The document provides information about the global chocolate industry and focuses on Cadbury, a leading chocolate brand in India. Some key points: 1. Cadbury dominates the Indian chocolate market with over 70% value share. Its flagship brand, Cadbury Dairy Milk, is considered the gold standard for chocolate in India. 2. Other major brands in India include Nestle and Amul. Nestle has the second largest market share while Amul has made gains as a relatively new entrant. 3. Cadbury leads through superior marketing, distribution network, and offering affordable indulgence across income levels. It focuses on fueling volume through smaller packs while also raising prices on larger packs.

1. CHOCOLATE INDUSTRY
By
Sujith kumar p
Anu jose
Anuraj s
Steevenson

2. “Life is like a box of
chocolates. You never know
what you’re going to get.”

3. What is chocolate?
• A confection produced from the fruit of the
tropical tree Theobroma cacao. The fruit,
known as cacao beans, are fermented, dried,
roasted, and ground, and the resulting
product is called cocoa liquor, which can be
separated into cocoa butter, a smooth, solid
fat used in both food and cosmetics, and
cocoa powder. Cocoa butter and cocoa
powder are combined in various proportions
with other ingredients to produce chocolate.

4. Common varieties of chocolate are:
• Dark Chocolate
• Milk Chocolate
• White Chocolate

5. • Major consumers of chocolates apart from kids are
teenagers and people between the age of 15 – 35
• And a recent study in Great Britain showed that
91% of females and 87% of males consume
chocolate products.
• Chocolates which were considered expensive once
have now become affordable by one and all. Most
of the chocolate brands produce chocolates in
different sizes that are priced according to their
sizes.

6. • Due to the increasing levels of social
consciousness people prefer gifting well
wrapped chocolate packets rather than sweets
on occasions and festivals.
• Taking advantage of this situation the top
chocolate brands in India are now
concentrating on the packaging and are
introducing well packaged chocolates for
specific occasions.

7. Some of the Top chocolate brands in
the World

8. Market share
MARS
• Global Market Share: 14.6%
Best-Selling Candies: M&Ms, Snickers, Milky Way
NESTLÉ
• Global Market Share: 12.6%
Best-Selling Candies: Nestlé Crunch, Butterfinger
KRAFT
• Global Market Share: 8.3%
Best-Selling Candies: Milka

9. FERRERO
• Global Market Share: 7.3%
Best-Selling Candies: Ferrero Rocher
CADBURY
• Global Market Share: 6.9%
Best-Selling Candies: Cadbury Creme Egg
HERSHEY
• Global Market Share: 6.7%
Best-Selling Candies: Hershey's, Hershey's Kisses

10. Chocolate Industry in India
• Initially chocolates were just limited to a few
flavors caramel and milk chocolate till recent
years when the introduction of dry fruits in
chocolates created waves in the chocolate
industry in India
• Even dark chocolate which was not widely
available in the Indian subcontinent till some time
back has started gaining ground in the Indian
chocolate market.

11. • The Chocolate market in India is currently
estimated a` 1500 crores. Growing at a rate of
almost 18-20% per annum the chocolate market in
India is becoming one of the major industries in
the country.
• India produces almost 30,000 tones of chocolate
products annually. India's per capita consumption
of chocolate is a whooping 300 grams.
• Out of which Over 70 per cent of the consumption
takes place in the urban areas. Chocolate
consumption in the rural areas is negligible in
India

12. Top Chocolate Brands in India are:
• Cadbury
• Nestle
• Amul

13. 1. Cadbury - Cadbury, 5 Star, Bytes (chocolate
snack), Celebration, Dairy Milk, Gems, Perk
2. Nestle - Bar One, Kit Kat, Milkybar, Munch,
Nestle
3. Amul - Amul (Chocozoo, Chocomines)

14. • Cadbury and Nestle has been dominating the
chocolate industry in India over the last few decades
due to their deep penetration levels and strong
customer base.
• Cadbury over the years has become synonymous
with chocolates in the country. Be it the quality of
the chocolate, the packaging, the marketing or the
advertising Cadbury has been ruling the chocolate
industry since quite a few decades now. However as
compared to these two brands Cadbury and Nestle,
Amul is relatively new.

15. Cadbury

16. • Cadbury is a confectionery company owned by
Kraft Foods and is the industry's second-largest
globally after Mars, Incorporated. With its
headquarters in Uxbridge, London, England, the
company operates in more than 50 countries
worldwide.
• Founder – John cadbury
• Cadbury's headquarters (Head Office UK) is the
Cadbury House in the Uxbridge Business Park in
Uxbridge, London Borough of Hillingdon, England
• The company was known as Cadbury Schweppes
plc from 1969–2008
• At 2010 kraft foods take over the company

17. VISION & MISSION
VISION
• Cadbury’s set out a vision to achieve “a Cadbury in every
pocket” dream by increasing the penetration
of chocolates.
MISSION
• Cadbury's means quality: this is our promise.
Ourreputation is built upon quality: Our commitment
tocontinuous improvement will ensure that our promise is
delivered'

18. Cadbury India
• Established in India – 1948
• Head quarters - Mumbai
• Manufacturing facilities at
1. Thane
2. Pune
3. Gwalior
4. Bangalore
5. Baddi (Himachal Pradesh)

19. • Cadbury India enjoys a value market share of
over 70 percent in the chocolate category and
brand Cadbury Dairy Milk (CDM) is considered
the "gold standard" for chocolates in India.
The pure taste of CDM defines the chocolate
taste for the Indian consumer.

20. Products
1. Cadbury diary milk
2. 5-star
3. Perk
4. Celebrations
5. Temptations
6. Eclairs
7. Gems
8. Bubbalao
9. Bournville
10.Silk (diary milk)

21. Consumption of Cadbury products
Sales
Diary milk
5-star
gems
perk
bournville
silk
temptations
celebrations2%

22. PRICE
• Second P of marketing is not another name for
blindly lowering prices and relying on this
strategy alone to increase sales dramatically.
• The strategy used by Cadbury’s is for matching
the value that customer 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 all customer segments. So every
customer segment has different price expectation
from the product

23. • . Therefore maximizing the returns involves
identifying right price level for each segment, and
then progressively moving through them.
Dairy Milk Rs. 15
Perk Rs. 10
5 Star Rs. 10
Fruit and Nut Rs. 22
Gems Rs. 10
Break Rs. 5
Nutties Rs. 18
Bournvita (500 gm) Rs. 104

24. PROMOTION

25. ADVERTISEMENTS

30. THE BIG B FACTOR

31. • PACKAGING
• The packaging was changed to include a
sealed plastic wrapper inside the outside foil.
Cadbury's launched a new 'purity-sealed'
packaging for its flagship product, cadbury
dairy milk. Over the next few weeks cadbury
will work towards introducing either a heat
sealed or a flow-pack packaging that offers a
high level of resistance to infestation from
improper storage.

32. • Cadbury invested nearly rs 25 crore (rs 250
million) this year on new machinery for the
proved packaging.

33. 1905 1930s
1960s
1970s
PACKAGING STYLES

34. PRESENT

35. • DISTRIBUTION
• Chocolate needs to be distributed directly, unlike
other fmcg products like soaps and detergents,
which can be sold through a wholesale network.
90% of chocolate products are sold directly to
retailers.
• Cadbury's distribution network used to
encompasses 2100 distributors and 450,000
retailers
• to avoid cannibalization of its higher priced
products from lower priced ones, cadbury is•
setting up two separate distribution channels –
one for core business & other for mass markets

36. • INDIRECTEXPENSES) LIKE TRAVEL COSTS
ANDHOTELSWERE ALSO BEING STUDIED

37. • NATURE OF RETAIL OUTLET
• chocolates are primarily sold through kirana
stores, gift stores, medical stores, canteens,
pan-bidi stores, bakeries, sweetshops etc. this
is true for chocolates also. The space allocated
for the chocolates was less when compared
to the total area of the shop. Of the space
allocated for chocolates, cadbury brands
occupied more than nestle brands

38. • STRATEGY
• Cadbury has followed a well-planned strategy of
fuelling volume growth by introducing
smaller unit packs at lower price points.
Simultaneously, the company seems to have
astutely juggled with the larger pack sizes and
raised prices to a degree higher than what
appears at face. hires at kearney to curb costs .
• cadbury India appointed management
consultancy firm at kearney to draw up a strategy
to control costs in several areas, including
sourcing of raw materials and packaging

39. Operates in India in 4 categories viz
1. Chocolate confectionary
2. Milk food drinks
3. Candy
4. Gum

40. DEMOGRAPHIC SEGMENTATION
• INCOME LEVEL- IN THE MIDDLE AND
• HIGHER INCOME GROUPS
• CHILDREN – 55%
• ADULTS – 12%
• YOUNG ADULTS- 33%

41. BUSINESS SEGMENTS
• CHOCOLATES
• SUGARCONFECTIONARY
• MALTED FOODS
• COCOA POWDER
• DRINKING CHOLOCATE& SMALL EXTRACT

42. Major competitors
• NESTLE (In terms of Chocolates)
• AMUL Ltd (In terms of Chocolates)

43. Market share
Sales
cadbury
amul
nestle
others

44. MARKETING STRATEGY OF CADBURY
• Attracting Shoppers Attention
• On Every Hand Everywhere
• Growing with Emerging Markets
• A strong foundation
• Growing with the market
• Functional advantage
• Affordable indulgence
• Importing success

45. Distribution channel

46. PROMOTIONAL TOOL :
ADVERTISEMENTS
Basic purpose behind advertising is:
• To position the product as a
• “high quality brand” with a wide
• range of offering providing at anytime.
• To create awareness about new flavors
• Induce consumer trails. Build corporate image
• To undertake competitive advertisement

47. SWOT
• STRENGTHS-Distribution Network-Market
Share-Aggressive Marketing-Rich product mix
• WEAKNESS- Little penetration in the rural
sector
• THREATS-Rise in the cost of chocolate and
dairy products.-Entry of many foreign players
in the Indian Confectionary market, which are
giving higher margins to the retailers
• OPPORTUNITIES Co-branding with other
manufacturers of food and drink

48. Cadbury vs Nestle
• Nestle captures 36% of market
• Nestle munch have the maximum market
share
• Kitkat comes 2nd place
• Cadbury captures 64% of market
• Cadbury diary milk have the maximum market
share
• Five star comes 2th place

49. Cadbury brand ambassader

50. Nestle brand ambassador