Godiva Analysis

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GODIVA DESCRIPTIVE REPORT

This document is based on sector studies, special reports or other publications and resources prepared by e-Business W@tch. The European Commission, Enterprise & Industry Directorate General, launched e-Business W@tch in late 2001 to monitor the growing maturity of electronic business across different sectors of the economy in the enlarged European Union, EEA and Accession countries. All publications are available in full length on the internet at the e-Business W@tch website (www.ebusiness-watch.org).

C ASE S TUDY : ICT
E UROPE

I N SUPPORT OF CRM AT

G ODIVA C HOCOLATIER

Abstract
Godiva Chocolatier is specialised in the production of premium chocolate. The company is based n Brussels, Belgium. It has manufacturing facilities in Belgium and the USA and nearly four thousand points of sale world-wide.

Customer relationship management at Godiva is a core part of the business strategy. Focusing on creating and maintaining lasting relationships with its customers, the company has developed a CRM solution. The physical channels (shop counter, phone/fax) are complemented by ICT applications like dedicated website and the backand front-office applications integrated with intranet and extranet. Case study fact sheet

Full name of the company:

Godiva Chocolatier

Location (HQ / main branches):

New York – US, Brussels - Belgium

Sector (main business activity):

Production of chocolate, confectionery and drinks

Year of foundation:

1926

Number of employees:

600 in Europe

Turnover in last financial year:

n.a

Primary customers:

Retail and distribution outlets , franchising outlets,
private and corporate customers

Most significant market area:

Europe, US, Japan, Hong-Kong

Focus of the case study:

LINK-Extranet system , part of CMR

Key words

CRM

Background and objectives
Godiva Chocolatier was created in 1926 by the Draps family, and for the first 40 years, the company operated regionally as family business. In 1966 Godiva entered the American market and six years later the company became a wholly-owned subsidiary of Campbell Corporation (USA). Presently, the two production units in Belgium and the USA distribute Godiva products all over the world. The range of offer, which traditionally comprised premium chocolates, now includes ice-creams and cocoa-based beverages. 1

In the United States, the Pennsylvania plant supplies the whole North American market via the network of proprietary boutiques and upscale retail outlets. The Belgian production supplies markets in Europe, the Middle East and Asia. In these regions, Godiva has developed three distribution channels: its own shops, counters in luxury stores and a network of franchises, which is expanding particularly in Europe. Godiva Chocolatier’s products are also sold through catalogues, via phone/fax orders and on the internet, mainly in North America, Japan and Hong-Kong.

Godiva faces increasing competition from other chocolate producers, such as the Belgian company Leonidas, Irish Butlers and Thorntons in the UK. Across Europe, there is also a growing number of small new companies selling their products via internet. Competing in this environment is becoming more and more challenging for Godiva. The main challenges are product positioning and branding, as well as the flexibility to meet customers’ changing tastes. Godiva has started using ICT to support the image as a luxury brand and to better develop marketing tools. For instance, Godiva internet website, www.godiva.com, has been one of the important means to promote brand awareness. In 1994, long before e-commerce took off, Godiva launched its own website with an online ordering facility, becoming one of the very first retailers to do so. Since then, the web site has been a tool for strengthening Godiva’s reputation and commitment to customers. Customer relationship management (CRM) at Godiva is a tool for creating and...
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