INTRODUCTION of CADBURY COMPANYThe company was started in 19th century on July 1948 as a private limited company, under the name of the Cadbury fry (India) private limited and commenced business soon thereafter. Manufacturing facilities were set up gradually
BOARD OF DIRECTORS OF CADBURY INDIA NAME DESIGNATION C.Y.PAL Chair Person Rajiv Wahi Vice Chairman Jaiboy phillips Non Executive Director V .Chandramouli Executive Director Sunil Seth Executive Director Sanjay Purohit Executive Director
Cadbury mission statement says “Simply cadbury was quality this is our mission & promise.
Promotion of brands carrying mass franchise without comprise on quality or margins. Increasing the market depth including rural india’s coverage. Better product quality and packaging. All round efficient utilisation of tangitable as well as intangible such as brands and people. Efficient working capital management. Depreciation charge to meet the CAPEX needs every year. Surplus cash so generate to either gainfully and meaningfully reinvested in business or return to Stake holders.
Different Brands of Company Cadbury Dairy Milk Perk Cadbury Celebrations 5 Star Crunchy Beverages (Bournvita) Eclairs Halls
BRANDS Core Needs Auxiliary NeedsCadbury Dairy Milk Taste , Sweetness, Deliciously smooth texture Enjoyment & unique creamy tastyPerk Taste , Sweetness, Wafer chocolate Light and Enjoyment crispy5 Star Crunchy Taste , Sweetness, Cingering taste of Enjoyment Togetherness & Soft & ChewyBeverages Taste , Sweetness, To grow Strong & Healthy.(Bourn vita) EnjoymentCelebrations Taste , Sweetness, Tasty, Rich looking and Enjoyment StatusÉclairs Taste , Sweetness, Delicious journey to a heart Enjoyment of rich chocolate.Halls Nasal and Throat relief Mouth Refreshment
APPROACHES EXTENT JUSTIFYPRODUTION Partially All brands of products are widely available withCONCEPT applicable low cost expect celebration which is high cost so it is partially applicable.PRODUCT Fully applicable Here products are given importance withCONCEPT superiority. Unique features like Cadbury dairy milk colorful primary packaging over a thin aluminums foil is used.5 star comes its classes golden color. Perk has color combination of blue, yellow, red and brown, éclairs is a toffee version of chocolate packed in combination of blue and yellow. These chocolate includes rich variants fruits and nut, craclsle and roast almond, and rich dry fruits.
APPROACHES EXTENT JUSTIFYSelling concept Partially Attracting customers by giving advertisements applicable through media. in India Cadbury is highest selling chocolate brand with 70% market dominations. In order to increase its consumer base, it comes up with new campaign to increase the consumption of chocolatesMarketing concept Fully applicable Cadbury always focus on delivering best of its customer in order to get best cocoa for its chocolates.Societal marketing Fully applicable Cadbury competitors are not only restricted toconcept chocolate industry but also small sweets shop owners. cadbury has positioned itself as that whenever people want to have sweet then they should have cadbury chocolate. Company has launched dairy milk desserts for the same. Company wants to be a part of every Indian consumer happiness, joy and celebrations. For this company has come up with campaigns to promote its product to the child in every adult. “real taste of life” is one such campaign from the company.
Swot analysis of Cadbury company STRENGTH:1.Cadbury is the largest global confectionery supplier, with 9.9% of globalmarket share.2.High financial strength (Sales turnover 1997, £7971.4 million and 9.4%). 3.Strong manufacturing competence, established brand name and leader ininnovation.4.Advantage that it is totally focused on chocolate, candy, chewing gum,unique understanding of consumer in these segments.5.Successfully grown through its acquisition strategy. Recent acquisitions,including Adams, 2003, enabled it to expand into important markets like the USmarket.
WEAKNESSa reputation for new product development and1. Cadbury has creativity. However, they remain vulnerable to the possibility that their innovation may falter over time.2. The organization has a strong presence in the United States of America, UK and India. It is often argued that they need to look for a portfolio of countries, in order to spread business risk.3. Cadburys recall over 1 million chocolate bars over salmonella fears4. The organization is dependant on a main competitive advantage, the retail of coffee. This could make them slow to diversify into other sectors should the need arise. 5. The company has no apprehensions of cannibalization of its chocolate brands.
OPPURTNITIES1.Cadbury company is very good at taking advantage of opportunities.2. The company has the opportunity to expand its global operations. New markets with new products which are limited in particular region.3. Cadbury has decided to focus on a few of its key brands such as Cadbury Dairy Milk, Bourn vita, Éclairs and Halls to drive growth for the company.4. Co-branding with other manufacturers of food and drink, and brand franchising to manufacturers of other goods and services both have potential.5. Cadbury India is attempting to increase the declining market for chocolate with innovation, one of which is its sweet snack, Bytes6. Brand ambassador Amitabh Bachchan for advertising there new products.
THREATS1. Who knows if the market for Cadbury will grow and stay in favour with customers, or whether another type of beverage or leisure activity will replace coffee in the future?2. Health organization have so many barriers for new development3. Cadbury’s are exposed to rises in the cost of chocolate and dairy products.4. Entry into salted snacks was ruled out so it is important to do new innovation and marketing research.
DIFFERENT BRANDS AND FEATURESBRAND NAME FEATURESDIARY MILK The chocolate with deliciouslysmoothTexture and unique creamy taste. Cadbury diary milk, fruit andnut and whole nut are the of the best lovedvarieties of Cadbury mega brand.
CELEBRATIONS The above product will be deliverable in all over India. It consists of all chocolates of Cadbury which is beautifully packed and used to present as a gift pack. ECLAIRSThe two classic ingredient of toffee and chocolate combined together to create a truly unique experience.
HALLSIts ayurvedic proprietary medicine which consists of niligiri tailam, shakara(sugar base), nimbus. Which reliefs from throat and cold problems.5_STAR Which contains added identical and artificial flavoring substances. Lose yourself in the yummy mode.
PERK Which have the extra taste of Cadbury diary milk . Perk contains wafer layers with Chocó cream and wheat flour and different ingredients.
PUNCHLINE AND BRAND AMBASSDORPRODUCT NAME: DAIRY MILK DAIRY MILK “Kuch mita ho jayee”
PUNCHLINE AND BRAND AMBASSDORProduct name: Perk PUNCH LINETHODI SI PET POOJA
PUNCHLINE AND BRANDAMBASSDORPRODUCT NAME: HALLSTHANDI SAANS KABLAST
PUNCHLINE AND BRANDAMBASSDOR Product Name: 5 StarJO KHAYE KHOJAYE
PUNCHLINE AND BRANDAMBASSDORPRODUCT NAME: CELEBRETATIO N PUNCH LINE “RISHTO ME MITAS”
PUNCHLINE AND BRANDAMBASSDORPRODUCT NAME: ECLARS
PUNCHLINE AND BRAND AMBASSDOR PRODUCT NAME:BUBBALO PUNCHLINE: BUBBA THE CAT
PUNCHLINE AND BRANDAMBASSDOR PRODUCT BYTES NAME PUNCH LINE HAR SNACK NAMKIN NAHI HOTA
PUNCHLINE AND BRANDAMBASSDORPRODUCT NAME BOURNVITAPUNCH LINE NATURE AND SCIENCE TAN KI SHAKTI MAN KI SHAKTI
COMPETITORS OBJECTIVES COMPETITORS OBJECTIVES NESTLE “Aim to build a business as the worlds leading nutrition, health and wellness company based on sound human values and principles.”
1. Diversification: Nestle has a wide product portfolio encompassing baby foods and dairy products, chocolates and breakfast cereals and food seasoning.STRENTHS 2. Joint ventures: Nestle holds joint ventures with leading businesses like Coca Cola, General Mills and LOreal which allow it to access their technical knowledge to further develop its own brand. 3. Influencing consumer decisions: With its innovative and attractive advertising campaigns Nestle is able to influence customers buying decisions. 4. Established brand across the globe: With an employee base of over 200,000, annual revenues of more than $120 billion and a presence in more than a 100 countries, Nestle brings with it a strong brand name and knowledge of different markets all over the world.
WEAKNESS1. Negative effects on the brand image: The investigations into thecontroversial advertising campaign that promoted infant milkproducts over breastfeeding and the usage of slave labor for its plantsin African countries continue even today and Nestlé’s brand name hasbeen negatively affected due to the media campaigns covering thisissue.2. Storage and transportation problems: Because the Indian foodindustry is not developed enough to handle complex storage andtransport requirements, Nestle has a difficult job of providingproduct quality at centers far off from the manufacturing base.3.Complex supply chain management: Nestle has a complex supplychain management and the main issue for Nestle India is itstraceability
OPPURTUNITIES1. Growing middle class: The growing middle class and the high percentage of youth population provides an excellent opportunity for Nestle to use its existing range of kiosks in malls and educational institutes to build a loyal brand following. 2. Urbanization and nuclear families: With the Indian society moving towards a more urban and nuclear family society, Nestle has huge market for its products like Maggi and Dahi and other milk products. 3. Low labour costs in developing countries: Since manufacturing of some products is cheaper in India than in other South East Asian countries, Nestle India could become an export hub for the parent in certain product
THREATS 1. Cost of raw materials: Inflation rising atthe pace that it is puts a strain on Nestle forbuying its raw materials like food grains and yetmaintaining its margins.2. Indians perception towards fresh foods: Indiansbelieve in eating fresh foods instead of ready toeat products, which provide a major hurdle in themarketing of Nestle products across the country.
CONT……3. Exports to a single location: The company’s exports stood at Rs 2,571 m at the end of 2003 (11% of revenues) and continue to grow at a decent pace. But a major portion of this comprises of Coffee (around 67% of the exports were that of Nescafe instant to Russia). This constitutes a big chunk of the total exports to a single location. Historically, Russia has been a very volatile market for Nestle, and its overall performance takes a hit often due to this factor. 4. Liberalization of trade and investment policies: Nestle faces immense competition from the organized as well as the unorganized sectors. Off late, to liberalize its trade and investment policies to enable the country to better function in the globalised economy, the Indian Government has reduced the import duty of food segments thus intensifying the battle.
WHOM TO ATTACK AND WHOM TO AVOIDCompetitors Nestle Parle –g Amul Strong - Weak Close - Distant - Good Bad Attack Avoid
FOUR P’S OF CADBUARYPRODUCT PRICE PLACE PROMOTIONDAIRY MILK RS.5,10,20, Advertisement s and giving offers in The company occasion times using two wayPERK RS.2,5 distribution channel.CELEBRATIONS RS.60,2505-STAR RS.3,5,10,BOURNVITA RS.131/KGHALLS RS.50PS
PRICING STRATEGYCost Based Pricing Strategy The company adopting Cost based pricing strategy. They set price based on producing manufacturing cost and it includes selling and distributing cost also.
STAGES OF CONSUMER DECISIONPROCESSStages involved: Need Recognition. Information Search. Evaluation of Alternative. Purchase Decision. Post Purchase.
FACTORS INFLUENCING BUYING BEHAVIOUR FACTORS HIGH/MEDIUM/LOW JUSTIFICATION IMPACTCultural factors High Impact According to the consumer emotions love and affection all these factors influence to buy the product .all class people are preferred to eat chocolate for enjoyment and for testy purposeSocial factor High Impact Friends and family member’s neighbors (reference group) are highly influences to buy the product.
High Impact According to this factorPersonal factors the age of the consumer highly influence to the productPsychological factors Low Impact Many of consumer’s beliefs that chocolate may effect to teeth. And they contain germs. So they not prefer to more chocolates
Conclusion After studying the overall report we come to conclude that the company has a good market share and good brand image in a Indian market. The market share of a company is 79% they acquired the whole Indian market. After studying of competitors we came to know that they do not have strong competitors in Indian market. To promote their product in the market. They take the brand ambassadors like Amitabh Bachan, Preity zinta. Finally we come to conclusion that the company is having good position in an Indian market.