Structure intact during growth

The “price wave” generated by chocolate imports of recent years has not succeeded in changing the structure of the market or weakening the positions of strong brands. The dumping of cheap chocolate on the Hungarian market did not have much effect on the trends of demand. Baking chocolates continued to loose ground, the 100 gram size is still the most popular and the respective proportions of various types of chocolates did not change either. Dark chocolate is slowly gaining popularity. According to data from Nielsen, dark chocolate only held a market share of 7 per cent in 2004, this was 11 per cent in 2005 and 13 per cent in 2006. Tibi is a popular brand in this segment, with Tibi Cocoa Dream as a unique innovation. Kraft foods introduced Côte D’Or 70, and 86 bars with the numbers indicating cocoa content and added bits of fruits in the chocolate. Their latest product is Côte D’Or Sensations Noir Aux Eclats De Cacao with caramelised bits of cocoa beans. Competition is still focused in the milk chocolate category, with Tibi, Boci and Milka as major contenders. Private labels are also developing, having conquered almost a quarter of the market. Traditional Milka bars are still the most popular, while in terms of size, the 300 gram version produced significant growth. As a result of further improvements in production technology, Milka has become even “smoother”, which is appreciated by consumers. Two types of promotions are used: instant gifts with sampling and loyalty promotions for brand building. The Milka Magic castle promotion which ended in January attracted over a hundred thousand participants. New flavours are continuously added to the Tibi product range and even two seasonal products are marketed both during the winter and the summer. Tibi appeared on the Sziget in 2006 and a TV and sampling campaign was used to communicate a change of recipe. Graphical appearance also changed to better emphasise the creamy, smooth character of the chocolate. The October-November period of 2006 brought a new sales record for Tibi bars.