This document discusses Montreaux Chocolate's potential entry into the US market through its distributor Apollo Foods. It provides background on both companies and identifies key challenges such as growth strategies and product introduction. Potential alternatives for distribution, branding, and marketing are analyzed based on decision criteria like market share, resources, and risk. The preferred alternative is a nationwide rollout of a new sub-branded chocolate line using Apollo's existing distribution network. Implementation would involve packaging, branding, supply chain, and marketing strategies.
This document discusses Montreaux Chocolate's potential entry into the US market through its distributor Apollo Foods. It provides background on both companies and identifies key challenges such as growth strategies and product introduction. Potential alternatives for distribution, branding, and marketing are analyzed based on decision criteria like market share, resources, and risk. The preferred alternative is a nationwide rollout of a new sub-branded chocolate line using Apollo's existing distribution network. Implementation would involve packaging, branding, supply chain, and marketing strategies.
This document discusses Montreaux Chocolate's potential entry into the US market through its distributor Apollo Foods. It provides background on both companies and identifies key challenges such as growth strategies and product introduction. Potential alternatives for distribution, branding, and marketing are analyzed based on decision criteria like market share, resources, and risk. The preferred alternative is a nationwide rollout of a new sub-branded chocolate line using Apollo's existing distribution network. Implementation would involve packaging, branding, supply chain, and marketing strategies.
Company Background • Montreaux chocolate company S.A., a Swiss company • June 2011 : Apollo Foods had purchased the rights to distribute Montreaux’s European chocolate products in the U.S. • Apollo Foods: A Los Angeles, California-based company • World’s second largest Chocolate Confectionery company with 15.4% market share and reported revenue of $54.4 billion and net income of $3.5 billion in 2011 • Product portfolio include confectionery, biscuits, snacks, beverages, cheese, convenient meals and packaged grocery items with distribution over 170 country. Key Challenges • How to grow it’s confectionary share in U.S. • Introduction of new product in U.S. market • Channels of distribution • Packaging: labelling and branding Decision Problem • Should the company market the product with Apollo’s name or Montreaux name • Should the company introduce a new brand or go with an existing brand • Whether to do further product testing or market trials • Plan a regional rollout or national rollout Decision Criteria
• Increased Market share
• Competitive risk • Time in achieving the goal • Resources utilization Generating Alternatives Screen testing •Launch in selected markets •Launch in regional markets •Launch nationally Brand advantage •Use of Montreaux as brand •Take advantage through Apollo’s reputation •Launch through a new name as a sub-brand Analysis of alternative basis on Decision Criteria Table 1 Distribution Decision Market share ($115 Alternatives Resources Competitive Risk Time Constraint ML) Moderate to Testing Low High High High Nation Wide Roll- High High Low Low out Moderate to Regional Roll-out Moderate Moderate Moderate High
Table 2 Marketing Decision
Market share ($115 Packaging Resources Competitive Risk Time Constraint ML) Montreaux Brand Less likely Same High High
Apollo Reputation Most Likely Same Low Low
Apollo New Sub- Moderate Same Low Moderate to Low brand Most preferred alternative The most preferred alternative is Nation wide rollout of chocolates under Apollo new sub brand
•Brand recognition among target customer
•Capacity of capturing highest market share among all alternative •It will take lesser time to achieve future goals compare to other alternatives Implementation • Product Packaging – Stand up pouch : 5oz. With 70% or 90% cocoa • Branding & Labelling Montreaux chocolate under Apollo sub brand Nutrition content • Supply chain Apollo existing distribution network • Marketing Advertising Thank You