Cadbury Main Project- Final Joel 35 Pgs

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INTRODUCTION EXECUTIVE SUMMARY Cadbury India Ltd, a subsidiary to Cadbury Schweppes India, is a market leader in India, with numerous products in its product line. Cadbury has made a strong presence in all its segments. As for its international operations Cadbury holds maximum share in its hometown, UK and is a challenger and follower in other foreign markets. Cadbury is also trying to make Niche into the malted food drinks segment with its products like Bournvita and Delite, etc. This project report on Cadbury is synopsis of various domestic as well as international marketing aspects of Cadburys. The project throws light on the Cadbury’s entire product national as well as international. It also gives an insight into Cadbury’s distribution, promotion and marketing strategies and our inferences on same. This project also brings to light the change in positioning of Cadbury from “Kiddies Delight” to a “Treat to all ages” clearly justifies the statement “Life Full of Cadbury, Cadbury Full of Life”.

Transcript of Cadbury Main Project- Final Joel 35 Pgs

Page 1: Cadbury Main Project- Final Joel 35 Pgs

INTRODUCTION

EXECUTIVE SUMMARY

Cadbury India Ltd, a subsidiary to Cadbury Schweppes India, is a market leader in India, with numerous products in its product line. Cadbury has made a strong presence in all its segments. As for its international operations Cadbury holds maximum share in its hometown, UK and is a challenger and follower in other foreign markets. Cadbury is also trying to make Niche into the malted food drinks segment with its products like Bournvita and Delite, etc.

This project report on Cadbury is synopsis of various domestic as well as international marketing aspects of Cadburys. The project throws light on the Cadbury’s entire product national as well as international. It also gives an insight into Cadbury’s distribution, promotion and marketing strategies and our inferences on same. This project also brings to light the change in positioning of Cadbury from “Kiddies Delight” to a “Treat to all ages” clearly justifies the statement “Life Full of Cadbury, Cadbury Full of Life”.

Finally, the project also touches up on the current issue of worm infestation in Cadbury, which serves as a classic example of Crises Management and is supplemented by our inferences.

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MARKET OVERVIEW

Indian Market:

The processed foods sector, which currently accounts for less than 2% of total food consumption in the country, is slated to grow at a fast pace. The Indian Government has identified Food Processing as a high potential industry and has been creating a policy environment conducive to its growth.

MNC’s as well as domestic players have made aggressive investments in the sector. Quantitative restrictions on import of several food products have been lifted, leading to greater availability of imported products. MNC’s are able to offer a wider product range, without the need to establish a manufacturing base

The Processed Food Industry in India remains a mixed field of rural and urban players. Increase in market penetration is critical to growth of the industry. There is a tremendous focus on the lower price-points in this market. This clearly reflects an opportunity for growth, provided that the product is offered at an affordable price point. The Processed Food Industry sector in India has been accorded high priority, with a number of fiscal relief and incentives, to encourage commercialization and value addition to agricultural produce.

To be specific with regards to Cadbury the size of the chocolate market in India is about 4,000 tonnes and is valued at Rs 650 crore a year. Cadbury India has the biggest market share at 70 percent while Nestle is the second largest at 20 percent. Amul holds the rest of 10 percent.

  Contribution to turnover2001

Contribution to turnover2004

Chocolate 65% 70%

Sugar Confectionery9% 10%

Food Drinks32% 24%

UK Market:

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Chocolate market in the home town of Cadbury i.e. UK continues to grow in its popularity. The growth has been driven by increase in chocolate by 5.4 %. As a no.1 Confectionary manufacturer Cadbury Trebor Basset is minimally responsible for driving this market increase with more than half of the market being generated by Cadbury. The market can be overviewed with the help of following pie chart: -

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COMPANY’S PROFILE

History Of Cadbury’s

Fifty years ago, the real taste of chocolate as we know it today, landed on Indian shores. An event that carried forward the entrepreneurship and vision born as far back as 1824, when John Cadbury set up shop in Birmingham (UK) to sell among other things - his own cocoa concoction. From these modest beginnings emerged Cadbury Schweppes - that is today the leading manufacturer of confectionery and beverages in the United Kingdom. A company that has its presence in over 200 countries worldwide and has made the synonymous with cocoa products in countries name 'Cadbury’ across the planet.

Cadbury India Ltd.

Cadbury India began its operations as a trading concern in 1947. The first taste of chocolate was defined by Cadbury in the Indian sub continent. It has been more than 50 years of calling chocolates “Cadbury” in India. The company today employs nearly 2000 people across India.

With brands like Dairy Milk, Gems, 5 Star, Bournvita and Perk or newer products like Celebrations, Bytes, McSwirl, Chocki, Delite and Temptations, there is a Cadbury to suit all occasions and moods.

They bring the sweetest of smiles to millions of consumers through their dearly loved brands distributed through 5.5 lakhs outlets across the country.

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Through 50 years of investment in capital and marketing, the scale and scope of their operations has expanded to cover a range of brands in the chocolate, sugar confectionery and malted food drinks segments. They have a majority share in the Indian chocolate market and a significant presence in sugar confectionery and food drinks.

Mission statement:

To obtain leadership position in the confectionary market and achieve a strong national presence in the food and drinks sector.

Objective:

Grow shareholder value…. over the long term.

S.W.O.T. ANALYSIS OF CADBURY’S

Strengths:

Strong brand names like Cadbury Dairy Milk, Five star and Éclairs. Rich product mix.

Support from the parent Cadbury Schweppes.

Weaknesses:

Lack of product variety in the Indian market.

Opportunities:

The Indian market and more specifically the urban areas where the penetration of Chocolates is low can be developed as a future market through affordability and availability.

Using information and technology to bring efficiency in logistics and distribution.

Threats:

Stiff competition in Confectionery segment. Threat from easy availability of international chocolate brands from neighboring

countries like Dubai. Nepal etc.

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There is a lot of dumping from neighboring countries like Dubai, Nepal, etc of inferior brand of imported chocolates.

COMPANY LIFE CYCLE:

Cadbury’s has always been growing in terms of market share and profits in India. At present it is enjoying the position of a market leader in Chocolate market and is at its maturity stage and in order to make its presence felt and remain the market leader they always come up with new products in the market in order to give competition to companies like Nestle and Amul.

The life cycle of Cadbury’s can be seen in the following graph: -

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MARKETING MIX

It is a combination of four variables i.e. product, price, promotion and place, which are useful for achieving marketing targets of a company.

Product Mix

Product line in India and abroad.

There are overall 120 products of Cadbury some of them are listed below: -

Chocolate

Plain & Nut Chocolate

Fruit & Nut. Picnic.

Temptations.

Bournville.

Dairy Milk.

Gems.

Galaxy.

Chocki.

Éclairs.

Waffer Chocolate

Perk.

Crackle.

Crunch.

Twirl.

Time out.

Twix.

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Caramel Chocolates

5 Star. Caramello.

Mr. Big.

Fingers.

Confectionary Product

Halls. Googly.

Marbles.

Buttons.

Malted Chocolate Drink

Bournvita. Cadbury Delite.

Out of all these Chocolates, Cadbury Dairy Milk is sold in almost 33 countries across the globe.

Cadbury Milk Chocolate - a brand which till today defines the taste of chocolate for millions of Indians. Right from the start, Cadbury’s Milk Chocolate success has been based on 3 factors-Quality, Value for money and Taste.

Cadbury India Ltd. started its segmentation first through age and income wise where they first targeted children and then gradually started breaking the kiddy image and get adult to consume product. Apart from this segmentation, there are 4 more segmentation, which Cadbury undertook.

They are-

1. Immediate Eat2. Homestock

3. Gift

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4. Seasonal

1. Immediate Eat one of the largest segments in the chocolate market is broken down into- hunger and snacking, mouth fresh, adults sweets. Kids immediate eat is a category that is mainly driven by impulse purchase decision. Cadbury shares 5.4% of this market segment.

2. Home stock refers to all chocolates that is purchased for consumption in the home and can be broken down into the following:-

- Share bag

- Snack size

- Treat size

- Multipacks

Cadbury has achieved 11.9% growth in this segment and is a leader.

3. Gift- the gift segment has seen changes from 2002, with consumer now buying chocolates celebrate and reward for a diverse range of occasions. Cadbury company is the leading manufacturer in this segment with its 3 major brands- Heroes, Roses and Milk Tray.

4. Seasonal- seasonal chocolates are mainly purchased during Christmas or Easter. Treats are given as gifts or provide a sense of occasion. For example Easter eggs, Christmas

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selection pack and boxed chocolates. Overall the seasonal market is driven by Cadbury with 5 out of top 10 Christmas best seller.

PRODUCT LIFE CYCLE:

Products have a limited life. Products sales passes through distinct stages, each posing different challenges, opportunities and problems to the seller. The product cycle of “Cadbury Dairy Milk” also passed through various cycle stages such as Introduction, Growth, Maturity and Decline.

When Dairy Milk was introduced in India it entered the first stage of its introduction to its customers and then it got positive response from the market as a result the demand for dairy milk increased and simultaneously the sales and the market share also increased in the following years after its introduction, this was the growing stage where the demand for dairy milk kept on increasing as a result the product reached the next stage i.e. the maturity stage where the product was at its peak but then due to crisis in the year 2003 –2004 its sales went down and as a result it reached its declining stage.

These stages of dairy milk can be seen clearly in the following graph: -

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TARGET AUDIENCE:

Through constant research, Cadbury’s Schweppes has found that consumer buys chocolate for a number of reasons, indulgence- “I want a treat”, emotional – “I need a Chocolate” and functional reason – “I am hungry and want a snack”.

Chocolate consumer can be divided into number of categories based on age, Gender, buyer and eater.

On The Basis Of Gender:

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Women are the largest purchaser of chocolates for home stock as well as gifting during the year. It has been found that buying habits of men is less but eating is more and women buying more but eating less.

On The Basis of Age:

It has been found that children’s comprises most of the eaters market of Cadbury’s. after children, women, particularly in the age of 46-64 age group comprises the market. Adult

purchasing has led to significant growth of Cadbury market.

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PACKAGING

Packaging plays a very vital role in pushing up the volume of Cadbury’s sales. It serves as a secondary advertising medium. When Cadbury had launched Chocki the packaging they provided to this brand was in such a way that the children can just sip the Cadbury liquid into their mouth without spoiling their hand. Thus this attractive packing has boost up the sales of Chocki. This is not only the case with Chocki but for each and every brand, packaging is done taking into consideration convenience of consumer.

Cadbury has made its packaging norms stricter after the worm issue. Double packaging is done to each and every product of Cadbury for convenience and safety of the consumer.

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DISTRIBUTION

Distribution management is a key area for large-scale marketing. Marketing needs the support of different services such as transport is warehousing and so on. Distribution provides place utility and time utility to a product. Cadbury being a market leader in a country like India having a market share of 70% Cadbury's distribution network encompasses 2,100 distributors and 6,00,000 retailers. The company has a total consumer base of over 65mn. Besides use of IT to improve distribution logistics, Cadbury is also attempting to improve distribution quality. To address the issues of product stability, it has installed Visi coolers at several outlets. This helps in maintaining consumption in summer, when sales usually dip due to the fact that the heat affects product quality.

The Cadbury Sales and Distribution network directly services over 3.5 Lac dealers across the country, once a week. Confectionery purchase being impulse led, demands eye catching, on-the-cash-counter visibility in as many of these outlets as possible.

Distribution Channel:

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Distribution channel of Cadbury in India consist of 2 brad sub channels. Firstly it passes from wholesaler, distributor, and retailer and finally reaches the consumer. The second sub channel, which is rather more popular in the foreign market where in Cadbury directly supplies to its customer through its exclusive outlets such as Cadbury Gift Shops, Cadbury World, etc.

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MARKET COVERAGE

As Cadbury have very huge market around the world and Cadbury also have a very wide range of product. It adopts differentiated marketing strategies because income level, taste and preferences, usage condition, purpose of usage and other consumer’s characteristic relevant to marketing differ between different groups of consumers. Taking the above thing as bases Cadbury come up with different product in different market to gain up the market share depending upon consumer preferences. Differentiated marketing leads to both higher sales and higher cost and according to it marketing strategies differ. Differentiated marketing helps not only to cover the market share but also put a great fight to face the competitors in India and Abroad.

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PRICING

Entering into the chocolate market the pricing strategies would penetrate the domestic as well as international market. As Cadbury has very wide range of product there is a huge amount of price range that suits every people of the society.

With high range of product launching a product with a low price CADBURY DAIRY MILK discourage actual and potential competitors. Forcefully NESTLE has come up with low price chocolate like “Nestle Chocostick”.

Depending upon the seasonal segment of CADBURY DAIRY MILK like Diwali and Christmas various gift packs, family packs is been introduced at a attractive price. While deciding the price CADBURY DAIRY MILK is taking a care such that the price of the product must be reasonable and competitive. The marked price is been affordable by every person, as demand is high and the competitors want to eat other companies’ market share.

As a major player in the chocolate industry and have 70% of market share, it has been a main feature of pricing of CADBURY DAIRY MILK to maintain its price. CADBURY DAIRY MILK sets pricing according to market segment, the price of the product of Cadbury is such that it can be purchased easily by those people from 3 to 17 years of age and affordable to other segment of 18 to 25 years or above.

Facing the competition at the national and international level sometimes due to the penetration strategy by other competitors keeping in mind the objectives such as survival, maximum profit, etc. accordingly CADBURY DAIRY MILK has to make slight changes in the pricing of the product as per the changing current scenario.

The price of Bournvita (1Kg) where kicked Rs. 5 towards Rs. 170. According to analysts, Cadbury’s dual strategy of getting into mass market with confectionary and push product in the high value segment has ensured both growths in volumes and margins. Recently, the company re-launched its flagship brand Bournvita to take on in the competition.

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PROMOTIONS

Introduction of Cadbury WYSIWYS (what you see is what you sell). Merchandising formula has revolutionized the way many retailers manage their chocolate business. Cadbury creates a WYSIWYS bespoke display solution to address merchandising opportunities as a result of extensive shop a research in the impulse trade. Channel research shown that only 28% of convenience store shoppers see the Cadbury display whoever of those shoppers 80% go on to purchase from the fixtures. The challenge to the channel is to improve the visibility of the confectionary fixtures thus maximizing this very high conversion factor.

There are number of key principle to WYSIWYS:

1. Get the basics right.2. Get the right range.

3. Get right location in stores.

4. Get the display space right.

Cadbury's to raise home consumption with Heroes

In an attempt to drive home consumption of chocolates, confectionery major Cadbury India has rolled out an initiative by the name of Cadbury's Heroes. The promotional initiative, introduced in the Delhi market for the time being, is likely to be taken to other cities shortly. Cadbury's Heroes is a combination pack of the company's leading chocolate brands such as Temptations, Perk, Fruit & Nut, 5-Star, Crackle, Cadbury Dairy Milk and Bournville in regular and small unit sizes. The assortment packs are available in three sizes and are priced at Rs 50, Rs 100 and Rs 150.

International Promotion Strategies:

1. Cadbury took a fresh perspective to promote its small product like MARBLES, which is very popular among children. Though the company does not give direct Give –away gifts with its products, it has effectively mixed it with it’s packaging to boost its image and sales.

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WYSIWYS is the Total Solution.

Total Display + Total Category + Total Impulse = More Sales.

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2. 900 gms. Heroes tub, packed full of delicious, extremely popular and very moreish Cadbury heroes.

3. Cadbury gives classic examples of children rising influence in the buying decisions by giving them Cadbury Van Set, which not only celebrates heritage of Cadbury but also are a real collectors items.

4. The other product most popularly use to product chocolate is a TATTO. This product has become a great craze in small and young children like. Fluorescent tattoos have been welcomed with overweighing craze, especially in the bubble gum and toffees. Cadbury Dairy Milk, the flagship brand of India is set to sport a new packaging.

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Cadbury Dairy Milk – Ad Campaigns

Cadbury Dairy Milk is the largest and most loved chocolate brand in the country. In fact, it’s attained generic status and one in every four bars of chocolate consumed is Dairy Milk.

In volume terms it accounts for almost 30% of the entire chocolate category and is undisputedly the most delicious, best tasting chocolate. Consuming Dairy Milk is ‘A moment of pure magic’.

Cadbury Dairy Milk encapsulates an enormous breath of emotions, from shared values such as family togetherness (fun, wholesome, reliable), to the personal values of individual enjoyment. The brand stands for purity. Purity of emotions, purity of feelings and purity of expression in all forms.

The core of the brand is about ‘Shared good feelings’. About shared happiness.

In the early 80’s, Dairy Milk was positioned as the perfect expression of parental love. The ad campaign in the early 80’s gave the message, which was “Sometimes a Cadbury can say it better than words” which clearly showed Cadbury as a sign of love and affection.

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From 1983 To 1993 Cadbury viewed the chocolate market as primarily belonging to kiddy category and chocolate was seen as an indulgence product with many barriers and entrenched negative associations. The other issues were that the market was seemingly mature with minimal growth.

After 1993 came the shift in positioning DAIRY MILK as a perfect expression of spontaneous, shared good feelings. Eating CADBURY DAIRY MILK provides the real taste of life experience’. The ‘Real Taste of Life’ campaign that resulted captured moments when people shook off convention and broke free showing their real selves.

The ‘Real Taste of Life’ campaign cut ice with the Metro audience and more than did the task that it set out to complete. In 2000 the challenge was to connect with the masses-, which formed a significant part of the population. There was a need to speak to two sets of consumers i.e. the regular users and the infrequent users. The Cyrus campaigns did precisely that- it addressed the infrequent users with the message ‘You don’t need any special reason to eat CADBURY DAIRY MILK’.

In the past few years Cadbury is been positioned to its new customer by legitimizing chocolate consumption & placing CADBURY DAIRY MILK against a relevant socio-cultural backdrop. The ‘Wedding’, ‘Family’ & ‘College’ TVC’s were aired to achieve the objective.

During the 2003 Cricket World Cup a huge opportunity was realized to increase consumption by cuing new consumption occasions i.e. when watching Cricket on TV. The ‘Cricket mania’ TVC that resulted harnessed this opportunity in a big way. CADBURY DAIRY MILK being the category driver, the way forward is to continuously expand the category by doing both a Width’ and ‘Depth’ task. i.e. getting more people to consume chocolate and get the current consumers to consume more.

With an objective to generate excitement in the brand and the entire category per se CADBURY DAIRY MILK was re-launched in Aug 2003 with an improved richer, smoother product and a contemporary, new packaging across the entire molded range. The re-launch also involved a significant ‘Master branding’ exercise that brought all the CADBURY DAIRY MILK variants under the Dairy Milk umbrella. To address the top end consumers, ‘Caramello’ and ‘Double Deck’ were also launched.

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MARKETING STRATEGIES

Since its inception, Cadbury India has stayed ahead thanks to its constant marketing initiatives, that have at all points in time understood the needs of and opportunities in a changing nation.

1. The '60s was a decade which saw the launch of brands that are etched in the hearts of generations of Indians - Tiffin’s, Nut Butterscotch, Caramels, Crackle, 5 Star and Gems. It was a strategy that introduced consumers to a variety of tastes and product forms leading to a rapid increase in chocolate consumption.

2. Cadbury's Eclairs was launched in 1972, at the then princely sum of 0.25p and was an instant hit. It continues. To be one of the biggest brands in the Cadbury portfolio and offers the lowest price point at which consumers can experience the real taste of chocolate.

3. Cadbury invested in technology and made an impact through innovative packaging. This decade experienced a continuous growth in volumes as Cadbury launched a flurry of brands with different pack sizes, at various price points. The now ubiquitous Sheet Metal Dispenser seen on cash counters of thousands of shops for dispensing chocolates was an innovation that helped brand the color purple in the minds of the Indian consumer.

4. In the 90's Cadbury realized both the scope and the need to expand the market. Hitherto perceived only as a children's product, Cadbury 'universalized' the chocolate market. The multi-award winning advertising campaign - 'The Real Taste of Life' - was launched, capturing the childlike spontaneity in every adult.

5. Cadbury 5 Star with its 'Reach for the Stars' campaign targeted the youth, offering them a mind and body charge. While pre-empting competition, Cadbury Perk - the light chocolate snack - pushed chocolates into the wider area of snacking by promising 'Thodi Si Pet Pooja' anytime, anywhere.

6. With the launch of Trebor Googly, the tangy, fizzy candy, Cadbury took the market by surprise and marked. The entry of Trebor into the fast growing Indian sugar confectionery market. The extension of Googly to a Mint flavor reinforces Cadbury's commitment to establish the Trebor name as a strong player in the value added sugar confectionery market.

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INNOVATIONS

Cadbury's philosophy is to continue as a driving force in the confectionery market, and thus constantly analyze its offerings for consumers. The core objective of Cadbury's innovation programme is to generate incremental volume for the company and achieve the vision of market leadership in every segment in which it operates. The role of innovation is critical as it allows Cadbury to develop ahead of its competitors in those areas of the market, which are new or growing.

Cadbury India has recently launched the following products in Indian markets:

Halls:Halls one of the most salient brands in Cough lozenge Category is now a part of Cadbury India’s Portfolio. Halls, priced at 50p comes in 4 refreshing flavors - Menthol, Orange, Ginger and Fresh Lime.

Double Deck: One look at Cadbury Dairy Milk Double Deck and you wouldn’t is able to resist the urge to just bite into it. The cubes of Double Deck look like little snow-capped mountains, which is in fact white chocolate on top of rich Cadbury Dairy Milk chocolate. The taste is rich, enchantingly smooth and truly captures the best of both brown and white chocolate in a single eat experience. Cadbury Dairy Milk Double Deck is a must for those you just cant think beyond chocolate.

Caramello:This new offering from the Dairy Milk stable is for the truly discerning chocolate connoisseurs, who are constantly looking for more out of their chocolate. Presenting Cadbury Dairy Milk Caramello. Cubes of rich Cadbury Dairy Milk with a soft center filled with luscious Caramel. The moment you bite into it, you'll be mesmerized with the twin goodness of pure Dairy Milk milk chocolate and delicious caramel that gradually seeps in.

Cadbury Delite:Delite is Cadbury’s foray into the area of making milk fun. Get a bottle home today and watch your kid and his/her glass of milk become good friends.

Chocki:Children across the country have a chance to enjoy Cadbury Chocki in two exciting new flavors – strawberry and milky.

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Heroes:Now your favorite chocolates are available in mini sizes in convenient, take-home packs. Bring home a pack of Heroes today – there’s one for everyone in the family.

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COMPETITORS ANALYSIS

The size of chocolate market in India is about 4000 tonnes and is valued at Rs. 650 crores. Cadbury India has a biggest market share at 70% and its closest competitor in domestic market is Nestle with a market share of 20%. And Amul, Campco besides a host of unorganized sector players, holds the rest. In the past year, Nestle and Cadbury have been engaged in a pitched battle, with both players creating new price points for chocolates to drive volumes.

The unorganized players largely dominate the sugar confectionery segment. Leading national players in this category include Nutrine, Parry's, Ravalgaon, Candico, Parle’s, and Joyco India. The M.N.C.’s such as Joyco have aggressively expanded their presence in the country in the last few years.

Malted food drinks category consists of white drinks and brown drinks. White drinks account for almost two-thirds of the 90,000 ton market. South and East are large markets for food drinks, accounting for the largest proportion of all India sales. Cadbury’s Bournvita is the leader in the brown drink (cocoa based) segment. In the white drink segment, SmithKline’s Horlicks is the leader. Other significant players are Heinz (Complan), Nestle (Milo) and GCMMF (Nutramul). Market leader SmithKline also owns other brands such as Boost, Maltova and Viva. Cadbury has a 15% market share in the malted food drink segment despite the company’s efforts and investments in repositioning the brand.

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CRISIS MANAGEMENT

Some called it a quality crisis others “Situation Management”. Whatever the semantics, those worms that wiggled their way into Cadbury chocolate bars created the biggest crisis for the 50 years old chocolate giant.

Cadbury’s Indian operation that is not only the largest in Asia but also the cheapest compared to others around the world. Cadbury is the fastest growing FMCG Company in the country with the annual growth rate of 12.5% per annum. So even for its domestic operation the worms controversy could not have come at the worst time as the next few months are the peak seasons for them. This worm infestation in Cadbury has caused slide in their sales by 4% in October and 10% in November last year which clearly depicts occurrence of crisis at Cadbury’s.

The first and the foremost aspect of managing the crisis is proper communication of an organization with its target audience. Cadbury’s did this by making the masses aware of quality control measures that they take is the most comprehensive food safety system to ensure that the products are free from any physical, chemical and microbiological issues. Apart from this various other steps taken by Cadbury to manage this crisis can be described as under:

I. Project Vishwas

After extensive discussion with consumers, retail partners and Food and Drug Administration in Maharashtra Cadbury India ltd has designed a three step program which is named “project vishwas” to ensure that the product reaching the consumer is of the highest quality. Each step can be explained as under:

STEP 1: - Strengthening the packaging of Cadbury Dairy Milk.

The packaging of Cadbury’s major brand that is “Dairy Milk” has been strengthen as it is now available in new Purity Seal Pack that is double wrapped for maximum protection to eliminate any possibility of infestation during storage and distribution, the company has spent nearly 12 to 15 crores on importing machinery for the same.

STEP 2: - Creating awareness.

Generating awareness and providing advice and assistance in improving storage conditions for chocolates among retailers all over the state.

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STEP 3: - Replacement of questionable stock.

As a precautionary measure, replacement of any questionable stock at Kirana level. Though this program Cadbury will ensure that we extend the same care and hygiene that we take the manufacturing stage to storage and also at distribution.

II. HACCP: - (Hazard Analysis and Critical Control Points Program)

Cadbury follows HACCP, which is the most comprehensive food safety system. The manufacturing process of chocolate at Cadbury involves a conching process that takes place in high temperature making it impossible for any infestation to take place and towards this end Cadbury has provided a number of storage dispensers and air conditioner units to its retail partners to ensure that the chocolate that a customer buys are absolutely fresh. In addition to this Cadbury India ltd has taken special steps for its Mumbai market by incurring additional costs in upgrading, packaging and damage control promotional efforts.

In Maharashtra Cadbury has involved a team of 300 sales people to carry out checks of over 50,000 retail outlets. Moreover the bulk packaging has been reduced from 60 bars to 22 bars so as to minimize the sale of loose packs to the retail trade.

III. Association of Big B with Cadbury Dairy Milk

Mr. Amitabh Bachhan can play very vital role in building consumer confidence and interest in this company. Mr. Bachhan has a universal appeal that extends to everyone from the age group of 6 – 60 years just as Cadbury do. His endorsement with Cadbury’s Dairy Milk will go a long way towards company’s objective of increasing chocolate consumption among all

ages.

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