Cowgirl Chocolates - Marketing Analysis Case
Problem Statement
Before spending an additional $3,000 on an advertising campaign Marilyn Lysohir needs to strategically consider how to reach her goal of becoming a profitable company by analyzing consumer perceptions, pricing strategies, identifying and gaining access to effective distribution channels and efficient use of its Web site.
Situation Analysis
Since the inception of a revolutionary spicy chocolate recipe, Marilyn Lysohir and Ross Coates have been striving to grow a profitable business in the chocolate industry. Each year Marilyn has loaned the company money to keep it running. Cowgirl Chocolates, primarily run by Marilyn, with help from family and art associates is branded based on the concept that chocolate lovers are fun and adventuress in spirit and whimsical. Cowgirl chocolates caters to both Chocolate lovers and spicy food fans.
Cowgirl chocolates are manufactured by Seattle Chocolates a private label company well know for working with a Frango chocolatier to create their chocolates. After the final product is created incorporating a receipt of Cowgirl spices, Marilyn creatively packages the final product into custom tins, bags, buckets and boxes.
Despite having award winning packaging designs and a high quality chocolate, many consumers and retailers are reluctant to purchase or retail the product. Both consumers and potential retailers have mentioned that the chocolates are too spicy. To help gain greater access which has yet materialized Marilyn created a non-spicy chocolate and calls it mild-mannered.
Analyzing industry statistic helps to explain some this reservation. According to Fiery Food Trends, 1999, "only 10-15 percent of American consumers are currently eating hot foods". In addition, these statistics indicate that the average consumer of fiery foods is male, between 35 and 55 years of age. These people are generally of the high-energy, risk-taking personality type, and tend to earn at least $60,000 per
Before spending an additional $3,000 on an advertising campaign Marilyn Lysohir needs to strategically consider how to reach her goal of becoming a profitable company by analyzing consumer perceptions, pricing strategies, identifying and gaining access to effective distribution channels and efficient use of its Web site.
Situation Analysis
Since the inception of a revolutionary spicy chocolate recipe, Marilyn Lysohir and Ross Coates have been striving to grow a profitable business in the chocolate industry. Each year Marilyn has loaned the company money to keep it running. Cowgirl Chocolates, primarily run by Marilyn, with help from family and art associates is branded based on the concept that chocolate lovers are fun and adventuress in spirit and whimsical. Cowgirl chocolates caters to both Chocolate lovers and spicy food fans.
Cowgirl chocolates are manufactured by Seattle Chocolates a private label company well know for working with a Frango chocolatier to create their chocolates. After the final product is created incorporating a receipt of Cowgirl spices, Marilyn creatively packages the final product into custom tins, bags, buckets and boxes.
Despite having award winning packaging designs and a high quality chocolate, many consumers and retailers are reluctant to purchase or retail the product. Both consumers and potential retailers have mentioned that the chocolates are too spicy. To help gain greater access which has yet materialized Marilyn created a non-spicy chocolate and calls it mild-mannered.
Analyzing industry statistic helps to explain some this reservation. According to Fiery Food Trends, 1999, "only 10-15 percent of American consumers are currently eating hot foods". In addition, these statistics indicate that the average consumer of fiery foods is male, between 35 and 55 years of age. These people are generally of the high-energy, risk-taking personality type, and tend to earn at least $60,000 per