Introduction to the Company
Kit Kat was launched in the UK in 1937, and was successfully recognized leading to global production by Nestle, except in US where it is produced under The Hershey’s Company. It is produced in 15 different countries- Brazil, UK, Canada, Australia, New Zealand, South Africa, Germany, Russia, Japan, Malaysia, India, Turkey, UAE and Bulgaria. Kit Kat has a varying product line, some of which include the classic four-finger chocolate wafer, ‘’Kit Kat Orange”, ‘’Kit Kat Chunky”, “Kit Kat Drumsticks”, “Kit Kat Polo” etc. Nestle’s Kit Kat is more inclined to being a healthy, tasty snack bar than being seeing as a chocolate bar, targeting active everyday working people of both genders.
Market segmentation is the division of the market into different groups according to their specific characteristics and behavior. To make marketing strategies more effective a segment is chosen to serve according to their needs. (Armstrong, Brown, Burton, Deans & Kotler, 2013)
A target market is a set of buyers sharing common needs or traits that the company decides to serve. (Armstrong et al., 2013)
Kit Kat is a healthy, chocolaty snack bar aiming to satisfy men and women (gender), who are active and/or working class (Socio-economic status), of ages especially 18 to 35 (age), and have a love of chocolate and likes to indulge in chocolaty food (personality) at the same time having a nutritious, tasty and calorie packed snack (benefits sought).
Kit Kat snack’s main campaign through advertisements, ‘’Have a Break, Have a Kit Kat” successfully attracted the everyday hard-working people for Kit Kat’s ability to relate to the exhausting, active lifestyle. It’s low price and regular availability in café’s, convenience stores and supermarkets, makes it easy and affordable for customers to just sit back, and enjoy chocolaty snack amidst of all the stress and work. Advertisements often portray a man or woman in work, relaxing with a Kit Kat, in other words, ‘Taking a break’.
Kit Kat’s latest advertisement campaigns with a headline “Office” under which they aired a number of everyday workplace scenarios like “Crane” (of a construction site) or “Tennis Match” where the hard working victim takes a break with Kit Kat.
The product’s diverse sizes- the classic four-finger format, two fingers and a chunky size help customers choose according to their wish appetite. Its nutritious varying flavors like white chocolate, milk chocolate, mint, and caramel along with a more health beneficial flavor of dark chocolate, covering layers of wafer underneath, is introduced for the customers to pick according to their taste and have an enjoyable break during the hectic hours in their work place. Kit Kat promotes as ‘The biggest little meal’, encouraging that Kit Kat can be enjoyed in the workplace for little refreshment at anytime, providing sufficient calories in one chocolate.
This segment of active citizens has a right size growth that is measurable. The size and the purchasing power of the segment can be collected from secondary data. The segment is also:
Accessible: The active citizens can be effectively reached out to by advertising in billboards in busy working or commercial locations or through any television in anywhere since workers exist anywhere.
Substantial: Countries like Malaysia have a huge working population and hence this segment can penetrate a large market.
Differentiable: The segment of busy working people is definitely different than a segment of young pre-school students or high school students or even senior citizens. The active class of both university students and working people go through more stress and workloads. Making structural attractiveness.
Actionable: The target market can be approached by means of effective methods of marketing.
Values demanded by the targeted people:
Availability of the snack in convenient locations
Snacks that provide…