Challenge, context & objectives
Raffaello is an established brand of chocolate pralines in the Czech and Slovak Republics. Brand awareness is around 90%2 . It is one of the most expensive brands on the monitored markets.
Raffaello is also used as a gift item among current consumers, (60% – source2 ). However, those who are not consumers lack this association and these people buy other competing product as gifts. They see no reason why to buy Raffaello for the first time.
The market is very competitive in terms of the number of brands (Lindt, Milka, Merci, Toffifee, many local brands) and price. Compared to major competitors, Raffaello does not work with discounts (53% of all products in Slovakia and 52% of products in the Czech Republic are sold in discounts) and must look for other ways to address potential customers. In general, people in both countries are very price sensitive. Price is often more important than quality, design, etc. The situation has been in effect for several years.