotion: Targeted advertising on TV, radio, the internet and in the press will form the foundation of Cocoa Delights’ advertising and promotion effort.
• Customer service: Cocoa Delights’ philosophy is that every customer’s experience in a Cocoa Delights store must be as special and rewarding as our chocolate.

7.0 Evaluate the effectiveness

Their plans are effective, because they are concentrating much on the quality of the product rather than the light modifications as before. They are implementing strategies to cut down cost. Social campaigns are helpful to spread out the ideas to national reach by various tactics. They have products according to the specific dietary requirements. By their customer focus by generating eco- friendly alternatives they start widen their industry.

8.0 Conclusion and recommendation

Finally, to conclude Cocoa Delights is the only company in Australia concentrating only on home made products. They are against importing chocolates from other countries. They have choices and alternatives for the customers according to their specific dietary condition. All the tactics followed by the company is good to explore their company across the Australia. Their primary level of starting 22 stores in Melbourne is must appreciated. However, now company has to start a new phase in their business, it should be so good for the company to fulfil the legal requirements provide by government before widening their stores across Australia.