RUNNING HEAD: Ethel’s Chocolate Lounges
Assignment 1: Case Study: Ethel’s Chocolate Lounges
Ethel’s Chocolate lounges are chocolate-focused “cafes” that where created by the Mars Corporation. The Mars Corporation is the same corporation that makes the famous M&M candies as well as many others. Taking their lead from Starbucks and Godiva who experienced a 20 percent increase in chocolate sales over a 2 year period (2002-2004), Mars Corporation created the chocolate lounges named after Ethel Mars, who founded the candy company with her husband Frank in 1911. Like Starbucks and their coffee, Ethel’s strive to sell the experience of enjoying “premium chocolate” in a trendy-chic atmosphere at a reasonable price (for that total experience). Describe the type of consumer buying decision that best describes the choice to indulge at Ethel’s. There are several consumer buying decisions that can come into play during a marketing campaign. In this case, Mars is focusing on leveraging routine response behavior. Routine response behavior is the “type of decision making exhibited by consumers buying frequently purchased, low-cost goods and services. It involves very little search and decision time” (Lamb, Hair, McDaniel, 2010). Even though this was a new venture for Mars corporation, they took advantage of the familiarity the marketplace already had with their products. The target market was the middle-income female that was likely to splurge on a Starbucks coffee or a “treat” at Godiva because “she deserves it.” Through marketing campaigns the market was made aware that these lounges were a creation of the same company that brought them M&Ms and Snickers chocolate. But now Ethel’s Chocolate lounges was offering artisan chocolate “created by world champion French pastry chef Patrice Caillot” (Wright, n.d.) in an atmosphere conducive to socializing and relaxation. With the atmosphere of a coffee shop, and a product considered a “splurge” or a “treat” – how could...
References: Lamb, C. W., Hair, Jr., J. F., & McDaniel, C. (2010). Consumer Decision Making. Marketing (pp. 72-97). Mason: Cengage Learning.
Wright, E. (n.d.). Ethel’s chocolate lounge The Perfect Place for Chocolatiers to Hang Out. ChocolateAtlas.com News and Resources for Sophisticated Chocophiles. Retrieved October 26, 2011, from http://www.chocolateatlas.com/ethels_chocolate_lounge/ethels_chocolate_lounge.htm
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