All hands on spec

Chocolaterie Casemir is defiantly marching to the beat of its own accordion. When most firms are automating, streamlining and cutting costs, Casemir is looking for ways to diversify revenue sources that allow it to continue making chocolate by hand and using fresh ingredients such as cream instead of condensed milk and real fruit instead of concentrates or syrups. Having supplied most of the top UK hotels for the better part of the decade, Casemir's new ideas include maximising income in the slow season, moving into retail and interacting with consumers through a 'chocolate club', says md James Ecclestone.

Last year, Casemir, based at Enfield in Middlesex, attempted to get luxury chocolates listed in retail chains but ran into problems. While supermarket buyers liked the taste, they were hesitant about a shelf-life of just seven weeks and a product more suited to the chilled than the ambient section, because of its use of fresh cream, says Ecclestone.

Products could have been made with condensed milk and preservatives, which would extend shelf-life to the required 1326 weeks. But this would have ruined the taste, texture and consistency, he adds. And it was something Casemir refused to do.

Consequently Casemir has been forced to explore other potential outlets. This year, VIPs at the Oval Cricket Ground will get complimentary chocolate cricket balls that have been filled with cardamom, cinnamon and lemon-grass truffles; flavours inspired by the summer tests' opponents from the Far East. The deal will boost Casemir's revenue during summer, which is traditionally a quiet time for chocolatiers. Once the deal comes to an end, Ecclestone plans to approach Lord's Cricket Ground to see if it would be interested in the idea for a permanent gift shop listing.

To make inroads into retail, Casemir will launch 78g chocolate bars under a new brand, Grown Up Chocolates, at the end of this month. Made from chocolate, pralines and salted peanuts, the bar avoids dairy products, which extends the shelf-life without cutting quality or using preservatives, Ecclestone says.

Although consumers prefer handmade cakes and muffins, most do not differentiate when it comes to chocolates, says Jo Newman, Casemir's retail sales director. She hopes that messages on Grown Up packs and talking to consumers will change this perception.

However, insisting on making chocolates by hand limits production capacity and increases the price, as 26% of costs come from labour, says Ecclestone. He rejects the use of injection moulds, since he believes they take the skill out of chocolate making. "Many of our competitors think that making a chocolate involves buying a tub of pre-made caramel, injecting it into a mould, covering it with a bit of praline and calling it handmade. But it's about more than some horrible emulsified product that has been hand-decorated,"​ he says.

Limiting production also suits Newman. It helps to create an element of exclusivity, she says. She cites the example of Gü Puds, where she was operations manager until she read about Casemir in Food Manufacture. Retailers' discounts and promotions also undermine luxury brands, as has happened with Thorntons, adds Ecclestone.

Chocolate club​

Ecclestone believes there is a gap in the market between luxury chocolate makers such as Hotel Chocolat and Thorntons, which produce on a large scale, and bespoke chocolatiers such as William Curley, which almost individually hand-carve each chocolate but charge prices to match.

To fill this perceived gap, Casemir launched the Grown Up Chocolate Club this month. This will offer a monthly selection of 31 flavoured chocolates that have been made according to Casemir's principles on ingredients and craft. They will come at a slightly lower price than its competitors and with less emphasis on "chocolate snobbery", says Newman.

The club will also give Casemir a chance to test new flavours before introducing them into hotels. Each box will include a scorecard to glean feedback and new product development suggestions from members. "People always want the next big thing before it becomes the next big thing. The chocolate club gives them that chance,"​ Newman says.

Casemir will also use the club as an outlet for surplus to small orders to maintain efficiencies of scale.

Changeover issues​

The 78 flavours Casemir offers mean frequent changeovers. However, the factory experience Newman brought with her from Gü has improved scheduling and staff management, says Ecclestone. This coupled with the purchase of two new chocolate tempering and enrobing machines means the factory has a dedicated dark, milk and light temperer and does not have to go through the long cleaning process each time it switches chocolate type.

Although efficiency has improved and it is possible to increase production to six tonnes via double-shift operation, success with the bars or club, added to the 20% growth already experienced in the previous year, means Casemir will have to move to a new site by the end of the year, Ecclestone says.

However, Casemir has already invested over £200,000 in improvements at its existing freehold premises and may look to expand locally to stay close to many of its hotel customers in London.

New launches are always a risk and there is no guarantee Casemir's move into retail will generate enough extra revenue to facilitate a change of location. What Casemir has set out to do involves a complete reeducation of consumers' confectionery knowledge. But if it was easy, everyone would be doing it.