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Nutella Snack

Product management project

Samn Hoang

on 5 November 2014

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Transcript of Nutella Snack

Nguyen Viet Ai Nhi
Vo Duy An
Nguyen Ngoc Phuong Thao
Nguyen Le Thuy Mi
Hoang My Vy Hang

Nutella is manufactured by the Italian company , it was introduced to the market in 1964.

Started to sell a creamy version in 1951 as "Supercrema".

It was renamed "Nutella" in 1963.

The product was an instant success and remains widely popular.

The main ingredients of Nutella are sugar and palm oil, followed by hazelnut, cocoa solids, and skimmed milk.

Other products of Ferrero:

The company received an innovation award for the product in March 2011.
Nutella is a famous brand name of hazelnut chocolate spread that attracts millions of people around the world. A new concept of melting cream cookie or biscuit is created to adapt to the taste of young customers in Vietnam, who want to share their snacks to friends at the picnic or in the break of class.
We essentially focus on the market. A package of cookie or biscuits can be shared among many customers, so that the “share” spirit can be spread to many people.
1st year: the brand name will be introduced successfully with 50% of customers’ agreement. The product will get good recognition from young people, especially teenagers.

2nd year: take about 30% of melting cream-filling cookie/biscuit market share in Vietnam.

It will be a differentiated and adaptive product. There are many other brands that have the same product form, but ours will stand out because of the amazing flavor of Nutella and the convenience and beauty of unique packaging.
Product Innovation Charter
Market and Trend Analysis
Large market with high level of development, 10% - 20%/year.

70% of the market belongs to domestic companies.

30% remaining belongs to foreign ones: Kraft Foods Inc., PepsiCo, Orion, Perfetti Van Melle…

• Savory snacks: famous Poca fried potato snacks, wheat snacks, prawn snacks…
• Crackers: AFC, Cosy Marie of King Do and other brands from other companies.
• Cakes: layer cakes, cupcakes, cakes with cream filled.
• Cookies/biscuits: the most famously known is Oreo of Kraft Foods Inc.; others can be with or without cream filled.
• Biscuit rolls.
• Wafers.

Snack to share come to savory snacks.
They can take many forms: cream-filled cookies, biscuits, biscuit rolls, stick biscuits, wafers…

Many famous brands competing (Oreo, Kinh Do…) but none has the “share” factor.

Express “heavy feeling” not suitable for teens.

C nfectionery industry in Vietnam
Main segments, according to pr duct forms
Trend among teenagers and early 2 s
What ab ut sweet snacks?
Market Opportunity Identification
A sweet snack product with the “easy-going”, “share” feeling is what the market is lacking.
A chance for Nutella to make use of
Nutella has long been known for its world-renowned, high-quality, delicious spread.

Nutella spread is now leveraged to be served with stick biscuits in “Nutella & Go!” product.

Why can’t Nutella be the filling/topping of another pastry product?
The new product will be a fit to this market, and serves as an exploratory step before Nutella officially lands in Vietnam.
Idea generation
 Attribute listing
 Need/ Problem Identification
 Brainstorming

Nutella chip cookies
Sandwich cookies
Biscuit rolls
Nutella Pinwheel cookies
Nutella wafers
Biscuits with Nutella cream filling
Product concept development
Concept statement 1
(for Nutella chip cookies)
Concept statement 2
(for Nutella sandwich cookies)
Having snacks has long been a favorite thing among young people. But for the ones who are dying for crunchy cookies with tender, soft, to-die-for cream filling, the market has yet to offer many.

Then come and grab a pack of Nutella sandwich cookies. Filled with the rich, melting layer of world-renowned chocolate hazelnut cream, Nutella sandwich cookies is a perfect choice to indulge in Nutella cream in a snack without any inconvenience. Round-shaped, little-sized (about 3-4 cm each) cookies will definitely give young people a great time in just a matter of opening the package.

Concept statement 3 (for Nutella biscuit rolls)
For any young people who want to taste a crunchy sweet snack with temptingly delicious filling but don’t have much chance, Nutella biscuit rolls are here.

Feel the excitement when having a bite of Nutella biscuit rolls, a perfect combination of softness and crunchiness that promises to bring a delicious snack to any young people who need it. Biscuit rolls are made of wheat flour, butter, egg, sugar, and vanilla flavor which create crunchy and porous texture. Along with Nutella cream filled inside the rolls, this product will make the customer feel interested in every bite.

Concept statement 4 (for Nutella cream-filled biscuits)
The trend and need now in Vietnamese teenage social life is looking for a sweet snack in small form that can create a good time among friends. But the market has yet to offer that type of product.

Here comes the chance for young people to indulge in the world of delicious snack with the little Nutella cream-filled biscuits. Each square-shaped biscuit is a crunchy and porous piece of excitement fully filled with the world-famous Nutella cream inside. The small size of 2cm2 for each piece, with lots of these pieces in one package, is a promise to bring the snack time to not only a person, but also a whole group of friends, especially young people.

Basic information of the new product
 Product type/form: Cream-filled biscuits
 Product name: “Nutella & Share!” - biscuits with Nutella cream filling.
 Net weight/pack: 80g
 Price/pack: 25,000 VNĐ

Sales Forecasting/Financial Analysis
Product Protocol

The process of production : clean and safe with environment
Building up a reputation for Nutella and other related products in the future: Donation and funding for charity

Corporate strategy requirements

The supply must not be interrupted
Reach the unit sold that calculated in the sale forecast.

Production requirements

Development and intro period losses : not exceed 200,000,000đ
Break – even: by end in 1.5 year
Reach the profit

Financial requirements

Product intro must be planned and performed in the first 6 months
Focus on intermediate target market

Marketing requirements

Get to the market fast
After1 – 2 years  strongly developed and dominate the market.


Nutella chocolate-hazelnut spread and biscuit
Special package design
The package can be easily decomposed

Product attributes

A convenient and delicious product for the “Share” spirit of teenagers and early 20s.

Product positioning

Ultimate: young people, teenagers (15 – 19 years old, plus early 20s between 20 – 23 years old.)

Intermediate: Supermarkets, grocery stores, distributors

Target marketing

Brand-new product
New market not easy to penetrate
Regulations of food safety and labeling in Vietnam


Figure out every regulations about the food safety and labeling

Regulatory requirements

Competitor: Fun Bites of Jack n Jill, Hello Panda of Meiji, Koala March of Lotte and Oishi Pillow of Liwayway
The market of small melting cream-filling biscuit product in Viet Nam is not very well developedpotential
A potential market for Nutella

Competitive comparison

Tarket customer profile
• The age: 15 -20 years old, teenagers
• Location: Ha Noi, Hai Phong, Da Nang, Dong Nai...

Marketing objective
3.5% market share and 3th position in market in the 1st year
Profit : 80 million VND in first 6 months
Celebrating events to build awareness of target customers
Celebrity endorsement: Hot boys and hot girls, teen models.
Invite young people to sample the product
Creating the official Vietnamese page for Nutella on Facebook and official Nutella website in Vietnam
Rival ads and TVC on websites, social networks
Places and time
Promotion in schools and universities
Distribution channels: Supermarket, grocery stores and distributors.
Product will be fully on the market in this July

Product launch planning
Vietnamese social life right now is witnessing a growing need for a sweet, delicious snack product that can help young people, especially teenagers and early 20s, to share their enjoyable snack time with friends.
So here is Nutella chip cookies – the product which is believed to meet that demand. Enjoy the flat, baked treat and round - shaped cookies with small size to stimulate every young people’s taste. The added-up Nutella chips on the cookies surface make the cookies even more tempting and full of your favorite Nutella subtle flavor. Small size makes the cookies easily packed and consumed, perfect for a group of friends.

Thanks for your time :-)

Target customers: teenagers and early 20s
Seasonality factors: from September to May are higher than those from June to August.
Highest peaks: September – October and March – April.

Forecasted Sales
Full transcript