Darrell Lea Sandun Samarakoon Hannah Rowe

Hannah Rowe
Darrell Lea
Sandun Samarakoon
Media Brief
Market Analysis
Product Analysis
Target Audience Analysis
Autobiography
Day in the Life
Pictography
Darrell Lea
The Darrell Lea product range has undergone several
changes
 Place of purchase – from speciality stores to over 4300 stores
(include Woolworths, Coles, IGA, SPA and pharmacies,
newsagencies and post offices)
 Logo and packaging has changed to compete in these new
places
 Product deletions and new products introduced.
Product range will be launched in November 2013
Media budget $3.5 million
Darrell Lea
 The Darrell Lea range is now accessible for all Australians as
an everyday purchase, not only for occasion purchasing
 National market
Market Analysis
The Australian confectionery manufacturing industry has remained strong
despite the recession, increasing commodity prices and import competition.
The industry has received an annual growth of 2.3%. (Sivasailam, 2013) This
stability might attract international confectionary producers, introducing new
products and brands.
There is a high market share concentration due to acquisitions and growth
among the major companies. Kraft Foods, Nestle and Mars generate the most
revenue. (Kulliney, 2012)
64% of Australians consider themselves to be overweight, and 82% are actively
trying to lose weight by changing their diet (Nielsen Global Survey, 2012). There
is a demand for tasty sugar free confectionery (Ireland, 2013)
SWOT Analysis
Strengths
 Reputation. Well known Australian company, long
history
 Brand Equity
Weakness
 The brand is relaunched, has been out of the
consumers mind for a while. New place of purchase
 Relatively low media budget compared to
competitors
SWOT Analysis
Opportunities
 New product range
 Freedom - no previous media mandatories
Threats
 Mature and competitive industry
 Rising costs of production (Research and markets ltd,
2009)
 Competitors have considerably larger media budgets (AQX
data)
PEST Analysis
Political
 Industry wide voluntary front of pack labelling (FED, 2012)
 New requirements set by Food Standards Australia New
Zealand (Rethink on food fat-free labelling, 2012)
Economic
 Rising commodity costs. A number of companies to close
or scale down their Australian manufacturing operations
due to increasing commodity costs. (Research and markets
ltd, 2009)
 Demand from supermarkets and grocery stores
(Sivasailam, 2013)
PEST Analysis
Social
 Obesity pandemic
 Health consciousness, chocolate is considered to be
unhealthy
Technological factors
 New flavouring processes and methods. For example Lindt
has explored flavours such as sea salt, wasabi, black garlic
and camel milk chocolate. (Australian Industry Group, 2013)
What this means for Darrell
lea
It is a growing industry with a high market share
concentration, and the competitors have larger media
budgets which put Darrell Lea at an disadvantage. The
product is re-launched in a new place of purchase in a
time where consumers are more conscious of their
health. The new packages and the Darrell Lea name will
provide an advantage over competitors products.
Product Analysis
The retail price is higher than competitors. All Darrell
Lea products are made in Australia. Little advertising
has been undertaken previously. Originally a seasonal
product, now it is to be purchased throughout the year.
Consumers grew up with the Darrell Lea brand, but are
unaware that they are now available in grocery stores.
(Darrell Lea Confectionery, n.d) The products are
distributed in over 4000 outlets across Australia.
Competitors
The increase of health conscious consumers has made
competitors be innovative with their product lines and
adapt them to changing consumer trends.
What competitors are doing
Cadbury Favourites
Favourites would become the perfect solution to that timeless social dilemma:
what to take as a gift to someone else's casual get-together
 Targeted outdoor, near and around supermarkets, and radio to catch mothers
close to the decision-making moment. This was supported by online activity to
further spread awareness of the new brand platform (Ward & Simpson, 2012)
Choc on Choc
Chocolates are handmade using a unique layering and moulding process.
Communicated the brand ideals visually by using hand-crafted elements in the
package, including a hand-tooled font and hand-tied chocolate-coloured
ribbon.
 New retail listings such as Selfridges and Harrods in the UK and international
catalogue listings (Warc, 2012)
How much are they spending
on media?
 Mondelez International total 23 235000/month
 Lindt & Sprungli Aust P/L Total 3 396 000/month
 Mars Snackfoods Total $9 806 000/month
 Darrell Lea total $115 000/month
These are the top three competitors with the highest
market share and media spend. (AQX, 2013)
What media are they using?
Assortments Monthly Media Spend
by Competitors
Block Chocolate Monthly Media
Spend by Competitors
Metropolitan Television
Metropolitan Television
Regional Television
Regional Television
Metropolitan Press
Metropolitan Press
Regional Press
Regional Press
Magazines
Magazines
Metropolitan Radio
Metropolitan Radio
Online
Online
Cinema
Cinema
(AQX, 2013)
When are they advertising?
8000
7000
Block Chocolate Total $
6000
Childrens Products Total $
5000
Confectionery-Corporate Total $
Sugar Confectionery Total $
4000
Seasonal Lines Total $
3000
Mints Total $
Chewing Gums Total $
2000
Assortments Total $
1000
0
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
(AQX, 2013)
 Metropolitan television is the media vehicle that is used the
most by competitors
 Media spend regularly throughout the year, with chocolate
assortments peaking during summer months and block
chocolates during winter
Target Audience Analysis
The target audience is the group that usually buys the
groceries (V% 100, ix 153).The product is used by both the
target audience and their family. (Darrell Lea Confectionery,
n.d.) The products are to be positioned as a repeat purchase
item.
 84% The TA tends to snack during the day (V% 60.7, ix 152)
on confectionery items,
 They are more health conscious, and
 lead a full and busy life (V% 81.5) (Roy Morgan Single
Source Data, 2013)
Demographics






Aged 25-49
Employed part time (ix 202)
Usually buys groceries
Has children U18 (V% 92.3, ix 315)
Income $70 000-$250 000+
Mean Income $137 500
(Roy Morgan Single Source Data, 2013)
Children’s age distribution
0-2 Years
3-5 Years
6-8 Years
9-11 Years
12-15 Years
16-17 Years
Target Audience Geographic
Data
Darwin - Alice Springs
Tasmania
Western Australia
South Australia
Queensland
41.6%
58.4%
Capital Cities
Country Areas
Victoria
N.S.W. incl. ACT
(Roy Morgan Single Source Data, 2013)
What media do they use?
 Use the Internet (V% 100, ix 110)
 Read magazines (V% 73.7)
 Listen to commercial radio 1-3hrs day (V% 64.7)
(Roy Morgan Single Source Data, 2013)
What activities do they
undertake?
Went to a supermarket
Visited friends/relatives
Used a computer at home
Went to a department store
Went to a clothing store or boutique
Went to a newsagent
Entertained friends/relatives
(Roy Morgan Single Source Data, 2013)
97.60%
91.30%
90.20%
81.10%
81.00%
75.30%
73.30%
Online Activities
44 % (ix 200) would consider doing grocery shopping
online. The target audience are comfortable conducting
transactions on the internet. 57.3% regularly paid their
bills and 56.7% conducted banking transactions online.
This could be since the TA are time poor, and these
online activities save time.
Autobiography
My name is Helen. I am 36 years old and I have 2
children. I lead a busy life looking after my family and
working part time and I am always looking at ways to
save time. I like to unwind by curling up on the couch to
read a magazine. We are currently paying off our home
and have plans to invest in property in the future. My
families health and well being is very important to me. I
try and lead a healthy lifestyle but I do occasionally
indulge myself with something unhealthy.
Helen’s Week Day
6am
Sleep
11pm
8pm
unwind/read a
magazine
Wake
up/Shower/
Chores/get
kids ready
for school
9am
Drop kids off at
school/ listen to
radio/ billboards
10am
6pm
12pm
Lunch/walk
Dinner
5pm
Yoga/Pilates
Work/surf the
web/ read emails
2pm
3pm
Collect kids from school
Work
Helen’s Week End
7am
Sleep
10pm
Sleep in/ make
breakfast for
family
9am
Visit park with
family
unwind/read a
magazine
8pm
2pm
Sun Night at home
Watching TV or
DVD/Video
6pm
Dinner
3pm
Grocery
Shopping
lunch with friends
Pictography
Family
Shopping
Insight
The target audience are health conscious, time poor
and want to provide the best for their family so they
view confectionery that they purchase as a guilty
pleasure.
An analysis of the confectionery market in Australia, including forecasts to 2011, leading company
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Australian Industry Group. (2013, June) Confectionery Industry News. Retrieved from:
http://www.aigroup.com.au
Confectionery News. (2013) Mars to Expand Maltesers plant in Australia. Retrieved from :
http://www.confectionerynews.com/Manufacturers/Mars-to-expand-Maltesers-plant-inAustralia%20
Darrell Lea Confectionery. (n.d.). In Facebook [Page]. Retrieved 31/08/2013, from
https://www.facebook.com/DarrellLeaChocolates
FED: Food regulator could ban fat-free labels. (2012, Feb 17). AAP Finance News Wire.
Ireland, T. (2013). Australian-owned confectionery offers a Sugar-Free treat without the
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http://search.proquest.com/docview/203666069?accountid=13380
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http://search.proquest.com/docview/921865914?accountid=13380
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Australia. Retrieved 26 August 2013. retrieved from IBISWorld database
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Ward, T., Simpson, M., (2012) Cadbury Favourites: Thinking outside the chocolate box. Retrieved from
the Warc Database.