How to theory apply in to practical of marketing management to cadbary dairy milk products

1. WEL-COME
10/18/2013
Babasabpatilfreepptmba.com
1

2. Subject:-Marketing Management
Project on Cadbury chocolate company
10/18/2013
Babasabpatilfreepptmba.com
2

3. INTRODUCTION of CADBURY
COMPANY
The 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
10/18/2013
Babasabpatilfreepptmba.com
3

4. 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
10/18/2013
Babasabpatilfreepptmba.com
4

5. LOGO OF THE company
10/18/2013
THE REAL TASTE OF LIFE
Babasabpatilfreepptmba.com
5

6. • Cadbury mission statement says “Simply
cadbury was quality this is our mission &
promise.
10/18/2013
Babasabpatilfreepptmba.com
6

7. • 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.
10/18/2013
Babasabpatilfreepptmba.com
7

8. Different Brands of Company
•
•
•
•
•
•
•
Cadbury Dairy Milk
Perk
Cadbury Celebrations
5 Star Crunchy
Beverages (Bournvita)
Eclairs
Halls
10/18/2013
Babasabpatilfreepptmba.com
8

9. BRANDS
Core Needs
Auxiliary Needs
Cadbury Dairy Milk
Taste , Sweetness, Enjoyment
Deliciously smooth texture &
unique creamy tasty
Perk
Taste , Sweetness, Enjoyment
Wafer chocolate Light and
crispy
5 Star Crunchy
Taste , Sweetness, Enjoyment
Cingering taste of
Togetherness & Soft & Chewy
Beverages
(Bourn vita)
Taste , Sweetness, Enjoyment
To grow Strong & Healthy.
Celebrations
Taste , Sweetness, Enjoyment
Tasty, Rich looking and Status
Éclairs
Taste , Sweetness, Enjoyment
Delicious journey to a heart
of rich chocolate.
Halls
Nasal and Throat relief
Mouth Refreshment
10/18/2013
Babasabpatilfreepptmba.com
9

10. APPROACHES
EXTENT
JUSTIFY
PRODUTION
CONCEPT
Partially applicable
All brands of products are widely available with low
cost expect celebration which is high cost so it is
partially applicable.
PRODUCT CONCEPT Fully applicable
10/18/2013
Here products are given importance with
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.
Babasabpatilfreepptmba.com
10

11. APPROACHES
EXTENT
JUSTIFY
Selling concept
Partially applicable
Attracting customers by giving advertisements
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 chocolates
Marketing concept
Fully applicable
Cadbury always focus on delivering best of its
customer in order to get best cocoa for its
chocolates.
Societal marketing
concept
Fully applicable
Cadbury competitors are not only restricted to
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.
10/18/2013
Babasabpatilfreepptmba.com
11

12. Swot analysis of Cadbury company
STRENGTH:
1.Cadbury is the largest global confectionery supplier, with 9.9% of global
market share.
2.High financial strength (Sales turnover 1997, £7971.4 million and 9.4%).
3.Strong manufacturing competence, established brand name and leader in
innovation.
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 US
market.
10/18/2013
Babasabpatilfreepptmba.com
12

13. WEAKNESS
1.
2.
3.
4.
Cadbury has a reputation for new product development and
creativity. However, they remain vulnerable to the possibility that
their innovation may falter over time.
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.
Cadbury's recall over 1 million chocolate bars over salmonella
fears
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.
10/18/2013
Babasabpatilfreepptmba.com
13

14. OPPURTNITIES
1.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, Bytes
6. Brand ambassador Amitabh Bachchan for advertising there new
products.
10/18/2013
Babasabpatilfreepptmba.com
14

15. THREATS
1. 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
development
3. 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.
10/18/2013
Babasabpatilfreepptmba.com
15

16. DIFFERENT BRANDS AND FEATURES
BRAND NAME
FEATURES
DIARY MILK
The chocolate with deliciously smooth
Texture and unique creamy taste.
Cadbury diary milk, fruit and nut
and whole nut are the of the best loved varieties of
Cadbury mega brand.
10/18/2013
Babasabpatilfreepptmba.com
16

17. 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.
• ECLAIRS
The two classic ingredient of toffee and
chocolate combined together to create a
truly unique experience.
10/18/2013
Babasabpatilfreepptmba.com
17

18. HALLS
Its 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.
10/18/2013
Babasabpatilfreepptmba.com
18

19. PERK
• Which have the extra taste of Cadbury diary
milk .
• Perk contains wafer layers with Chocó cream
and wheat flour and different ingredients.
10/18/2013
Babasabpatilfreepptmba.com
19

20. PUNCHLINE AND BRAND AMBASSDOR
PRODUCT NAME: DAIRY MILK
DAIRY MILK
“Kuch mita ho
jayee”
10/18/2013
Babasabpatilfreepptmba.com
20

21. PUNCHLINE AND BRAND AMBASSDOR
Product name: Perk
PUNCH LINE
THODI SI PET POOJA
10/18/2013
Babasabpatilfreepptmba.com
21

22. PUNCHLINE AND BRAND AMBASSDOR
PRODUCT NAME: HALLS
THANDI SAANS KA
BLAST
10/18/2013
Babasabpatilfreepptmba.com
22

23. PUNCHLINE AND BRAND AMBASSDOR
Product Name: 5 Star
JO KHAYE KHO
JAYE
10/18/2013
Babasabpatilfreepptmba.com
23

24. PUNCHLINE AND BRAND AMBASSDOR
PRODUCT NAME:
CELEBRETATION
PUNCH LINE
“RISHTO
ME
MITAS”
10/18/2013
Babasabpatilfreepptmba.com
24

25. PUNCHLINE AND BRAND AMBASSDOR
PRODUCT NAME:
ECLARS
10/18/2013
Babasabpatilfreepptmba.com
25

26. PUNCHLINE AND BRAND AMBASSDOR
PRODUCT
NAME:BUBBALO
PUNCHLINE:
BUBBA
THE
CAT
10/18/2013
Babasabpatilfreepptmba.com
26

27. PUNCHLINE AND BRAND AMBASSDOR
PRODUCT
NAME
BYTES
PUNCH LINE
HAR
SNACK
NAMKIN
NAHI HOTA
10/18/2013
Babasabpatilfreepptmba.com
27

28. PUNCHLINE AND BRAND AMBASSDOR
PRODUCT NAME
BOURNVITA
PUNCH LINE
NATURE AND SCIENCE
TAN KI SHAKTI
MAN KI SHAKTI
10/18/2013
Babasabpatilfreepptmba.com
28

29. BRANDS COMPETITORS
CADBURY
CHOCOLATES
NESTLE CHOCOLATES
PARLE-G
DIARY MILK
KITKAT
MALODY CHOCOLATE
PERK
MUNCH
MANGO BITE, KUCCHA MANGO
FIVE STAR
MILKYBAR
KISMI BAR
BEVERAGES
BOURNVITA
BOOST
------------SNACKS
BYTES
10/18/2013
MAGGI NODDLES
Babasabpatilfreepptmba.com
MUSST Bites, MONACO bites ,
Sixer
29

30. COMPETITORS OBJECTIVES
COMPETITORS
NESTLE
10/18/2013
OBJECTIVES
“Aim
to build a
business as the
world's leading
nutrition, health
and wellness
company based
on sound human
values and
principles.”
Babasabpatilfreepptmba.com
30

31. SWOT ANALYSIS OF COMPETITORS-NESTLE
1. Diversification: Nestle has a wide product portfolio encompassing baby
foods and dairy products, chocolates and breakfast cereals and food
seasoning.
2. Joint ventures: Nestle holds joint ventures with leading businesses
like Coca Cola, General Mills and L'Oreal which allow it to access their
technical knowledge to further develop its own brand.
3. Influencing
STRENTHS
consumer decisions: With its innovative and attractive
advertising campaigns Nestle is able to influence customer's 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.
10/18/2013
Babasabpatilfreepptmba.com
31

32. WEAKNESS
1. Negative effects on the brand image: The investigations into the
controversial advertising campaign that promoted infant milk products over
breastfeeding and the usage of slave labor for its plants in African countries
continue even today and Nestlé’s brand name has been negatively affected
due to the media campaigns covering this issue.
2. Storage and transportation problems: Because the Indian food industry is
not developed enough to handle complex storage and transport
requirements, Nestle has a difficult job of providing product quality at centers
far off from the manufacturing base.
3.Complex supply chain management: Nestle has a complex supply chain
management and the main issue for Nestle India is its traceability
10/18/2013
Babasabpatilfreepptmba.com
32

33. OPPURTUNITIES
1. 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
10/18/2013
Babasabpatilfreepptmba.com
33

34. THREATS
1. Cost of raw materials: Inflation rising at
the pace that it is puts a strain on Nestle for
buying its raw materials like food grains and yet
maintaining its margins.
2. Indians perception towards fresh foods:
Indians believe in eating fresh foods instead of
ready to eat products, which provide a major
hurdle in the marketing of Nestle products across
the country.
10/18/2013
Babasabpatilfreepptmba.com
34

35. 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.
10/18/2013
Babasabpatilfreepptmba.com
35

36. WHOM TO ATTACK AND WHOM TO
AVOID
Competitors
Nestle
Strong
Parle –g
Amul
-
Weak
Close
-
Distant
-
Good
Bad
Attack
Avoid
10/18/2013
Babasabpatilfreepptmba.com
36

37. FOUR P’S OF CADBUARY
PRODUCT
PRICE
PLACE
DAIRY MILK
RS.5,10,20,
PERK
RS.2,5
CELEBRATIONS
RS.60,250
5-STAR
RS.131/KG
HALLS
RS.50PS
BYTES
Advertisement s
and giving offers in
occasion times
RS.3,5,10,
BOURNVITA
The company
using two way
distribution
channel.
PROMOTION
RS.5,20
10/18/2013
Babasabpatilfreepptmba.com
37

38. PRICING STRATEGY
Cost 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.
10/18/2013
Babasabpatilfreepptmba.com
38

39. STAGES OF CONSUMER DECISION
PROCESS
Stages involved:
• Need Recognition.
• Information Search.
• Evaluation of Alternative.
• Purchase Decision.
• Post Purchase.
10/18/2013
Babasabpatilfreepptmba.com
39

40. FACTORS INFLUENCING BUYING BEHAVIOUR
FACTORS
HIGH/MEDIUM/LOW
IMPACT
JUSTIFICATION
Cultural 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 purpose
Social factor
High Impact
Friends and family
member’s neighbors
(reference group) are
highly influences to buy
the product.
10/18/2013
Babasabpatilfreepptmba.com
40

41. High Impact
According to this factor
the age of the consumer
highly influence to the
product
Low Impact
Many of consumer’s beliefs
that chocolate may effect
to teeth. And they contain
germs. So they not prefer
to more chocolates
Personal factors
Psychological factors
10/18/2013
Babasabpatilfreepptmba.com
41

42. 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.
10/18/2013
Babasabpatilfreepptmba.com
42

43. Thank you
10/18/2013
Babasabpatilfreepptmba.com
43