1. Unit 4 Individual Project 1
Marketing Strategy for the Special Dark Chocolate Bar
Victoria Rock
American Intercontinental University
Unit 4 Individual Project
MKTG 205 – Principles of Marketing

2. Unit 4 Individual Project 2
Abstract
The marketing strategy for the Special Dark Chocolate bar is presented. The bar will be
positioned as a premium product and targeted towards adult consumers. The health benefits will
be used to position this bar as a healthy but tasty product. It will be distributed through channels
that will support its premium positioning.

3. Unit 4 Individual Project 3
Marketing Strategy for the Special Dark Chocolate Bar
Introduction
Marketing strategy and decisions are decided on the basis of internal and external
environments of a company or organization. Because of this it is necessary to make some
important and effective marketing decisions. This paper will examine the different concepts of
marketing strategies and decisions as well as explain the importance of research and the impact
of change in environment on the decisions made.
Definition of Marketing
Marketing can be described in many different ways depending on which resource you are
using. In the International Encyclopedia of Hospitality Management (2005) describe marketing
as; "The process of planning and executing the conception, pricing, promotion, and distribution
of ideas, goods, and services, to create exchanges that satisfy individual and organizational
objectives." The Macmillan Encyclopedia(2003) explains it as; "The process of developing a
market for goods or services based on market research." Even our own text book, Marketing
(10th Ed.) by Kerin, R., Hartley, S., and Rudelius, W., describes it as; "the activity for creating,
communicating, delivering, and exchanging offerings that benefit the organization, stakeholders
and society at large."
From the above definitions we would have to say that Marketing is fulfilling the needs of the
company while providing for the stockholders and fulfilling the consumer’s needs and demands
and at the same time providing a means of profit for the company.
Introduction of Product/Service

4. Unit 4 Individual Project 4
After much thinking and debating, I decided to do my research on the chocolate bar, particularly
the Special Dark Chocolate Bar produced by the Hershey Company, due to the fact that this
company has been around since 1894 and will probably be around for many more years. (Food:
Company Spotlight; Hershey, 2010) By introducing this product as a heart healthy product
although may be challenging, due to the beliefs that chocolate is not good for you; it would be
beneficial for the company to inter into the phase of healthy eating.
Situation Analysis -- Marketing Environment Forces Impacting Product/Service
In the chocolate bar industry there are three marketing environment forces that will have an
impact on the chocolate bar, they are: price of cocoa for making chocolate, cost of transportation,
and competition of the market.
Price of Cocoa for making Chocolate: The price of the resources are going to make a
difference in the ability to make a product that can be priced in a competitive market
environment, Taking into account the economy and cost of resources, the pricing is an
important part of the product and appeal to the target markets. Pricing of resources may
make lower grades of coca more attractive, but the competition may be a key into how
much one is willing to sacrifice in terms of product quality or pricing. (INDUSTRY
PROFILE: Candy Manufacturing, 2012)
Cost of Transportation: Due to fuel prices rising, adjustments will have to be made to
cover costs. What most likely will be part of the pricing consideration would be making
sure that the product arrives in good condition and a timely manner because it will affect
the product's reception as well as how it is perceived by sellers and buyers. (INDUSTRY
PROFILE: Candy Manufacturing, 2012)

5. Unit 4 Individual Project 5
Competition of the Market: Competition makes pricing and placement considerations
very important. Too much market saturation can mean prices have to be kept low or
placement costs on shelves may be to high. With there being so many different kinds and
flavors of chocolate bars already in the market, placement will be a key in attracting the
eye of buyers. (INDUSTRY PROFILE: Candy Manufacturing, 2012)
Marketing Strategy: Target Market(s) & Positioning
When it comes to influencing buyer behavior with candy bars there are really two things that
may have an influence on the buyer; personal choice and psychological. Face it, everyone has
their favorite candy bar they like to eat being Hershey, Snickers, Mars, etc., so personal
preference is a big thing with candy bars. But did you ever think of why when you get to the
register you may see a display of candy bars? That is where I believe the psychological
influence comes into play. For example, you stop at your local convenience store to fill up with
gas and when you walk in to pay, not even thinking about buying a candy bar, your eye catches
that display of sugar satisfaction right there in plan site, so you reach over and grab one and
place it on the counter to be wrung-up with your gas.
Many candy companies know of this buying habit and they either get the company to place a
display right there in front where the consumer can see it in plain site or even pay to have their
display placed there in order to play on the psychological aspects of the consumers mind in order
to boost the sales of their product and therefore make a profit.
By being consumers ourselves we as marketers know how the consumers think and we need
to use this to the advantage of the company we are working for to help in the promoting and
sales of the company's products.

6. Unit 4 Individual Project 6
Product/Service Overview and Strategies to Consider
Hershey has been around for more than 100 years and is known for having the best flavor as
well as being an American icon, (Food: Company Spotlight; Hershey, 2010) so why shouldn't
they continue their success in the health industry with their Special Dark chocolate bar. Unlike
other types of chocolate bars and candy companies that focus on the young, Hershey can be the
one known for looking out for the health of others as well. It would be good for them to help
spread the word about the health benefits of dark chocolate, (Marano, 2011) the package of this
candy bar can be simple with maybe a slogan such as; "The Sweet Sensation for Your Heart". It
can be promoted as being the chocolate bar for adults, while at the same time getting the kids to
want it because if you have kids, you know they always want what their parents have. By dong
this we will be helping in promoting good health while at the same time increasing sales.
Placement of this product should be with all the other chocolate bars as well as displays by
registers and at the same price as other chocolate bars. (Market Segmentation, Targeting, and
Position, 2011)
Pricing Strategy
There are many factors that affect pricing strategy such as marketing and manufacturing cost,
competitions price, as well as consumer perception of the product, to name a few. (Kerin,
Hartley & Rudelius. (2011))
When it comes to chocolate bars however, they have always pretty much sold themselves for
many years no matter what the price was. If you think about it, chocolate bars were first sold for
10 cents in the early 1900's and now sell for over a dollar in many areas.

7. Unit 4 Individual Project 7
Being that we are marketing a new healthy dark chocolate bar for adults, we will need to
adopt a pricing strategy that will allow us to penetrate the market in order to attract consumers to
at least try the product at least one time. Once the initial launch period is over and hopefully
successful, we would then adopt a competitive pricing strategy that will price our product in-line
with other competitor's, to ensure that no customers are lost due to higher pricing.
Distribution Channels
Organizations and companies use distribution channels to bring their products to market and
the consumer. (Managing Market Channels and Wholesaling, 2011) A distribution channel is a
method of interdependent organizations which helps the marketer delivers their products to the
consumer. Because of it being part of the marketing mix, it can be direct or indirect. Due to the
expanded use of the internet, companies and organizations are able to sell their products directly
to the consumer leaving the middle man out thus reducing their cost. Indirect distribution uses
two or more level of channels before reaching the consumer. Some of these channels include
wholesalers, retailers, agents and brokers. Companies us the indirect distribution best suited for
their product in order to obtain the vest market share allowing them to focus on producing their
goods. (Managing Market Channels and Wholesaling, 2011)
There are various kinds of channel organizations:
Vertical Marketing System: In this structure producer, wholesalers, and retailers act as a
unified system and one channel member owns the other.
Horizontal marketing system: In this arrangement two or more companies join together to
explore more market opportunities.

8. Unit 4 Individual Project 8
Conventional Marketing System: In this structure there is one or more independent
produce, wholesaler and retailer.
Multichannel Marketing system: This is also called hybrid marketing channel. In this
arrangement a company selects two or more channels to reach two more customer
segment base. (Managing Market Channels and Wholesaling, 2011)
Integrated Marketing Communications
The integrated marketing communications will consist of high spending for advertising,
consumer production, and publicity in order to create a strong consumer demand for the Special
Dark Chocolate bar. (Advertising, Sales Promotion, And Public Relations, 2011)
Promotion Mix Strategy
The promotion mix strategy for this special dark chocolate bar will be a pull strategy.
The reason for this discussion is due to this being a premium product thus making it necessary
for the consumer to ask the retailer for the product or to book orders online. The promotion
tools of TV, magazines, and internet marketing will be used. TV advertising will help develop a
premium positing while magazines will communicate the health benefits and direct marketing
will help in reaching the target market. (Advertising, Sales Promotion, And Public Relations,
2011)
Message Strategy
The message strategy for this chocolate bar will be the luxurious, tasty, and good for your
health sweet sensation. This general message will be communicated to the target market across
all promotional tools.

9. Unit 4 Individual Project 9
There will be an integrated approach to promote this dark chocolate in order to reach as
many consumers as possible. At the time TV ads are broadcast, public relations will show how
the new dark chocolate bar is not only luxurious and tasty, but also good for the heart. At the
same time internet advertising and direct marketing will also be going on. It can be expected that
a strong “pull” will be created and customers will book orders on the company website as well as
ask retailers for the new bar. (Advertising, Sales Promotion, And Public Relations, 2011)
Promotion Tool #1
Advertising will be the first marketing tool used. This promotional tool will be essential
in communicating the health benefit of this dark chocolate bar and to position it as a premium
brand.
Promotion Tool #2
The second marketing tool will be public relations. The public relations or publicity will
communicate the use of chemicals like Tryptophan, and amino acid, as well as the antioxidants;
endorphins, phenols, and catechin.
Promotion Tool #3
Direct marketing through the company’s website will be the third marketing tool use.
Advertising on the internet will be integrated through website selling. By doing this
communication can be sent to the target market and allow customers the ease of booking orders
from the website.
Conclusion
The marketing of the special dark chocolate bar will take place in the backdrop of a weak
economy but a positive attitude toward healthy eating. This bar will be a premium product and
pricing will support that image. Channels of distribution will be high end and the integrated

10. Unit 4 Individual Project 10
marketing communications will help achieve a high quality, tasty, good for you, healthy
chocolate bar image.

11. Unit 4 Individual Project 11
References
(2011). Advertising, Sales Promotion, And Public Relations. In R. H. Kern, Marketing (pp. 484-
517). New York: McGraw-Hill.
Food: Company Spotlight; Hershey. (2010, March). Retrieved from Marketwatch: Global
Round-Up 9, no. 3, pp. 89-95:
http://ehis.ebscohost.com.proxy.cecybrary.com/ehost/pdfviewer/pdfviewer?sid=345aef1e
-10ea-4e64-9460-27afc745a81d%40sessionmgr12&vid=10&hid=101
INDUSTRY PROFILE: Candy Manufacturing. (2012, Feburary 27). Retrieved from First
Research: http://mergent.firstresearch-
learn.com.proxy.cecybrary.com/industry.aspx?chapter=0&pid=238
(2011). Managing Market Channels and Wholesaling. In R. S. Kern, Marketing (pp. 378-403).
New York: McGraw-Hill.
Marano, H. (2011). The Scoop on Chocolate: Is chocolate really healthy? Retrieved from
Psyclology Today, Vol. 44, Issue 2, pp.44-45:
http://ehis.ebscohost.com.proxy.cecybrary.com/ehost/pdfviewer/pdfviewer?nobk=y&sid=
9b412f6c-be5f-4f73-87e4-5a02a9305fbf@sessionmgr110&vid=12&hid=101
(2011). Market Segmentation, Targeting, and Position. In R. H. Kern, Marketing (pp. 220-243).
New York: McGraw-Hill.
(2003). Marketing. In The Macmillan Encyclopedia.
(2005). Marketing. In International Encyclopedia of Hospitality Management.