Analysis of Australian Confectionary indusrty - Focus on chocolate market.. Cadbury vs Haighs, detailed report, external env., target&prod segmentation, PLC, implic/concl

Essay by 0030University, Bachelor'sA, March 2004

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Executive Summary

This report is an analysis of the confectionary industry in Australia, with the main focus on the chocolate market.

An evaluation of the way the market is shaped through external elements is explored; a breakdown of the key product categories has been undertaken through segmentation. The report defines consumer market trends for each product segment and provides a detailed analysis of specific target groups.

A detailed review of a Cadbury Dream chocolate bar (50g) and a Haigh's gift box of milk assortments (300g) have been compared and contrasted. The review was a thorough analysis into the marketing mix involved for both products.

From this insight it has been found that the successful companies in the industry including Cadbury and Nestle must have a close relationship with the targeted consumer in order to understand what motivates people to buy chocolate. The findings revealed the dynamics of consumer trends need to be closely monitored for these large companies to remain market leaders and maintain their competitive edge.

Table of Contents

Executive Summary3


External environment5





Rise in income5



Other Economic Factors6




Industry (Major Players)6


Product Segmentation7

Blocked Chocolate7

Boxed/Handmade Chocolates7

Children's Chocolate7

Chocolate bars7

Target Markets8

Blocked Chocolate8

Boxed/Handmade Chocolates8

Children's Chocolate8

Chocolate bars9

Marketing mix of selected products10

Perceptual Map11




The chocolate industry is one of the largest and most profitable industries in Australia. The Australian bureau of statistics released data that stated; in 2001-02 the annual turnover for the industry was $1.58 billion and represented 3.3 percent of the turnover of all food, beverage and tobacco manufacturing in Australia (IBISWorld, 2003). Figures like these demonstrate a vast marketplace that is shaped by many underlying external factors.

The chocolate industry's market place is characterized...