Those kinds of events I wrote about in the last blog seems really interesting to me.
I will continue to write about it.

In this blog, I am going to think about the advantages and disadvantages of those events that customers choose a company’s new product.
Considering about advantages, the most important advantage is that a company gets a great attention from not only existing customers but also non-existing customers. In fact, Nestle says that they added 200k new customers because of Kit Kat chunk champion.

Also, a company can avoid a big loss because if they invest one new product and do not sell well, they will suffer a big loss. By launching several new products, they do not have to test them so much before launching them and can reach different segments customers.

But, if what I wrote above is true, why do not other companies do the same kind of campaign? Are there any problems for them?
I guess that the biggest problem is the cost. If you want to do a new campaign, you have to prepare some products at the same time. This means that you have to make several product lines. It costs a lot. And, it may cause cannibalization.

To sum up, the campaign like Kit Kat chunky champion that customers chose a new product is a good way to get a great attention from different segments. They do not need to test their new product before launching it. However, it costs a lot and may sometimes cause cannibalization.

A company has to consider about this when doing this kind of campaign.

By the way, I’m really interested in Mint Kit Kat 🙂

Kit Kat chunky champion 2013

Click the link above!!

Did you know about Kit Kat chunky champion?

I didn’t know it before my British roommate told me about it.
Kit Kat chunky champion is the tournament for four new flavor Kit Kats. This tournament was held in 2012 at first. According to Nestle HP, “It was the biggest confectionery singles event ever for Nestle Confectionery with over 600k votes cast on Facebook, 11 million bars sold[1] and very importantly drove penetration by adding 200k new young consumers into the category[2].”

Recently, These kinds of events that customers choose a company’s new product are becoming popular all over the world.

For example, coca cola Japan held the same kind of event in Japan. It was called “Oolong tea National referendum.” Maybe you don’t know, Japanese people like tea (not black tea) very much. We usually drink tea instead of water. This campaign also succeeded greatly, though I couldn’t tell the difference between these two oolong tea. Lol

This  is still going on, so why don’t you try this campaign if you plan to come to Japan?

Reference:
“Nestle UK”, URL: http://www.nestle.co.uk/media/pressreleases/nestle-confectionerys-2013-kit-kat-chunky-champion-campaign-goes-live