Project Team Enter your names here in alphabetical order Team member 1 Team member 2 Team member 3 Upward Bound Final Report – December 2011 Survey and Analysis for Increasing Chocolate sales

2Topics Identify a business or social issue to which surveying will get to the mind of the consumer Addressable Minds… what is it, and how it works Review the study process and the results and conclusions

3 Business Issue There is a huge variety of chocolate in the market How can a chocolate company find out what appeals to consumers of chocolate in order to increase sales? The team of Upward Bound students wants to find out what to say & how to say it to consumers of chocolate to entice them in buying a bar of chocolate

4 About Addressable Minds Addressable Minds is a scientific, actionable form of “predictive consumer intelligence” for business and social issues accurately defining consumer attitudes and preferences both stated and unstated. It has been described by Malcolm Gladwell and others as discovering the “DNA of the Consumers Mind”. This patented science created by Dr. Howard Moskowitz, author of “Selling Blue Elephants” (Wharton Press) and the Wharton Business School has achieved critical acclaim and financial success across: ◦ product design and development, ◦ consumer messaging, ◦ more effective consumer engagement physically and digitally.

Dr. Howard Moskowitz. Addressable Minds Inventor, honored by the scientific community,... Is the Chairman of iNovum, a graduate of Queens College and holds a Ph.D. in Experimental Psychology from Harvard University. Won two of the most prestigious awards in market research 2005 Charles Coolidge Parlin Marketing Research Award The “Nobel Prize” of Market Research, received only by the pioneers of market research. Recipients include Arthur Nielsen, George Gallup, Michael Porter, David Ogilvy and Philip Kotler Walston Chubb Award for Innovation across all sciences, Sigma Xi, The Scientific Research Society, international Awarded for Mind Genomics: The science underlying the technology used in this Math 110 course. 5

Addressable Minds Psychographic Segmentation - Social Class - Lifestyle Type - Personality Type Behavioral Segmentation - Product Usage - Brand Loyalty - Attitudinal Demographic Segmentation - Age - Gender - Income Addressable Minds Cuts across traditional segmentation & detects hidden preferences

Addressable Minds Approach 7 DEVELOP SURVEY QUESTIONS Potential chocolate buyers ANALYZED SURVEY RESULTS → Addressable Minds INTERNET IdeaMap™ SUY SURVEY IDENTIFY TARGET MARKET MARKET SEGMENTATIONSEGMENTATION WIZARD MARKETING PHRASES 10 – 15 minutes

Addressable Minds’ underlying science uses standard Science and Mathematics 8 DEVELOP SURVEY QUESTIONS ANALYZED SURVEY RESULTS → Addressable Minds INTERNET IdeaMap™ SUY SURVEY IDENTIFY TARGET MARKET Conjoint analysis Ordinary Least Squares Regression Discriminant Function Analysis Experimental Design – Stimulus/Response Potential chocolate buyers

9 A Survey Was Performed by the Team in the area of chocolate To serve as a learning vehicle for the application Addressable Minds to a practical business or social issue Sufficient to show the power of the method

SURVEY OVERVIEW  An Addressable Minds Survey is a survey of key ideas for chocolate  Survey conducted on November 23, 2011 : ◦ Population Ages 18 and over of Males/Females across the US  The team created key marketing and advertising messaging with the intent to entice people to buy chocolate bar 10

SURVEY OVERVIEW 51 Individuals responded The main question asked in the survey: ◦ How likely are you to buy this chocolate bar? Data reveals the mind-sets of respondents across the United States, as well as ‘what works, what doesn’t’ 11

12 The Survey begins with an orientation screen

13 Each respondent evaluates 48 unique combinations of elements First on overall interest

14 What convinces? What drives feelings?

15 Total Panel – eager to step up to protect others

16 The Total Panel’s Interest is Different From That in Each of Two Identified Segments

Team identified two unique segments Different People – Different Approach Messaging for one isn’t necessary going to appeal to the other…and could actually hurt 17 Flavor Seeker 66% Chocoholic 34%

18 Chocoholic (Seg1)

Respond well to messages that suggest getting chocolate of any kind for all occasions Chocolate cake for the chocoholic Buy at your favorite chocolate store Chocolate for every special occasion Chocolate bars for your valentines sweet heart React negatively to messages describing different chocolate flavors Delicious cafe mocha flavor Your favorite fruit flavor Smooth vanilla flavor 19

20 Flavor Seeker (Seg2)

Respond well to messages that describe different flavors of chocolate Delicious cafe mocha flavor Variety of different fillings React negatively to messages describing chocolate shapes or occasions for purchase of chocolate Chocolate in the shape of your favorite cartoon characters Buy one before getting on the plane 21

22 Conclusions/Recommendations Chocolate manufacturers could increase their sales if they change their advertising campaigns. The new advertisement would include the top-rated messages identified in Chocolate survey. Two segments discovered by Addressable Minds point to the need for 2 individual messaging groups. If the right messages are given to the right people sales of chocolate would go up.