Cadbury Swot Analysis

2011
Product Profile/ Cadbury Dairy

Milk.
Product Profile/ Cadbury Dairy Milk.
CONTENTS
Sr. No. Index Page No.
1. Company Overview 4
2. Cadbury Milestone 5
3. Vision & Mission 6
4. Objective of Survey 7
5. Marketing Research Process 7
6. Dairy Milk 8
7. Forecasting & Estimating Demand 9
8. Factors 10
9. Market Segmentation 11
10. Brand element 13
11. PLC 14
12. Market Place 15
13. R&D 15
14. SWOT Analysis 16
15. Diversification 17
16. Conclusion 18
17. References 19
Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 2

CERTIFICATE
This is to certify that Mr. Manohar Prasad Of SURYADATTA

GROUP OF INSTITUTE has successfully completed the
project work titled CADBURY DAIRY MILK.
This project is the record of authentic work carried out during

the academic year 2010-12.
MANOHAR PRASAD
STUDENT

COMPANY OVERVIEW
Cadbury began its operation in 1948 by importing chocolates and then re-
packing them before distributing it in the Indian market. After 62 years, it is
having five companies at Thane, Induri (Pune), Malanpur (Gwalior),
Bangalore, Baddi (Himachal Pradesh) and 4 sales offices in (New Delhi,
Mumbai, Kolkata and Chennai). The corporate office is in Mumbai.
The company’s main purpose is “Working together to create brands people

love" capture the spirit of what we are trying to achieve as a business. We
collaborate and work as team to convert products into brand.
Simply, “we spread happiness”!
Currently Cadbury India operates in three sectors viz. Chocolate

Confectionery, Milk Food Drinks and in the Candy category.
In the Chocolate Confectionery business, Cadbury has maintained its

undisputed leadership over the years. Some of the key brands are Cadbury
Dairy Milk, 5 Star, Perk, Éclairs and Celebrations. Cadbury enjoys a value
market share of over 70% - the highest Cadbury brand share in the world!
Cadbury is the "gold standard" for chocolates in India. The pure taste of CDM
defines the chocolate taste for the Indian consumer.

In the Milk Food drinks segment our main product is Bourn vita - the leading
Malted Food Drink (MFD) in the country. Similarly in the medicated candy
category Halls is the undisputed leader.
The Cadbury India Brand Strategy has received consistent support through
simple but imaginative extensions to product categories and distribution. A
good example of this is the development of Bytes. Crispy wafers filled with
coca cream in the form of a bagged snack, Bytes is positioned as "The new
concept of sweet snacking". It delivers the taste of chocolate in the form of
a light snack, and thus heralds the entry of Cadbury India into the growing
bagged Snack Market, which has been dominated until now by Salted Bagged
Snack Brands. Byte was first launched in South India in 2003.
Since 1965 Cadbury has also pioneered the development of cocoa cultivation
in India. For over two decades, we have worked with the Kerala Agriculture
University to undertake cocoa research and released clones, hybrids that
improve the cocoa yield. Our Cocoa team visits farmers and advises them on
the cultivation aspects from planting to harvesting. We also conduct farmers
meetings & seminars to educate them on Cocoa cultivation aspects. Our
efforts have increased cocoa productivity and touched the lives of thousands
of farmers.
Cadbury Milestones
The Cadbury story is a fascinating study of industrial and social

developments. From a one man business in 1824, Cadbury has grown to be
one of the world's largest producers of chocolate. A small family business
developed into an international company and the high standards of the
Cadbury brothers were combined with the most sophisticated technology,
skills and innovation.

Vision
 The governing objective for Cadbury India is to deliver Superior
Shareholder value.
 Cadbury in every pocket.
 Sustain growth of Cadbury’s market through aggressive product
development.
 Focusing on cost competitiveness & productivity in operations and
innovative utilization of assets.
 Investing to develop people.
Mission
 “To provide customers with a tempting and exquisite taste” as enticing
treats means a mouth watering treat which is simply irresistible.
 “Cadbury means quality” this is the promise of Cadbury. Its reputation
is to built upon quality. Its commitment to continuous improvement
will ensure that promise.

OBJECTIVE OF THE SURVEY

1. To find out the famous products of cadbury among the consumers.
2. To find out the consumer behaviour towards cadbury.
3. To find out the range which is mostly preferred by the customers.
4. To find out the features which are most favourable.
Marketing research process

Step-1 Define the problem:-
1) management problem
2) Increase sales and profit
Research problem:-
It is a part of management but a specific and time oriented. As per my

product I have identify the research problem that is of poor quality.
Step-2 Develop the research plan by Collecting the primary and secondary
information.
Step: 3 Collect the Information
Step: 4 Analyze the Information
Step: 5 Make the Decision

DAIRY MILK
The variants Fruit & Nut, Crackle and Roast Almond, combine the taste of
Cadbury Dairy Milk with a variety of ingredients and are very popular
amongst teens & adults.
Today, “Cadbury Dairy Milk alone holds 30% value share of the Indian
chocolate market”.

FORECASTING AND ESTIMATING DEMAND.

Survey of Buyer
In the FMCG product buyers taste and preferences changes in day to day
life. So it is very important for the Cadbury dairy milk to be upto date with the
consumers day to day changing choices. And survey of buyers intention is
one of the way of estimating the future demand of the product. In such
survey the Cadbury choclates prefer to ask questions like “How many times
do you prefer to buy a Cadbury dairy milk in a week?” “what you think about
price of Cadbury dairy milk?”
Composite of Sales Force Opinion

In this type of forecasting, due to the impractical survey of buyers
interviewing, the Cadbury dairy milk may ask its various sales
representatives to estimate their future sales.
Expert Opinion
The Cadbury dairy milk also have a choice of estimating future demand on
the opinion given by the experts including dealers, distributors, suppliers,
marketing consultants and trade associations.
Past-Sales Analysis
The demand can also be estimated on the basis of past sales by the Cadbury
dairy milk. There are four components in the Time Series Analysis: trend,
cycle, seasonal and erratic.
Market-Test Method
When the entire plan fails, a direct-market test is desirable. It is especially
desirable in forecasting new-product sales or established product sales.

FACTORS:
Consumer decides what to purchase
For whom to purchase
Why to purchase,
From where to purchase
How much to purchase.
In order to become successful, it must be known the liking or disliking of the

customers. It must also known the time and the quantity of goods and
services, a consumer may purchase, so that it may store the goods or
provide the services according to the liking of the consumers. The
manufacturers produce and the sellers sell whatever the consumer likes. In
this sense, “consumer is the supreme in the market”.
The study of the consumer preference not only focuses on how and why
consumers make buying decision, but also focuses on how and why
consumers make choice of the goods they buy and their evaluation of these
goods after use. So for success of any company or product promotion is very
necessary to depart its concentration towards consumer preference.

MARKET SEGMENTATION
There are two types of segmentation.
 Demographic
 Behavioral
Demographic Segmentation
Age and Life Cycle: Under this type of segmentation the buyers who mostly
prefer the Cadbury dairy milk comes under the age group of 4-40 years.
Gender: For purchasing Cadbury dairy milk gender doesn’t matter. Cadbury
dairy milk is for all persons whether male or female.
Income: The price of Cadbury dairy milk is reasonable and affordable. So a

person does not need to think much before purchasing it, They can easily buy
it any time when they want to buy. The income of a person does not play any
important role in it.
Generation: Cadbury dairy milk will not be much affected by the generation
differences. All types of peoples like to purchase the Cadbury dairy milk
when they want to buy it.
Behavioral Segmentation
Decision: The decision is taken by the children and youngsters. They play
an important role in taking the decision of when to buy the Cadbury dairy
milk.
Occasions: For purchasing the Cadbury dairy milk no special occasions are
required. People can easily purchase it on regular basis. Occasionally such
as Diwali, Rakshabandhan, the sales of Dairy Milk increases.

Segmentation of Business Market:

 Demographic:
 Operating Variable
 Purchasing Approaches
 Situational Factors
 Personal Characteristics
Steps in Segmentation Process:

 Needs-based segmentation
 Segment identification
 Segment attractiveness
 Segment profitability
 Segment positioning
 Segment acid test
 Marketing mix strategy

BRAND ELEMENT OF Cadbury dairy milk.

Brand elements are those trademarkable devices that identify and
differentiate the Brand. Most strong brand employs multiple brand elements.
Like Cadbury dairy milk has the distinctive “Any time crunchy, all time fresh”.
There are certain types of brand element listed below:
 Brand name:
 Slogan.
 Characters
 URLs
 Logo.
 Symbol.

PRODUCT LIFE CYCLE OF CADBURY DAIRY

MILK.
• Products have limited life.
• Product sales passes through distinct stages, each posing different

challenges, opportunities and problem to the seller.
• Profit rise and fall at different stages.
• Product required different marketing, financial, manufacturing, HR and

resource strategy in each life cycle stage.
 INTRODUCTION
 GROWTH

Market place
Cadbury operates in the global confectionery market. The market is large,
growing and has attractive dynamics. The global confectionery market is the
world’s four largest packaged food market. It represents 9% of that market,
and has a value at retail of US$141 billion. Chocolate is the largest category,
accounting for over half of the global confectionery market by value.
Globally, confectionery is growing at around 5% p.a., faster than many

other packaged food markets. Developed markets, which account for around
67% of the global market, grew 3% p.a. between 2001 and 2006.
REASEARCH & DEVELOPMENT
R & D deals with innovation. Innovation is the heart of creating brand

image which people love. Not just new products and improved recipe, but
also innovative packaging formats and world-class brand.
R & D of Cadbury plays a key role in knowing about the
 Customer insights,
 Trends, and
 Foresights.
It might be as simple as just responding to gum chewers who want the

flavour to last longer or as sophisticated as putting consumer insights
together to spot trends and generate foresights – projecting forward to
anticipate and meet the changing needs of tomorrow’s consumers.

SWOT Analysis of Cadbury

Strengths
 Cadbury is the largest global confectionery supplier, with 9.9% of

global market share.
 High financial strength (Sales turnover 1997, £7971.4 million and

9.4%)
 Strong manufacturing competence, established brand name and

leader in innovation.
 Advantage that it is totally focused on chocolate, candy, chewing gum
Weaknesses
 The company is dependent on the confectionery and beverage market,
whereas other competitors e.g. Nestle have a more diverse product
portfolio, where profits can be used to invest in other areas of the
business and R&D.
 Other competitors have greater international experience - Cadbury has

traditionally been strong in Europe. New to the US, possible lack of
understanding of the new emerging markets compared to competitors.
Opportunities
 New markets. Significant opportunities exist to expand into the
emerging markets of China, Russia, India, where populations are
growing, consumer wealth is increasing and demand for confectionery
products is increasing.
Threats
 Underestimate foreign regulations and incur unexpected costs.
 Threat of entry due to competition growing through acquisition.
 Fail to offer a competitively attractive products to foreign customers.

DVERSIFICATION
 Increase Marketing and Promotion globally by marketing products in
emerging markets.
 Focus on non-chocolate development/acquisitions by developing line
of non-chocolate candies.
 Aggressive new product development—low calories, sugar free and
sweets. This has to be done by researching and developing new
products/ joint venture.

Conclusion
In order to reach the peak of achievement, the company would stress on the
global growth of the product. It can be a risk to market it in the region
France, but with careful study of the target market segments and its
economic position, it can be an attainment. Cadbury should also look into
other countries like the Asia Pacific in order to market its products popular
globally. But then again, careful considerations to look at its major
competitors and to obtain the rules and regulations of a certain country are
equally important.
Another strategic plan would be a joint venture. Since Cadbury Schweppes

is a company that produces not only chocolates but also drinks, it should
market a new product and maybe get into the product development or get
into a total diversification. However, need to bear in mind that it is not as
easy as marketing Cadbury’s current products.
Needless to say that in order for the company to market its products
globally, it is understood that heavy capital and marketing expenditures have
to be sacrificed.
Last but not least not to forget that Cadbury should need to strengthen the
brand name of its products. This is important due to the fact that since it is
popular in the UK and US, the profile of the product should be maintained and
not deteriorates.

REFERENCES:
1. www.cadbury.com
2. www.cadbury.co.uk
3. Wikipedia
4. www.businessteacher.org.uk

Cadbury Swot Analysis

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2011

Product Profile/ Cadbury Dairy

3. Vision & Mission 6

5. Marketing Research Process 7

7. Forecasting & Estimating Demand 9

10. Brand element 13

12. Market Place 15

14. SWOT Analysis 16

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 2

This is to certify that Mr. Manohar Prasad Of SURYADATTA

This project is the record of authentic work carried out during

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 3

The company’s main purpose is “Working together to create brands people

Simply, “we spread happiness”!

Currently Cadbury India operates in three sectors viz. Chocolate

In the Chocolate Confectionery business, Cadbury has maintained its

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 4

The Cadbury story is a fascinating study of industrial and social

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 5

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 6

OBJECTIVE OF THE SURVEY

2. To find out the consumer behaviour towards cadbury.

3. To find out the range which is mostly preferred by the customers.

4. To find out the features which are most favourable.

Marketing research process

It is a part of management but a specific and time oriented. As per my

Step: 3 Collect the Information

Step: 4 Analyze the Information

Step: 5 Make the Decision

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 7

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 8

FORECASTING AND ESTIMATING DEMAND.

Composite of Sales Force Opinion

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 9

For whom to purchase

From where to purchase

How much to purchase.

In order to become successful, it must be known the liking or disliking of the

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 10

Income: The price of Cadbury dairy milk is reasonable and affordable. So a

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 11

Segmentation of Business Market:

Steps in Segmentation Process:

 Segment acid test

 Marketing mix strategy

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 12

BRAND ELEMENT OF Cadbury dairy milk.

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 13

PRODUCT LIFE CYCLE OF CADBURY DAIRY

• Product sales passes through distinct stages, each posing different

• Profit rise and fall at different stages.

• Product required different marketing, financial, manufacturing, HR and

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 14

Globally, confectionery is growing at around 5% p.a., faster than many

REASEARCH & DEVELOPMENT

R & D deals with innovation. Innovation is the heart of creating brand

R & D of Cadbury plays a key role in knowing about the

It might be as simple as just responding to gum chewers who want the

Manohar Prasad/ 2010-12/ IB+IT/1999/01030003 Page 15

SWOT Analysis of Cadbury

 Cadbury is the largest global confectionery supplier, with 9.9% of

 High financial strength (Sales turnover 1997, £7971.4 million and