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Study of Promotional Strategies of Cadbury in India
Study of Promotional Strategies of Cadbury in India
SUMMARY
EXECUTIVE SUMMARY
The Cadbury·s India·s number one chocolate is able to share with their
The merge in 1969 with Schweppes and the subsequent development of the
business have led to Cadbury Schweppes taking the lead in both, the
confectionery and soft drink market inside UK and becoming a major force
This project is a sincere effort to look for the market potential in chocolate
had been prepared and the responses of the concerned people had been
experience.
Cadbury has grown from strength to strength with new technologies being
taking the led in both, the confectionary and soft drink market inside UK
that grew in one of the biggest, most loved chocolate brand in the world. A
is the world's second largest food company, making delicious products for
Our core purpose "make today delicious" captures the spirit of what we are
trying to achieve as a business. We make delicious foods you can feel good
quick bite or sitting down to family night, we pour our hearts into creating
leadership over the years. Some of the key brands in India are Cadbury
Cadbury enjoys a value market share of over 70% - the highest Cadbury
brand share in the world! Our billion-dollar brand Cadbury Dairy Milk is
considered the "gold standard" for chocolates in India. The pure taste of
In the Milk Food drinks segment our main product is Bournvita - the leading
Malted Food Drink (MFD) in the country. Similarly in the medicated candy
category Halls is the undisputed leader. We recently entered the gums
category with the launch of our worldwide dominant bubble gum brand
cultivation in India. For over two decades, we have worked with the Kerala
hybrids that improve the cocoa yield. Our Cocoa team visits farmers and
aspects. Our efforts have increased cocoa productivity and touched the lives
of thousands of farmers. Hardly surprising then that the Cocoa tree is called
confectionery, snacking and quick meals, we are poised in our leap towards
We understand their joys and their challenges because we’re consumers too.
What we do.
bite or sitting down to family night, we pour our hearts into creating foods
Our reach.
We inspire trust.
We keep it simple.
How we grow.
At Cadbury India we have always believed that good values and good
business go hand in hand. It's part of our heritage and the way we do things
Cadbury India has a tradition of caring for the environment and enriching
the quality of lives of the communities we live and work in, through a
management. We aim to look after the health and safety of our people and
constructed a check dam to store the rainwater. This dam not only acts as a
major ground water replenishing source for the bore wells in the factories
and surrounding community, but is also a stopover location for some of the
migratory birds!
Our efforts have increased cocoa productivity and touched the lives of
thousands of farmers. Hardly surprising then that the Cocoa tree is called the
Cadbury tree
Rising energy costs, and 300 sunny days a year, inspired the
factory to install 28 solar powered streetlights. It will reduce
annual carbon dioxide (a major greenhouse gas) emissions by ten tonnes,
playing a part in the effort to reduce global warming.
AND
SCOPE
HISTORY
Cadbury is a very old trusted name. It all started in Birmingham in
England when John Cadbury started his family grocery shop with
side business of cocoa and chocolate products in around 1824. His two
sons, Richard and George, expanded their family business of cocoa and
TARGET MARKET
MILLION.
• INDIA'S METROS PROVING TO BE THE BIG DRAW
MARKETING OBJECTIVES
• GROW SHAREHOLDER VALUE…OVER THE LONG TERM
THE MARKET
MARKET SEGMENTATION
• MARKET SEGMENTATION IS THE PROCESS IN MARKETING
PRODUCT VARIANTS
• CURRENTLY CADBURY INDIA OPERATES IN FOUR
CELEBRATIONS
PRODUCT INNOVATIONS
• 5 STAR:
CRUNCHY
• PERK:
PERK WAS MADE MUCH LIGHTER AND THE SIZE OF THE BAR
PACKAGING
PACKAGING.
STRATEGY
• CADBURY HAS FOLLOWED A WELL-PLANNED STRATEGY OF
TO CURB COSTS .
EARNINGS SENSITIVITY
FACTORS
INTERNATIONAL
IMPACT ON MARGINS.
THE MARKET.
PLANT LOCATIONS
CHOCOLATE ANNUALLY.
DISTRIBUTION
ARE SOLD
• DIRECTLY TO RETAILERS.
NESTLE BRANDS.
DEVELOPING A BRAND
A brand identity is the message sent out by the brand through its name,
product shape and design, visual symbols (such as logos), advertising etc.
Brand core
Brand proposition
Brand style
Brand themes
A brand pyramid can help managers plan and analyze a brand’s identity. The top tier
of the pyramid consists of brand core. Brand core values are the
genetic code of the brand and remain the same overtime. Closely related to these
values is the brand proposition : the promise the brand makes to the consumer. This
proposition should be easy to understand and appeal to the target market. The middle
tier represents the brands style or elements of the brands’ identity that represents the
self image of the brand of the brand and need to be relatively stable over time. The
base of the pyramid is formed by the brand themes which are concerned with the brand
currently communicate through its advertising, packaging, fashion, technological
developments and changing consumer tastes.
.
The brand pyramid helps managers understand the strengths of the brand and ensure
consistency of its message. This also helps to identify the opportunities for brand
stretching and brand extensions. A brand extension
The top tier of the pyramid consists of the br and core.
is the use of a well known brand name on a new
Brand core
product category. We will discuss this in relation to the DAIRY MILK brand. Brand
starch ing is the use of an established brand name in unrelated markets or product
categories , e.g. using a well known designer name on cosmetics, clothes, sunglasses
etc, such as “John Rocha Waterford Crystal”
physical appear ance etc. Brand themes are flexible and change with
physical appear ance etc. Brand themes are flexible and change with
CADBURY: THE BRAND
The brand CADBURY enjoys a high level of brand equity. Researches show 90% of
the people recognizes the brand while 74% state that when it comes to chocolate only
CADBURY will do. Individual brand names (orInmultibrands):
this case each
There are three main brand name strategies:
Family brand names: The parent brand is also known as an “umbrella” brand. This
term is given to product ranges where the family brand name is used for all products.
The advantage of this approach is the positive associations with the parent brand will
transfer to all sub brands. The risk however is that that if one brand is unsuccessful or
falls into disrepute, the reputation of the complete family of brands can be tarnished.
Cadbury is a family brand .\
Individual brand names (multi brands): in this case each brand is created and
named separately and has separate identity. Using a family brand may not be that
suitable as brand values may be far apart.
Combination brand names: This approach allows for the optional use of the
corporate brand name, while allowing an individual brand to be identified, e.g.
Cadbury Dairy Milk.
Cadbury uses a combination of brand strategies. The family brand ,Cadbury is linked
with its famous sub brands , i.e. Cadbury Crème Egg, Cadbury Roses and Cadbury
Flake to name a few. The family brand identity is style communicated by packaging
with the Cadbury corporate purple color and the distinctive Cadbury script logo. The
sub brand is then distinguished by its own individual livery.
Cadbury’s core brand values include "life’s everyday pleasures that make us feel good
and never let us down. As a reward or a pick me up, we consumer s trust Cadbury
chocolate to make us feel better
BUILDING A MEGABRAND:
CADBURY DAIRY MILK
In the last year there has been a major development in brand strategy at
Cadbury y Ireland. The Cadbury Dairy Milk brand has been stretched to
become a family brand in its own right. Of all the successful Cadbury brands,
the one with the greatest loyalty is Cadbury Dairy y Milk. In 2002 more than
19 million Dairy y Milk products were sold. Cadbury y made a strategic
marketing decision to leverage the value of the Dairy Milk brand (i.e.
optimize the market potential of the brand ) by elevating it to a Megabrand or
range brand.
Australia and South Africa. Its wrapper says that it consists of milk
chocolate with caramel and biscuit filling. The wrapper also states that Boost
is "Charged with glucose."
Cadbury Brunch Bar is a bar of cereals (oats, bran flakes and crispies)
bound with honey and half covered in milk chocolate. They come in a
variety of flavours: Raisin, Hazelnut, Apricot & Almond, Cranberry &
Orange, Fruit & Nut, Mixed Berry, Chocolate Chip and Toasted Coconut and
is made by Cadbury UK.
They are breakfast type bars that are quick to eat in, and ideally as a slightly
healthier and more wholesome snack option to chocolate bars.
In June 2009 Cadbury launched the "Cadbury Dairy Milk Bar and a Half"
range as a replacement to the Cadbury Dairy Milk "8 chunk" across several
Dairy Milk variants. The concept is that the bar is to be more "portionable",
so parts of the bar can be "saved for later" although the bar is the same as the
old 8 chunk but in Fruit and Nut, Whole Nut and Standard. This bar has the
new logo and packaging.
A similar technique has been introduced with Cadbury Double Decker and
Cadbury Boost bars. However instead of larger bars, two separate bars are
packaged together and are called "Duo". Both brands received a packaging
refresh at the same time.
Cadbury Dairy Milk Caramel is a chocolate bar that is part of the Cadbury
Dairy Milk brand and is made by Cadbury UK and Cadbury Ireland. The bar
is sold in the United Kingdom and Ireland. The bar was first launched in
1976, originally called Cadbury Caramel until 2003, when it was renamed.
In early 2009 it was relaunched, with the Caramel name re-emphasised as
the main on-pack brand, and the Dairy Milk brand reduced in size. he
product is a Cadbury Dairy Milk chocolate bar semi-divided into blocks each
of which has a caramel filling. The blocks vary in shape and number
according to the size of the bar, but on all bars, the blocks are stamped with
the word Cadbury on the top.
Cadbury Celebrations :
Cadbury Celebrations was aimed at replacing traditional gifting options like
Mithai and dry- fruits during festive seasons.
The super premium Celebrations Rich Dry Fruit Collection which is a festive
offering is an exotic range of chocolate covered dry fruits and nuts in various
flavours and the premium dark chocolate range which is exotic dark
chocolate in luscious flavours.
As the years progressed, so did the messaging, which changed with changes
in the consumers' way of life. To compliment Cadbury Perk's values, the
bubbly and vivacious Preity Zinta became the new face of Perk with the
'hunger strike' commercial in the mid 90's.
Cadbury Gems :
The saying "Good things come in small packets" has been proven right many
a times and it couldn't have been truer for the pretty chocolate buttons called
Gems. Who can forget the unique, brightly colored chocolate buttons with
crispy shells, encased in a pack that's as colorful as the product itself?
Unrivalled in all these years, Cadbury Gems has captured every consumer's
fantasy for almost 4 decades. Little wonder that Cadbury Gems, the brand
that came into India in 1968 is still going strong.
Cadbury Gems brings happiness to the consumer's world. With this promise
in mind, Cadbury Gems has always had 'Masti' as the key proposition in all
its communication. In fact, Cadbury Gems is always a willing ally for pranks
and fun.
Cadbury Bournvita :
Cadbury was incorporated in India on July 19th, 1948 as a private limited
company under the name of Cadbury-Fry (India). Cadbury Bournvita was
launched during the same year.
It is among the oldest brands in the Malt Based Food / Malt Food category
with a rich heritage and has always been known to provide the best nutrition
to aid growth and all round development.
Another reason for Cadbury being such a successful brand was that it aimed
at replacing the traditional sweet custom so prevalent in India. Indians have
the habit of carrying sweets as gifts when they visit a friend or relatives.
Cadbury items became the new sweets. It was not only considered better but
also superior to carry Cadbury instead of the normal sweets. Cadbury also
aimed at selling in bulk during festive seasons such as diwali and rakhi.
Diwali and rakhi packs are designed to give a feel of the festivities going on.
They are exclusively indianised. The chocolate packs contain special
chocoloates such as dry fruits rich chocolates as people normally serve dry
fruits during diwali.
To promote the new Dairy Milk
This is the creed or genetic code of
Brand
the brand;
core:
campaign. This involved a highly Megabrand, Cadbury implemented a
COMMUNICATING STRATEGY
To promote the new dairy milk megabrand , Cadbury implemented
comprehensive “360 degree support” campaign. This involved a highly
coordinated set of promotional activities across various communications
channel each activity bearing the same message . This approach is known as
integrated marketing communications and ensures that consumers
receive a clear and consistent message about a brand.
The 360 degree support campaign include a point of sale competition to win
a new look , new display units , a buy-two-get-one free promotion on 100g
bars, PR and advertisements in the trade press. The result was that sales of
the new Megabrand products exceeded targets by 12 % !!
Section I.2 Cadbury Advertising
Timeline
Section I.3 1867
Cadbury Cocoa Essence began advertising. They highlighted the purity of the product with the slogan
‘Absolutely pure, therefore best’.
The advert has Santa Claus on it, by using Santa Clause it means
that the poster will appeal to children a lot more than it would if Santa
was not included in the poster, the idea is that children will see santa
in the poster and then want the chocolate for christmas. In the poster
there is also several cadbury’s products being shown, this means that
many of the products are being promoted rather that just one it also
shows the variety that Cadbury’s sells. The writing on the Poster says
Club” and “Cadbury’s” are larger than the rest of the words to make
them stand out so that attention is drawn to those words more than the
others.
The target audience for this poster would be everyone. The santa
colours may also attract the attention of youngsters, and the fancy
I think the message behind this poster advertising Cadbury’s Dairy Milk
Chocolate is that, By using Santa in the poster it promotes the idea of
Cadbury’s Chocolate being a product that you could give away as a
Christmas present, also because Santa clause is such an iconic figure to
children, if I child sees a poster with Santa on it they will immediately be
intrigued to know what the poster is about therefore I think the message of
this poster is that you should buy this product because santa likes it, so you
will like it to.
This advert is dramatically different from the most recent adverts shown on
T.V and in poster form. The advert is much more old fashioned, naturally,
compared to the adverts which are produced now a days by Cadbury’s. The
colours used in the modern posters are very bright and attractive the
“Cadbury’s Colour” is purple so there tends to be a purple theme throughout
all of the posters and adverts where as in the early days of Cadbury’s this
wasn’t particularly the case, also in the latest adverts there tends to be a
slogan or jingle but in some of the earlier promotions of the products there
was no catchy slogan.
HYPOTHESIS
HYPOTHESIS
A hypothesis consists either of a suggested explanation for an
causal correlation among multiple phenomena. The term derives from the
Greek, hypotithenai meaning "to put under" or "to suppose." The scientific
method requires that one can test a scientific hypothesis. Scientists generally
theories. Even though the words "hypothesis" and "theory" are often used
dependent variable.
NULL HYPOTHESIS
A null hypothesis is a hypothesis (within the context of statistical hypothesis
testing) that might be falsified on the basis of observed data. The null
between a treatment and the control. The term was originally coined by
The null hypothesis (often denoted by H0) formally describes some aspect of
The Null Hypothesis is of this project report is that customers are highly
satisfied.
ALTERNATE HYPOTHESIS
restrictions to be tested does NOT hold." Often denoted H1. Synonym for
METHODOLOGY
Research Methodology
The purpose of methodology is to describe the process involved in research
work. This includes the overall research design, data collection method, the
· Market performance.
· Market position.
For my survey primary data have been used as a questionnaire to collect the
data.
SECONDARY:
The secondary data has been collected from the following modes:
· Magazines
· Books
· Newspaper
Research Design
Research Design is the arrangement for conditioned for data collection &
nature
· Type of study: For completing my study I have gone for sample study
because looking at the size of population & the time limitation it was not
convenient for me to cover entire population. Hence, I have gone for sample
Sampling Plan
adopt in selecting items to be inched in the sample i.e. the size of sample.
Steps In Sampling
Sampling Frame:
The list of sampling units from which sample is taken is called sampling
frame.
Mandi City map was studied thoroughly and samples were selected from the
place
SAMPLING SIZE:
Total sample size is 100. The following sample size according to area wise is
as
follows:
25 KOTHIWAL NAGAR
25 KHUSHAL NAGAR
25 MALVIYA NAGAR
25 JAWAHAR NAGAR
SAMPLING PROCEDURE:
time and so
the sampling were quite easy to measure, evaluate and co-operative. It was a
randomly area
· I will have to rely upon the information get from secondary sources
& Loss Account and Cash Flow ) and given by respondents, which may not
be fully true.
· This study will be limited to only some areas of Moradabad District of
Uttar Pradesh.
· The sample size is only 100 so the sample may not be truly representative
Field Work
I have collected the data through medium called questionnaire collecting the
responses from 100 people in all. I had done my field work in the following
area.
JAWAHAR NAGAR
project, and ask them to co–operate with me. Mostly all the respondent were
aware of this type of surveys. So I didn’t face any type of responses on the
questionnaire.
DATA
ANALYSIS
Q.1 How would you rate Cadbury Products ?
1. Good 95%
2. Poor 5%
1
2
Product Choice
1
2
3
4
Q.3 Are you satisfied with the packing of the Cadbury products ?
1. Yes 90%
2. No 10 %
1
2
Q.4 Are you satisfied with the quality & taste of the Cadbury Products ?
1. Yes 77%
2. No 23%
1
2
1. Yes 55%
2. No 45%
1
2
1. Biscuits 40%
2. Muffins 50%
3. Cereals 10%
1
2
3
Q.7 Do you want that Cadbury should launch some sugar free products?
1. Yes 70%
2. No 30%
1
2
Q.8 Are you satisfied with the pricing of the Cadbury Products
1. Yes 55%
2. NO 45%
Satisfaction
1
2
1
2
3
Q.10 Do you wish to buy International Products of Cadbury ?
1. Yes 60%
2. No 40%
1
2
Q.11 Do you like the pack of Cadbury which are prepared for ocassions
especially ?
1.Yes 90%
2.No 10%
1
2
FINDINGS
On an average more than 90% Peole Like Cadbury Products , moreover 60%
of the people like Dairy Milk, 20% like Gems, 15% like Eclairs and only 5%
like Bytes.
Taste & Quality wise Cadbury satisfies more than 70% of the consumer
base.
More than 70% people says that Cadbury must launch sugarfree products.
Arround 50% People are satisfied with the product pricing of the Cadbury
Products , and 60% people like to buy the International Products of the
Cadbury .
Especial Celebration packs of Cadbury attract a lot of people more than 90%
range of products each with their own identity, but now under the Dairy Milk
Dairy Milk brand to the full. The strategy involved a packaging and range
brand. Having exceeded initial sales tar gets by a considerable margin, the
small, retail or B2B. An effective brand strategy gives you a major edge in
Simply put, your brand is your promise to your customer. It tells them what
they can expect from your products and services, and it differentiates your
offering from your competitors'. Your brand is derived from who you are,
who you want to be and who people perceive you to be.
reliable one? Is your product the high-cost, high-quality option, or the low-
cost, high-value option? You can't be both, and you can't be all things to all
people. Who you are should be based to some extent on who your target
The foundation of your brand is your logo. Your website, packaging and
Branding is all important for those of use who want to be recognized for
their name, business idea, business or product. Like the big name brands
For most, the brand name is either their own name, or else the name of the
product they developed. Not only will others know who they are dealing
with, but if we brand ourselves properly, then our name will be a synonym
We all know that big name bloggers such as ShoeMoney, John Chow, Yaro
Starak, Maki and Daren Rowse have managed to do just that. They branded
themselves through continuously using their own name or that of their
website.
BIBLIOGRAPHY
BIBLIOGRAPHY
Online Media :
• WWW.CADBURY.CO.UK
• WWW.CHOCOLATEREVIEW.CO.UK
• WWW.WIKIPEDIA.ORG
• WWW.CADBURY.COM
• WWW.OPPAPERS.COM
Refrences :
• PHILIP KOTLER
Print Media:
• The Times of India
• India Today
• Forbes India
• Dainik Jagran
ANNEXURES
ANNEXURES
QUESTIONNARE
Q.1 How would you rate Cadbury Products ?
1. Good
2. Poor
Q.3 Are you satisfied with the packing of the Cadbury products ?
1. Yes
2. No
Q.4 Are you satisfied with the quality & taste of the Cadbury Products ?
1. Yes
2. No
Q.7 Do you want that Cadbury should launch some sugar free products?
1. Yes
2. No
Q.8 Are you satisfied with the pricing of the Cadbury Products
1. Yes
2. NO
Q.11 Do you like the pack of Cadbury which are prepared for ocassions
especially ?
1.Yes
2.No