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Marketing Plan for Pumpkin Flavored Chocolate brand
of Royce Company
Executive summary 1.0
The following proposal will be a strategic marketing plan for a new Manufacturer, in
creating a new brand of chocolate. My focus will be on the Middle East as I have a clear
understanding of the demographic and what is available being a resident here myself. The
product I have chosen to focus on is a new flavor of chocolate that is available in other countries,
specifically Japan but not available in the United Arab Emirates, there are many variations of
chocolate worldwide, which are still not available in the Middle East, which has a high expat
percentage and growing consumer needs. In order to create this successful plan I will develop a
plan to position and sell within the United Arab Emirates. An example of this is Kit Kat Green
Tea, which is sold in Japan but not in Dubai and with the growing Japanese communities within
the city and Japanese grocery stores available; it is something that might be a success within this
growing community, and already popular chocolate in Japan. In order to make a similar
chocolate available in Dubai I will come up with a campaign that will make people want to buy
it. In order to do this successfully, research will need to take place.
Situational analysis 2.0
Royce’ Futomi is a chocolate manufacturing company in Japan. It ventures in a line of improved
chocolate products such as Kit Kat Green Tea, chocopies, and pumpkin flavored chocolate. The
company has enjoyed enormous victory in the production of a variety of chocolates and supplies
across the world. However, just like any other chocolate manufacturers, the Royce Futomi
Company has to continue reinventing the wheel and come up with new product to meet changing
customer needs. To achieve this, Royce Futomi company has come up with a healthy chocolate
brand to be marketed to the public globally hence it has a plan to venture into United Arabs
Emirates countries that has not experienced this newly introduced brand.
The healthy newly introduced chocolate will be called Pumpkin Flavoured Chocolate.
Pumpkin Flavoured chocolate brand will be an organic mixture of ingredients that that will meet
the increase demand for healthy snacks in the market. The product will be an opportunity for the
company to reassert itself in the market as well as a way to give the consumers what they want.
The product will be a success because, as Maxwell (2008) says, the market is turning from
synthetic made products and turning to more organic foods and snack due to health needs.
According to Evanson (2012), market data indicates that an increasing number for people
are willing to pay more for a the new brand as long as they can be sure that it is an organic snack.
This, as Stevenson (2011) asserts, is very important in the marketing of natural organic snack
because the production of such chocolates is more expensive as opposed to the synthetic
chocolates and this is an important factor because the prices for the product have to meet the
production costs and the profit margin. The main challenge in marketing Royce’s Pumpkin
Flavored chocolate will be to overcome market barriers caused by customer loyalty to the
existing products. According to consumer insights, a great number of GCC nationals are loyal to
specific brands and find it hard to change from one brand to another (Wilson, 2009). However,
Royce will be able to overcome this problem because it will be targeted to both the younger
people who are more willing to explore more possibilities and the older population who are
health-conscious. This will however not be a complete advantage in itself because once these
customers have switched to Pumpkin Flavored Chocolate; the challenge will be to make them
loyal customers as the product grows.
Market summary 2.1
The brand endeavors to appeal to health-minded customers who want nutrient-rich but little
calorie sport beverage. Royce and its cross brands have been very prosperous, experiencing
substantial profit gains in the previous years since its launch thirty-three years back. The product
will be available in super markets, and to begin with airlines who have Japanese sectors in their
route. These are places with high number of prospect consumers of the new chocolate brand.
SWOT 2.2
Strengths
The area where Royce Company may have the prospect of avoiding this competition from the
existing chocolate manufacturers, however, is in its paybacks. The merchandise is vegetableenhanced, which gives it a competitive power over other synthetic snacks. Royce’s leading
competitors are its own cross brands, which makes it, gain in the marketplace. It is also a new
flavor, with a high demand and no supply. Generally these types of chocolates are only found in
novelty stores, and high cost.
Weaknesses
Regrettably, Royce’s Pumpkin flavored chocolate brand besides other chocolate manufacturing
corporations, have had to enter into a competition with existing , as the upsurge in consumer
concern with cost and ecological effects have reduced sales. Large brand chocolate corporations
have also seen an increase in the number of customers who strive to save money by substituting
expensive and unhealthy snacks with affordable and healthy ones. It is also, a new brand within
the Middle East, so it will need to be positioned correctly in order to create a demand for it.
Opportunities
The company has an opportunity to participate within its own growing industry of Royce
Company that has flourished for years. Its decreased products costs through economy of scale
are another opportunity to thrive in the current economic situation. Moreover, the company has
the capability to influence other industry participants marketing efforts to help grow the general
market of its products.
Threats
Peter Swiss Milk Chocolate is a direct competitor of Royce’s Pumpkins flavored new brand
chocolate, as it has remained to be the top manufacturer of milk chocolate internationally.
Customers are particularly apprehensive in the current world with low sugar and low calorie or
no calorie added snacks, and perceive the Royce’s pumpkin flavored chocolate brands to be
healthier preferences. Gauging consumer behavior of in UAE countries will be problematic as far
as dealing with stereotypes, perceptions, culture and legal laws will take quite some time to catch
up (Laroche, & Cleveland, 2006).
Competition 2.3
Product Offering 2.4
Royce Company at the present offers a number of products:
The first product that has been produced is Chocopie that is a well-presented product that is tasty
and is more or less associated with high-class consumer market however, at an affordable price.
This gives the company good sings since the products is attractive enough both physically and
pocket friendly in terms of its purchase.
The second product is Kit Kat Green Tea which are specifically meant to provide glucose to the
body hence reenergize the body in the event that one feels weak and cold. This could improve
the situation whereby the consumers can affordably purchase the product unlike before where
other energy drinks are quite expensive for the consumers to purchase them. Trademarking this
product is apparently ongoing.
Keys to Success 2.5
The keys to success are the ability Royce Company to design and manufacture products that
meet market needs in Dubai. In addition, Royce Company must ensure total customer fulfilment.
Upon achieving these keys to success, the company will become profitable as well as sustainable
not only in UAE but also globally.
Critical issues 2.6
To succeed in the market, the firm will have to utilise the changing market trends- the market is
realizing the importance of taking natural and organic foods as opposed to the traditional
synthetic foods. This, as William (2010) says, has been caused by the increasing health issues
and the increasing campaigns by the health organisation asking the public to be more considerate
of the kind of foods they eat, especially manufactured foods. This presents a good market for
organic foods and the public will only need to trust the product.
Marketing strategies
The Pumpkin flavored chocolate brand endeavors to appeal to health-minded customers who
want nutrient-rich but little calorie sport beverage. Royce and its cross brands have been very
prosperous, experiencing substantial profit gains in the previous years since its launch thirtythree years back. The product will be available in super markets, and to begin with airlines who
have Japanese sectors in their route. These are places with high number of prospect consumers of
the new chocolate brand. The newly introduced chocolate brand in Dubai will meet the following
segments in an attempt to achieve the company’s competitive advantage not only in UAE but
also in of its existing constituents (Maxwell, 2009).
Royce Futomi company focuses on strategies such as everyday low prices that helped it stay
ahead of its competitor. More so, the company’s retailer opened new small stores, which helped
it overcome its competitors such as Peter Swiss Milk. It faced tough competition from this
company but it managed to make profits. In determining its product’s offer, Royce Company has
begun an underground movement that use salespeople as an alternative to the common ads on
TV (Evanson, 2012). This strategy makes it minimize on the cost while maximize the profits
from the products sales. In promoting its product, the company has for the last four months, been
travelling in the in Japan and has now made an entry in Dubai to reach both small skate parks
and large events such as airports, supermarkets and restaurants. In addition, the exhibitors could
showcase the brand to the prospect consumers and offer free chocolates (William, 2010). Royce
company has a well hired groups of great celebrities, to help promote its products. Royce
Company has also tried to stay avant-garde with product development. It is known for its
uniquely flavored chocolates, especially during holidays and other special events. The strategy to
improve customer service by $8 is also an added advantage to the company to have a high
retention rate.
Mission statement 3.1
Royce Futomi’s mission statement is “To help people save money so they can live better.” A
mission statement usually defines an organization’s purpose. A good mission statement
delineates why the organization is in business and how it conducts its business (Evanson, 2012).
It also addresses what the organization intends to do for their customers. Basing on these criteria,
Royce Futomi’s company’s mission statement could be said to be commendable, as it tends to
capture most of these concepts.
Marketing objectives 3.2
1) Respect for the individual’s health
2) high quality service to its customers
3) Striving for its excellence
Financial objectives 3.3
Royce Company is guided by the following objectives as far as its finances are concerned
To increase its annual sales by 10% through hiring more sales people
To attain 7% increment in its annual costs annually to decrease expenses.
To increase Royce Futomi’s pumpkin chocolate financial efficiency by 10% annually to
increase profits
Target market 3.4
Royce Futomi’s Pumpkin flavored chocolates are targeted to the general population owing to the
cancerous population yet the disease does not discriminate but prevalent to both the old and
young people. However, these products will largely be targeted to airports, restaurants, and
supermarkets who will sell them to the consumers that reach them.
Product positioning 3.5
Royce Futomi’s Pumpkin chocolate is a traditional snack that that meets the increased demand
for traditional ingredient enhanced snacks in the market. The product has an opportunity for the
company to reassert itself in the market as well as a way to give the consumers what they want.
The product is a success because, as Maxwell (2008) says, the market is turning from artificially
ingredients and turning to more natural additives snacks due to health needs (Wilson, 2009).
The achievement of Royce Futomi’s Company will depend upon fruitful marketing
communication relying on sound decision making by management on the coordination of the
different components of the promotional mix. For marketing communication to be fruitful,
however, a dependable choice must be made dealing with the three are from the promoting
blend: the product, or the idea itself; the cost at which the product will be offered; and the spots
through or which clients will purchase the Pumpkin flavored chocolate brand (Evanson, 2012).
In order to succeed in the market, the Royce Futomi will have to utilise the changing market
trends- the market is realizing the importance of taking natural and organic soft drinks as
opposed to the synthetic beverages (Evanson, 2012). This, as William (2010) says, has been
caused by the increasing health issues and the increasing campaigns by the health organisation
asking the public to be more considerate of the kind of drinks they take, especially manufactured
drinks. This presents a good market for organic drink and the public will only need to trust the
product.
It has a unique implementation of its plan in that its connection to its target group of consumers
is more personal as compared to other drink manufacturers, and loyal customers like it. This
approach makes it easier to be distinguished from any other company that manufacture drinks
(William, 2010).
Upon approval, Royce Futomi will have to ensure that the workforce is available. This includes,
the workers who will be involved in the production of the product. The promoters, the sales
persons and the distributors of the product. The new products will have to be supplied alongside
the existing products so as to maintain the current customers while attracting the new customers.
The management should make sure the materials for production are readily available.
Relationship with the public should be established to keep the good image of the company
growing.
Price is a major element in the budget, it is important because of its relation with the positioning
of the product (Evanson, 2012). The pricing of the product of Royce Futomi Pumpkin chocolate
will affect the marketing mix elements, which include the features of the product, promotion, and
channel decisions. The strategies that exist for pricing include premium pricing. Premium pricing
is the use of prices that are high because of products uniqueness. The strategy is applicable where
a company has a competitive advantage and this is the case with Royce Futomi. The company
will have to incur some huge amounts of cash to make this a success. Therefore, the budget for
the fast year stands at 5 million dollars.
References
Evanson, M.S. "Understanding Health Issues in Marketting Food: Price Versus Health."
Journal of Health and Food (2012): 39-41.
Maxwell, N.D. "New Trends in the Food Market." Journal of Marketing (2009): 12-18.
Stevenson, N.D. "understading Marketting and The Paradigms in the Market: The Food
Industry." Food and Beverge Research Journal (2011): 13-21.
William, N.D. "The Development of New markets: Health Issues and Organic Foods."
Journal of Marketing (2010): 19-25.
Wilson, J.D. Marketingin the new market Environemnt . New York, NY: Pearson
Education Books, 2009.
Laroche, M., & Cleveland, M., 2006, Acculturation to the global consumer culture : Scale
development & Research paradigm, Journal of Business Research, pg11.
