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Case Title:

The Chocolate Trail

Publication Year : 2006

Authors: Joel Sarosh Thadamalla

Industry: Food, Diary and Agriculture Products

Region:Global

Case Code: GRS0096A

Teaching Note: Not Available

Structured Assignment: Not Available

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Abstract:
Sweet snacks dominated the global snack market with sales exceeding US$112 billion annually. Chocolate was the largest sector in terms of value within the global snack market. The industry was faced with a sluggish economy, market consolidation, rising costs and intense competition. Even though the growth of global confectionery was tortuous, but still there was an increasing demand for premium chocolates, healthier confections, exotic flavors and colors. The developing markets had ample growth opportunities through effective market segmentation.

Like coffee, chocolate was going complex and upscale. The latest rage for chocolate in the U S was to go to a ‘Chocolate Bar’ instead of buying a ‘chocolate bar’. The history of chocolate houses was being repeated. Would the chocolate lounges be able to give a Starbucks-like experience and increase the consumption of chocolates?

Pedagogical Objectives:

  • To analyse the global and US chocolate industry
  • To illustrate effect market segmentation
  • To understand growth strategies of Chocolate bars.

Keywords : History of Chocolates; trends in chocolate consumption; ethel's chocolate lounges; Growth Strategies Case Study; premium chocolates; Hershey; Mars; Lindt; Cadbury's; Nestle; Candy; gourmet chocolates, market leader, global sales, chocolate consumption; confectionery; Sweet snacks; market segmentation; US chocolate market

Contents: 
Introduction
History of Chocolate
The Global Chocolate Market
Global Confectionery Key Growth Factors
The Mars Chocolate Company
The Hershey Chocolate Company
The U. S. Chocolate Industry

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