Godiva Chocolate

1 – The strategic action dilemma for Godiva is whether/how to create a common advertising message; furthermore, how to obtain a uniform look/brand image.

2 – There are several marketing strategy considerations in deciding how to resolve this dilemma:

o Consumer purchasing behavior and consumption in the chocolate praline market is typically involved and deliberate; therefore there is importance on the price/quality relationship being accurate. Currently the price/quality relationship of Godiva is not regarded as precise; Godiva is associated as “most expensive”, but not clearly perceived as different from its competitors.

o Godiva has lost sales in Belgium, where there is most potential from highest consumption, due to the poor, “aged” image; this has lead to Leonidas overcoming Godiva in the European markets, which makes a targeted ad message important.

o Belgians are in daily contact with other brand of chocolates, which they can easily compare with Godiva, given this situation, Godiva needs to concentrate on promoting their expertly crafted, unparalleled experience of eating their brand.

o As a worldwide company, Godiva has lost uniformity and consistency within its image. A global advertising message would be difficult as there are different quantitative and qualitative advertising objectives for the different countries.

o There are not standardized retail prices. Without a uniform pricing policy additional retail outlets and sales are not realized and the image is inconsistent.

o There is great disparity between the Godiva boutiques in different countries, an additional gap in the prestigious image and the quality of the experience.

3 – Given these issues my recommendation for Godiva is to create a fashion themed triad of advertisements. Top fashion reflects sensual experiences with texture and visual stimulus same as praline chocolates. The three business units should work together to create “Haute Couture Chocolate” creative styles and ad themes, but reflecting the cultural differences to maximize sales in each respective market. In the USA and Japanese markets the product is relatively new; these two countries should have similar messages of “gifting” Godiva, and as a special treat for oneself, reinforcing brand recognition, awareness