Marketing Plan for Bioko Treats in Malaysia

Introduction

The global chocolate market has regional variations in chocolate preferences (MarketsandMarkets, 2022). The demand for artisanal, or bean-to-bar, chocolate, which is the kind made by Bioko Treats, has increased recently. An in-house manufacturer of handcrafted dark and milk chocolate utilizing beans with provenance from Ghana’s Eastern Region, Bioko Treats is situated in Ghana (Bioko Treats, 2020). The corporation wants to increase its operations by breaking into new international markets. The suitability of the company’s products for international markets is examined in this research. It also suggests a market entry strategy for Bioko Treats to succeed in the Malaysian market.

Market Analysis

With a population of more than 33 million, Malaysia is a developing nation in Southeast Asia (World Bank, 2022). Malaysia’s expanding chocolate industry presents a chance for Bioko Treats to increase its market share. According to Mortar Intelligence (2022), the Malaysian chocolate market is expected to rise at a 4.5% CAGR from 2023 to 2028. The desire for premium and dark chocolate goods, aligned with the trend toward artisanal and bean-to-bar chocolate products, drives the Malaysian chocolate market. According to Euromonitor International (2023), Malaysia’s demand for high-end chocolate increased by 11% in 2022. Additionally, due to its numerous health advantages, including its high antioxidant content and low sugar level, dark chocolate is becoming increasingly popular among Malaysians who are becoming more health conscious.

With domestic and foreign competitors, the chocolate market in Malaysia is competitive. Nestle, Cadbury, and Ferrero are the three most prominent brands in Malaysia’s chocolate industry (Mordor Intelligence, 2022). In Malaysia, Nestle dominates the market and offers a variety of goods like KitKat, Crunch, and Milkybar. Cadbury is the second-largest competitor in the industry, with brands including Dairy Milk, Bournville, and 5-Star among its assortment of chocolate goods. With a concentration on premium chocolate products like Ferrero Rocher and Kinder, Ferrero has a reduced market share. Supermarkets, hypermarkets, and convenience stores are the primary channels through which chocolate goods are distributed in Malaysia. Additionally, e-commerce sites like Lazada and Shopee have become popular in recent years, enabling people to buy chocolate items online.

Situation Analysis- PESTLE analysis

Before Bioko Treats may enter the Malaysian market, a situation analysis must be done to comprehend the market’s external environment. A PESTLE analysis can provide an extensive assessment of the external factors that can impact Bioko Treats’ introduction into the Malaysian market.

• Political aspects: Malaysia is a politically stable nation with a solid legal system to safeguard foreign interests (Ministry of Foreign Affairs, 2023). Additionally, the government provides advantages to international investors, which can help Bioko Treats enter the Malaysian market.
• Economic aspects: Malaysia’s economy is strong and expanding, with a projected GDP of $336.3 billion in 2020 (Matsas, 2022). The middle class in the nation is expanding, and artisanal chocolates and other high-end goods are becoming increasingly in demand. This trend presents an opportunity for Bioko Treats to establish itself as a luxury chocolate brand in the Malaysian market.
• Social factors: Food plays a big part in Malaysia’s diverse culture because it is a multicultural society (Perry, 2017). In Malaysia, chocolate is a well-liked sweet treat, and there is a growing preference for high-quality, wholesome foods, which could be advantageous for Bioko Treats.
• Factors related to technology: Malaysia has a robust infrastructure and a high internet and mobile penetration rate. Bioko Treats may efficiently reach its target demographic by utilizing digital marketing channels.
• Legal considerations: Bioko Treats must abide by Malaysia’s stringent food safety and labeling rules before releasing its products on the market.
• Environmental factors: Consumer awareness for sustainability is rising, and Malaysia is well-known for its biodiversity and eco-tourism. By highlighting its ethical and sustainable chocolate-making procedures, Bioko Treats may stand out from the competition and potentially attract eco-aware customers.

Impacts of culture

Any commercial endeavor, especially one involving the sale of food products, must consider culture to succeed. Being located in Ghana, Bioko Treats must consider the cultural distinctions between Ghana and Malaysia when approaching the Malaysian market. Islam is the most prevalent religion in Malaysia, and because of its unique dietary constraints, food goods must be marketed accordingly. For instance, any product with alcohol or pork may not be favorably appreciated in Malaysia. Furthermore, since Malaysian food is frequently sweet, Bioko’s chocolate products might need to be modified to appeal to regional tastes.

Additionally, cultural variations may affect how people view and eat chocolate. For instance, while chocolate is commonly used in baking and cooking in some cultures, it is also consumed as a snack in others. Bioko Treats may therefore need to change its marketing plan to appeal to Malaysian customers. For instance, emphasizing chocolate’s health advantages as a snack would appeal more to Malaysians. Finally, when approaching the Malaysian market, Bioko Treats must consider the cultural distinctions between Ghana and Malaysia. Its chances of success can be increased by customizing its offerings and marketing plan to cater to regional interests and preferences.

Objectives:

1. To raise Malaysian consumers’ awareness of the Bioko Treats brand.
2. To boost Bioko Treats product sales in Malaysia.

• To develop Bioko Treats as Malaysia’s premier chocolate brand.

1. To develop a devoted Malaysian consumer base for Bioko Treats goods.

Justification of adaptation

The Malaysian market is something that Bioko Treats is considering. The business must decide whether to standardize or change its marketing mix when entering a foreign market to fit the new cultural environment (Agatha, 2010). In this instance, cultural differences in Malaysia are probably going to affect the company’s chocolate products. With a mixture of Malay, Chinese, Indian, and other ethnic groups, Malaysia has a diversified population, each with its cultural customs, languages, and gastronomic preferences (Abidin et al., 2020). Therefore, Bioko Treats should consider changing its marketing mix to accommodate Malaysia’s distinctive cultural setting.

Increased acceptance and sales of Bioko’s goods in Malaysia are the goals of adjusting the marketing mix. This can be accomplished by utilizing regional tastes and popular ingredients with Malaysian customers. The business can also consider adapting its packaging and marketing materials to reflect regional culture and dialect. Bioko could be consistent across all markets if the marketing mix were standardized. However, Malaysian consumers may not respond well to this strategy because of their diverse cultural values and taste preferences. In order to accommodate the cultural variations in Malaysia, Bioko Treats should think about changing its marketing strategy. In the new market, this would aid the business in growing sales and brand recognition.

Proposed marketing mix

Bioko Treats must comprehend the cultural and regional variations in the Malaysian market, as well as consumers’ taste preferences and purchasing patterns, to create an efficient marketing mix.

Product: The assortment of goods offered by Bioko Treats includes chocolate bars, pralines, and other unique items like cookies and custom packaging (Bioko Treats, 2020). Bioko Treats should consider changing its product lineup to accommodate Malaysian consumers’ tastes. For instance, Bioko Treats should concentrate more on milk chocolate items since Malaysians frequently choose milk chocolate over dark chocolate. The business can also create new tastes catering to Malaysian palates, such as durian-flavored chocolates.

Price: The local market’s price norms should be the foundation for Bioko Treats’ pricing approach. They ought to conduct market research to find the going rate for comparable chocolate goods in Malaysia’s market and set their prices competitively. Additionally, the business ought to think about providing special discounts throughout the holiday seasons, like Chinese New Year or Hari Raya.

Place: Bioko Treats needs to determine viable outlets for sales in Malaysia, including supermarkets, specialty shops, and internet marketplaces. To ensure that their products are accessible in the appropriate places, they could work in conjunction with regional distributors. The business should think about establishing its retail locations or pop-up shops in well-known shopping centers or tourist hotspots to raise brand awareness and attract a wider clientele.

Promotion: To advertise their products, Bioko Treats should use social media sites like Facebook, Instagram, and TikTok. They might collaborate with bloggers or influencers to create buzz and raise brand recognition. The business should also consider more conventional forms of advertising, like print media, billboards, and television ads.

Conclusion

In conclusion, Bioko Treats has the chance to grow its market presence and position itself as a luxury chocolate brand by entering the Malaysian market. Bioko Treats can improve its chances of success in the Malaysian market by considering the cultural differences between Ghana and Malaysia, tailoring its products and marketing strategy to local tastes, and implementing a thorough market plan. The business should constantly assess how well its marketing strategy is working and make any improvements.

References

MarketsandMarkets. (2022, August). Cocoa and chocolate market. https://www.marketsandmarkets.com/Market-Reports/cocoa-chocolate-market-226179290.html

Bioko Treats. (2020). About Bioko – Bioko treats. Bioko Treats – Best of Ghana Chocolates. https://biokotreats.com/about-bioko/

World Bank. (2022). Malaysia. World Bank Open Data | Data. https://data.worldbank.org/country/MY

Mordor Intelligence. (2022). Chocolate market size, share | 2022 – 27 |Trends. https://www.mordorintelligence.com/industry-reports/chocolate-market

Euromonitor International. (2022). Chocolate confectionery in Malaysia. Euromonitor. https://www.euromonitor.com/chocolate-confectionery-in-malaysia/report

Ministry of Foreign Affairs. (2023). Malaysia’s foreign policy. Official Portal Ministry of Foreign Affairs, Malaysia – Portal. https://www.kln.gov.my/web/guest/foreign-policy

Matsas, A. (2022, March 31). The Malaysian market opportunity. Export Connect. https://exportconnect.com.au/malaysia-market-opportunity/

Perry M. (2017). Feasting on Culture and Identity: Food Functions in a Multicultural and Transcultural Malaysia. – UKM Journal Article Repository. https://journalarticle.ukm.my/12864/1/21729-65591-1-PB.pdf

Agatha. (2010). Standardizing or Adapting the Marketing Mix across Culture. Simple search. https://www.diva-portal.org/smash/get/diva2:326017/fulltext01

Abidin M., Ishak F., Ismail I., and Juhari N. (2020, October). Modern Malaysian Cuisine: Identity, culture, or modern-day fad? Just a moment… https://www.sciencedirect.com/science/article/abs/pii/S1878450X20300974