Boxed Chocolates: Rowntree, Cadbury and Nestle Share Spoils ... but Roses Is a Thorn in Rival Quality's Side

By Benady, Alex | Marketing, March 25, 1993 | Go to article overview

Boxed Chocolates: Rowntree, Cadbury and Nestle Share Spoils ... but Roses Is a Thorn in Rival Quality's Side


Benady, Alex, Marketing


What a sweet-toothed lot we are with over 21 different boxed chocolates offered to us on television in the past 12 months we've had plenty to choose from.

This sector is not surprisingly crowded and very seasonal in its advertising with around 25% of the |pounds~12m total spent pre-Easter and a massive 66% in the run up to Christmas.

The market is dominated by the big three manufacturers: Rowntree (owned by Nestle), Ferrero and Cadbury. Between them their brands account for a whopping 95% of the total expenditure.

The advertising entry price for a major brand appears to be in the region of |pounds~1.5m, with the big five brands (Cadbury's Roses, Ferrero Rocher, Milk Tray, Quality Street and After Eight) spending somewhere between this figure and |pounds~2m. The highest spender with |pounds~2m is Quality Street, which despite this only manages to reach eight place in the awareness league with 28% awareness.

Cadbury's Roses on the other hand manages to get the top slot of 40% awareness with a spend of |pounds~1.8m, which in value terms (|pounds~ per Adwatch point) gives it some 35% better value for money than Quality Street.

The best overall performance in the value stakes has undoubtedly been Ferrero Fresco Mints which achieved 28% awareness from |pounds~335,000 of expenditure and Ferrero Raffaello which achieved 34% from |pounds~499,000, giving these brands a value score some 9-25% better than their next placed rival Dairy Box.

TABULAR DATA OMITTED

What a difference |pounds~2m makes. As highlighted left, given products of equal standing and similar advertising budgets, Cadbury and Rowntree's achieved sharply contrasting results with Roses and Quality Street. …

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