INTRODUCTION
• Cadbury is a British multinational confectionery
company
• It is the second largest confectionery brand in the
world.
• Cadbury is headquartered in Uxbridge in Greater
London and operates in more than fifty countries
worldwide.
• Cadbury was established in Birmingham in 1824,
by John Cadbury who sold tea, coffee and
drinking chocolate
Contd….
• Dairy Milk chocolate, introduced in 1905,
used a higher proportion of milk within the
recipe compared with rival products.
• By 1914, the chocolate was the company's
best-selling product.
• Business spread worldwide in 160 countries.
 Employees are 1,40,000
• By 1930 Cadbury had become the 24th largest
British manufacturing company as measured
by estimated market value of capital.
• In 2003, Cadbury dropped the 's' from its
name and renamed the brand to Cadbury. The
company found that it was a much more
suited, rounded name than the previous
"Cadbury's".
CADBURY IN INDIA
• Cadbury India began its operations in India in
1948 by importing chocolates.
• It now has manufacturing facilities in Thane,
Induri (Pune) and Malanpur (Gwalior),
Hyderabad, Bangalore and Baddi (Himachal
Pradesh) and sales offices in New Delhi,
Mumbai, Kolkata and Chennai.
• The corporate head office is in Mumbai.
• Currently, Cadbury India operates in five
categories – Chocolate confectionery,
Beverages, Biscuits, Gum and Candy.
• It is the market leader in the chocolate
confectionery business with a market share of
over 70%.
• Cadbury India, on 21 April 2014, changed its
name to Mondelez India Foods Limited.
HISTORY OF CADBURY
• In 1824, John Cadbury began selling tea, coffee, and
drinking chocolate in Bull Street in Birmingham,
England. From 1831 he moved into the production of a
variety of cocoa and drinking chocolates, made in a
factory in Bridge Street and sold mainly to the wealthy
because of the high cost of production. In 1847 John
Cadbury became a partner with his brother Benjamin
and the company became known as "Cadbury
Brothers".
• The brothers opened an office in London, and in 1854
they received the Royal Warrant as manufacturers of
chocolate and cocoa to Queen Victoria. The company
went into decline in the late 1850s.
Notable product introductions include:
• 1866: Cocoa Essence
• 1875: Easter Eggs
• 1897: Milk Chocolate and Fingers
• 1905: Dairy Milk
• 1908: Bournville
• 1914: Fry's Turkish Delight
• 1915: Milk Tray
• 1920: Flake
• 1923: Creme Egg (launched as Fry's)
• 1926: Cadbury Dairy Milk Fruit & Nut
• 1929: Crunchie (launched as Fry's)
• 1938: Roses
• 1948: Fudge
• 1958: Picnic
• 1960: Dairy Milk Buttons
• 1968: Aztec
• 1970: Curly Wurly
• 1974: Snack
• 1976: Double Decker
• 1981: Wispa (relaunched 2007)
• 1985: Boost
• 1987: Twirl
• 1992: Time Out
• 1995: Wispa Gold (relaunched 2009 and 2011)
• 1996: Fuse
• 2001: Brunch Bar, Dream and Flake Snow
• 2009: Dairy Milk Silk
• 2010: Dairy Milk Bliss
• 2011: Big Race oreo
• 2012: Marvellous Creations and Crispello
• 2014: Pebbles
FINANCIAL POSITION
• Revenue at £5,384 million was £685 million or
15% higher than 2012 revenue of £4,699
million.
• 6% Share of revenue from Indian market only
means £ 337m
• Financial Statements of Cadbury was shown
below:
Sales Projections
SALES BY GEOGRAPHICAL REGION
PRODUCT :CADBURY DAIRY MILK
Tagline is:
Competitors of Cadbury Dairy Milk are
• 1.Nestle
• 2.International Brands Like(Mars, Kinder
Bueno, Ferrero Rocher)
• 3.Home Made
• 4.Amul
Competitors of Cadbury DairyMilk are
Brands
Nestle(60%)
International
(18%)
Home-made
(16%)
AMUL (6%)
Perceptual Map
MISSSION AND VISION
OBJECTIVES
• 1. Grow shareholder value…over the long
term
• 2. To make lots of chocolate
• 3. Improve the quality of their chocolate
CORPORATE SOCIAL RESPONSBILITY
• They believe that Corporate Social
Responsibility (CSR) is at the heart of our
success.
• At Cadbury India we have always believed
that good values and good business go hand
in hand.
• It's part of our heritage and the way we do
things today.
• CSR is about growing our business responsibly.
• 1.Non-formal school set up by cadbury for
children of migrant workers in Baddi
• 2.Gurikha Project
i. we focused on healthcare and
education in the nearby village of gurikha.
ii. A nursery school was started and key
improvements were made in the primary
school
• 3.Fresh drinking water from a new village pump, a doctor ‘s
clinic, vet services for milk producing animals and fruit trees
for each household to plant during the monsoons. They also
helped increased attendance in school.
• 4.In 2005, the education programme supported the in
empowerment Special focus was given to the rights and
contribution of girls and to the counteraction of female in
fanticle through a variety of initiatives.
• 5.Bangalore factory has constructed a check
dam to store the rainwater. This dam not only
acts as a major ground water replenishing
source for the bore wells in the factories and
surrounding community
MARKETING STRATEGY
• SWOT ANALYSIS
• 1.High brand equity and top of the
mind chocolate brand
2. Strong brand recall and customer
loyalty
3. An employee strength of around
71,000
4. Strong parent brand of Kraft Foods
• 5. Successful marketing and
advertising campaigns
• 6. A wide variety of products on offer
STRENGTH
•1. A few controversies
regarding advertising,
worms etc made
international news
2. A few instances of
product recall hampering
brand image
WEAKNESS
• 1.Increase reach in rural
markets
2.Increase its reach and
penetration in untapped
markets
3.Acquire competition
• 4.Diiversification of product
range
OPPORTUNITY
•1.Health consciousness
amongst people
2.Increase in cost of
raw material
3.Inflation can cause
reduction in sales
THREAT
STRENGTHS
1.High brand equity and top of the mind
chocolate brand
2. Strong brand recall and customer loyalty
3. An employee strength of around 71,000
4. Strong parent brand of Kraft Foods
5. Successful marketing and advertising
campaigns
WEAKNESS
1. A few controversies regarding advertising,
worms etc made international news
2. A few instances of product recall
hampering brand image
OPPORTUNITIES
1.Increase reach in rural markets
2.Increase its reach and penetration in
untapped markets
3.Acquire competition
4.Diiversification of product range
THREATS
1.Health consciousness amongst people
2.Increase in cost of raw material
3.Inflation can cause reduction in sales
SWOT ANALYSIS
S.W.O.T Analysis
Strength
 Topmost chocolate provider in
the world
 Brand loyalty
 Low cost of production due to
economic of scale
 Strong distribution network.
Weaknesses
 Lack of market penetration
 Relatively high Price Brand
 Limited variety of products
 Poor technology in India
compared to current
international technologies
Opportunities
 India CAGR 2013-18 is 23%
 Population 1.27 Billion
 Bring efficiency in logistics and
distribution with the help of
technology.
 Introduction of foreign products
in India.
Threats
 Faced a worm scandal
 In confectionery segment
Threats from company like Amul
& Nestle.
 Government Policies
 Rise in raw materials cost cocoa
beans, dairy products & Sugar.
STP OF CADBURY COMPANY
MARKETING MIX
• PRODUCT:
• Cadbury has a power house lineup of
products.
• Cadbury products are basically into three
categories:
1.Chocolates
2.Beverages
3.Mouth Freshners
1. Chocolates:
Dairy milk, Bourneville, Five star, Perk,
Cadbury éclairs
2. Beverages:
Bourn vita which again is one of the
leaders in milk additives
3. Mouth Freshners:
Halls as a mouth freshener as well as a
remedy during cold is used across India.
• PRICE:
• With quality comes price. As the quality of the
products is high, and the beverages and Oreo requires
constant marketing to be on top, the price of Cadbury
products is also high in some cases, whereas in others
it is very much reasonable. Products like perk, five star
and eclairs give the taste of Cadbury even at lower
price. Dairy milk is considered to be a premium brand
of chocolates due to this positioning, but because of
lower priced chocolates, it is also accepted across
various target segments.
• Cadbury has many varieties of products in the
chocolate segment and the pricing of each
chocolate is different based on the type of
customer who is going to buy it. However, in all
these, the Dairy milk brand is the clear winner.
Priced in high as well as low variants, the cadbury
dairy milk has a position of gifting and hence is
selling high volumes even at higher prices. The
cadbury celebrations pack in fact, sells in millions
on any festival or on celebrations.
• PLACE:
• The distribution of Cadbury is fantastic and
widespread. It is present strongly in all urban
areas and towns. The rural marketing of
Cadbury is known to be weak but that is
because demand there is also weak.
• Company >> C&F agent >> Distributors >>
Retailers >> Consumers
DISTRIBUTION CHANNEL
Company
C&F Agent
Distributors
Retailers
Consumres
• As you can see, due to the channel, the
distribution costs of Cadbury are high. But based
on the demand in the market, the costs were
going to be high anyways.
• That is something which has to be taken into
consideration during the distribution of products.
In the end, Cadbury has a very strong presence in
the market, and you can be rest assured, that if
you want to have a cadbury, it will be within 2
minutes reach from you in any of the local retail
shops.
• PROMOTION:
Indians love sweets. From Bengalis to Punjabis to
South Indians, each of us want sweets.
Youngsters love sweet, and old people want a nibble
from time to time. Thus it is no surprise, that a smart
marketer like Cadbury has a tag line “Kuch meetha ho
jaye” which means that lets have something sweet.
It is no surprise that people always have some
cadbury’s stocked at home. Or they gift a Cadbury
dairy milk or celebrations to their loved ones.
• The promotions of Cadbury for each of its products is
different.
• For Bourneville, Cadbury has kept the position that you
don't buy a Bourneville, you earn it. So basically, it is
not on the consumer to buy the Bourneville, Someone
has to gift him the same.
• For Cadbury celebrations, the positioning is of gifting.
Cadbury celebrations has a major commercial
customer base, where the chocolate is brought in bulk
and given to employees, clients or vendors.
• Éclairs has a low cost position, Bourn vita has a strong
health positioning,
CDM Product Life Cycle
1905
2010
Life Cycle
Extension
BCG Matrix Cadbury Chocolate
Business
GrowthRate
High
High
Low
Low
Relative Position(Market Share)
High Low
Bournvita
Dairy Milk
Bournville Toblerone
Gems
Éclairs
5 StarPerk
Gum
PRODUCT MIX
Product Mix
• A single company offering different products
to the different customers is called product
mix
• Product mix consists of Product Length,
Product Width, Product Depth
Cadbury
Chocolates
Dairy milk
Celebration
Bourneville
5 Star
Perk
Gems
Temptation
Biscuits
Beverages
Candies
Gums
Width=5
Product LINE
Dairy Milk,
Celebration,
Bourneville,
5 star,
Perk,
Gems,
Temptation
Bournville
Biscuits,
Bournville
Fingers,
Caramel
Biscuits,
Golden
Biscuits,
Oreo Biscuits
Bournvita,
Bournvita 5
Star Magic,
Bournvita l’il
Champs,
Bounville
Cocoa,
Drinking
Chocolate,
Chocolate
Sprinkler
Jelly Babies,
Flumps,
Mints,
Black Jack
Chews,
Trident gum,
Softmints
Chocolates Biscuits Beverages Gum
PRODUCT WIDTH
PRODUCTLENGTH
Dairy milk
Dairy milk shots
8gm, Rs 2
Dairy milk
12gm, Rs 5
Dairy milk
23gm, Rs 10
Dairy milk
40gm, Rs 20
Roasted Almond
42gm, Rs 30
Crackle
42gm, Rs 30
Fruit and nut
44gm, Rs 30
Home pack
96 gm, Rs 50
Dairy milk Silk
80gm, Rs 60
PRODUCTDEPTH
COMMUNICATION MIX
• Cadbury making communication through
some key elements in Communication Mix like
Advertisements
Sales Promotion
Publicity
Public Relation
Advertising
Sales
Promotion
Publicity
Public
Relation
Communication
Mix
Dairy Milk
Dairy Milk
Dairy Milk

Dairy Milk

  • 2.
    INTRODUCTION • Cadbury isa British multinational confectionery company • It is the second largest confectionery brand in the world. • Cadbury is headquartered in Uxbridge in Greater London and operates in more than fifty countries worldwide. • Cadbury was established in Birmingham in 1824, by John Cadbury who sold tea, coffee and drinking chocolate
  • 3.
    Contd…. • Dairy Milkchocolate, introduced in 1905, used a higher proportion of milk within the recipe compared with rival products. • By 1914, the chocolate was the company's best-selling product. • Business spread worldwide in 160 countries.  Employees are 1,40,000
  • 5.
    • By 1930Cadbury had become the 24th largest British manufacturing company as measured by estimated market value of capital. • In 2003, Cadbury dropped the 's' from its name and renamed the brand to Cadbury. The company found that it was a much more suited, rounded name than the previous "Cadbury's".
  • 6.
    CADBURY IN INDIA •Cadbury India began its operations in India in 1948 by importing chocolates. • It now has manufacturing facilities in Thane, Induri (Pune) and Malanpur (Gwalior), Hyderabad, Bangalore and Baddi (Himachal Pradesh) and sales offices in New Delhi, Mumbai, Kolkata and Chennai. • The corporate head office is in Mumbai.
  • 7.
    • Currently, CadburyIndia operates in five categories – Chocolate confectionery, Beverages, Biscuits, Gum and Candy. • It is the market leader in the chocolate confectionery business with a market share of over 70%. • Cadbury India, on 21 April 2014, changed its name to Mondelez India Foods Limited.
  • 8.
    HISTORY OF CADBURY •In 1824, John Cadbury began selling tea, coffee, and drinking chocolate in Bull Street in Birmingham, England. From 1831 he moved into the production of a variety of cocoa and drinking chocolates, made in a factory in Bridge Street and sold mainly to the wealthy because of the high cost of production. In 1847 John Cadbury became a partner with his brother Benjamin and the company became known as "Cadbury Brothers". • The brothers opened an office in London, and in 1854 they received the Royal Warrant as manufacturers of chocolate and cocoa to Queen Victoria. The company went into decline in the late 1850s.
  • 9.
    Notable product introductionsinclude: • 1866: Cocoa Essence • 1875: Easter Eggs • 1897: Milk Chocolate and Fingers • 1905: Dairy Milk • 1908: Bournville • 1914: Fry's Turkish Delight • 1915: Milk Tray • 1920: Flake • 1923: Creme Egg (launched as Fry's) • 1926: Cadbury Dairy Milk Fruit & Nut • 1929: Crunchie (launched as Fry's)
  • 10.
    • 1938: Roses •1948: Fudge • 1958: Picnic • 1960: Dairy Milk Buttons • 1968: Aztec • 1970: Curly Wurly • 1974: Snack • 1976: Double Decker • 1981: Wispa (relaunched 2007) • 1985: Boost • 1987: Twirl • 1992: Time Out
  • 11.
    • 1995: WispaGold (relaunched 2009 and 2011) • 1996: Fuse • 2001: Brunch Bar, Dream and Flake Snow • 2009: Dairy Milk Silk • 2010: Dairy Milk Bliss • 2011: Big Race oreo • 2012: Marvellous Creations and Crispello • 2014: Pebbles
  • 13.
    FINANCIAL POSITION • Revenueat £5,384 million was £685 million or 15% higher than 2012 revenue of £4,699 million. • 6% Share of revenue from Indian market only means £ 337m • Financial Statements of Cadbury was shown below:
  • 16.
  • 17.
  • 18.
    PRODUCT :CADBURY DAIRYMILK Tagline is:
  • 19.
    Competitors of CadburyDairy Milk are • 1.Nestle • 2.International Brands Like(Mars, Kinder Bueno, Ferrero Rocher) • 3.Home Made • 4.Amul
  • 20.
    Competitors of CadburyDairyMilk are Brands Nestle(60%) International (18%) Home-made (16%) AMUL (6%)
  • 22.
  • 23.
  • 25.
    OBJECTIVES • 1. Growshareholder value…over the long term • 2. To make lots of chocolate • 3. Improve the quality of their chocolate
  • 26.
    CORPORATE SOCIAL RESPONSBILITY •They believe that Corporate Social Responsibility (CSR) is at the heart of our success. • At Cadbury India we have always believed that good values and good business go hand in hand. • It's part of our heritage and the way we do things today. • CSR is about growing our business responsibly.
  • 27.
    • 1.Non-formal schoolset up by cadbury for children of migrant workers in Baddi • 2.Gurikha Project i. we focused on healthcare and education in the nearby village of gurikha. ii. A nursery school was started and key improvements were made in the primary school
  • 28.
    • 3.Fresh drinkingwater from a new village pump, a doctor ‘s clinic, vet services for milk producing animals and fruit trees for each household to plant during the monsoons. They also helped increased attendance in school. • 4.In 2005, the education programme supported the in empowerment Special focus was given to the rights and contribution of girls and to the counteraction of female in fanticle through a variety of initiatives.
  • 29.
    • 5.Bangalore factoryhas constructed a check dam to store the rainwater. This dam not only acts as a major ground water replenishing source for the bore wells in the factories and surrounding community
  • 30.
  • 31.
    • 1.High brandequity and top of the mind chocolate brand 2. Strong brand recall and customer loyalty 3. An employee strength of around 71,000 4. Strong parent brand of Kraft Foods • 5. Successful marketing and advertising campaigns • 6. A wide variety of products on offer STRENGTH
  • 32.
    •1. A fewcontroversies regarding advertising, worms etc made international news 2. A few instances of product recall hampering brand image WEAKNESS
  • 33.
    • 1.Increase reachin rural markets 2.Increase its reach and penetration in untapped markets 3.Acquire competition • 4.Diiversification of product range OPPORTUNITY
  • 34.
    •1.Health consciousness amongst people 2.Increasein cost of raw material 3.Inflation can cause reduction in sales THREAT
  • 35.
    STRENGTHS 1.High brand equityand top of the mind chocolate brand 2. Strong brand recall and customer loyalty 3. An employee strength of around 71,000 4. Strong parent brand of Kraft Foods 5. Successful marketing and advertising campaigns WEAKNESS 1. A few controversies regarding advertising, worms etc made international news 2. A few instances of product recall hampering brand image OPPORTUNITIES 1.Increase reach in rural markets 2.Increase its reach and penetration in untapped markets 3.Acquire competition 4.Diiversification of product range THREATS 1.Health consciousness amongst people 2.Increase in cost of raw material 3.Inflation can cause reduction in sales SWOT ANALYSIS
  • 36.
    S.W.O.T Analysis Strength  Topmostchocolate provider in the world  Brand loyalty  Low cost of production due to economic of scale  Strong distribution network. Weaknesses  Lack of market penetration  Relatively high Price Brand  Limited variety of products  Poor technology in India compared to current international technologies Opportunities  India CAGR 2013-18 is 23%  Population 1.27 Billion  Bring efficiency in logistics and distribution with the help of technology.  Introduction of foreign products in India. Threats  Faced a worm scandal  In confectionery segment Threats from company like Amul & Nestle.  Government Policies  Rise in raw materials cost cocoa beans, dairy products & Sugar.
  • 37.
  • 41.
    MARKETING MIX • PRODUCT: •Cadbury has a power house lineup of products. • Cadbury products are basically into three categories: 1.Chocolates 2.Beverages 3.Mouth Freshners
  • 42.
    1. Chocolates: Dairy milk,Bourneville, Five star, Perk, Cadbury éclairs 2. Beverages: Bourn vita which again is one of the leaders in milk additives 3. Mouth Freshners: Halls as a mouth freshener as well as a remedy during cold is used across India.
  • 43.
    • PRICE: • Withquality comes price. As the quality of the products is high, and the beverages and Oreo requires constant marketing to be on top, the price of Cadbury products is also high in some cases, whereas in others it is very much reasonable. Products like perk, five star and eclairs give the taste of Cadbury even at lower price. Dairy milk is considered to be a premium brand of chocolates due to this positioning, but because of lower priced chocolates, it is also accepted across various target segments.
  • 44.
    • Cadbury hasmany varieties of products in the chocolate segment and the pricing of each chocolate is different based on the type of customer who is going to buy it. However, in all these, the Dairy milk brand is the clear winner. Priced in high as well as low variants, the cadbury dairy milk has a position of gifting and hence is selling high volumes even at higher prices. The cadbury celebrations pack in fact, sells in millions on any festival or on celebrations.
  • 45.
    • PLACE: • Thedistribution of Cadbury is fantastic and widespread. It is present strongly in all urban areas and towns. The rural marketing of Cadbury is known to be weak but that is because demand there is also weak. • Company >> C&F agent >> Distributors >> Retailers >> Consumers
  • 46.
  • 47.
    • As youcan see, due to the channel, the distribution costs of Cadbury are high. But based on the demand in the market, the costs were going to be high anyways. • That is something which has to be taken into consideration during the distribution of products. In the end, Cadbury has a very strong presence in the market, and you can be rest assured, that if you want to have a cadbury, it will be within 2 minutes reach from you in any of the local retail shops.
  • 48.
    • PROMOTION: Indians lovesweets. From Bengalis to Punjabis to South Indians, each of us want sweets. Youngsters love sweet, and old people want a nibble from time to time. Thus it is no surprise, that a smart marketer like Cadbury has a tag line “Kuch meetha ho jaye” which means that lets have something sweet. It is no surprise that people always have some cadbury’s stocked at home. Or they gift a Cadbury dairy milk or celebrations to their loved ones.
  • 49.
    • The promotionsof Cadbury for each of its products is different. • For Bourneville, Cadbury has kept the position that you don't buy a Bourneville, you earn it. So basically, it is not on the consumer to buy the Bourneville, Someone has to gift him the same. • For Cadbury celebrations, the positioning is of gifting. Cadbury celebrations has a major commercial customer base, where the chocolate is brought in bulk and given to employees, clients or vendors. • Éclairs has a low cost position, Bourn vita has a strong health positioning,
  • 50.
    CDM Product LifeCycle 1905 2010 Life Cycle Extension
  • 51.
    BCG Matrix CadburyChocolate Business GrowthRate High High Low Low Relative Position(Market Share) High Low Bournvita Dairy Milk Bournville Toblerone Gems Éclairs 5 StarPerk Gum
  • 53.
  • 54.
    Product Mix • Asingle company offering different products to the different customers is called product mix • Product mix consists of Product Length, Product Width, Product Depth
  • 55.
  • 56.
    Dairy Milk, Celebration, Bourneville, 5 star, Perk, Gems, Temptation Bournville Biscuits, Bournville Fingers, Caramel Biscuits, Golden Biscuits, OreoBiscuits Bournvita, Bournvita 5 Star Magic, Bournvita l’il Champs, Bounville Cocoa, Drinking Chocolate, Chocolate Sprinkler Jelly Babies, Flumps, Mints, Black Jack Chews, Trident gum, Softmints Chocolates Biscuits Beverages Gum PRODUCT WIDTH PRODUCTLENGTH
  • 57.
    Dairy milk Dairy milkshots 8gm, Rs 2 Dairy milk 12gm, Rs 5 Dairy milk 23gm, Rs 10 Dairy milk 40gm, Rs 20 Roasted Almond 42gm, Rs 30 Crackle 42gm, Rs 30 Fruit and nut 44gm, Rs 30 Home pack 96 gm, Rs 50 Dairy milk Silk 80gm, Rs 60 PRODUCTDEPTH
  • 58.
    COMMUNICATION MIX • Cadburymaking communication through some key elements in Communication Mix like Advertisements Sales Promotion Publicity Public Relation Advertising Sales Promotion Publicity Public Relation Communication Mix