Mega M&M's Buck Healthy-Foods Trend
Topic Market Segmentation, Targeting and Positioning
Key Words Target market, demographic segmentation, line extension
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News Story 

If the introduction of the Hardee's Monster Thickburger was enough to set nutrition watchdogs howling, a new product line extension from a leading candy manufacturer may put the food police on emergency alert.

In a celebrity-festooned gala staged at New York City's Grand Central Terminal, Masterfoods USA unveiled Mega M&M's, a super-sized version of America's favorite color-coated candy. According to a company press release, the new candies are on average 55 percent bigger in size than original M&M's and come in six new hues designed to appeal to adults: blue-gray, beige, maroon, teal, gold, and brown.

The fitting ceremony held at one of the largest train stations in the nation featured "Dancing with the Stars" contestant John O'Hurley, a popular television actor best known for his J. Peterman character on the syndicated sitcom "Seinfeld."

According to a Masterfoods USA statement, the decision to upsize America's favorite M&M's chocolate candies came as a result of overwhelming consumer demand for the limited-edition "Ogre-sized" M&M's created in conjunction with last year's hit film "Shrek 2." M&M's have been skillfully extended over the years to include Minis and Peanut varieties among others, and the company believes that the new Mega M&M's will deliver all the big taste and fun associated with the original M&M's while keeping the brand fresh and relevant.

Questions
1.

Read the article and list ways that Masterfoods USA targets adults with its new Mega M&M's chocolate candies.

2.

According to the article, why do companies often prefer to launch a line extension of a tried-and-true product instead of developing an entirely new brand?

Source Stuart Elliott, "Calories? Hah! Munch Some Mega M&M's," The New York Times, August 5, 2005 pC5(L).
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