Assignment # 1 Ethel’s Chocolate Lounges

Marketing 100 Instructor Tim Morrison May 13, 2011 Assignment # 1 Ethel’s Chocolate lounges Intro and # 1. What type of consumer buying decision 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 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 be more like the 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.

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Extensive decision making is the used when buying an unfamiliar, expensive product or an infrequently bought item ECT… Ethel’s Chocolate Lounges are part of one of the most famous candy companies in the world, so it is not unfamiliar, therefore not heavily relying on extensive decision making. Routine response behavior is exhibited by consumers buying frequently purchased, low-cost goods and services; requires little search and decision time. Extensive decision making is exhibited when consumers have previous product experience but is unfamiliar with the current brands available.

Ethel’s Chocolate Lounges mostly uses the limited decision making to influence customers. The Mars Corporation is an older company that is well known yet has made many modifications for the chocolate lounges by taking many ideas from the Starbucks industry. With the modifications the chocolate lounges are fairly unique compared to other candy/chocolate shops. That combination of familiarity with new and improved would intrigue and persuade potential customers into becoming regular customers. These factors would cause most customers to make small time invested decisions to try out lounge.

The majority of the decision making time would most likely be over the prices of the products. 2. Discuss the factors that influence a consumer to spend money and time at Ethel’s There are five factors that can influence a consumer to spend money and time at Ethel’s. Those factors are previous experience, Interests, Perceived risk of negative consequences, Situation, Social visibility. The previous experience at Ethel’s or any other Mars candy/chocolate stores would definitely influence consumers to spend time and money at Ethel’s.

Interest asks the question; “does the store appeal to the interests of its customers? ” Interest can be gained by the products or experience given to the customer. A great example of this is atmosphere and ambiance. Ethel’s Chocolate Lounges have been designed specifically to coddle patrons in the lap of luxury. They are trying to get customers to come in, sit, relax, socialize, and feel like royalty. Perceived risk of negative consequences mostly refers to the negative factors that come with making purchases.

In Ethel’s Chocolate Lounges the prices have been made fairly reasonable and the product is of good quality, which greatly reduces perceived risk of negative consequences. Situation is when customers go from low involvement decision to high due to a change in situation. For example, say a man always buys the cheapest things at Ethel’s but has a hot date over the weekend or perhaps an anniversary. After all the president of chocolate marketing, Joan Steuer claims that “for women, enjoying chocolate in a luxurious lounge is like taking a candle-lit bubble bath. (Case study) Then that man may buy more expensive or abundant in Ethel’s products for that situation. Social visibility is items make a statement about the purchaser and therefore, carry a social risk. Ethel’s Chocolate Lounges has been modified to be more modern, luxurious, yet relaxing like Starbucks. This could make a person look hip, down to earth, with the times, somewhat luxurious, and even romantic if taken there on a date. 3. Justify which factor you think will motivate a consumer the most.

Out of all the factors, the interest of the consumer is the best factor to motivate consumers to spend time and money at Ethel’s Chocolate Lounges. I believe that affordability and familiarity are very important for Ethel’s. However, to reach the interest of the consumers is the key to success of Ethel’s Chocolate Lounges. The main interest would be the food along with price. The gourmet chocolate at a fairly reasonable price is enough to catch the interest of most people. The lounges have been modified to look and feel more modern, hip, comfortable, relaxing, yet traditional, and classy with pink and brown lounge furniture.

The whole dinner process is different from other stores. Like Starbucks, Ethel’s encourages customers to socialize and stay longer rather than rushing the customers in and out of the lounge as fast as possible. Another great interest of customers is the diversification of the restaurant. Ethel’s is very diverse. Ethel’s not only sells chocolates, there are many other products sold there as well. Also the menus were enhanced to better help or guide the customers. If a company appeals to the customers’ interests they will become return customers.

That strategy has so far worked very well for Ethel’s Chocolate Lounges. Determine what needs the Ethel’s experience appeals to most. There are many costumer needs that need to be met for a business to be successful. Ethel’s Chocolate Lounges have fulfilled many customer needs. Aside from the basics like quality food, drinks, and shelter to dine, Ethel’s appeals mostly to atmosphere, relaxation, price, and quality of their products. The product itself is gourmet chocolate, and you can’t really get any better than that.

However, things do get better, because Ethel’s gourmet chocolates are very affordable. Ethel’s wants customers to feel relaxed and at home in the classy yet modern style restaurants. Over all Ethel’s wants to appeal to the customers over all experience most of all. They want the customer to feel what it is like to dine like a king, for affordable prices, in a peaceful place, for as long as they want. In this way Ethel’s Chocolate Lounges goes above and beyond in making the customers’ needs of overall experience very enjoyable.


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