Pricing Strategy Report for Choco-Khāna: Taste ka khazana
Prepared by: Choco-Khāna Team
Date: January 11, 2024
Executive Summary:
This report outlines a comprehensive pricing strategy for Choco-Khāna, our innovative brand
of chocolate-coated foxnuts. Through in-depth analysis of market trends, competitor
dynamics, and target customer behavior, we propose optimal retail prices for various package
sizes, ensuring both profitability and customer satisfaction.
Competitive Landscape:
Our research reveals a diverse market for snacks, with several competitors offering coated
nuts and candies. While some prioritize affordability, others focus on premium ingredients
and niche flavors. We aim to carve a unique space within this landscape by leveraging the
irresistible combination of crunchy foxnuts and delectable chocolate, targeting health-
conscious individuals and adventurous snackers alike.
Target Customer Profiles:
Choco-Khāna caters to two primary customer segments:
1. Health-Conscious Snackers: These individuals prioritize natural ingredients, lower
sugar content, and convenient, single-serve packaging.
2. Value-Seekers: This segment focuses on affordability and larger pack sizes, perfect
for family enjoyment or sharing with friends.
Recommended Retail Pricing:
Small Single-Serve Pouch (25g): INR 18-20 (addresses health-conscious
preferences, offering portion control and premium image)
Medium Pouch (50g): INR 30-35 (balances value and convenience, ideal for
individual snacking or small gatherings)
Large Family Pack (100g): INR 50-55 (targets value-seekers with a larger family-
sized option, maintaining competitive pricing)
Premium Flavor Variety Pack (4x25g): INR 65-75 (appeals to adventurous palates and
offers a unique trial experience of different flavors)
Rationale for Pricing:
These prices factor in production costs, desired profit margins, and competitive benchmarks.
The premium on smaller single-serve packs reflects the convenience and quality, while larger
packs offer economies of scale. The variety pack commands a higher price due to the unique
combination of flavors and enhanced packaging.
Promotional Strategies:
To further incentivize purchase and gain market share, we propose:
Introductory discounts: Offer temporary price reductions on specific pack sizes to
introduce Choco-Khāna to new customers.
Bundle deals: Combine different packs at discounted prices, encouraging larger
purchases and trial of various flavors.
Loyalty programs: Reward repeat customers with points or exclusive offers to foster
brand loyalty and build a community.
Conclusion:
This pricing strategy is designed to achieve optimal profitability while attracting and
retaining our target customer base. By continuously monitoring market trends, competitor
pricing, and customer feedback, we will adapt and refine this strategy to ensure Choco-
Khāna's successful journey in the delicious world of snacking.
Next Steps:
Upon approval, we recommend implementing this pricing strategy across all distribution
channels, accompanied by the proposed promotional activities. Monitoring sales data and
customer feedback will guide further optimization and ensureChoco-Khāna's enduring
success.
We are confident that this insightful pricing strategy will unlock Choco-Khāna's full potential
and establish it as a beloved brand in the snacking landscape.
