Chocolate brand Cadbury has come up with a unique proposition for the young millennials–Cadbury 5Star, a new chocolate imported from India.
The new chocolate is expected to raise Cadbury brand’s share in the local market, according to Mondelez Philippines senior brand manager for chocolates Michelle Santillan.
“We want to remain competitive in the chocolate category. This is a tough market and competition is getting steeper each year with the introduction of new chocolate brands. That’s why we asked ourselves, ‘what can we offer that will make us stand-out’. So we brought in 5Star from India, now coated with the Cadbury trademark chocolate,” she says.
Feedback have so far been positive for the new brand. Opening the campaign with strong thematic and digital promotions helped raise awareness for the product, Santillan says.
The chocolate is a response to the rising demand from young millennials for a different snacking experience that does not bore and leaves a lasting impression in taste.
Santillan says Cadbury 5Star is different from the traditional Cadbury tablet as it the first chocolate bar with a solid chocolate center intrusion wrapped in caramel and crunchy cookie bits with Cadbury chocolate coating.
Mondelez took stock of the rising market of young millennials, who know what they want and are empowered enough to pursue their desires.
“These young millennials are what we have in mind when we decided to bring in 5Star. The multi-layered chocolate bar is the kind of eat experience this market segment is after for. To add fun to the experience we have some ideas written on the inner part of the wrapper that a group of friends may find time to take on the challenges. So it’s really more than the chocolate itself. It’s a sort of, maybe, a bonding time for the younger people,” says Santillan.
About 35 percent of consumers are in fact millennials with young millennial consumers aged 18 to 20 who are either in college or on their first jobs. They are youthful consumers looking for fun, excitement and a certain edgy quality to the products they buy.
At the same time, their foray into adulthood require that they also look for product experiences that are worth their money – moderately priced and with great value, she says.
With these dominating trends in the category, snacking company Mondelez sees opportunities to continue growing its business by combining its snack-making expertise with new and exciting product experiences for young consumers.
In the Philippines, the chocolate category is growing at a rapid rate of about 5 to 10 percent annually.
According to the 2015 FY Nielsen Market Pulse, snacks and confectionery are helping drive the growth of the fast moving consumer goods-food sector in the Philippines with 9 percent growth in 2015 compared to 2014.
In chocolate snacks, growth of the category was 7.8 percent in March 2016, according to Nielsen.
The chocolate category is one of the most fragmented categories in food and fast moving consumers products that makes competition even more difficult given that the 5Star will be competing with local and even imported brands, as well.
“The growth opportunity in chocolate snacks in the Philippines has inspired us to provide more of what consumers want. Similarly, we have been a strong competitor in the chocolates category with locally and globally loved brands Toblerone and Cadbury Dairy Milk. Our position has allowed us to see consumer white spaces or areas where we can seize growth,” Santillan says.
Cadbury 5Star represents that growth opportunity as the first filled chocolate brand in the Philippines from Mondelez.
“We’re always listening, always looking for ways to provide more for our consumers. We want to create your delicious moments of snacking joy and like Cadbury 5Star; we’ll always be working to provide Filipinos with brands that meet their needs and lifestyles,” says Santillan.
Cadbury 5Star is the third chocolate brand Mondelez has offered the Philippines market. It has joined the likes of Toblerone and Cadbury Dairy Milk.
“We envision all our products to be strong – from Toblerone to Cadbury to 5Star. So the growth will be driven by all three brands. 5 Star is to generate buzz and excitement,” says Santillan.
She says the company expects a high growth of 12 percent to 15 percent for the new brand.
Santillan says the company does not have specific sales target at the moment, “but I can see clearly that we are entering a new territory with this product because it is distinct and consumers will be thrilled to try out our new chocolate brand.”
