...Ethel’s Chocolate Lounge Dr. Emily Crawford Principles of Marketing Describe the type of consumer buying decision that best describes the choice to indulge at Ethel’s. Ethel’s Chocolate Lounge is a restaurant with gourmet chocolates where consumers could relax. This lounge was trying to be like a Starbucks. They wanted to sell gourmet chocolates for decent prices. The best type of consuming decision that best describes the choice to indulge at Ethel’s would be to use the extensive decision making. Extensive decision making is the most complex type of consumer decision making when buying an unfamiliar, expensive product (Lamb, Hair, McDaniel, 2010, p.80). Because Ethel’s Chocolate Lounge provided great quality for consumers, they have a higher level of interest in indulging at Ethel’s. John wanted to maintain Ethel’s special treats, so he continued to make affordable gourmet chocolates. “In our extensive consumer research, women told us they wanted an approachable place to select, purchase, and hangout and enjoy chocolate more frequently. And they said they were tired of mystery middles; where chocolate pieces are tossed off after one bite because the centers aren’t expected. That’s why we created the Ethel’s brand, which includes the first ever approachable gourmet chocolate for everyday and our chocolate lounges,” says John Haugh, president of Ethel’s (chocolateatlas, 2012). Some examples why consumers would use the extensive decision making would be because Ethel’s...
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...Ethel’s Chocolate Lounges: Back to the Future? Chocolate Lounges Taste Sweet Success 1 Ethel’s Chocolate Lounges: Back to the Future? Chocolate Lounges Taste Sweet Success 2 Describe the type of consumer buying decision that best describes the choice to indulge at Ethel’s. Two out of the three consumer buying decisions will be utilized in consumers who become patrons of Ethel’s Chocolate Lounges, Limited Decision Making and Extensive Decision Making. Consumer’s unfamiliarity with the specific brand or type of chocolate used by the new chocolate lounge but common knowledge and long standing history of chocolate in general from previous experience will mean they will expend only a moderate effort in searching for information in relation to the new lounge in their local area. There is no need to spend an extensive amount of time researching what it is, its benefits, side effects, or other details that one would be interested in knowing about before trying a completely different and new product because they have a general idea of its use and effects which falls under the characteristics of Limited Decision Making. In their pursuit to attract the “well-heeled consumer”, Ethel’s is capitalizing on its chic chocolate house and premium gourmet chocolate all geared in attracting the coffee house crowd by “coddling their patrons in the lap of luxury” and allowing them the opportunity to “enjoy the sweet taste of the good life” (Marketing 100 Case Study). Because Ethel’s prices...
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...Ethel’s Chocolate Lounges: Back to the Professor Sally Walters Marketing 100 April 29, 2012 Describe the type of consumer buying decision that best describes the choice to indulge at Ethel’s. Two out of the three consumer buying decisions will be utilized in consumers who become patrons of Ethel’s Chocolate Lounges, Limited Decision Making and Extensive Decision Making. Consumer’s unfamiliarity with the specific brand or type of chocolate used by the new chocolate lounge but common knowledge and long standing history of chocolate in general from previous experience will mean they will expend only a moderate effort in searching for information in relation to the new lounge in their local area. There is no need to spend an extensive amount of time researching what it is, its benefits, side effects, or other details that one would be interested in knowing about before trying a completely different and new product because they have a general idea of its use and effects which falls under the characteristics of Limited Decision Making. In their pursuit to attract the “well-heeled consumer”, Ethel’s is capitalizing on its chic chocolate house and premium gourmet chocolate all geared in attracting the coffee house crowd by “coddling their patrons in the lap of luxury” and allowing them the opportunity to “enjoy the sweet taste of the good life” (Marketing 100 Case Study). Because Ethel’s prices are a little more expensive than what the average consumer is used to paying...
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...Ethel’s Chocolate Lounges Dawn Evans Strayer University Professor Schuyler Marketing 100 April 29, 2011 * ABSTRACT Ethel’s Chocolate Lounge created by the Mars organization may prove to be an excellent marketing strategy to boost chocolate sales. The Lounge will cater to the female consumer that may belong to the middle to high income demographic. These groups of women have disposable incomes and will be intrigued by the “upscale look and classy feel”. Like today’s coffee bars, Ethel’s Chocolate Lounge will be a gathering place for executives and the upwardly mobile career woman. The expensive chocolates will also tap into the attached male gender demographic. These men will be in search of sweet treats for their wives and girlfriends for special events such as birthdays, anniversaries, Valentine’s Day, and Mother’s Day. Doubtfully the male consumer will take advantage of the beautifully decorated facility with the pink sofas. Men will not watch football games over a beer and truffles. However, this group will visit the shop to make a purchase for that someone special. Consumer Buying Decision: The Mars brand is very popular and has produced familiar products for years. M&M’s is a Mars chocolate (Mars.com, 2011) that is well known and well liked by many around the world. Therefore, when at the checkout counter at the local grocery store it is common for a customer to purchase a pack of M&M’s without hesitation. However, it is the extensive decision...
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...Running head: ETHEL’S CHOCOLATE LOUNGE Case Study: Ethel’s Chocolate Lounges Eric Peters Strayer University MKT100035VA016-1118-001: Prin Of Marketing I Professor: Shotae Taylor Case Study: Ethel’s Chocolate Lounges Ethel Mars began creating chocolates in her kitchen in 1911. The Mars Corporation opened Ethel’s Chocolate Lounge in 2005 in Chicago and have opened several more lounges since then. The lounges offer unique chocolate as well as hot and cold beverages in a relaxing and neighborhood-like environment. This is a place for people to go for good chocolate and friendly conversation. Consumer buying decision This type of consumer buying decision is limited decision making. When clients choose to shop at Ethel’s, there are very few, choices to compare their experience to. Those who choose this type of store already have a working knowledge of chocolate and also have an idea of what this store offers. When deciding on trying Ethel’s, they generally are making a pretty substantive decision to try their products, not thinking about the prices that Ethel’s Chocolate Lounge command. Factors that influence a consumer There are 5 factors that would determine the consumers involvement in whether or not to frequent Ethel’s and what they are willing to spend in the overall experience of their transaction. These 5 factors are previous experience, interest, perceived risk of negative consequences, situation, and social visibility. Previous experience would be...
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...questions related to Ethel’s Chocolate Lounges: Back to the Future? Chocolate Lounges Tastes Sweet Success” case study. We will address (1) the type of consumer buying decision that describes the indulgence of Ethel’s; (2) factors that influence a consumer to spend money and time at Ethel’s; (3) justifying which factor is thought to motivate the consumer the most and; (4) determining what needs the Ethel’s experience appeals to the most. Consumer buying process When consumers buy a product or service, the consumer decision-making process is generally followed. As we have learned, this process usually falls into three broad categories denoted as the continuum of consumer buying decisions: routine consumer behavior, limited decision making, and extensive decision making. Consumers often follow the stages of the decision-making process but often times the stages are reversed or skipped much like that of impulse buying for example, when a consumer will most likely skip all together, the information search and evaluation of alternatives stages. One type of consumer buying process that described the choice to indulge in Ethel’s is need recognition. The boredom with mass produced chocolate makes those who love chocolate see a “need” for a new and different taste and method of delivery (i.e. the chocolate shop). Consumers will seek out new ways to get what they want when they are bored with the old ones. Ethel’s advertisement describes the lounge as “a place for chocolate and chitchat”...
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...Ethel’s Chocolate Lounges This report is based on a Case Study: “Ethel’s Chocolate Lounges: Back to the Future? Chocolate Lounges Taste Sweet Success”. The report will reflect on four points: describing the types of consumer buying decision to indulge at Ethel’s, the consumer’s influences of time and money spent at Ethel’s, what motivates Ethel’s customers and finally exploring the needs the customer experience appeals to most. CONSUMERS BUYING DECISIONS As noted in the Case Study the chocolate house dates back to the 17th Century as a place where the elite socialites would indulge on chocolate treats and sip hot chocolate in luxurious surroundings and in upscale boutiques. Ethel’s founded in 1911 in honor of the matriarch of the Mars family who made chocolate treats in their home becomes Ethel’s Chocolate Lounge in Chicago, IL in April 2005. Ethel’s idea of being the “Approachable Gourmet Chocolate” gives its customers gourmet chocolates with reasonable prices. Consumers buying decisions usually fall into three categories: routine responses behavior, limited decision making and extensive decision making and five factors: involvement, time, cost, information search, and number of alternatives. (Lambi, Hair & McDaniel, 2011) Each factor determines a low to high activity or action for each consumer buying decision category. Ethel’s customers may experience limited decision making because most people have purchased some brand of chocolate but more thought...
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...Ethel's Chocolate Lounges 1. Describe the type of consumer buying decision that best describes the choice to indulge at Ethel’s. Ethel’s Chocolate Lounges dates back to the seventeenth century when it was a very luxurious place where people from the highest level of society enjoyed the sweet taste. New Ethel’s Chocolate Lounges has its foundation from the previous one, bringing a similar idea that Starbucks offers-a chocolate shop where someone can stop and buy excellent quality of chocolate and enjoy it at nice place while socializing with others as well as taking some chocolate home as a gift . People who decide to indulge at Ethel’s Chocolate Lounges are mostly limited decision making consumers. Limited decision making consumers are those having previous experience with similar product but are not familiar with the current market. This type of decision making requires low level of involvement but higher than in everyday decisions. Five factors determine the level of involvement: previous experience, interest, perceived risk of negative consequences, situation and social visibility. Ethel’s consumers might have some previous experience with other brands of chocolate such Godiva or Hershey; this will decreases their level of involvement while making decision. Moreover, Ethel’s menu includes a description of chocolate content in case a consumer is unfamiliar with a particular offer in menu. Consumers’ interest in having good quality chocolate in a relaxing atmosphere...
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...1: Case Study Ethel’s Chocolates Course: Marketing 100 Date: 11/02/2011 Ethel’s Chocolate Lounges date back to the seventeenth century London. Back then, Ethel’s had luxurious surroundings and the elite members of the society would socialize there as they relax in its upscale environment. Later, the Americans flooded the market with cheap chocolate bars for the masses, of which people lost taste in. Mars opened Ethel’s Lounge in 2005, on learning that the upscale retail outlets’ chocolate sales grew by almost 20 percent in just two years. I believe the customers that have chosen Ethel’s did so using the Limited decision making process. Spending 25 or 30 dollars at Ethel’s is not as serious as buying a 25,000 to 30,000 thousand dollar vehicle. According to Lamb (2009), “Consumers making extensive decisions spend lots of time researching the company and their products.” That won’t happen in this instance. The average person will ask a few friends about Ethel’s or do a quick Google search at most, that eliminates the extensive decision making process. For many Americans, a chocolate lounge is a new and unusual concept, and the specific franchise “Ethel’s” is unfamiliar, meaning that the public won’t automatically make purchases at an Ethel’s just because it’s in the area. That eliminates the routine decision making option. Some may not have the extra funds, and may question whether people will view them negatively for consuming that expensive chocolate in order to socialize...
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...Ethel’s Chocolate Lounge dates back to the seventeenth century in London. It was only meant for the societies elite during that time. They would sip their chocolate and relax in luxurious surroundings. Today the company founders and management wants to bring back that luxurious surrounding with an exquisite taste of chocolate that everyone can afford. Describe the type of consumer buying decisions that best describes the choice to indulge at Ethel’s. One type of consumer buying decision that indulges consumers the most is their involvement. The more a consumer uses their time and effort to search and evaluate a company’s product the more they will buy or use their product and services. Another type of consumer buying decision is the routine response behavior from a consumer. Mostly low cost goods and services are a result from routine response behavior because consumers spend less time on searches and decisions before making a purchase. One other consumer buying decision is an extensive decision making process. This process is the most complex because it’s used when consumers buy unfamiliar, expensive products, or infrequently bought items. The consumer wants to make the right decision so they want to know as much as they can about the product or service. The buying decisions used most by consumers at Ethel’s Chocolate Lounge would be their involvement and the routine response behavior. If a consumer really likes the product they will come back for more. Ethel’s...
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...Ethel’s Chocolate Lounges: Back to the Future? Chocolate Lounges Taste Sweet Success Principles of Marketing 10/25/2011 1. Describe the type of consumer buying decision that best describes the choice to indulge at Ethel’s. Ethel’s Chocolate lounges are chocolate or candy based restaurants that where created by the Mars corporation. The Mars Corporation is the same corporation that makes the famous M&M candy. In the case study on Ethel’s Chocolate Lounges we learn that the Mars Corporation has made many modifications to better the chocolate lounges. They strive to be more like Starbucks, and to sell the experience of having great atmosphere, gourmet chocolate, and at very reasonable prices. Through marketing strategies the Mars Corporation had many ways to influence customers to dine at Ethel’s Chocolate Lounges. These strategies use consumer buying decisions such as routine response behavior, limited decision making, and extensive decision making. Ethel’s Chocolate Lounges rely on the limited decision making to influence customers. Consumers engaging in limited decision making have a low level of involvement and make little effort in searching for information on alternative brands or products. If the consumer discovers a particular item they normally purchase is not available, the consumer will look for a similar product. In searching for a similar item, the consumer may base their decision on similar ingredients, if the items were on sale, or their prior experience...
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...Ethel’s Chocolate Lounges: Back to the Future? Chocolate Lounges Taste Sweet Success Rosalind D. Perry Strayer University – White Marsh Campus Anyone who loves to taste the sweet blends of chocolates find it hard to just find the perfect chocolate. It is almost difficult to decide when there are several distributors trying to lure customers to their stores and taste what they have to offer. From the true lover to the part-time lover everyone is looking for the best chocolate and at the best prices. Yes, we would like to get the best chocolates for Valentine’s Day, Anniversary, or birthday; however, Ethel would want to take into consideration a few factors when operating her business. For Ethel, she had to take into consideration that during the period of 2002 to 2004 chocolates sales soared by twenty percent. Even though the figures were from a period well noted for sales, Ethel would still have to take into consideration – Who would be her competition? The competition factor comes from the likes for Godiva and Starbucks and Ethel knows in order to be successful she will have to do her research well. Ethel’s first choice was her decision as to where the store would be located; so she chose, Chicago. Chicago is known for the purest of chocolate loves because they hold The Chicago Chocolate Tours which attracts any chocolate lover. These tours are going on all year long and there are plenty of things...
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...Ethel’s Chocolate Lounge Joanne Jean-Francois Sunday January 29, 2012 I want to start off this paper by saying that I am a chocolate lover and if I can eat it after every meal without gaining a pound that’s exactly what I would do. I have heard of Ethel’s Chocolate but had no idea that they had a chocolate lounge located in United States better yet in Chicago, which according to their website has been closed. Every year for the past 4 years on Valentines’ Day I will receive some of Ethel’s Chocolate delivered at my job by my husband. Based on this study Ethel’s Chocolate lounges are chocolate or candy based restaurants created by the Mars Corporation and has made modifications to better the chocolate lounges. They strive be more like the Starbucks, and to sell the experience of having great atmosphere, gourmet chocolate, and at very reasonable prices (I think). 1) Describing the type of consumer buying decision that best describe the choice to indulge at Ethel’s. Ethel’s chocolate is part of one of the most famous candy companies in the world and the idea that consumers were buying low cost goods and services. The routine response behavior decision making process is very low and consumers take little time on researching and decision making of the purchase. As a consumer I don’t spend a lot of time making decisions to purchase a product that I am familiar with, I have been eating chocolate for years and to know that there is a market out there with good quality...
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...Ethel’s Chocolate Lounges: Back to the Future Heloise V. Posey Professor Jane Osburn Marketing Date: April 28, 2012 Describe the type of consumer buying decision that best describes the choice to indulge at Ethel’s. If this was still the seventeenth century London their high society’s elite would still be gathering in luxurious and secluded surroundings to relax and sip hot chocolate. Good consumer buying is making a decision or choice to indulge in customer satisfaction and evaluation of goods or services based on whether the goods or services can meet their needs and expectations. Failure to do so will almost always result in consumer dissatisfaction with the goods or services. If your consumer is not happy they will pass the word on to their friends and family. Word of mouth is the ultimate in consumer buying decisions. What sort of impact you get or your remembrance of the first impression can be a powerful tool in getting patrons to patronize you establishment. The name Ethel's seem to imply strength, warmth, home, maturity and trust. The type of consumers that will buy at Ethel’s Chocolate Lounges will be the consumers that upon entrance will feel that atmosphere that Ethel’s exhibit. They will want to use the place and be able to meet and greet family and friends for a cup of coffee, tea cocoa and along with enjoying warm atmosphere with chocolate truffles or some of the other delights that Ethel’s sell. As stated in the case study centuries ago some...
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...society in the seventeenth – century viewed the consumption of hot chocolate and later solid chocolate treat that were sold in upscale boutiques as a sign of being prestigious. While doing the same time period America settlers pioneered were developing cheaper chocolate bars for consumption to the masses. Centuries passed, and in the 19th hundreds America pioneers grown tired of the taste of mass production chocolate and desired the taste of prominent chocolate. In 1911 Ethel’s Chocolate Lounges, whose named in honor of the matriarch of the Mars Family was founded with her husband Frank entered the chocolate market despite only a 3% growth in the U.S. Chocolate industry. The main reasons of the slow growth were the lack of industry innovation and the less desirable tasting chocolate. The creation of Ethel’s Chocolate Lounge took the existent markets and the original connection between chocolate and the elite social circles and turned it into the new must have. Ethel’s is an establishment that offers exquisite chocolates, in a posh, location. The consumer and the buyer would need to make sure that the purchase makes sense economically, and they would have the acquired taste to enjoy the variety of sweets and chocolates that Ethel’s has to offer. The consumer would have to engage in the extensive decision making would best determine whether or not they could indulge at Ethel’s. The products that Ethel’s is marketing are targeting a small unique group. There are several...
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