Lindt Company Marketing Fundamentals

This report discusses Lindt Company's marketing strategies, including analysis of its PESTEL, SWOT, and Porter's Five Forces. It also explores the role of marketing in creating value for customers and the impact of stakeholder engagement on marketing activities. Additionally, it covers different types of promotion used by Lindt Company.

Lindt company- Marketing
fundamentals

Table of Contents.
INTRODUCTION................................................................................................................................3
TASK 1A.........................................................................................................................................3
TASK 1B..........................................................................................................................................8
CONCLUSION....................................................................................................................................9
REFERENCES...................................................................................................................................10

INTRODUCTION
The market fundamental is the assets of discounted present value of the stream of future cash flow
attach to the asset. In this report it has been discussed about the chocolate industry Lindt's various
marketing strategies and the various techniques it uses for marketing purposes. Moreover, in this
report it has been discussed about the various analysis of Lindt company i.e. it PESTEL, SWOT and
porters five force model (McLean, 2018).
TASK 1A
1. Processes and stages of marketing including the role of the marketing mix.
Marketing definition
Marketing can be defined as the term of business which is considered as an activity of exchanging
offers, delivering, communicating, creating as well as processing any value for society, partner,
client or for customer.
Main stages of marketing process
Step one is to plan the company's objective, goal and mission, this is carried out by the stakeholders
and marketing leaders of the company.
Step two is the analysation of industrial positioning. This step determines where the company is
situated in the overall industry. This step generally includes SWOT analysis.
The third step is to establish market tactics. In order to carry out this the organization keep in mind
the marketing mix which is based on the 4 P's of the market i.e. product, price, promotion and place.
The fourth step is to putting processes to work which includes obtaining resources, developing
schedules and execution of the processes.
Fifth or the last stage of marketing process is to evaluate, modify and repeat.
PESTEL factors of Lindt company (McLean, 2018).
Political factor
The various political factors that affects the business of Lindt company is the authority that

concerns food safety in Ireland, the authority that concerns advertising standards, consideration
towards level of obesity and stable and democratic government.
Economic factors
The economic factors that affects the Lindt company are the due to the fluctuations in the prices of
cocoa, the increase in corporation tax by 12.5%, the uncertainty in the economic climate and the
worth of Irish chocolate market has reached to EURO 625 million.
Social factors
The various social factors that affects the Lindt company business is gift giving culture in the
country, the country's high population growth rate, the people of the country are much interested in
ethical goods as well as consciousness towards health of Irish consumers.
Technological factors
Several technological factors affects the company Lindt such as in order to keep the products fresh
warehousing is important. Moreover, in order to stand above the competition couching process is
available for 24 hours. Additionally, advancement in technology and new innovations had greatly
affected the business of Lindt organization (McLean, 2018).
Environmental factors
The company's concern towards biodegradable and recyclable packing affects the environmental
factors of the company. The organization has taken several steps in order to reduce the routes of
transportation as well as to reduce the energy and water consumptions. Thus, the company is much
focused towards its environmental policies.
Legal factors
Overall safety is crucial concern of Lindt at its workplace. Moreover, the company is responsible
too towards the social concerns of the country. Thus, this shows the company attention towards
legal aspects of the country. Additionally, the organization remains commended towards quality in
its products,
Porters 5 forces model for Lindt company.

Threats of new entrants
The chocolate and cocoa product industry has faced issues due to the increase in negative effects of
dairy and nut allergies. Moreover, the obesity epidemic is to having unfavourable impacts on the
sale of this sector of business. Therefore, there is no significant barrier for new entrants in this
industry.
The bargaining power of supplier
It is in the hands of the supplier to increase the price as well as reduce the quality of the product.
Thus, form the study by UN there are so many suppliers available to large chocolate companies.
Moreover, as the company Lindt follows verification initiatives as well as code of conduct,
therefore, independent bodies does not regulate its supplies. Therefore, Lindt company's bargaining
power of supplier is low.
The barging power of the consumer
The power of bargaining of the consumers is medium for Lindt company as this company and some
other producers has unique selling points in order to produce high quality chocolates. Moreover,
there are so many buyers present who are willing to pay good amount for the premium class
product. As well as there are large number of producers which offerer branded, packed chocolates
as their products are undifferentiated.
Threat of Substitute product
There are several substitutes to this industry such as non chocolate snacks i.e. savoy snacks, frozen
dairy products, chips biscuits etc. these all provides threatening to this chocolate industry. But
consumption of these all products are purely based on consumer preferences. Thus, based on several
findings the threats of substitute products is quite high for chocolate industry.
Competitive rivalry

The competitive rivalry in the industry of chocolate is quite high due to large number of players
present in the market. Moreover, the preference of selection of player completely depends on the
needs, wants and on consumer behaviour patterns.
Advantages and Disadvantages of Porters five force model of Lindt company
Advantages
Helps in gauging competition.
The porters model help in knowing the competition present in the company's industry. This model
helps in knowing the country that if the competition is low that the company could have pricing
power and thus the company earn good profit by keeping the prices of the commodity higher.
Helpful in planning
this model helps the company in understanding what could be the threats to the company i.e. threats
through the substitute product ot through the new entrants in the market.
Dealing with Buyers and suppliers.
This model helps the organization to deal with the power of buyers and suppliers as when the
bargain power of supplier is less than the company could have dual advantage i.e. organization
could get the raw material at low price and thus, it will increase their revenue generation.
Disadvantages
Ignore other factors
The porter five force model only considers the above five rules and neglects the other factors. Thus,
this is the biggest disadvantage of this model.
No industry will be perfect fit
Non of the industry perfectly fits in this model as every company has some shortcoming things
which this model ignores. Therefore, this is the another disadvantage of this model.
Not useful for each industry
This model can't be applied to every organization.
Segmentation, targeting and positioning of Lindt company
Segmentation
Psycographic factors such as lifestyle and behavioural factors such as desired benefits and situation
usage as well as demographic factors such as stages of life, income, age, social class are considered
while considering segmentation of Lindt company.
Segmentation and targeting
This segmentation and targeting includes individuals who are established in life, people of higher or
medium incomes, busy life are treated specially.
Positioning

The market positioning of Lindt company can be explained as the experience of pure peace and
bliss and not as an chocolate.
Marketing mix elements of Lindt company
Product attributes
The product attribute describe the companies concern towards carefully production, sophisticated
premium product as well as the product of high quality.
Place
The place attribute of marketing mix includes the company's gift shops, Lindt shops as well as its
retail outlets.
Price
The price attribute of Lindt products is comparatively higher.
Promotion
For promotional attributes the company uses several classical and elegant advertising techniques.
Moreover, the company uses in store promotional techniques. Additionally, the famous tennis player
Roger Federer is the brand ambassador of the brand Lindt.
2. The role of marketing in creating value for customers.
Definition of marketing concept
The concept of marketing can be defined as the philosophy which the company uses in order to find
the customers needs and take actions accordingly in order to fulfil the needs of the customers.
Definition of branding
The term branding can be defined as to promote any service, product or commodity through
advertisement or through distinctive design (Baines and et.al, 2017).
Advantages of branding
There are several advantages of branding as it gives the organizations clear strategies to move

forward, it helps in introducing new services and products, it gives confidence to business, for long
run of the organization it saves time and money, branding helps in attracting the target customers,
branding gives consistency, moreover, it helps in returning customers and referrals, additionally
branding helps in generating customer loyalty.
Branding strategy of Lindt
The branding strategy used by organizations Lindt includes
Focus
The company focus on producing the most smoothness and loveliness chocolates with the best
tastes in order to gain customer confidence.
Grab attention
In order to built awareness in public about the brand the company used to conduct several contests
every year, where the contests are of culinary art. Thur, the company put the video of this contest on
YouTube, which gives recognisance to the brand.
Engage
the company Lindt get engaged with customers through recipe offerings. Moreover, the company
uses techniques to ask their customers of their favourite combination of chocolate in order to create
new recipe. Thus, it has improved its confections in more customized form.
Take action
By the help of social media, the company Lindt takes easy actions in order to remain shared and
heard. Therefore, this has provided the organizations to build its unique recognisance in the market
place. Additionally, the company donates for the patients of brain and spine injuries through
Facebook and other social media, this made the company recognizable by its involvement in
humanitarian effort by buying their chocolate.
The Ansoff matrix strategies
Product development
The company concern towards increasing popularity of premium chocolates, as the public
preference towards healthier and premium organic food. For the development of its products, the
company Lindt continue to source the highest quality raw material. Moreover, it is essential for the
company to keep in mind the sustainability of cocoa which is one of the important issue faced by
the company.
Market development
for continuous scaling globally the company Lindt has the ability and experience, for this the
company generates mass production. For market development the company concerns with the
growing population at the emerging economy.
3. Stakeholders engagement and their impact on marketing activities of the organizations.

Definition of Stakeholder
An individual who is having concern or interest in something, specially while considering business
are called stakeholders (Kleinaltenkamp and et.al, 2015).
Internal and external stakeholder of Lindt
Internal stakeholders are the generally inverters of the business and these people are greatly affected
by the outcomes of the business.
It is comparative harder to find the external stakeholders as these stakeholders did not have direct
relation with the company, but they get affected by the business operations of the company.
The internal stakeholders of Lindt company are the employee as well as the management.
While the external stakeholder of the Lindt company are customers, suppliers, society and
government.
Lindt companies communication with stakeholder and their impact on marketing activities
Lindt company directly communicate with is several internal and external stakeholder in order to
have the most effective impact on its several marketing activities such as promotion through social
media and through other digital mediums. Moreover, the company communicate with its
stakeholders by conducting meeting, these conduction of meetings for the effective planning of
marketing strategies requires the presence of all the stakeholders.
TASK 1B
Communication definition
The information exchange through writing, speaking or through some other medium is called
communication (Deepak and Jeyakumar, 2019).
Communication model
The systematic representation is called communication model if it helps to understand how the
communication work is done. There are basically two models of communication i.e. transactional
and linear. The linear is the process of communication between sender and receiver, thus, it is a
simple process while transactional model in built upon linear model.
Integrated marketing communication
The concept of integrated marketing communication can be explained as a simple process which
ensures different form of message & communication are link together. For instance integrated
marketing communication can be explained as a tool of promotion which integrate all the tools in
order to work together in harmony.
The different type of promotion used by lindt company are
The different types of promotion methods used by the Lindt company is the company uses the

advertising technique, for this advertisement the company takes the help of television, newspaper,
magazines and several other sources. More over, the company uses the latest digital medium
technique in order to promote its product i.e. advertisement on social medial such as on Facebook,
Instagram, YouTube etc.
moreover, the company uses public relationship and sponsorship technique in order to promote its
product. As by sponsoring on several event conducted worldwide the company has gained
recognizable reputation in the market place. Thus, this made the company brand as the recognizable
image in the minds of the public of its consumers (Davis, 2017).
Personal selling is the another method to promote its products, as the company has opened several
outlets such as Lindt sores which directly sell its products. The in store promotion posters which
includes famous tennis player Roger federer help to attract large number of its customers.
Direct marketing and promotion through sales are the techniques used by the organizations Lindt to
increases their product sell. Thus, this helps in increasing their revenue generation.
Recommendation
I must recommend to the company Lindt for their promotional and marketing activity the company
must take use of social media. As social media is one of the technique that the company can use in
order to promote their product as its is the cheaper and effective way to promote the product. I must
recommend the company must take usage of marketing campaign, as marketing campaign generates
effective brand awareness in the minds of the target customers (Perreault, 2018).
CONCLUSION
This report can be concluded as, the market fundamental is the assets of discounted present value of
the stream of future cash flow attach to the asset. In this report it has been discussed about the
chocolate industry Lindt's various marketing strategies and the various techniques it uses for
marketing purposes. Moreover, in this report it has been discussed about the various analysis of
Lindt company i.e. it PESTEL, SWOT and porters five force model. Additionally, the company
Lindt has started commuting in order to promote biodiversity, life of farmers, improving quality as
well as involvement of local suppliers.(Chaffey and Smith, 2017).

REFERENCES
Books and journals
McLean, G., 2018. Digital Marketing Fundamentals.
Gunelius, S., 2017. 10 laws of social media marketing.
Baines and et.al, 2017. Fundamentals of marketing. Oxford University Press.
Kleinaltenkamp and et.al, 2015. Fundamentals of Business-to-business Marketing. Springer.
Deepak, R.K.A. and Jeyakumar, S., 2019. Marketing management. Educreation Publishing.
Davis, M., 2017. The fundamentals of branding. Bloomsbury Publishing.
Perreault, W.D., 2018. Essentials of marketing. New York: Mc Graw Hill.
Chaffey, D. and Smith, P.R., 2017. Digital marketing excellence: planning, optimizing and
integrating online marketing. Taylor & Francis.