STUDY OF CONSUMER PREFERENCE TOWARDS

CADBURY AND NESTLE CHOCOLATES

Submitted by:
RATUL BHATTACHARYYA
ROLL:151, SEC:C
This project is based on the comparative study
consumer behavior towards Nestle and Cadbury
chocolates.
 Objectives of the study are:
The other objective is to know about the customer
satisfaction level associated with the product and the
customer preference level. To increase customer
satisfaction and recapture the market share by
fulfilling the customer needs.
 To study the factors affecting the consumption pattern.
RESEARCH METHODOLOGY
Information from both primary and secondary
sources was collected and analysed.
Primary Sources
chocolate consumption was witnessed amongst
all age groups.
A distributor was also interviewed so as to get
information regarding the most important ‘P’ of
FMCG marketing – Place.
Extensive interviews were conducted with
retailers in the KOLKATA area.
Secondary Sources
Information: Industry statistics, problems
facing the industry, future outlook, etc.
 Internet websites Of Cadbury’s, Nestle and
indiainfoline.com, askjeeves.com
Extensive use of secondary information in the
form of magazines/journals/newspapers
clippings, such as Business World, Business
Today, Business India, A&M, Brand Equity,
Economic Times, etc.
CONSUMPTION OF CHOCOLATES IN INDIA 
Chocolate consumption in India is extremely low. Per
capita consumption is around 160 gms in the urban
areas, compared to 8-10kg in the developed countries.
In rural areas, it is even lower. Chocolates in India are
consumed as indulgence and not as a snack food. A
strong volume growth was witnessed in the early 90’s
when Cadbury repositioned chocolates from children
to adult consumption. The biggest opportunity is
likely to stem from increasing the consumer base.
Leading players like Cadbury and Nestle have been
attempting to do this by value for money offerings,
which are affordable to the masses.
Nestle India 
Nestle’ India is a subsidiary of Nestle’ S.A. of
Switzerland. The company insists on honesty,
integrity and fairness in all aspects of its business
and expects the same in its relationships.
Nestle’ Brands 
Milk Products & Nutrition
Beverages
Prepared Dishes and Cooking Aids
Chocolates & Confectionary

CHOCOLATES & CONFECTIONARY

NESTLÉ KIT KAT
NESTLÉ KIT KAT LITE
NESTLÉ MUNCH
NESTLÉ MUNCH POP CHOC
NESTLÉ MILKYBAR
NESTLÉ MILKYBAR CHOO
NESTLÉ BAR-ONE
NESTLÉ FUNBAR
NESTLÉ Milk Chocolate
POLO
POLO Powermint
NESTLÉ Eclairs
 COMPANY OVERVIEW OF CADBURY INDIA 
 Cadbury began its operations in 1948 by importing chocolates and
then re-packing them before distribution in the Indian market.
After 59 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, Kolkota and Chennai).
Cadbury Brands:
Chocolates
Snacks
Beverages
Candy
CHOCOLATES
Dairy Milk
5 Star
Perk
Celebrations
Temptation
Eclairs
Gems
VISION
The governing objective for Cadbury India is to deliver:
· Superior Shareholder Value
· Cadbury in every pocket
ADVERTISING & SALES PROMOTION
Following are a few advertising slogans used by Cadbury for
introducing the product to the customers:-
· THE REAL TASTE OF LIFE (DAIRY MILK )
· THODI SI PET POOJA KABHI BHI KAHI BHI (PERK)
· WHEN EVER ON HUNGER STRIKE (PERK)
· TAN KI SHAKTI, MAN KI SHAKTI (BOURNVITA)
· KUCH ZADA HI SOLID (PICNIC)
· YEH CHOCOLATE KHAE AAP INHE KHAE (ECLAIRS)
DISTRIBUTION SYSTEM ADOPTED BY CADBURY
 
Manufacture
↓
Stockiest/Distributor
↓
Semi-wholesaler
↓
Retailer
↓
User
 PREFER CHOCOLATES?

YES
NO

Analysis & interpretation:

Chocolate is a product which is like by the all age group of people.
According to the survey 83% of people says yes they eat chocolate
and 17% say no they are not eating chocolate. May be the reason
behind that is they are not eating chocolate on daily or weakly
basis or may be they are eating any other brand of chocolate.
 PREFERENCE OF BRAND

CADBURY
NESTLE

Analysis & Interpretation:

There are many brands available in the market. But the market leaders in
India are basically two brands like Cadbury & Nestle. According to survey
64% of the market is captured by the Cadbury and only 36% of the market
is covered by the Nestle. To capture the market the company should do
more advertising and sales distribution. And also should maintain quality of
the product compare to the competitors.
 NESTLE

KITKAT
MUNCH
MILKY BAR
BAR ONE
MILK CHOCOLATE

CADBURY
DAIRY MILK
5 STAR
PEARK
CELEBRATION
TEMPTATION

Analysis & Interpretation:

In this survey nestle is having five sub-brands like kitkat, Munch, Milkybar,
Barone,milk chocolates and their consumption are like kitkat 33% ,munch 56
,milky bar 3% ,bare one 5% ,and milk chocolate 3%. And if we talk about
Cadbury the sub-brand of the Cadbury is dairymilk, 5 star, perk, celebration and
Temptation and their consumption are like dairy milk 62%, 5 star 17%, perk
14%, celebration 2% and Temptation 5%. According to the survey the highest
selling product is Cadbury.
 FORM OF CHOCOLATES

HARD
CRUNCHY
NUTTIES
CHEW

Analysis & interpretation:

Every person have there own taste and preferences towards the
eatable product in chocolates there are four varieties available in
the market among this 47% of the consumer like hard
chocolates, 29% of the consumer like crunchy chocolates, 18%
of the consumer like nutties chocolates & only 6% of the
consumer like Chew chocolates.
 SIZE OF PACK

SMALL
BIG
FAMILY PACK

Analysis & Interpretation:

The chocolates are available in the market in different packaging like small,
big, & family pack, from the survey we can say that the consumption of the
chocolates are more eaten by the teenage group so they more prefer the
small packaging because of there availability in market is good and most
important thing is its very much affordable. According to the survey 73%
are using small pack, 17% are using big pack of the chocolates, 10% are
consuming family pack because of there high price. So we can easily see
that the consumption of small pack is having boom in the market compare
to other packaging.
 Sales

FREE GIFT
PRICE OFFER
ANY OTHER

Analysis & Interpretation:

To sell out the product there are many promotions activity conducted by
the company to face the competition the offer give by the company are
like free gift, price offer, or any other scheme. In this 12% are giving the
free gift offer (scratch the card scheme), 84% are directly giving the price
offer, and 4% giving the any other kind of scheme.
 Findings

By doing the comparison of Nestle and Cadbury chocolates, we have found that the
preference of the chocolates more preferred by the consumer is Cadbury.
 
From the analysis we have found that Nestlé’s some brand has covered 50% of the market
in one product (Munch) of the chocolates which is a very good sign for the company.
 
Through the research we found that consumer is very conscious about the quality of the
product in that matter they are not ready to compromise. And we found both company
product are very qualitative.
 
In some cases we found that if a product is not available in the market than some consumer
would to switchover to another product or brand.
 
So from these survey we have found that the consumption of the chocolates are more in
children and teenage group though having any occasion or not having any occasion. The
most selling product of both the companies is in small size of chocolates and there market
share is 73% because it’s not much costlier and is also easily available & affordable.
 
 SUGGESTIONS AND
RECOMMENDATIONS

 Chocolates products at kolkata city are available in comparison to

previous years, but still there is requirement of development in
Chocolate products. Due to increasing overall cost in Chocolate
Products everywhere, cost format should be made as such that it is
affordable to each and everyone in the society. In this we also
found that if the demanded brand is not available, so at that time
the customers switch over the brand of the chocolate so, here the
company should build up the healthy distribution channel by
which company can attract the customers .
BIBLIOGRAPHY
 
Kotler Phillip, Marketing Management, Millennium edition. (Prentice hall of
India).
Business today
Business World,
Business India,
A&M, Brand Equity,
Economic Times
CMIE reports
www.indiainfoline.com
www.domain_b.com
www.agencyfaqs.com
www.nestle.in
www.nil.com
www.cadburys.com
www.web-enable.com/industry/enabling-scm.asp
indiainfoline.com
askjeeves.com