Peer Discussion Responce::

Why do you think Hershey failed in the move into the premium chocolate market?

I believe Hershey failed in moving to the premium chocolate market because it was already known as a non$-$premium brand. Hershey is reliable, as in we all know it is going to be a good quality chocolate, but it is not comparable to specialty chocolates. Because they simply released this new line without marketing it as a premium brand, people see this as the same as all the other Hershey products. I also believe people purchase Hershy using the nominal approach. A purchase of the Hershey brand doesn't require any thought. You know what you are getting every time so people will stick with the brand.

Would Hershey's adjustments be the most appropriate, or should it have taken other steps? Explain.

I understand the need to sell the product so in a pinch, lowering the price seemed like the best alternative for a product that was not selling. However, by lowering the price, I think that admits to the consumer this chocolate is not as superior as they have stated it to be$.$ Just like with a Coach purse, you can purchase a Coach purse off their website for full price or you can go to an outlet and purchase at a discounted price. Why would someone purchase a Coach purse at full list price knowing others are getting a discount? In my opinion, if I am going to pay the premium price, I am going to not get Coach at all then. I am going to purchase a purse that cannot be bought at an outlet mall OR I will purchase the Coach purse but only at the discounted price.

Would using social media instead of mass advertising have been more effective at teaching consumers that Hershey can offer high$-$quality chocolate worthy of trying? Explain why or why not.

Social media can be so beneficial if you are relying on spreading something by word of mouth and peer reviewal. Brands like Hershey don't need peer reviewal because they are an established brand. I think mass advertising is a better alternative to social media in order to keep the premium brand appearance. I would ask if you are not willing to invest in a product you feel you can charge a premium price on is it really a premium product?

How could Hershey have used online and social media analytics to measure consumer acceptance of Hershey Cacao Reserve?

Hershey can easily use social media to get a count of how many people on social media show interest by interacting with their ads. They can also use sponsors to share their products to their followers.