Niederegger, the leading premium marzipan supplier in Germany, has used a simple but straightforward principle for all his products for more than 200 years: „only the best is good enough.” Traditionally marzipan is predominantly consumed at Easter and Christmas. In order to generate additional growth momentum qualitative and quantitative market research was carried out. New insights led to optimal emotional and factual brand positioning and chocolate with marzipan was identified as promising growth opportunity. The product launch was prepared systematically in a research and development process. Market simulation analysis showed substantial market potential for bitter and milk chocolate with marzipan. The latter was an innovation in Germany which convinced additional target groups who like marzipan but dislike a bitter chocolate layer around it. Thus the Niederegger marzipan chocolate success became even greater. Real market results showed only small deviation from market simulation forecast. This is another example of predictive accuracy.
Nowadays image transfers and brand extensions are widely used marketing strategies. But one shouldn’t forget that inappropriate brand diversifications can not only cause a flop but may also endanger the „mother brand“. In the worst scenario negative (or “bad will”) re-transfer can threaten positive brand images. Therefore Niederegger always checks before if a new brand diversification may affect its brand reputation. They have conducted many successful image transfers using their marzipan competence so far. But in one case they realised that a potential but inappropriate new Niederegger product could damage positive brand associations. Consequently it wasn’t launched despite sizable market volume predictions. You should never risk a brand which has a positive meaning.
Methods used: Qualitative methods, market segmentation, packaging effect tests, advertising effect tests, price effect tests, brand diversification effect simulations
H. Strait, T. Arndt, R. Mayer de Groot: Niederegger: Erfolgreicher Imagetransfer auf Tafelschokolade – Ver-meidung negativer Rücktransfer bei anderen Marken-Erweiterungen, 2007; R. Mayer de Groot, R. Lübbe: Wenn jeder Euro zählt: Grosse Erfolge mit kleinem Budget (When every Euro counts: Great Successes with limited Budgets), absatzwirtschaft online (Germany’s leading marketing magazine), 25.06.2009