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    STP-Segmentation, targeting and positioning

    Segmentation

    Segmentation is to identify consumers within a market with the same needs and buying behavior. Since adults’ consuming chocolate bar has covered the largest percentage and people are more concerned with healthier foods, Hershey’s segmentation is supposed to include the following aspects:
    1.      Enhancing the health benefits of the dark chocolate products
    2.      Contributed to change some consumers’ ideas that chocolates are unhealthy snacks
    3.      Promotional events and activities can increase the sales
    4.      Re-package with the tag “low-calorie” so as to attract more consumers
     

    Targeting

    Consumers’ purchasing behaviors are changing. They begin to focus on a greater variety of foods so that the industry can enlarge their product line. This also offers a chance for the birth of new products. According to health studies, it is shown that dark chocolates possess various kinds of health benefits, such as cardiovascular benefits, as well as decreasing the chance of cancer (Marano, 2011). Non-traditional holidays as well as traditional holidays offer a chance to advertise specialized foods made for a specific holiday (Food: Company Spotlight: Hershey, 2010).
     
     

    Positioning and differentiation

    The positioning and differentiation for a product can create a valuable reference for the business and is helpful for a business to create its competitive advantages. In the chocolate bar industry, Hershey’s main competitors are Mars and Cadbury. The positioning of those companies is very high in consumers’ minds because of the quality of their minds. They have entered into the industry for many years and captured the leading market share (Brenner, 1999).