Published on February 21, 2014
co la te be a ns The sweetest story ever told… or heard
HISTORY OF CADBURY Started by John Cadbury Factory in Bourneville in 1861- largest chocolate production in U.K 1897- Manufactured 1st milk chocolate. 1950- First overseas factory near Hobart, Tasmania. 1960’s- Larger factory with his brother selling 16 type of drinking chocolates. Today the largest confectionery company in the world;70,000+ employees.
CADBURY INDIA In India, Cadbury began its operations in 1948 by importing chocolates. It today has 5 company-owned manufacturing facilities & 5 sales offices in 5 metros. The corporate office is in Mumbai. Cadbury enjoys a value market share of over 70% - the highest Cadbury brand share in the world! The brand Cadbury Dairy Milk is considered the "gold standard" for chocolates in India.
VISION The Barrow Cadbury’s Trust’s Vision is of a peaceful, equitable society free from discrimination and based on the principle of social justice for all. MISSIO N The Barrow Cadbury’s Trust’s Mission is to promote social justice through grant making, research, influencing public opinion and policy and supporting local communities.
OBJECTIVES To become the World’s Biggest and Best Confectionery Company. To make lots of chocolate & improve the quality of their chocolate. Have loads of stores worldwide. To be an ongoing company & achieve revenue growth of 20% per year. Increase earnings by 15% annually & dividends per share by 7% per year.
ACHIEVEMENTS • 2008- SILVER award for the 'Most Effective Use of Advertising‘. • 2008- Cadbury India has been ranked as the 7th Great Place to Work and the No. 1 FMCG company in India. • Cadbury Dairy Milk & Bournvita have been declared a `Consumer Super brand' for 2006-07. • Cadbury India has been ranked 5th in the FMCG sector, by Business World magazine in 2007.
THE 4P’s OF CADBURY
PLACE Produced at the chocolate factory in Bourneville in Birmingham. It is then transported to the stockrooms. After this Cadbury sells it products to shops that deal with beverages and confectionery e.g. corner shops, superstores. They then sell it to the general public.
PLACE Five company-owned manufacturing facilities: Thane Induri (Pune) Malanpur (Gwalior) Bangalore Baddi (Himachal Pradesh) 4 sales offices: New Delhi Mumbai Kolkota Chennai THESE FACTORIES CHURN OUT CLOSE TO 8,000 TONNES OF CHOCOLATE ANNUALLY Corporate/Head office: Mumbai
PRODUCT Cadbury Dairy Milk is made from Real Chocolate Its ingredients include cocoa butter There is a glass and half full cream dairy milk in every 200 grams of Cadbury dairy milk chocolate Cadbury buys 65 million liters of fresh milk each year to make Cadbury dairy milk chocolate
PRODUCT Bars Cakes & Biscuits Drinks Ice Creams & Desserts
PRICE Adopted competitive pricing strategy for the basic product Whereas premium pricing on other variants Cut down on weight but did not increase cost e.g. 5 Rs pack was of 13gm but now it is 10.5gm
PROMOTION CAMPAIGN TARGET Real Taste of Life Child in adult Khanewalon ko khane ka bahana chahiye Wider masses Pappu Pass Ho Gaya Youngsters Miss Palampur Rural masses Kuch Meetha Ho Jaaye Conversion of sweet consumers to chocolate for special occasions Khane ke baad Meethe mein Kuch Meetha Ho Jaaye Targeting the habit of Indians to have desserts after meals Shubh Aarambh Targeting the belief of Indians that anything begun by having something sweet provides good luck
PROMOTION The BIG B Factor The big factor that has pushed up CDM sales is the Amitabh Bachchan campaign. It helped restore consumers' faith in the quality of the product
MARKETING STRATEGY Brand Building Innovative & Attractive Packaging Introducing New Products Market Positioning
5 C’S COMPANY CUSTOMERS COMPETITORS CLIMATE COLLABORATORS
MARKET SEGMENTATION Geographic segment Demographic segment Behavioral segment Psychographic segment
MARKET SEGMENTATION GEOGRAPHIC Region Countries Climate DEMOGRAPHIC Age Gender Family Life cycle Income
MARKET SEGMENTATION PSYCHOLOGICAL Attitude Toward The Product Life Style BEHAVIORAL Occasions Benefits Usage rate
SWOT ANALYSIS Strengths •Well established brand •Huge market share 70% •Rich product mix •Aggressive marketing •Price according to Indian market Weakness •Dental problems with chocolates consumption •Little penetration in rural sec •Other competitors have better international experience Opportunities •Increase share through targeted acquisition •Increases acceptance of Globalization in sector. •Innovative un captured market Threats •Cut throat comp : Nestle Amul •Entry of international brands •Obsession with calories •Negative publicity and controversies
MY SUGGESTIONS Bring out new products for health conscious people. Continue to promote itself as substitute to mithai. Choco-biscuits should be introduced. Should use Indian ads and avoid global ads in India. Consider attractive display or its own ‘Chocolate boutique’ (retail store). Special chocolates for Christmas should be introduced e.g. rum, champagne flavored New flavors like strawberry,orange,vanilla etc.
CONCLUSIONS There is an immense scope for chocolate industry in India Indian chocolate industry is unique mix with extreme consumption patterns, attitudes, beliefs, income level and spending Understanding consumer preferences and demands is the key to growth Pricing, quality , flavors and pack size are some of the important factors Economical distribution using proper supply chain management is necessity Brand loyalty should be maintained
T H A N K Y O U
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