Ibarra as a company ● Brand founded in 1946 in Mexico. ● Authentic taste, hexagonal shape and preparation. ● Premium product. ● Red and gold color to display authenticity and tradition. ● Specialized for Mexican hot chocolate. ● Brand stays true to Mexican roots “Autentica chocolate para mesa”
Abuelita ● ● ● ● ●
Owned By Nestle Traditional packaging - red and yellow Prides itself on authenticity Spokesperson Sara Garcia named “Mexico’s grandma” Similar taste and price of Ibarra chocolate
Nesquik ● Owned by Nestle ● Many products within the Nesquik brand including a hot chocolate competitor ● Cheap ● Powder form ● Advertised to kids ○ Quiky the bunny ○ Claims health benefits because of added nutrients ● Red, Yellow and Blue packaging
MarieBelle MarieBelle Chocolates Chocolates
MarieBelle ● ● ● ●
“Luxury Chocolatier in NYC and Kyoto, Japan. Is there anything more important in life than #chocolate?” Active on social media (FB, Instagram, Tumblr, ect.) Strong focus on branding through products Audience: 25-35 years of age with higher disposable income
Competitive Landscape ● Broken down four ways ○ ○ ○ ○
High price Low price Premium/traditional Mass produced
● Largest competitive threat coming from Abuelita ● Ibarra is currently available in select areas in the US and throughout Mexico and Latin America
State of the Industry
State of the Industry ● ● ●
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Steady industry growth Technological change very low Market segmented into high end and low end products Market share concentration is low Revenue volatility is low Exports are lower than imports
Keys to Success â—?
Economies of scale: Larger companies are better able to spread costs, giving them a lower cost-per-unit.
Brand Management: Consumer perceptions regarding the quality and health considerations of the product factor into the overall demand for the product.
Diversification of products: Companies with diversified products are better able to adjust to seasonal demands driven by consumer preference.