First learnings from projects with the DVJ Brand Growth Detector

Autumn has officially started here in Germany on 22 September. And my relatives in Canada celebrated Thanksgiving on October 11th, traditionally on the second Monday of that month. It is the time where the need to warm up at home and make yourself comfortable on the couch grows once more. And for a lot of people, a cup of hot chocolate, also known as cocoa, is an essential part of that.

Although sometimes drunk with cool milk as a refreshment in summer, during the cold seasons hot chocolate provides that feeling of warmth and pleasure, which we like to treat ourselves with. But not every cocoa brand – let’s ignore the professional distinction depending on the cocoa content – is equally successful on the market.

A few weeks ago, I was on vacation in Austria and visited a chocolate factory that also produces several different flavours of chocolate drinks. The owners showed a unique sense of humour by creating a cemetery behind the production building for chocolate flavours, which unfortunately could not establish themselves on the market and finally blessed the time as a ”nice idea”.

CONNECTING THE DOTS: HOW TO DISCOVER OPPORTUNITIES FOR BRAND GROWTH

This inspired us to use our “Brand Growth Detector” research solution to take a close look at the 18 brands of cocoa beverage powder available in Germany. We recently presented the results for the first time during a market research event in Germany. And shortly we will present a comparable approach for retailers, which also includes shopping missions, for example.

What differentiates this new research solution is that we deal intensively and systematically with every level of the brand’s funnel. We don’t just measure “the fever”, but also come up with a specific treatment plan to enable further brand growth. We rely on the scientifically validated framework of the Ehrenberg Bass Institute led by Byron Sharp and smartly combine the survey data collected with the associated retail and household panel data. We call this “connecting the dots”.

In September we asked just over a thousand consumers about their buying behaviour when purchasing cocoa beverage powder. And found out which brands perform best in Germany and which Category Entry Points (CEPs) play what role. After all, CEPs are the moment of truth for the mental availability of a brand – they considerably increase the probability that category buyers will choose a brand when making their purchase decision.

(hot) chocolate makes the world go round

As things go, it matters what is happening in someone’s mind when choosing a brand or a product from a certain category. For example, only 72% of those surveyed buy cocoa beverage powder for themselves; cocoa is often bought for the partner or the children. The sweet beverage is mainly drunk for breakfast or as a small moment of pleasure in between. Some prefer to always mix warm milk with the powder of their preferred brand, others like to fall back on high-quality alternatives for that special moment. Adults orientate themselves on product characteristics such as sustainability, cocoa content or whether the product is ”organic”.

what is your favourite?

Which chocolate drink is your favourite? Which drink do you buy for your children? And which cocoa powder do you buy when you want to treat yourself to a hot cup of chocolate or just want to relax? Whichever brand you choose, enjoy your warm drink this autumn and winter.

If you are interested in the detailed results of our study on cocoa beverage powders, please contact us. If you want to know how brands perform within another or in your own category, don’t hesitate to reach out, we’ll happily take the time to show you what options there are to address the specific needs of your business.