Term Ppr..Cadbury...1

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INTRODUCTIONCadbury India Ltd. is a part of the Kraft Foods Group. Cadbury India operates infive categories - Chocolate confectionery, Beverages, Biscuits, Gum and Candy.In the Chocolate Confectionery business, Cadbury has maintained its undisputed

leadership over the years. Some of the key brands are Cadbury Dairy Milk,Bournvita, 5 Star, Perk, Bournville, Celebrations, Halls, Éclairs, Tang and Oreo.

In India, Cadbury began its operations in 1948 by importing chocolates. After 60years of existence, it today has five company-owned manufacturing facilities atThane, Induri (Pune), Malanpur (Gwalior), Bangalore and Baddi (Himachal

Pradesh) and 4 sales offices (New Delhi, Mumbai, Kolkata and Chennai). Thecorporate office is in Mumbai.Cadbury has grown from strength to strength with new technologies beingintroduced to make the Cadbury confectionary business, one of the most efficientin the world. The Cadbury story is a fascinating story of a family business that

grew in one of the biggest, most loved chocolate brand in the world. A story thatwe will remember as the story of ³The taste of life´.



OBJECTIVESMy main objective behind this project is to analyze the

marketing strategies followed by Cadbury India Ltd. for their products, along with the policies followed to give a toughcompetition to competitors such as Nestle.

To analyze the different ways of marketing of Cadbury Productsand how it has been able to obtain a huge market share in thechocolate market.

To study the buying behaviour of the consumers of chocolates.



RESEARCH

METHODOLOGY Achieving accuracy in any research requires in depth study

regarding the subject. As the prime objective of the project is toanalyze the marketing strategies of Cadbury India Ltd, the researchmethodology adopted are:

SWOT Analysis

PEST Analysis

Analysis of the 4 Ps of Marketing²

Product, Price, Physical Distribution, Promotion



PEST ANALYSIS

CADBURY

INDIA

POLITICAL

ECONOMIC

SOCIAL

TECHNOLOGICAL

Since the budget range is decontrolled,

no political effects are envisaged

Increasing per capita incomeresulting in higher disposable inco

Growing middle class/urban population ± increase in demand.Low cost of production ± better penetration.

Per capita consumption expectedto increase - fashion.

Increasing gifts culture-increase in demand .

Lower cholesterol than ³mithais´-

substitute demand.

Will have to reinforce technology

to international levels onceIndia is a ³free´ economy.



PRODUCT

PRICING

PHYSICAL

DISTRIBUTION

PROMOTION

Cadbury offers products with additional benefits, unexpected byconsumers, providing them value for their money and happiness.

Cadbury identifies the right price level for each customer segmentand ensures that the consumer gets value for the worth he pays.

Cadbury ensures that its products reaches a large no. of customers in

the remotest areas with effective management and equity distribution.

Cadbury has undertaken various promotional activities attracting

all segments of the market, from children to adults to older people.

THE 4 MARKETING P S



PRODUCT:

The average company will compete for customer by conforming tohis expectation consistently. But the winner will surpass them byconstantly exceeding his expectation, delivering to his door stepadditional benefits which he would never have imagined . Cadbury¶soffer such product. The wide variety products offered by the

company include:1. Chocolate & Confectionary--1) Dairy Milk 2) Fruit & Nut 3) 5Star

4) Break 5) Perk 6)Gems7) Eclairs 8) Nutties 9)Temptation2. Beverages± Bournvita

3. Candy-- Halls



PRICE:Second P of marketing is not another name for blindly lowering

prices and relying on this strategy alone to increase salesdramatically.

The strategy used by Cadbury¶s is for matching the value thatcustomer pays to buy the product with the expectation they have

about what the production is worth to them.

Cadbury¶s has launched various products which cater to allcustomer segments. So every customer segment has different priceexpectation from the product. Therefore maximizing the returnsinvolves identifying right price level for each segment, and then

progressively moving through them.Some of the examples are:Dairy Milk Rs. 22 Perk Rs. 10

5 Star Rs. 10 Fruit and Nut Rs. 22Gems Rs. 10 Break Rs. 5



PHYSICAL DISTRIBUTION:With technology and competitive pressure slash in, it is becoming

increasingly difficult for marketers to retain a unique productdifferentiation for long period. In a product and price paritysituation, the brand that sells more is the one that reaches the highestnumber of customers.

India ± 1 billion people, 155 million household has over 4 millionretail outlets in 5351 urban markets and 552725 villages, spreadcross 3.28 million sq. km., and the marketer who can get to the tothe consumer ahead of competition will give a hard-to-overtakelead.

Cadbury ensures managing wildly different terrains-climate,language, value system, life style, transport and communicationnetwork.

Cadbur ¶s distribution network has ex anded from 1990



PROMOTION:To penetrate into the inner recesses of customer memory,communication must first ensure exposure, grab his attention, evokehis comprehension, grab his acceptance and then extract retentioncompeting with thousands of other units of communication trying todo the same. Few of the promotional strategies of Cadbury areillustrated here:

Findings showed that the adults felt too conscious to be seenconsuming a product actually meant for children. The strategicresponse addresses the emotional appeal of the band to the childwithin the adult. Naturally, that produced just the value vacuum that

Cadbury was looking to fill. Thereafter it was the job of theadvertising department to communicate to the customer the wonderfulfeeling that he could experience by re-discoursing the careful,unselfish conscious and pleasure-seeking child within him ± and graft

these feeling onto the Ad campaign like ³Khane Walon Ko Khane KaBahana Chahi e´ for CMD and ³Thodi Si Pet Poo a ± Kabhi Bhi



As well as outdoor and radio ads, ad agency contract has createdcommunication for cinemas and even ATM machines for the brand.All ICICI¶s ATMs flashes a message on the screen as soon as customer

inserts his ATM card. It tells the customer that this would be good timeto get out of his temptation since he/she is bound to be alone.

In cinemas, Cadbury has a message on-screen just before the lightsare dimmed to give them a chance to get their temptations.

There will also be after dinner sampling in restaurants ± to begin with,30 restaurants in Mumbai have been selected.

Éclairs has got potential for much wide distribution, in a small sweetsthat airlines, hostels, and up market retail outlet offer to guest andcustomers.

Since any discussion today would be incomplete without mentioning

the µe¶ word, the management plans to tap this new channel of marketingalso.



USEFULNESS OF

THE METHODOLOGY SWOT ANALYSIS:

It helps us in analyzing and observing the strengths, weaknesses,opportunities and threats faced by Cadbury¶s products from differentsources.

PEST ANALYSIS:

It helps us to understand the effects of the political, economic, socialand technological environment on the company and it¶s products.

ANALYSIS OF 4 P¶s OF MARKETING:It gives us an overview of the different products, pricing strategies,

place of physical distribution and promotional activites undertaken for



CONCLUSIONThis company project has demonstrated Cadbury¶s Marketing andCompetitive Strategies that has proved to be extensive throughout ,and of great benefit to the company in furthering its competitiveadvantage.In this project it is possible to see the success of Cadbury India Ltd.and its strong potential to continue to do well.We have been able to clearly analyze the strengths and opportunitiesof the company along with the threats faced by it and its

weaknesses. The impact of the marketing environment can also befigured from the PEST analysis. It is observed that Cadbury IndiaLtd. has taken up effective marketing strategies to promote its

products and has been successful in increasing sales as well as brandvalue of the products.



ACKNOWLEDGEMENTS

I would like to convey my thanks to all the people who helped andsupported me during the making of this project.Deepest thanks to PROF .S.BANERJEE , my guide for the projectfor guiding me through and helping with a better understanding of

the products and the company I was conducting my research upon,helping me with different guide books on marketing and varioussearch engines online to extract and study in detail, correctingvarious documents of mine with attention and care. He has taken

pain to go through the project and make necessary correction as andwhen needed.

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