This chart shows the total confectionary market. It shows me that most confectionary products are bought for self eat (36%) and children’s products make up 14% of the market.
These graphs show me the age and sex of the consumers of confectionary products. This tells me about the area of the market my product is aimed at. It tells me that more children eat the products than buy it. It also shows that 35.7% of 0-16 year olds eat confectionary products, which tells me there is a want for chocolate from my target audience.
The UK market for confectionary by sector by value at current prices
The rate of growth in the confectionery sector has slowed considerably. The market is mature and the scope for increased volume sales is limited. There has, however, been some growth in areas such as the fruits sector of sugar confectionery and twist-wrapped boxed chocolates and novelties. Factors affecting the market include:
- The decline of sales through impulse outlets due to the strength of multiples
- Products bought in multipack format or on promotion at a lower price point
Marketing departments use segmentation so they can target their products more accurately. Cadbury use segmentation by considering why people eat chocolate. They consider indulgence, snacking, sharing, gifts and for home.
The chart shows that the segment for home is the largest, which tells me that confectionery products are likely to be eaten in the home. This segment can be further broken down into for home snacking and for home time together.
This chart tells me that when at home, the majority of confectionary products are eaten together, rather than as a snack. Although, not stated, this gives me implications that children eat chocolate at home together with their families rather than as a snack.
This pie chart tells me about the market which my product is for. From the snacking segmentation, it tells me that children make up 27.5% of it. This is a high percentage, considering that children do not usually buy the product themselves.
I found the secondary research to be very useful. I found out about competitors, customers, markets and segments. The information about customers was the most useful, as I have found information on my target audience and has reinforced my idea for a product for children because there does appear to be a gap in the market. As I found that Cadbury has the leading value share of confectionary and chocolate, I think the consumer loyalty will allow the company to introduce a new product, as they will try the product because of the brand name. By looking at the segmentations, I think my product will fit into the snacking today category because it is a small sized bar and isn’t seasonal or a gift.
Validity of research
I used a questionnaire because it is a quick and easy way to gather a lot of ‘rich’ data. However, it can be limiting and the answers are straightforward with no explanations. There may be either investigator bias as well as social desirability bias. In my questionnaire I tried to make it as fair as possible by asking each child the same questions and in the same place and don’t think investigator bias was involved. There may have been social desirability bias because of the fact that the children may have spoke about the answers and said what their friends said, but my results do show a fair overall outcome, with varied results. The sample I used for the questionnaire were of varied ages, which is good for my results, but the children were all from the same area and social status, so the study does lack ecological validity as the results are not transferable to everyone.
The information I found about prices and competitors, had the disadvantage that I gathered it from a local shop, where prices are generally more expensive than a supermarket. To improve this research, I should have carried out the same research in various places and compared prices.
Although I found my secondary research I carried out helpful and it provided me with useful quantitative data, I did find the information was limited and do not think it answered all of my questions. However, it did save a lot of time and the information was in depth and full of relevant information, which will help me further on. I gathered much of my secondary research from the confectionery market review, which was published in 2003. the problem with this is the data found from this review is dated. However, I was able to gather more research, which showed me Cadbury is currently the number 1 brand, but the position of competitors may have changed since.
Overall, my research has been helpful in enabling me to create a marketing strategy. It has given me information on competitors, market share, my audience’s preferences and opinions. I have found that not all information gathered is valid and have learned to check my data and not rely purely on opinions of my target audience.