Memorandum To: Andrea Torres From: Nina Koueto, nck16102, Section 007, Montreaux Chocolate (A) Date: March 26, 2014 Re: Montreaux Chocolate USA In 2011, the U.S. confectionery market’s total revenues were $35.648 Billion to which the U.S chocolate market contributed $17.664 (49.55%) billion of this revenue. The U.S. chocolate market is even expected to grow within the next year. In addition, it is observing an increase in consumer health(wellness) and fitness consciousness. Thus, it is a favorable time for Apollo to launch their product in a regional rollout and under a different name. The fact that the U.S. chocolate market is expected to grow 2% and With the U.S. chocolate market expected to grow within the next year and an increase in consumer health consciousness, it is a favorable time for Apollo to introduce their …show more content…
chocolate market, which is to experience nearly 2% annual growth through 2015. The product being considered, dark chocolate with fruit flavors, appeals to consumers who are health conscious and want a good taste. However, another competitor is planning to launch a similar product which may affect the decision when to launch. Recommendation Apollo should stage a regional rollout in order to take measures towards its three year goal in a cost-effective manner that will not hinder the time line to gain national distribution and be in the top 25 revenue by the end of 2015. Basis for Recommendation • The product is not adequately prepared to launch on a national level, doing so could result in losses for Apollo • Failure to introduce the product to the market at all will hinder the time line for success and allow the competitor to gain presence in the market prior to Apollo, potentially hurting sales • An in-test market would give important data but it is too expensive and time