BUSINESS BASIC FOR ENTREPRENEUR

MARKETING STATERGIES FOR

CADBURY COMPANY
REPORT

Submitted by

MURALIGOWTHAMAN.S

REGISTER NO: 19TB0152

Submitted to

Dr. A. THIAGARAJAN, M.Tech., Ph.D

Associate Professor

In partial fulfilment of the requirements for the degree Of

BACHELOR OF TECHNOLOGY

DEPARTMENT OF MECHANICAL ENGINEERING

SRI MANAKULAR VINAYAGAR ENGINEERING COLLEGE

(AUTONOMOUS INSTITUTION)

MADAGADIPET, PUDUCHERRY-605 107

OCT-2022

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Executive Summary

Cadbury Schweppes is the world’s largest confectionery company. They

manufacture, market and distribute branded chocolates, confectionery and
beverages that bring smiles to millions of consumers across 180 countries.
With origins stretching back over 200 years, today their products - which
include brands such as Cadbury, Schweppes, Halls, Trident, Dr Pepper, Snapple,
Trebor, Dentyne, Bubblicious and Bassett - are enjoyed in every country and
around the world. Cadbury Schweppes employs over 70,000 people
worldwide. The heritage started back in 1783 when Jacob Schweppes
perfected his process for manufacturing carbonated mineral water in Geneva,
Switzerland. And in 1824 John Cadbury opened a shop in Birmingham selling
cocoa and chocolate. Cadbury has been synonymous with chocolate since
1824; the most famous being Cadbury Dairy Milk; first launched in 1905, and
still a market leader today. These two great household names merged in 1969
to form Cadbury Schweppes plc.
Cadbury is the leader in the UK chocolate market and is the confectionery
division of Cadbury Schweppes plc. Cadbury's Asia-Pacific sales are smaller
compared to Europe and US. Asia Pacific sales accounted for only 18 per cent
of the group's revenue of $7427 million dollars in 2006. The mature Japan and
Australia markets have generated most of the firm's sales in the region, but
younger, fast-growing markets are becoming more important for the group.
Cadbury currently makes around one third of its total Asia Pacific sales from
'emerging markets', of countries like China, India, Malaysia, Singapore etc.
Cadbury launched Boost Guarana in 2001 in U.K, a new chocolate bar, which
with proven energy stimulation properties. Containing Guarana, a South
American plant extract known to native Indians for centuries, the product was
launched to meet the consumer need of stimulating the mind and complement
a busy lifestyle. Cadbury is planning to launch BOOST GUARANA in the vibrant
Singapore chocolate market.

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 CONTENTS OF CADBERY
SERIAL.NO: TOPIC PAGE.NO:
1. INTRODUCTION 4
2. INTERSTING FACTS OF CADBURY 5
3. HISTORY OF CADBURY 6
4. PRODUCTS OF CADBURY WHEN THEY LAUNCHED IN 7
MARKET
5. EXPANSION AND GROWTH OF CADBURY 8
6. OVERALL TURN OVER 9
7. CHALLENGES OF CADBURY 10
8. CADBURY IN THE ENGLAND AND OTHER EUROPEANS’ 10
COUNTRIES
9. CADBURY ASIA 11
10. CADBURY ADVERTISING TIMELINE THEIR PRODUCTS 12
11. PRODUCTS OF CADBURY 13
12. MEANING OF MARKETING STRATEGY 16
13. MARKETING STRATEGY OF CADBURY 16
14. SWOT ANALYSIS 18
15. 5 P’S OF CADBURY 20
16. ADVERTISING THEIR PRODUCTS IN DIFFERENT WAYS 23
17. SEGMENTATION, TARGETING, POSITIONING 24
18. BRAND AMBASSADOR 26
19. COMPETITORS OF CADBURY 27
20. CONCLUSION 28

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 1.INTRODUCTION

Cadbury is a company with a long history in Australia and a passionate

commitment to making everyone feel happy. Check out what we are doing
around the world and search for where to buy our products. Find out what our
most common queries are and ask some of your own if you like.
Cadbury India can be termed as one of the best performing FMCG companies
today. Unlike its peer group, which is more of complete food companies,
Cadbury is a very niche player with a dominant position in Indian Chocolate
Confectionery market. This makes it different & more successful in comparison
with the peer companies. Now is the period of slowdown in the economy,
where FMCG companies are the first ones to be hit upon. Reduction in the real
income of the consumer has made its direct impact on the top –line growth of
the company. Still, Cadbury has been able to drive its bottom- line growth. The
reason for the success is the Corporate Governance practiced in the
organization. We update its growth, progress, and current valuation in this
report.
The Cadbury’s Inc has taken the opportunity to offer us a broader view of
chocolate category. The Cadbury India’s no.1 Chocolate can share with their
market insights based upon unparalleled breath of chocolate experience.
Cadbury has grown from strength to strength with new technologies being
introduced to make the Cadbury confectionary business, one of the most
efficient in the world. The merge in 1969 with Schweppes and the subsequent
development of the business have led to Cadbury Schweppes taking the lead in
both, the confectionary and soft drink market Intec UK and becoming a major
force in the international market.
Cadbury Schweppes today manufactures product in 60 countries and a trade
in staggering 120. The Cadbury story is a fascinating story of a family business
that grew in one of the biggest, most loved chocolate brands in the world. A
story that you will remember as the story of “The taste of life”.

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 2.INTERSTING FACTS OF CADBURY

1) Cadbury was the first company to include pictures instead of printed text
on chocolate boxes.

2) George Cadbury didn’t want to take mothers away from their children,
so he developed a company rule that women had to leave work when
they got married. Each married woman was given a bible and a carnation
as wedding gifts.

3) In 1886 Cadbury became one of the first firms to have dining rooms with
kitchens and food for sale.

4) A miniature metal animal (elephant, penguin, owl, fox, duck, squirrel,

rabbit or turtle) was given away with specially designed cocoa tins in
1934. In the same year, Cadbury's tokens, which came with packs of
cocoa, could be redeemed for lamps, kettles and saucepans.

5) So many children joined Cadbury’s Coco cub Club that it had 300,000
members in 1936.

6) Cadbury’s World Visitor Centre opened in 1990, welcoming 400,000

visitors in its first year.

7) Cadbury launched a Get Active program in 2003, helping 10,000 teachers

get in shape.

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 3.HISTORY OF CADBURY

Cadbury, the global leader in the chocolate confectionery market, began in

1824 when a young Quaker named John Cadbury opened a shop in
Birmingham. John sold coffee, tea, drinking chocolate and cocoa at his shop.
Believing that alcohol was a main cause of poverty, John hoped his products
might serve as an alternative. He also sold hops and mustard. Like many
Quakers John had high quality standards for all his products.
By 1842 John was selling 11 kinds of cocoa and 16 kinds of drinking
chocolate. Soon John’s brother Benjamin joined the company to form Cadbury
Brothers of Birmingham. The Cadbury brothers opened an office in London and
received a Royal Warrant (one of many) as manufacturers of chocolate and
cocoa to Queen Victoria in 1854. Six years later the brothers dissolved their
partnership because of John’s failing health and the death of his wife.
They left the business to John's sons George and Richard. John devoted the
rest of his life to social work and died in 1889. George and Richard continued
to expand the product line, and by 1864, they were pulling a profit. Cadbury’s
Cocoa Essence, which was advertised as "absolutely pure and therefore best,"
was an all-natural product made with pure cocoa butter and no starchy
ingredients. Cocoa Essence was the beginning of chocolate as we know it
today. The brothers soon moved their manufacturing operations to a larger
facility four miles south of Birmingham. The factory and area became known as
Bourneville. With Cadbury’s continued success in chocolate, George and
Richard stopped selling tea in 1873. Master confectioner Frederic Kinchella was
appointed to share his recipe and production secrets with Cadbury workers.
This resulted in Cadbury producing chocolate covered nougats, bonbons
delices, Pistache, caramels, Aveline’s and more.
Cadbury manufactured its first milk chocolate in 1897. Two years later the
Bourneville factory employed 2,600 people and Cadbury was incorporated as a
limited company.
During World War I, more than 2,000 of Cadbury’s male employees joined
the Armed Forces. Cadbury supported the war effort, sending warm clothing,
books and chocolate to the soldiers. During World War II by converting parts of

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its factory into workrooms to manufacture equipment like milling machines for
rifle factories and parts like pilot seats for Defiant fighter planes.
In 1969 Cadbury merged with Schweppes to form Cadbury Schweppes.
Schweppes was a well-known British brand that manufactured carbonated
mineral water and soft drinks. Today Cadbury Schweppes is the largest
confectionery company in the world, employing more than 70,000 employees.
In 2006 the company had over $15 billion in overall sales. In March of 2007,
Cadbury Schweppes announced that it intends to separate its confectionery
and beverage businesses. With almost 200 years in the business, Cadbury
Schweppes will continue to prosper in the coming decades.

4.PRODUCTS OF CADBURY WHEN THEY LAUNCHED IN

MARKET
SERIAL.NO YEAR PRODUCTS
1. 1865 Cadbury Cocoa Essence
2. 1875 Cadbury Easter Eggs
3. 1897 Cadbury Milk Chocolate
4. 1905 Cadbury Dairy Milk
5. 1908 Cadbury Bourneville Chocolate
6. 1915 Cadbury Milk Tray
7. 1920 Cadbury Flake
8. 1923 Cadbury Crème Eggs
9. 1929 Cadbury Crunchie
10. 1938 Cadbury Roses
11. 1948 Cadbury Fudge
12. 1960 Cadbury Buttons
13. 1968 Cadbury Picnic
14. 1970 Cadbury Curly Wurly
15. 1983 Cadbury Wispa
16. 1985 Cadbury Boost
17. 1987 Cadbury Twirl
18. 1992 Cadbury Timeout
19. 1996 Cadbury Fuse
20. 2001 Cadbury Brunch bar, Dream & Snowflake
21. 2007 Cadbury Schweppe

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 5.EXPANSION AND GROWTH OF CADBURY
1824 – A business was opened in 1824 by a young Quaker, John Cadbury, in
Bull Street Birmingham was to be the foundation of Cadbury Limited, now one
of the world’s largest producers of chocolate.
1831 – By this year the business had changed from a grocery shop and John
Cadbury had become a manufacturer of drinking chocolate and cocoa. This
was the start of Cadbury manufacturing business as it is known today. A larger
factory in Bridge Street Birmingham was rented in 1847, John Cadbury was
joined by his brother Birmingham and the business became Cadbury Brother of
Birmingham.
1861 – John Cadbury resigned his business and handed over to his sons,
Richard, 25 and George, 21 who after 5 difficult years almost shut down the
business to take up other vocation. Fortunately for generation of chocolate
lovers, they didn’t.
1866 – Saw a turning point for the company with the introduction of a
process for pressing the cocoa butter from the coca beans. This not only
enabled Cadbury Brothers to produce pure coca essence, but the plentiful
supply of coca butter remaining was also used to make new kind of eating
chocolate. The essence was advertised as ‘Absolutely pure, therefore best’.
1899 – In this year the business private limited company – Cadbury Brothers
Limited progress since the start of the century. Chocolate has moved being a
“luxury” item to well within the financial reach of everyone.
1905 – Cadbury has many famous brands with one of major success story
being Cadbury’s Dairy Milk chocolate launched in 1905, today Britain’s
favourite module chocolate bar.
Cadbury today is the market leader in the U.K chocolate confectionary
market, employing the most advanced processing technology and
management information and control techniques. World - wide Cadbury is
one of the pre – eminent names in confectionary with impressive range of
famous brands.
Quality has been the focus of the Cadbury business from the very beginning
as generations have worked to produce chocolate with that very special taste,
smoothness and snap, so characteristics of Cadbury’s chocolate.

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 6.OVER ALL TURNOVER

The confectionary industry in India is in its growth stage. This marketing

Research data from the industry shows that the industry has been making
impressive growth in the Indian economy. The confectionary industry is
divided into the flowing specific industrial sectors: Chocolate, Hard-boiled
candies, Éclairs and toffees, Chewing gums, Lollipops, Bubble gums, and Mints
and lozenges (Laura, 2008).
The total confectionary market is valued at about 41 billion Indian Rupees. It
has a total turnover of about 223500 tons of confectionary produced every
year. This is a huge overall turnover which is equal to that of established
markets. Most the confectionary are consumed in the urban areas. The urban
market constitutes about 73 percent of the total market. This is a skewed
market share compared to the rural market which accounts for about 27% of
the total market.
This market data shows that the rural market has not been well tapped into.
With more than 50 percent of the Indians living in the rural areas, it means
that there is a high potential in the rural market (Cadbury, 2008).On the
product share of the market, hard boiled candy accounts for about 18% of the
market, Éclairs and Toffees has about 18% of the market share, while gums
and mints and lozenges are at par accounting for 13 percent of the market
share each.
However, chocolate has recorded the highest market growth rate recording
about 23 percent growth rate. This is a higher growth rate compared to other
markets in the world.
Cadbury with several products including Daily Milk, Perk, Gems, 5 Star,
Celebration, Bytes, Dairy Milk Éclairs, Éclairs Crunch, Mr. Pops and Halls is the
leading player in the chocolate segment, Éclairs segment, Lollipops, and the
Mints Segment (Cadbury, 2008).
Cadbury is also the leading player in the milk beverage segment which is
valued at 16.1 billion Rupees. This segment has an annual turnover of about
63,000 tones and has been growing at a rate of 10.1 percent.

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 7.CHALLENGES OF CADBURY
Cadbury is capitalizing on the success of its global "Eyebrows" campaign with
a Canadian print and OOH campaign called "Eyebrow Language."
"We really wanted to make sure this had high impact with the consumer,"
Nina Purewal, brand manager, Cadbury Dairy Milk, tells MiC. "This is a very
engaging promotion and, as you can see as you go through the elements, once
[people] have committed to the promotion and decoding the messages,
they're really committed. It's really all about high engagement”.
The campaign has also taken over the Dairy Milk website, which opens to a
secret eyebrow message and Eyebrow Language decoder overlay. The site also
includes extra phrases to decode and a ringtone of the song from the ad to
download. Visitors can also watch the original "Eyebrows" ad that first aired in
Canada Sept. 14.

8.Cadbury in the England and other Europeans

Countries.
Cadbury Schweppes faced opposition to the deal in several countries.
Cadbury Schweppes is to keep control of its soft drink’s brands in most of
Europe instead of selling them to Coca-Cola, following concerns about delays
in winning approval from European regulators. Under the original £1.14bn
deal, announced in December last year, Coca-Cola was to buy all of Cadbury's
drink brands except those in the US, France and South Africa.
Cadbury has now abandoned plans to sell the brands in another 20 European
markets, fearful that such a move would be blocked by competition
watchdogs.
The countries where Cadbury Schweppes will now retain control include
Belgium, Norway, Spain, Switzerland, The Netherlands and Germany which
was reportedly ready to reject the plan later this week.
The companies still hope to receive approval for the sale in the UK and
Ireland and 98 other countries worldwide. Cadbury chief executive John
Sunderland said both companies had researched potential regulatory hurdles
in 20 countries before announcing their plans in December.

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 9.CADBURY ASIA
Its contents of two countries they are INDIA & PAKISATAN.

CADBURY INDIA
In India, Cadbury began its operations in 1948 by importing chocolates. After
60 years of existence, it today has five company-owned manufacturing
facilities at Thane, Induri (Pune) and Malanpur (Gwalior), Bangalore and Baddi
(Himachal Pradesh) and 4 sales offices (New Delhi, Mumbai, Kolkata and
Chennai).
The corporate office is in Mumbai Currently Cadbury India operates in four
categories viz. Chocolate Confectionery, Milk Food Drinks, Candy and Gum
category. In the Chocolate Confectionery business, Cadbury has maintained its
undisputed leadership over the years. Some of the key brands are Cadbury
Dairy Milk, 5 Star, Perk, Éclairs and Celebrations.
Cadbury enjoys a value market share of over 70% - the highest Cadbury
brand share in the world! Our flagship brand Cadbury Dairy Milk is considered
the "gold standard" for chocolates in India.
‘Cadbury Dairy Milk’ alone has a 30% value share in the Indian chocolate
market.

Product and Services

Cadbury Schweppes Public Limited Company operates as a beverage and
confectionary company worldwide. The company’s beverage products include
carbonated water, apple juice, quinine-based carbonated drink, carbonated
soft drink, non-carbonated soft drink, and tomato-based drink under
Dr.Pepper, Schweppes, 7 Up, Snapple, Mott's, Hawaiian Punch, Clamato, and
Schweppes Tonic Water brand names. Its confectionary products comprise
cocoa powder, sugar confectionery, cough drop, chewing gum, milk chocolate
bar, sugar-coated gum, and breath freshener, which are marketed under
Cadbury, Bassett’s, Maynards, Halls, Dentyne, Cadbury Dairy Milk, Chiclets,
Clorets, Stimorol, Trident, Bubblicious, and Sour Patch Kids brand names.
Cadbury Schweppes sells its products through direct sales force, third party
bottlers, independent distributors, and other independent companies.

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10.CADBERY ADVERTISING TIMELINE THEIR
PRODUCTS
1867
Cadbury Cocoa Essence began advertising. They highlighted the purity of the
product with the slogan ‘Absolutely pure, therefore best’.
1900
Cadbury gained the help of a popular artist Cecil Aldin to create a series of
posters and press adverts to advertise their products.
1928
Cadbury Dairy Milk poster campaigns began using the iconic ‘glass and half’
slogan and image to stress its high milk content.
1930
Cadbury’s status as the nation’s favourite brand becomes the most
important feature of the company’s advertising.
1938
150,000 people went on the factory tour every year. It began in 1902 to link
people more closely with Cadbury.
1951
‘The Bournville Story’, a film promoting Cadbury, was made and shown
cinemas around the country.
1955
Cadbury Drinking Chocolate was one of the very first ads on commercial
television in this year.
1957
Cadbury commissioned thirteen one-minute films shown as TV adverts.
These ads described the harvesting of the Cadbury chocolate ingredient.
1983
The Wispa Bar launched including televised ad campaigns featuring
comedians and comic actors talking about the new bar.

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1990
Cadbury World opened a £10 million replacement for factory tours. 350,000
people visited in the first year.
1996
Cadbury began a £10 million annual sponsorship of Coronation Street,
reaching an audience of eighteen million people.
2007
The Cadbury ‘Gorilla’ ad premiered, immediately becoming one of the most
popular adverts in recent year.
2008
Cadbury and Schweppes demerged, splitting its confectionery and drinks
business.
2009
Kraft made a surprise proposal to take Cadbury over for £10.2billion.

11.PRODUCTS OF CADBURY
Cadbury Celebration Cake with Buttons
Make your celebrations special with a delicious chocolates treat. From the
indulgent Flake Celebration Cake to the Cadbury Buttons Party Cake. Cadbury's
ranges of Party Cakes are perfect for any special occasion.

Cadbury Hot Choc Chunks

Cadbury Dairy Milk unveils a yummy invention which heralds a new dawn for
hot chocolate lovers: Hot Choc Chunks! The chunks of real chocolate melt into
milk to make a smooth delicious creamy treat! Cadbury Hot Choc Chunks is
now Fair-trade certified.

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Cadbury Clusters
Cadbury Clusters are tasty treats of crunchy flakes and juicy raisins tumbled
in scrumptious Cadbury milk chocolate. They're wonderfully odd look odd,
taste wonderful! Whether you fancy a daytime nibble to cheer you up, a little
bit of evening indulgence or a bag to share with friends –Cadbury Clusters are
ideal! Launched in 2009, they're now available across the UK. 30

Cadbury Picnic
Crispy wafer and chewy caramel covered in peanuts, raisins and Cadbury milk
chocolate. Picnic's been going since 1958 and you'll still find its nobly goodness
in a shop near you. Probably one of the most memorable campaigns for the
brand was one which featured a camel called Calvin which was singing a song
about the 'chew' of the bar. In Australia it's marketed as being 'deliciously
ugly'! How rude!

Dairy milk
The story of Cadbury Dairy Milk started way back in 1905 at Bourneville,
U.K., but the journey with chocolate lovers in India began in 1948.The pure
taste of Cadbury Dairy Milk is the taste most Indians crave for when they think
of Cadbury Dairy Milk. The variants Fruit & Nut, Crackle and Roast Almond,
combine the classic taste of Cadbury Dairy Milk with a variety of ingredients
and are very popular amongst teens & adults. Recently, Cadbury Dairy Milk
Desserts was launched, specifically to cater to the urge for 'something sweet'
after meals.

Gems
Launched in 1968, Cadbury Gems has captured the fancy of children for
more than 4 decades now. Supported by several popular TVCs since the
Eighties, Gems is uniquely positioned because of its chocolate taste, colourful
buttons and multiplicity. The taste and fun associated with eating Cadbury
Gems and the joy of sharing it with friends has also made the brand a source of
nostalgia for older consumers. Simply put, eating Gems brings happiness, fun
and mischief to a kid's world. Gems, available in a Pouch and a Carton, are also

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available in a Re. 1 pouch. A gem has continuously been relevant and exciting
for consumers with salient messaging, contemporary packaging graphics, pack
innovations and consumer promotions. In December 2000, the Gems Tube
Pack with a flip-top was launched, which became an instant hit with kids. In
succeeding years, the Tube Pack has continued to excite kids with different ball
games on its flip top.

BOURNIVITA
Cadbury was incorporated in India on 19th July 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 in0 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.
Throughout its history, Cadbury Bournvita has continuously re-invented itself
in terms of product, packaging, promotion & distribution. The Cadbury lineage
and rich brand heritage has helped the brand maintain its leadership position
and image over the last 50 years.
CADBURY ECLAIRS
Eclairs were first discovered by a local confectionery firm in London, England
in the 1960s. The firm then became part of Cadbury in 1971making Cadbury
Eclairs the second largest brand in the company. The experience of eating a
Cadbury Dairy Milk Éclair is truly unique because of its creamy caramel exterior
and rich Cadbury Dairy Milk chocolate at the centre. In 2006 Cadbury Dairy
Milk Eclairs launched crunchy Eclairs with a hard caramel outside and delicious
Cadbury Dairy Milk chocolate inside called Cadbury Dairy Milk Eclairs Crunch.

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 12.MEANING OF MARKETING STRATEGIES
 The marketing strategy is the means of achieving the corporate
objectives.
 It gives messages to the stakeholders, or publics. It says:
 "This is where we are going",
 "When we will get there",
 "This is our stance".

13.MARKETING STATERGIES OF CADBERYS

In order to increase sales Cadburys needs to undertake range of marketing
activities before deciding upon the best way to encourage the purchase of its
product. When identifying the basic principles which Cadburys must apply to
its marketing will be its basic objectives because all business must have
objectives it allows them to increase sales and make profit.
Corporate aims are the long-term intentions of a business, whereas
corporate objectives are the specific targets required to achieve the aims.
The common aim and objectives of the corporation such as Cadbury includes
the following:
1. Survival
2. Profit maximization- which is often taken to be the reason why
firms Exists and to be the primary objectives in practices most
firms have hierarchy of objectives when a firm’s survival is
threaten it may Profit maximized in order to restore its financial
health.
3. Growth- which includes Cadbury selling new products or
expanding Overseas.
4. Diversification- which is the spreading of business risks by
reducing dependence on one product.
5. Sales maximization- which is the increasing of sales.
6. Improving the product image-which includes creating a new logo
or launching a new brand of product and creating more attractive
packaging.

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 For example, Cadbury set out two objectives for the development of their
chocolate, Fuse. These were
1. To grow the market for chocolate confectionery
2. To increase Cadbury's share of the snacking sector

When launching a product, the company Cadbury’s had to make sure that
any new product in the snaking sector must establish points of difference,
creating a unique selling proposition (USP) i.e. a product with unique appeal
which is not shared by any of its competitors. Referring to the example of Fuse,
Cadbury lost a lot of money testing out the combination of various ingredients
and more than 250were combined before the recipe of the chocolate was
finalized. As the products are developed, Cadbury tests them to ensure that
consumers are willing to buy them.
Cadbury then promotes its products in various ways such as the use of above
the line promotion, which is where a product is advertised through consumer
media such as television, magazines, newspapers and radio.

CADBURY INDIA TARGETS THE ADULT SEGMENT WITH

CADBURYS DAIRY MILK
Cadbury India uses emotional appeals in advertising. The advertisements
focused on the relationship between the parents and their children, where
parents expressed their love by gifting the child a Dairy Milk.

CADBURY INDIA WANTS TO GET IN ROOT OF OUR

TRADITION
If you can recall advertise which is now being frequently played in our radio
station and TV channels “Mitha hai khana aaj Pehli Tarikh Hai”. Means Cadbury
marketing strategy in India wants to get in root of our tradition.
Earlier if you can remember when we have first day of salary, we bring some
sweets to our home. Still, most of family follows this tradition so; Cadbury has
targeted this area now by its own creative marketing style...
Their slogan is "kuch mitha ho Jaye" means when you want to eat sweets go
for Cadbury.

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 In College campus it is deep routed now... People used to bet for dairy milks,
5-stars. Cadbury has linked its brand with Friendship Day, valentine day,
Mother’s Day, Father’s Day and many other days.

14.SWOTS ANALAYSIS OF CADBURY

1) Strengths
• The company has an already large established business in the Indian market.
Since1824, the company has established itself as a world leader in the
confectionary market. It has operated in India since 1948. In India it has about
70% of the confectionary market. In line with its vision, the company has been
striving to Bethe world leader in the confectionary industry. Through
innovation and strategic marketing, the company has acquired about 10% of
the world confectionary market (Laura, 2008).
• The company has good market reputation. With strong brands in the market,
the company is well positioned in the market. In the Indian market Cadburys
has strived to build a good market reputation. This has worked positively for its
products. It is on this good reputation 42 that the market can embark on
introducing the new brand in the market. Cadbury India was ranked the 5th
most respected Indian company by Business world magazine in 2007 (Laura,
2008).
• The target market is also quite large. With the female population marketing
more than 56 percent of the Indian population, there is a wide target market
for the product. The Indian chocolate market has been recording growth in the
recent past and there are prospects of growth. Therefore, the target market is
slowly expanding (Cadbury, 2008).

2) Weakness
• The target population is quite large and there are fears the demand for the
product may outdo the capacity of the company to satisfy the demands of the
market. It is still not clearly established the rate of growth of the product in the
market but there is expectation that the product will record a high growth
rate. This means that the company will need to increase its production capacity
in order to match the rate of growth of the market (Laura, 2008).

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 • The company has not been able to establish a distribution network in the
country that matches the demands of the market. In this case the company has
not established a distribution network to the interior due to infrastructural
development issues (Cadbury, 2008).
• Banking on the success of the other brands in the market may have negative
effects on the introduction of the new brand in the market since the products
will be targeting different markets (Cadbury, 2008).

3) Opportunities
• There company is introducing the brand in a less competitive market. This is
unique opportunity for the company. A more competitive market becomes
difficult to introduce a new brand because there are already other companies’
which are likely to bring in competition (Cadbury, 2008).
• The company can introduce the product in the market in unique way. With
the growing importance of beauty shows, the company can host beauty
competition in order to help the target market identify with the product. This
will introduce the product in the market in unique way. The company can also
host other events like sports or engage in corporate social responsibility
activities like girl child education to help the target market identify with the
product more (Laura, 2008).
• The company can use a wide range of marketing strategies which will lead to
the overall growth of the product in the market. The Indian advertising market
has been growing at a rapid rate which means there will be an array of
opportunities for the growth of the market. There are many advertising
strategies for the company in the Indian market (Cadbury, 2008).

4) Threats
• There is threat of entry of other products in the market. In this case there are
threats of entry of new products in the market which will increase the level of
competition in the market. There are other companies which are likely to
introduce the same products in the market once there is success of the initial
product (Cadbury, 2008).
• There is a threat of change of the current external environment which is
likely to alter the nature of the market. For example, change in the taxing
regime, Government laws regulating the industry, and other factors which are
likely to impact negatively on the industry (Cadbury, 2008).
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 15.5 P’S OF CADBERY
1 – PRODUCT
The average company will compete for customer by conforming to his
expectation consistently. But the winner will surpass them by constantly
exceeding his expectation, delivering to his doorstep additional benefits which
he would never have imagined. Cadbury’s offer such product. The wide variety
products offered by the company include
I. Chocolate & Confectionary
1) Dairy Milk
2) Fruit & Nut
3) 5 Star
4) Break
5) Perk 45
6) Gems
7) Éclairs
8) Nutties
9) Temptation
10) Milk Treat
II. Beverages
III. Food Drinks
1) Bourn vita
2) Drinking chocolate
3) Cocoa

2 – Pricing
Make no mistake. Second P of marketing is not another name for blindly
lowering prices and relying on this strategy alone to increase sales
dramatically. The strategy used by Cadbury’s is for matching the value that
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customer pays to buy the product with the expectation they have about what
the production is worth to them. Cadburys has launched various products
which cater to all customer segments. So, every customer segment has
different price expectation from the product. Therefore, maximizing the
returns involves identifying right price level for each segment, and then
progressively moving through them.
 Dairy Milk Rs. 15
 Perk Rs. 10 46
 5 Star Rs. 10
 Fruit and Nut Rs. 22
 Gems Rs. 10
 Break Rs. 5
 Nutties Rs. 18
 Bournvita (500 gm) Rs. 104
 Drinking chocolate Rs. 50.

3 - Physical Distribution – “Place”

Distribution Equity: It takes much more time and effort to build, but once
built, distribution equity is hard to erode. The fundamental axiom of Indian
consumer market is this: You can set up a state-of –the-art manufacturing
facility, hire the hottest strategies on the block, swamp prime television with
best Ads, but the end of it all, you should know how to sell your products. The
cardinal task before the Indian market in managing is to shoehorn its product
on retail shelves. Buyers are paying for distribution equity does not brand
equity and market shares.
Own distribution network consists of clearing and forwarding (C&F) agents &
distribution stockiest. This network of distribution can either contact
wholesalers and which in turn retailers or the distributors can contact to the
retailers directly.
This increase in distribution is going to be accompanied by reduction in
channel costs. Cadbury’s marketing costs, at 18% of total costs, is much higher
than Nestlé’s 12% or even pure sugar confectionery major Parry’s 11%. The
company is looking to reduce this parity level. At Cadbury, they believe that
selling confectionery is it like selling soft drinks.

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4 – Promotion
Effective advertising is rarely hectoring or loudly explicit…. It often both
attracts and generates arm feelings. Often, a successful campaign has a
stronger element of the unexpected a quality that good advertising shares with
much worthwhile literature.
To penetrate the inner recesses of customer memory, communication must
first ensure exposure, grab his attention evoke his comprehension, grab his
acceptance and then extract retention competing with thousands of other
units of communication trying to do the same.
Finding showed that the adults felt too conscious to be seen consuming a
product meant for children. The strategic response addresses the emotional
appeal of the band to the child within the adult. Naturally, that produced just
the value vacuum that Cadbury was looking to fill. Thereafter it was the job of
the advertising to communicate customer the wonderful feeling that he could
experience by re-discoursing the careful, unselfish conscious, pleasure –
seeking child within him – and graft these feeling onto the Ad campaign like
“Khane Walon Ko Khane Ka Bahana Chahiye” for CMD and “Thodi Si Pet Pooja
– Kabhi Bhi Kahin HI” for Perk have been sure shot winner with the audience.

5 – Positioning
In the 1970s consumers were ready to pay “more for more”, and luxury
goods flourished. In the 1980s, consumers began to demand “more for same”,
and the discounting era grew strong. Today’s consumer demanding “more for
less”, and the winner will be that super value marketers…. Some of today’s
most successful companies recognize those customers are more educated and
able to recognize true customer value… Positioning is simply concentrating on
an idea – or – even a word defines that company in the mind of the consumer.
It is more efficient to market one successful concept to one large group of
people than 50 product or service ideas to 50 separate group… repositioning is
a must when customer attitude have changed, and product have strayed away
from the consumer’s long-standing perception of them… Cadbury’s is an
anchor in sea of confectionary products. As a variety of competitive claims

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assails her senses, today customer uses complicated decision-making process
to assess the alternative before making a purchase. Since Cadbury’s is more
clearly associated with a particular set of attributes in terms of benefits and
prices, the quicker becomes her search process.

16.ADVERTISING THERIR PRODUCTS IN DIFFERENT

WAYS

The sales of product in the market depend upon advertising which is one of
the factors that boosts the sales of the product in the market. Advertising can
be in the form of print advertising, banner advertising, advertising on
Television, radio advertising and of course advertisement on Internet. Over the
last several years internet has emerged as a strong and successful platform for
advertising a product by using different ways and methods to attract the
attention of the customers. There are various ways to capture the thought
process, which runs in the minds of the customers, and it is done on a regular
basis through the medium of advertising. The purpose of running an
advertising campaign is to generate the interest of new customers into the
product, and to sustain the interest of regular customers in the product, so
that their mind remains focused on the brand name and image of the product.
Thus, the advertisement of the same product can be seen simultaneously at
many different places. Cadbury's advertisement can be seen during the late
evening hours when different soap opera is broadcasted. Then on switching on
the laptop to check the emails received during the day, the advertisement of
Cadbury can be seen again, but of course, this time the form of advertisement
i.e., size of advertisement is small, it looks like a teaser and the medium is
different, here internet playing an important role. At weekend while going
through the shopping mall the same advertisement of Cadbury can be seen
highlighted in big posters and banners, giving more prominence to brand
name, the product name and in order to attract the customer's attention,
theme of the advertisement also been a part of the poster, which also gets
highlighted.
Different brand names, different products and different ways of promoting
the product.

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For Example
When Sun feast biscuits were initially launched, there was an aggressive
advertisement campaign that was been done for the Sun feast biscuits by
putting stalls at different places, where maximum number of customers come
regularly, like for instance there was a stall of Sun feast biscuit at an exhibition
which was been held on a ground, where there were number of different stalls
and at the end when the customers are about to leave the exhibition there are
different food stalls and refreshment stalls.
Amongst the various stalls in the exhibition, one stall was that of Sun feast
biscuits and there were sizable number of customers, who were keen and
eager to know more about Sun feast biscuits and some were even purchasing
the biscuits.

17.SEGMENTATION, TARGETING, POSITIONING

Segmentation, targeting, and positioning together comprise a three-stage

process. We first (1) determine which kinds of customers exist, then (2) select
which ones we are best off trying to serve and, finally, (3) implement our
segmentation by optimizing our products/services for that segment and
communicating that we have made the choice to distinguish ourselves that

way.

Segmentation
It involves finding out what kinds of consumers with different needs exist. In
the auto market, for example, some consumers demand speed and
performance, while others are much more concerned about roominess and
safety. In general, it holds true that “You can’t be all things to all people,” and
experience has demonstrated that firms that specialize in meeting the needs of
one group of consumers over another tend to be more profitable. priced
tickets to those who are inflexible in that they cannot tell in advance when
they need to fly and find it impractical to stay over a Saturday. These travellers

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—usually business travellers—pay high fares but can only fill the planes up
partially.

Targeting
In the next step, we decide to target one or more segments. Our choice
should generally depend on several factors. First, how well are existing
segments served by other manufacturers? It will be more difficult to appeal to
a segment that is already well served than to one whose needs are not
currently being served well. Secondly, how large is the segment, and how can
we expect it to grow? (Note that a downside to a large, rapidly growing
segment is that it tends to attract competition). Thirdly, do we have strengths
as a company that will help us appeal particularly to one group of consumers?
Firms may already have an established reputation. While McDonald’s has a
great reputation for fast, consistent quality, family friendly food, it would be
difficult to convince consumers that McDonald’s now offers gourmet food.
Thus, McD’s would probably be better off targeting families in search of
consistent quality food in nice, clean restaurants.

Segmentation of Cadbury
Right now, Cadbury’s new advertisement campaign is doing the rounds over
the television. “Meath hai khana, aaj Pehle Tarek hai” is the tagline that the
chocolate-giant has come out with. It tries to bring forth the excitement, which
lies in the minds of the general public as they wait for the first date of each
month on the calendar. The monthly salary stashed in their hands enables
them to celebrate and rejoice by spending it on Cadbury’s Dairy Milk.
Cadbury’s Dairy Milk has come out with such memorable ad-campaigns,
which settled into the hearts of everyone.

Positioning of Cadbury
Cadbury India has unveiled a new campaign that continues with the brand's
'Kucch Meetha Ho Jaye' positioning. Created by Ogilvy & Mather, the campaign
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revolves around the theme of 'Pay Day', which is associated with happiness by
most people. Brand positioning is the aspect of the brand actively
communicated to the target audience, specifically, its competitive advantage,
values and imagery. It is strongly related to the perception and image of the
product. When devising a positioning strategy for a product, marketers must
establish a unique and distinctive image of that product in the mind of the
consumer. This will differentiate a company’s product from its competitors.

18.BRAND AMBASSADOR

Cadbury India Ltd has announced that mega star Amitabh Bachchan will be
the company's new brand ambassador.
He will endorse and promote Cadbury chocolates for a period of two years.
As brand ambassador, he will play a key role in brand and product
communication on television, in print and outdoor media.
Cadbury has launched a strengthened, new 'purity sealed' packaging for
Cadbury Dairy Milk. The new packaging for 13g (Rs 5) is double wrapped for
maximum protection. The chocolate is wrapped in aluminium foil and enclosed
in a poly flow pack, which is completely sealed on all sides. In the second
phase, the larger Cadbury Dairy Milk packs will come in poly-coated aluminium
foil, which will be heat-sealed and then wrapped in the branded outer
package. Both these steps are a 'first ever' in chocolate packaging in India.
"Over the last few months, we have had some cases of infestation due to
improper storage conditions. As a company committed to ensuring that our
consumers enjoy a pristine bar of chocolate each time, we decided to take
steps to reduce dependency on storage conditions to the extent possible," said
Bharat Puri, managing director, Cadbury India Ltd. "Cadbury will do everything
it can to ensure that every bar of chocolate that a consumer buys comes full of
goodness and rich taste."
Commenting on Amitabh Bachchan as brand ambassador for Cadbury
chocolates, Puri said, "There is a perfect fit between Amitabh Bachchan and
Cadbury chocolates - their timelessness, and the love and trust they both share
with the people across India, makes this an ideal partnership. Moreover, Mr

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Bachchan has a universal appeal that extends to everyone from 6 to 60, just as
our chocolates do.
We believe his endorsement of Cadbury Dairy Milk will go a long way
towards our objective of increasing chocolate consumption among all ages of
consumers."
Amitabh Bachchan said, "Most of you may not know this, but I have been a
brand ambassador for Cadbury for the last 55 years. Only, now it is official.
Bringing smiles, spreading happiness and joy amongst millions of people in
India is what Cadbury and I shall be continuously working towards."
The new 13g (Rs 5) Cadbury Dairy Milk packaging is currently available only
in Maharashtra and the national rollout will take place over the next three
weeks. New packaging for the larger bars of Cadbury Dairy Milk, Fruit & Nut,
Crackle, Bournville, Caramello, and Double Deck will be completed in six
weeks.

19.COMPETITORS OF CADBURY

There are not many competitors in the confectionary industry that

Cadbury is Competing with. Cadbury is a market leader in the industry. The
other competitors are small compared to Cadbury and therefore the level of
competition is expected to be a bit low.
Sales of imported chocolate brands, such as Mars and Snickers, have
outpaced those of Cadbury's and Nestle's locally made chocolate in modern
retail outlets, according to top retailers.
As a result, these companies will lose their pricing clout. Imported chocolates
are not only in demand but also offer bigger margins as compared with the
locally made brands to retailers. Cadbury is already at loggerheads with the
Future Group, the country's largest retailer, on the deals and margins it offers.
Seeing the increase in competition, Cadbury India is also looking at introducing
more sophisticated forms of chocolates from its global portfolio to boost
consumption and retain market share.

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 In our stores, the sales of imported chocolates are double the sales of
domestic brands. Their sales are growing at triple digits. Imported brands offer
newer chocolate formats to consumers, resulting in their higher demand," said
Sadashiv Naik, CEO, Food Bazaar, Future Group. Echoing this view, vice-
president (marketing) of Spencer's Retail Samar Singh Sheikhawat said, "Sales
of imported chocolates has become equal in value to that of the domestic
brands put together. Whereas the imported chocolates sales are growing at
100 per cent, made-in-India brands are growing at around 25 to 30 per cent."
Anand Kripalu, managing director, Cadbury India, said, "The competition in
the chocolate market has increased significantly. Despite this, we have been
able to hold on to our 70 plus per cent market share. We would look at
introducing newer products to boost the consumption of chocolate in India.
Chocolates are not consumed on daily basis, so we would look at positioning
them for everyday consumption from being consumed only on select
occasions."

20.CONCLUSION

Over the last year, the Cadbury Chocolates brand has moved from being
perceived as a Chocolates for “younger person” to choose their Chocolates for
fun, enjoyment and love as well as for the “Elder person” also professionals.
This has been made possible not just by new packaging but by a completer
positioning strategy which changed the image of the brand and the perception
of who can and should enjoy it.
This company project has demonstrated “CADBURY’S COMPANY AND
RESPECT TO ITS MARKETING STRATEGY” that has proved to be extensive
through and of great benefit to the company in furthering its competitive
advantages.
In this project it possible to see the success of Cadbury’s in it indorse its
strong potential to continue to do well.

RECOMMENDATIONS

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• Maintain dominance in chocolate, confectionery and market leadership in
brown drinks.
• New channels such as gifting, child connectivity and value for money offering
to be the key growth drives.
• Grow volume of sales at least 20% p.a. over the next years.
• Achieve the goal of best manufacturing location in Cadbury Schweppes world
for Dairy Milk and Éclairs.
• One new major product launches every year.

BIBLIOGRAPHY
1) www.slideshare.com.
2) www.cadburyworld.com.
3) www.docstoc.com.

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