Case One: Watching M&M’s Grow
1. Do you think that it was a good segmentation strategy for M&M’s to develop a new version targeting adults?
First, I’ll discuss the three research methods. The first method is causal research. Causal research involves testing the product (Schiffman & Kanuk, 2007). I’ve participated in this type of research before. In some ways it is awesome because people get to test out the product. Who wouldn’t want to try out a new M&M line? I tried out a new Hershey’s product. This research method is the most effective for the new M&M because it gives the company a feel for whether or not people will accept the new product before actually spending all of the money in releasing and packaging and shipping the product.
Next, there is descriptive research. Descriptive research is statistical research ...view middle of the document...
Finally, there is exploratory research. Exploratory research is the first most basic kind of research. It is basic research that usually needs more research done (Schiffman & Kanuk, 2007). Basic research is the stepping stone to more research. Basic research is never enough to figure out whether or not a product will be a hit or not. Is this the only method of research M&M will conduct? If so, then if the product doesn’t succeed, the company will be eating money.
All in all, M&Ms should do causal research before coming out with the product. Causal research produces truthful results on whether or not a product can make it in the market or not. People test out the product and give truthful responses. Also, this product may not sell well because people are focusing more on health now than before because people eat a lot unhealthier than they did in past generations. Hence, why M&M needs to do causal research.
2. Would M&M’s be better off pursuing a mass-marketing approach?
Mass marketing is about creating a product that will catch the attention of all consumers (Schiffman & Kanuk, 2007). M&M’s are indeed consumed by everybody, young and old alike. It isn’t so much the color that appeals to the adults; the taste appeals to adults and children alike. Granted, children might love the “mini M&M’s”, but those didn’t last long, either. The large M&Ms may just be too much chocolate/peanut butter per M&M. People just wanted a basic M&M, and they want products just right. If a product is too big, people won’t want it. The Reese’s Big Cup seems to have too much peanut butter. The mini Reese’s and the regular Reese’s seem to be perfect. Sometimes, if a product works, it’s best to just keep it how it is. Candy companies should focus on their product being appealing to everyone because everyone eats chocolate.
Schiffman, L. & Kanuk, L. (2007). Consumer behavior (9th ed.). Upper Saddle River, NJ: Pearson Prentice Hall.