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For this assessment you are to prepare a report for the business.

You are to use the target market and positioning identified in Assessment Two and develop a communication strategy for your selected business.

Develop and evaluate communication options, and recommend and justify communication strategies to achieve the desired market position.

Background

The Chocolate Tour is an artisan chocolate subscription service. It is owner-operated with no staff (with some outsourced support). It is a very young business; deliveries started in April

The mission is to provide a new luxury chocolate experience each month, featuring a range of New Zealand’s best chocolate-makers and chocolatiers.

The vision is to create a small but sustainable business that is relatively flexible.

The business is based in Wellington but operation is fully online (no retail presence).

The primary product is the subscription, which is available monthly, bi-monthly or quarterly and costs $49 per month. There are also a range of gift products and chocolate items available on the website, and they are about to launch a mini subscription that will provide a pared back experience at a more impulsive price point.

Slogan for The Chocolate Tour Company

This particular report suggests a slogan for The Chocolate Tour Company as “Comfort in every bar.” The target market of the subscription business of the organization is of young couples of aged 28 to 35, busy couples with kids who like to recreate the good old days once in a week. The chocolate tour company offers a wine along with the chocolate to attract the new customers.  There are two communication objectives of the organization such as: Objective 1: To increase number of subscribers to 110 in next 6 months and Objective 2: To attract 10 percent of the young couples repurchase their quality chocolate products from November 2017 to April 2018. The total duration of the marketing plan is 6 months.  In this report, communication vehicle is selected for communicating with the target audiences.

The Chocolate Tour is an artisan chocolate subscription service, which started its delivery services from April 2017. In the subscription, the business provides wide varieties of chocolates in each boxes consist of one craft chocolate bar with 5-8 different items into the box. The mission of Chocolate Tour is to provide of luxury chocolate each month. Its goal is to become best chocolate makers of New Zealand. The vision of this chocolate subscription service is to create small and sustainable business (thechocolatetour.co.nz, 2015). The business is based into Wellington, while it is operated online. By means of standard courier, the Chocolate Tour services their products into New Zealand. Its subscription service is available monthly, bi-monthly and quarterly with cost of $49 per month.

The subscription box of Chocolate Tour is a black box with logo on top of the mailer box. Each month the business featured different theme like “Herbs & Spices, The Inner Child, and Back to Basics.” There is also a Facebook group for the subscribers where there is discussion of chocolates are done. Loyalty rewards are sending to the customers after each three months of their subscription. Into the online website, chocolate items are offered at reduced prices while enable the subscribers to buy items that are more chocolate and enjoyed it. The tagline for the chocolate tour is “An artisan experience, delivered every month”, however it is not used it much. (thechocolatetour.co.nz, 2015).The logo of the business is simple with brand imagery is coming from lush photos for the chocolates. The subscription service of chocolate is popular due to its quality product, luxury, artisanship as well as experiences.

Target market and communication objectives

The target market segment of the Chocolate Tour is young couples of aged between 28-35 years, busy couples with kids those like to recreate good old days once within a week. In order to attract new customers, Chocolate Tour Company also offers wine to their customers along with chocolate. Positioning strategy of The Chocolate Tour is to position their products into various spaces to the competition. Chocolate Tour positions their business by making a subscription, which rewards once into a month with decadent selection of quality chocolates from artisan chocolate makers from New Zealand with bottle of dessert wine in order to compliment selection of chocolate.    

The slogan for The Chocolate Tour is “Comfort in every bar.” Advertiser and the business groups should use this tagline to promote their chocolate subscription services among the young people along with target market. This slogan is perfect for aged between 28-35 years, busy couples with kids as each chocolate bar provides comfort to them.

Justification of the slogan- “Comfort in every bar.”

  1. This slogan is accurate for the target market segment of aged between 28-35 years as those people are busy in their life and they are not getting time to purchase chocolates. The target market is of reward seeking and affluent new parents.
  2. The vision of the business is to create small and sustainable business, which is relatively flexible.  Therefore, each of the chocolate bars, which are packed into the box, gives comfort to target market.
  3. The proposed slogan reflects the features of the chocolate business as it presents the word “bar” which reflects on the chocolate bar.
  4. The slogan is very short and simple and it is easier for the customers to remember it. Therefore, it becomes more attractive for the chocolate lovers.
  5. The slogan is emotionally attached and it is reliable for the target market customers.

Following are the two communication objectives, which are set for the target market of The Chocolate Tour, are:

Objective 1: To increase number of subscribers to 110 in next 6 months

The Chocolate Tour is a small artisan chocolate subscription service, with low number of subscribers. The first step of this communication strategy is to aware their brand among their target market of young couples of aged between 28-35 years, busy couples with kids. In order to attract new subscribers, The Chocolate Tour uses of online network as it is inexpensive communication channel (Hollensen, 2015). The business uses the promotional channel like social media like Facebook, Instagram, metropole magazine, cuisine magazine. There is low communication budget and operational budget of $1500 for next 6 months such as from November 2017 to April 2018. The more subscribers are engaged into their chocolate subscription service, the more opportunities they get to attract customers and their purchase (Armstrong et al., 2015). The objective is to increase number of subscribers to 110 within 6 months. The objective is measured from their online website to analyze the number of subscribers subscribe for their service.

Objective 2: To attract 10 percent of the young couples repurchase their quality chocolate products from November 2017 to April 2018

Repurchase of the quality chocolate items are at highest level to meet with the communication object. The business aims to attract more young couples to their subscription service and when they meet with objective 1, then the business tries to provide best service so that the again come for repurchase of the products (Hsu & Chan , 2015). The busy parents with kids are also a target market for the business as they are more interested to repurchase of chocolate for their kids for various occasions. Therefore, they become premium customers of their subscription service. Loyalty rewards are also provided to them after three months. There is lot of possibility of the business to increase 10 percent of young couples for repurchase their products. This objective is measured from the computer database. It should be updated regularly, weekly, monthly and quarterly basis to know increase of total percentage of re-purchase of customers (Wood, 2014). 

a) Creative strategy for communication campaign

Integrated Marketing Communication (IMC) campaign

Integrated marketing Communication (IMC) campaign creates of strategy for achieving the communication objectives of The Chocolate Tour Company. Following creative plan shows as:

Communication objective

To increase number of subscribers to 110 in next 6 months

Target Market

The target segment of the Chocolate Tour is young couples of aged between 28-35 years, busy couples with kids those like to recreate good old days once within a week.

Central theme

Chocolate Tour Company offers wine to their customers along with chocolate to attract their target market audiences.

Promise

· Selection of handpicked quality chocolates from artisan chocolate makers from New Zealand

· Bottle of dessert wine compliment to the selection of chocolate

Support (Evidence)

· Comment on Facebook from Kate Parker on August 7, 2017:

“Amanda seriously knows her chocolate! Not only was it insightful, but learning about different chocolates and what’s best has made me reconsider the type of chocolate I eat. Absolutely fantastic experience and certainly one that every traveler should do!”

· Comment on Facebook from Jasmin Elizabeth Smith:

“Visiting from Perth, we are treated to 2.5 hrs of chocolate, delicious multi-sensory desserts and glass of wine! Amanda was a wonderful guide with excellent chocolate and city knowledge. This tour was excellent value for money! Will be recommending to family and friends visiting and the future.”

Selling idea

The Chocolate Tour Company uses of positioning strategy as their selling idea to sell their chocolate and wine products to their target customers. Their subscription service is base on online.

Tone

Creative and innovative

Message appeal for the campaign

Linking of specific chocolate products to the campaign. The campaign includes of physical products such as books, event functions, gifts along with pledges.

Executional guidelines

In order to prepare the creative strategy for The Chocolate Tour Company, it is required to learn of buying decision of the target audiences. The Chocolate Tour serves the market of New Zealand by standard courier. The subscription business benefits the company as it is operated online. New Zealand is such as country where discrimination is avoided with specific unethical competitions like providing of wrong information about the chocolate products to the customers. The Chocolate Tour ensures that their communication campaign provides genuine information and follows Fair Trade Act, Consumer Act and other.

Statement of net impression

The Chocolate Tour Company launches mini subscription which will provide pared back experiences at impulsive price points.



b) Justification to creative strategy

(i) Discussion of creative plan supports the positioning strategy and aligns with target market

Creative strategy develops the sales message for The Chocolate Tour. The message which is compelled to their target customers is precise which is shown throughout their slogan: “Comfort in every bar.” The provided creative strategy defines and directs development of current as well as future messages to sell the product, brochures and also advertising. Based on creative strategy, it supports the positioning strategy by means of product attributes and benefits. The business is positioned into different space to the competition (Chernev, 2015). The main advantages of the subscription service are that it provides unique experiences for the reward seeking affluent, new parents. The business is online chocolate subscription service provides box filled with curated selection of New Zealand artisan chocolates that is delivered to the door for every month with tasting nodes.

The main communication objective is to increase number of subscribers to 110 in next 6 months. The message is communicated with the target audiences such as young couples of aged between 28-35 years along with busy couples with kids. Based on the creative plan of The Chocolate Tour, the business promises to provide quality chocolates products to the target market from artisan chocolate makers of New Zealand with bbottle of dessert wine. This promise summarizes the benefit of the target audiences (Kuazaqui, 2015). Support shows the comment from the Facebook which provides facts as well as perceptions which make their promise believable. Positioning strategy explains the product which is different from their competitors. Tone is creative and innovative which shows of the emotional guideline helps to select of vocabulary as well as style to present the sales messages. Statement of net impression states to expose of the communication to the target audiences. Finally, the executional guidelines mean directions on the content of execution (Bickhoff, Hollensen & Opresnik, 2014). In order to create the strategy plan, it is required to learn the reason to buy the product, service and which benefit targets the audiences. Development of promise as well as support allows supporting the creative strategies.

(ii) Identification of key areas to understand of consumer behavior that creative plan takes advantage

The marketers of the business should able to use of motivation need theory effectively to understand the consumer behavior. This motivational theory explains need of achievement as well as affiliation affects the people’s actions from managerial context. Based on Maslow Hierarchy of Needs theory, it proposed that motivation is result of person’s attempt to fulfill their needs such as social needs (Eusebio, 2017). The Chocolate Company provides love and belonging to their customers by providing them unique and different chocolate products for sending them to their love. For this reason, young couples and parents are selected as their target market. A social need refers to need to feel a sense of belongings. Friends, family are under the social needs (Elves, 2014). The young couples are fulfilling their needs by gifting chocolates to their love ones while the parents are fulfilling their needs by gifting varieties of chocolates to their kids. The type of motivation by means of which individual derives are from life experiences as well as opinions of culture. There is a need of high degree of affiliation prefers to spend of time and maintain of social relationships, enjoy being part of group and wish to experience loved as well as traditional (Nykiel, 2016). Therefore, when the social needs are fulfilled, then the target audiences are motivated to buy the chocolate products and items.

Creative plan for The Chocolate Tour Company

The Chocolate Tour Company develops of integrated marketing communication (IMC) strategy for optimization of communication messages to the business’s brands towards the stakeholders. IMC needs of marketers for identifying the market boundaries around the elements of promotional mix and effectiveness of the campaign messages (Papadopoulos et al., 2017). The business promotes advantage of their online subscription services of chocolate products along with wine. The main focus of their IMC strategy is to attract more customers. Three of the communication options are as advertising, direct marketing and sales promotion.

Advertising:

 (i) Justification of the communication vehicle for advertising communication option

Anderson et al., (2017) stated that advertising is a process to make product as well as service known to the New Zealand market. It spreads the message of The Chocolate Tour about what the business is going to offer. After development of product images as well as marketing campaign, it presents product as well as services to the target audiences throughout advertising. The advertising channels are print, radio, internet as well as television which are used to communicate the brand to the potential buyers (Andaleeb, 2016). Social media is also a powerful advertising tool for advertise the chocolate products to reach target audiences and aware them about their products. The marketers choose of correct vehicle to make sure that detailed communication messages are reached to target customers (David & David, 2017). In order to meet the communication objective of “To attract 10 percent of the young couples repurchase their quality chocolate products from November 2017 to April 2018”, social media advertising is the best vehicle to execute of communication campaign into The Chocolate Tour due to following reasons:

  1. The communication budget of The Chocolate Tour is low as with operational cost of $1500 for next 6 months, therefore social media advertising is the best communication medium to gain 110 new subscribers. It is also a less expensive advertising process.
  2. It is one of the digital marketing methods used to increase the visibility of the business (Schütte & Ciarlante, 2016).It also increases the brand reputation of the business with engagement of broad audiences of target customers.
  3. The inbound traffic is limited to the regular customers using social media. It also improved the search engine of the customers by achievement of higher page rankings with obtaining of traffic to the business’s website (East et al., 2016).
  4. Each of the blog post, images, video and comment into the social media sites lead the viewers to the business’s website as well as there is increase into traffic 9Scullion & Molesworth, 2016). The online subscription service brand becomes interactive by sharing of content, posting of the statues on the social media along with providing of comment into the post status.
  5. One of the main goals of the social media advertising is development of loyal customer bases. Satisfaction on the customer along with brand loyalty engages the customers to develop personal bond (Gollwitzer, Bieleke & Sheeran, 2016).

(ii) Justification of use of vehicle to execute communication campaign

The Chocolate Tour establishes of social community management team for taking ownership as well as responsibility to carry out day-to-day updates related to long term campaigns. The main goal of the business is to gain of 110 new subscribers in next 6 months; therefore social media campaigns help the business to attract new customers. The subscription service provides by the business set the project milestones and various members are assigned to make important announcements along with handling of Facebook comments (Dasgupta et al., 2016). In order to choose the network, at first it is required to analyze the time the target customers spend into social media platform. The team should true to the business’s voice as the customers read and listen to the content by focusing on tone, mode of delivery along with language.     

(iii) Cost Analysis associated with chosen vehicle

The social media adverting will start from November 2017 to April 2018. The cost analysis is shown as:

Activities

Cost

Remarks

Post tweets and update of Facebook posts

$300

Activate of post by freelancer

$1200

The average cost of freelancer is $10/hr per day* 5 days a week* 4 weeks a month. Therefore $1200 per 6 months for freelancer

Graphics, photos and videos

$40

Visual design puts visual front to the target market

Social media management

$60

Analytics

$60

Audiences research

Free

Total cost:

$1660

(i) Justification of the communication vehicle for direct marketing communication option

Direct marketing are occurred when the business is addressing their chocolate products to the customers through various communication channels such as mail, phone along with in-person. Other channels are direct response TV, insert media, face-to-face selling and door-to-door flyers (Díaz, Gómez & Molina, 2017). The messages of direct marketing are call this toll free number, click this link to subscribe. Throughout this communication campaign, the business can track the customer’s respond throughout its message’s call to action. The personalized boxed chocolate bars are used as part of direct marketing campaign to make the business stand out from the crowd. Direct selling is the communication vehicle which defines interpersonal communication as well as direct promotion with the customers (Hatton-Jones et al., 2017). The marketing strategy for the chocolate subscription service includes of digital marketing for entire promotion of business. The seller chooses to go physical market where most of the young couples visit the market. On the weekends, they are visiting the places where the direct selling should be done (De Pelsmaeker, 2016). The Chocolate Tour provides brochures and pamphlets to the target market to introduce them about their product and subscription services.

(ii) Justification of use of vehicle to execute communication campaign

The Chocolate Tour Company joins the membership of their target location for direct selling of their products. An attractive brochure is prepared by them to give it to young couples and parents those have small kids. At the time of selling, the business card is given to the customers for next time visit. The target customers are attracted by innovative display, gifts wave with meaningful drawings of chocolates on them (Squicciarini & Swinnen, 2016). It consists of promise, selling idea, central theme and messages provided into the creative plan. Throughout the direct selling, the seller can tell about advantage of the chocolate, their taste, feelings after eating it and other information.  It is an external influence into the consumer behavior theory such as social needs of the target market (Poelmans & Rousseau, 2016).  As the communication object is to increase 10% of their customers for re-purchase of their chocolate product, therefore direct marketing plays a key significant role into this stage.  

(iii) Cost Analysis

The entire duration to meet the communication objective is 6 months, i.e. from November 2017-April 2018.

Activities

Price

Direct materials

$15

Direct labor

$70

Variable manufacturing overhead

$5

Transportation cost

$15

Other cost

$20

Permit cost

$15

Total cost/month

$140

Total cost / 6 months

$840

(i) Justification of the communication vehicle for sales promotion communication option

Sales promotion is a process to persuade the potential customers to purchase the product. It is a short term tactic for boosting the sales of The Chocolate Tour. It is a best method for building customer loyalty (Pardo & Kinard, 2016). There are various types of sales promotion such as provide coupons, discount vouchers, free gifts, poster, loyalty cards and others. In this case, loyalty cards are used where the customers earn points to buy certain goods at retailers. This communication vehicle encourages the customer to re-purchase from the same subscription service by providing the customers discounts based on previous spending. This type of loyalty cards offset of discounts by offering of sales along with persuading customers to come back (de Andrade Silva et al., 2017). It also helps the business to analyze the shopping habits of their target customers. The main motive of sales promotion is connecting of link between personal selling along with advertising. Sales promotion is done into the chocolate subscription business for disseminating of information throughout salesman to make sure that the customer provides satisfactory use of the products.

(ii) Justification of use of vehicle to execute communication campaign

In order to execute of communication campaign into The Chocolate Tour, loyalty card vehicle attracts 10 percent of the young couples repurchase their quality chocolate products from the time period of November 2017 to April 2018. These promotional activities provide incentive to the customers in order to encourage into immediate sales (Samant & Seo , 2017). The main goal of this communication vehicle into this case is to motivate the customers to action and to make repetitive purchases. Loyalty programs are designed for repeating the business (Vecchio & Annunziata, 2015). It includes of shopping cards for the chocolate subscription service of The Chocolate Tour Company. The programs are gained as part of value offered by the marketer. The company provides of loyalty programs as business practices. It is a special type of offer provided to the customers which reduces the number of points required to get free product. It is one type of reward card which offers of discounts on some of the chocolate products (Van Loo et al., 2015). After make 2 chocolate bar boxes, the business can redeem the card for free chocolates. Finally, the reward programs are encouraged the customer loyalty over the business.

(iii) Cost Analysis

The quantity of the Loyalty card is 20,000 with the total cost analyses as $70.

a) Action list from November 2017-April 2018

Activities

Nov-17

Dec-17

Jan-18

Feb-18

Mar-18

Apr-18

Social Media Advertising

Confirmation of the budget

ü 

Creating of social media advertising objectives and goals

ü 

ü 

Making a social media report

ü 

ü 

ü 

Audit of the social media

ü 

Creating and improving the social media accounts

ü 

ü 

Activate of post by freelancer

ü 

Post tweets and update of Facebook posts

ü 

ü 

Target the social media audiences

ü 

ü 

Gathering of the social media advertising information

ü 

ü 

ü 

Creation of content marketing plan

ü 

Testing, evaluation and adjusting of social media plan

ü 

Giving visual social media

ü 

ü 

Record of the advertisement

ü 

ü 

ü 

Analyze people's comments and shares

ü 

ü 

Execution

ü 

ü 

ü 

Review and monitor the social media platform

ü 

ü 

ü 

ü 

ü 

Direct Marketing

Confirmation of the budget

ü 

Setting of delivery schedule goals

ü 

Making a contact

ü 

ü 

Share the benefits

ü 

Paying of fees such as license and permit fee

ü 

Designing and printing of poster

ü 

ü 

ü 

Hiring of staffs

ü 

ü 

ü 

Execution

ü 

ü 

ü 

Review and monitor the direct selling

ü 

ü 

ü 

ü 

ü 

Sales Promotion

Confirmation of the budget

ü 

Establishment of guidelines to cover initial sales promotion

ü 

ü 

Setting of timeline when sales promotion will launch

ü 

ü 

Establishment of budget

ü 

Determination of markets

ü 

Development of advertising plan

ü 

ü 

Creating of promotional messages

ü 

ü 

Discussion of layout of loyalty card

Implementation of sales promotion

ü 

ü 

Delivery of loyalty cards

Execution

ü 

ü 

ü 

Review and monitor the loyalty card

ü 

ü 

ü 

ü 

ü 


The budget plan for The Chocolate Tour Company’s communication campaign is as follows:

Nov-17

Dec-17

Jan-18

Feb-18

Mar-18

Apr-18

Total

Social media advertising

Post tweets and update of Facebook posts

 $       100.00

 $    100.00

 $     100.00

 $             -   

 $                 -   

 $             -   

 $        300.00

Activate of post by freelancer

 $       600.00

 $    300.00

 $     200.00

 $     100.00

 $                 -   

 $             -   

 $     1,200.00

Graphics, photos and videos

 $              -   

 $           -   

 $       20.00

 $       20.00

 $                 -   

 $             -   

 $          40.00

Social media management

 $              -   

 $           -   

 $            -   

 $             -   

 $           60.00

 $             -   

 $          60.00

Analytics

 $              -   

 $           -   

 $            -   

 $             -   

 $                 -   

 $        60.00

 $          60.00

Audiences research

 $              -   

 $           -   

 $            -   

 $             -   

 $                 -   

 $             -   

 $                -   

Subtotal

 $       700.00

 $    400.00

 $     320.00

 $     120.00

 $           60.00

 $        60.00

 $     1,660.00

Direct Marketing

Direct materials

 $              -   

 $           -   

 $       15.00

 $       15.00

 $           15.00

 $             -   

 $          45.00

Direct labour

 $              -   

 $           -   

 $            -   

 $       70.00

 $           70.00

 $        70.00

 $        210.00

Variable manufacturing overhead

 $           5.00

 $      10.00

 $       20.00

 $       30.00

 $           40.00

 $        50.00

 $        155.00

Transportation cost

 $         15.00

 $      15.00

 $       30.00

 $       35.00

 $           40.00

 $        15.00

 $        150.00

Other cost

 $              -   

 $      20.00

 $       20.00

 $       40.00

 $           20.00

 $        60.00

 $        160.00

Permit cost

 $              -   

 $           -   

 $            -   

 $       15.00

 $           30.00

 $        75.00

 $        120.00

Subtotal

 $         20.00

 $      45.00

 $       85.00

 $     205.00

 $         215.00

 $      270.00

 $        840.00

Sales promotion

Loyalty card cost

 $         70.00

 $           -   

 $            -   

 $             -   

 $                 -   

 $             -   

 $          70.00

Subtotal

 $         70.00

 $            -   

 $            -   

 $             -   

 $                 -   

 $             -   

 $          70.00

Grand total

 $       790.00

 $    445.00

 $     405.00

 $     325.00

 $         275.00

 $      330.00

 $     2,570.00

A loyalty card is delivered to the customers of The Chocolate Tour as a communication campaign. This reward card or shopping card is used for utilization of external influence of the decision making based on consumer behaviour theory, as the loyal customers can get some discount when the card is applied for buying of chocolate bar. The card holder should be a subscriber and also a loyal customer who would come back again to buy the product. There is a valid time when the card is expired. In order to achieve the communication objective to increase 10 percent of customers who would re-purchase of the products within 6 months are loyal to the business.

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