Вы находитесь на странице: 1из 51

A PROJECT REPORT

ON
CADBURY CUNSUMER SATISFACTION
SUBMITTED IN PARTIAL FULFILLMENT FOR THE AWARD OF THE DEGREE OF
BACHELOR OF BUSINESS ADMINISTRATION 2016-2019

UNDER THE GUIDANCE OF


DR. BHARTI CHAUDHARY
FACULTY, MAIMS

SUBMITTED BY:
JATIN DEV PRSHAD
ROLL NO. : 03914701716 Batch No. : BBA III-A

Maharaja Agrasen Institute of Management Studies


Affiliated to Guru Gobind Singh Indraprastha University, Delhi PSP Area, Plot No. 1,
Sector 22, Rohini Delhi 110086
TABLE OF CONTENT
Student Undertaking …………………………………..i
Certificate from Guide ………………………………….ii
Acknowledgement ………………………………….iii
Executive Summary …………………………………iv

S.No Contents Page


Number
1 Chapter 1-Introduction
-Company Profile 6
-History of Cadbury 7
-Evolution of Cadbury 8
-Product Hierarchy of Cadbury 9
-Vision & Mission 10
-Cadbury Worldwide 11
13

2 Chapter 2-Industry Overview


-Market & Business Overview 27
-Competitors Overview 29
-Market Share of Competitors 32
-SWOT Analysis 30

3 Chapter-3 Methodology
-Research Objectives 39
-Research Design 40
-Scope of the Study 42

4 Chapter 4- Analysis and


Interpretation 44
-Tables showing the Analysis 46
-Findings
5 Chapter 5-Recommendations
-Recommendations 49
92
6 Chapter 6 - Conclusions
-Conclusions 51
7 Bibliography 53
8 Annexure 55
STUDENT UNDERTAKING
This is to certify that I have completed the Project “STUDY OF
CONSUMER PREFERENCE TOWARDS CADBURY ” under the guidance of “DR.
BHARTI CHAUDHARY” in partial fulfillment of the requirement for the award of degree of
Bachelor of Business Administration at Maharaja Agrasen Institute of Management Studies,
Delhi. This is an original piece of work & I have not submitted it earlier elsewhere.

JATIN DEV PRSHAD


(03914701716)
CERTIFICATE
This is to certify that the project titled “STUDY OF CONSUMER PREFERENCE
TOWARDS CADBURY” is an academic work done by “JATIN DEV PRSHAD” submitted in
the partial fulfillment of the requirement for the award of the degree of Bachelor Of Business
Administration from Maharaja Agrasen Institute of Management Studies, Delhi, under my
guidance & direction. To the best of my knowledge and belief the data & information
presented by him/her in the project has not been submitted earlier.

DR. BHARTI CHAUDHARY


Assistant Professor
ACKNOWLEDGMENT

“It is not possible to prepare a project report without the assistance &
encouragement of other people. This one is certainly no exception.”

I am using this opportunity to express my gratitude to everyone who supported me


throughout the course of this BBA project. I am thankful for their aspiring guidance,
invaluably constructive criticism and friendly advice during the project work. I am sincerely
grateful to them for sharing their truthful and illuminating views on a number of issues
related to the project.

I would also like to thank my project external guide DR. BHARTI CHAUDHARY and all the
people who provided me with the facilities being required and conductive conditions for my
BBA project in collection of data.

I also acknowledge with a deep sense of reverence, my gratitude towards my parents and
member of my family, who has always supported me morally as well as economically.

At last but not least gratitude goes to all of my friends who directly or indirectly helped me to
complete this project report.

Any omission in this brief acknowledgement does not mean lack of gratitude.
Executive Summary
Cadbury Schweppes is the world’s largest confectionery company. They
manufacture, market and distribute branded chocolates, confectionery and beverages that
bring smiles to millions of consumers across 180 countries. With origins stretching back over
200 years, today their products - which include brands such as Cadbury, Schweppes, Halls,
Trident, Dr Pepper, Snapple, Trebor, Dentyne, Bubblicious and Bassett - are enjoyed in every
country and around the world. Cadbury Schweppes employs over 70,000 people worldwide.
The heritage started back in 1783 when Jacob Schweppes perfected his process for
manufacturing carbonated mineral water in Geneva, Switzerland. And in 1824 John Cadbury
opened a shop in Birmingham selling cocoa and chocolate. Cadbury has been synonymous
with chocolate since 1824; the most famous being Cadbury Dairy Milk; first launched in
1905, and still a market leader today. These two great household names merged in 1969 to
form Cadbury Schweppes plc.

Cadbury is the leader in the UK chocolate market, and is the confectionery division of
Cadbury Schweppes plc. Cadbury's Asia-Pacific sales are smaller compared to Europe and
US. Asia Pacific sales accounted for only 18 per cent of the group's revenue of $7427 million
dollars in 2006. The mature Japan and Australia markets have generated most of the firm's
sales in the region but younger, fast-growing markets are becoming more important for the
group. Cadbury currently makes around one third of its total Asia Pacific sales from
'emerging markets', of countries like China, India, Malaysia, Singapore etc.

Cadbury launched Boost Guarana in 2001 in U.K, a new chocolate bar, which with
proven energy stimulation properties. Containing Guarana, a South American plant extract
known to native Indians for centuries, the product was launched to meet the consumer need
of stimulating the mind and complement a busy lifestyle. Cadbury is planning to launch
BOOST GUARANA in the vibrant Singapore chocolate market.
CHAPTER-1
INTRODUCTION
COMPANY’S PROFILE
Cadbury, the confectionery giant and the second largest confectionery brand in the world, is
well known for its Creme Egg and Roses selection box and the world famous Dairy Milk
chocolate. Its owned by Mondel?z International. This British multinational confectionery
company is based in Uxbridge of London in the United Kingdom.

it operates in 50 countries all over the world. Cadbury was started by John Cadbury, who
initially sold drinking chocolate, coffee and tea in Birmingham, England in the year of 1824.
In later years Cadbury collaborated with his brother Benjamin to expand their business. Then
it was passed on to his sons Richard and George. It was George who built Bournville estate to
provide the company’s workers a way to improve their living conditions
HISTORY OF CADBURY
Cadbury is a leading global confectionery company with an outstanding portfolio of
chocolate, gum and candy brands. We create brands people love - brands like
Cadbury,Tridentand Halls.
Our heritagestarts back in 1824 when John Cadbury opened a shop in Birmingham selling
cocoa and chocolate. Since then we have expanded our business throughout the world by a
programme of organic and acquisition led growth. On 7 May 2008, the separation of our
confectionery and Americas Beverages businesses was completed creating Cadbury plc with
a vision to be the world's BIGGEST and BEST confectionery company.

GEORGE CADBURY FOUNDER OF THE TRUST 1839 – 1922


EVOLUTION OF CADBURY
Cadbury Dairy Milk is a brand of milk chocolate currently manufactured by Cadbury,
except in the United States where it is made by The Hershey Company.[1] It was introduced in
the United Kingdom in 1905 and now consists of a number of products. Every product in the
Dairy Milk line is made with exclusively milk chocolate. In 2014, Dairy Milk was ranked the
best selling chocolate bar in the UK.

Cadbury made its first Dairy Milk bar, with a higher proportion of milk than previous
chocolate bars, and it became the company's best selling product by 1914. George Cadbury
Junior, responsible for the development of the bar, has said "All sorts of names were
suggested: Highland Milk, Jersey and Dairy Maid. But when a customer’s daughter suggested
Dairy Milk, the name stuck."[3] Fruit and Nut was introduced as part of the Dairy Milk line in
1926, soon followed by Whole Nut in 1933. By this point, Cadbury's was the brand leader in
the United Kingdom.[4] In 1928, Cadbury's introduced the "glass and a half" slogan to
accompany the Dairy Milk bar, to advertise the bar's higher milk content.[5]

In September 2012, Cadbury made the decision to change the shape of the bar chunks to a
more circular shape in order to reduce the weight. The bar had not seen such a significant
change in shape since 1905.

Since 2007 Cadbury had a trademark in the United Kingdom for the distinctive purple colour
(Pantone 2865C) of its chocolate bar wrappers,[6] originally introduced in 1914 as a tribute
to Queen Victoria.[7] In October 2013, however, an appeal by Nestlé succeeded in overturning
that court ruling
PRODUCT HIERARCHY OF CADBURY
Using Cadbury Bournville as an example we can identify these levels of:
Need Family – It refers to the core need that underlines the existence of a product family.
Bournville basically belongs to the confectionery industry.

Product Family – It means all the product classes that can satisfy a core need with
reasonable effectiveness. Bournville belongs to sugar confectionery in confectionery
industry.

Product Class/ Category – It is a group of products within the product family recognized as
having a functional coherence. Bournville is a chocolate brand which is produced by
Cadbury.

Product Line – They are a group of products within a product category that are closely
related because of similar functions performed by the products. Cadbury is a multinational
confectionery company that manufactures Bournville.

Product Type – It is the group of items within a product line that share one of several
possible forms of the product.

Item – It is a distinct unit within a brand or a product line which is distinguishable. Cadbury
Bournville is available in different sizes weighing from 40gms, 45gms, 100 gms, 180gms,
200gms.
Vision & Mission
MISSION
To create and sustain flourishing communities where people choose to live
By promoting new social housing of good quality which enhances the environment.
By managing housing stock and estates to the highest standard for all residents.
By encouraging residents to share in decisions affecting their communities.
VISION
Promotion of brands carrying mass franchise without compromise on quality or margins.
Increasing the market depth including rural India’s coverage. (so far in case of chocolates,
rural areas are not covered)
Better product quality and packaging.
All round efficient utilisation of tangible as well as intangible assets such as brands and
people.
Efficient working capital management
Depreciation charge to meet the CAPEX needs every year.
Surplus cash so generated to be either gainfully and meaningfully reinvested in business or
return to stakeholders.
CADBURY VALUE
We are performance driven, values led. Throughout changing times, our constant values have
inspired us to be pioneers in business and in corporate responsibility. They help ensure we are
proud of our company and are critical to our core purpose of creating brands people love.
Performance
We are passionate about winning. We compete in a tough but fair way. We are ambitious,
hardworking and make the most of our abilities. We are prepared to take risks and act with
speed.
Quality
We put quality and safety at the heart of all of our activities - our products, our people, our
partnerships and our performance.
Respect
We genuinely care for our business and our colleagues. We listen, understand and respond.
We are open, friendly and welcoming. We embrace new ideas and diverse customs and
cultures.
Integrity
We always strive to do the right thing. Honesty, openness and being straightforward
characterise the way we do business. We have clear principles and do what we say we will
do.
Responsibility
We take accountability for our social, economic and environmental impact. In this
way we aim to make our business, our partners and our communities better for the future.
Our Business Principles are our code of conduct and also take account of global and local
cultural and legal standards. They confirm our commitment to the highest standards of ethics
and business conduct. Core purpose and vision section: Core purpose: Our core purpose is
creating brands people love. The core purpose captures the spirit of what we are trying to
achieve as a business.
PRODUCT PORTFOLIO

Cadbury has a power house lineup of products. In fact, several of our readers will be
surprised when they read the different varieties and markets where Cadbury is present. A
company might have 1 or 2 cash cows, but Cadbury has several with the lions share of the
market. Some in the chocolate business are Dairy milk, Bournville, Five star, Perk, Cadbury
eclairs. In the biscuits segment is the premium Oreo. In beverages there is bournvita which
again is one of the leaders in milk addittives. Halls as a mouth freshener as well as a remedy
during cold is used across India. Thus, with such a strong line of products, cadbury is bound
to lead the chocolates industry. Due to its products, Cadbury is the leading name of
chocolates across the world and has presence in all 7 continents.
The distribution of Cadbury is fantastic and widespread. It is present strongly in all urban
areas as well as A,B and C category towns. The rural marketing of Cadbury is known to be
weak but that is because demand there is also weak. Cadbury follows the same mantra of
FMCG marketing which is breaking the bulk. The cadbury chocolate is manufactured in
Bournville, England. Recently there was an advertisement which promoted that Cadbury
buys only the best cocoa beans from Ghana for its chocolates. These chocolates are then
distributed across the world. Cadbury is present in 200 or more countries.
CADBURY WORLDWIDE
We are currently the world's biggest confectionery company with a number one or number
two positions in 20 of the 50 largest confectionery markets across the globe.
We create chocolate, gum and candy brands people love - brands like Cadbury,Trident and
Halls.
Our heritagestarts back in 1824 when John Cadbury opened a shop in Birmingham selling
cocoa and chocolate. Since then we have expanded our business throughout the world by a
programme of organic and acquisition led growth. On 7 May 2008, the separation of our
confectionery and Americas Beverages businesses was completed creating Cadbury plc with
a vision to be the world's BIGGEST and BEST confectionery company.

A few facts and figures


We make and sell three kinds of confectionery: chocolate, gum and candy
We operate in over 60 countriesJohn Cadbury opened for business in 1824 - making us nearly
200 years young
We work with around 35,000 direct and indirect suppliers
We employ around 50,000 people
Every day millions of people around he world enjoy our brands
23 June 2008

BRAND BUILDING OF CADBURY DAIRY MILK

The story of Cadbury Dairy Milk started way back in 1905 at Bournville, U.K., but the
journey with chocolate lovers in India began in 1948.
The pure taste of Cadbury Dairy Milk is the taste most Indians
crave for when they think of Cadbury Dairy Milk.

The variants Fruit & Nut, Crackle and Roast Almond, combine the classic taste of
Cadbury Dairy Milk with a variety of ingredients and are very popular amongst teens &
adults. Recently, Cadbury Dairy Milk Desserts was launched, specifically to cater to the
urge for 'something sweet' after meals.
Cadbury Dairy Milk has exciting products on offer - Cadbury Dairy Milk Wowie, chocolate
with Disney characters embossed in it, and Cadbury Dairy Milk 2 in 1, a delightful
combination of milk chocolate and white chocolate. Giving consumers an exciting reason to
keep coming back into the fun filled world of Cadbury.

Cadbury Dairy Milk has been the market leader in the chocolate category for years. And has
participated and been a part of every Indian's moments of happiness, joy and celebration.
Today, Cadbury Dairy Milk alone holds 30% value share of the Indian chocolate market.
In the early 90's, chocolates were seen as 'meant for kids', usually a reward or a bribe for
children. In the Mid 90's the category was re-defined by the very popular `Real Taste of Life'
campaign, shifting the focus from `just for kids' to the `kid in all of us'. It appealed to the
child in every adult. And Cadbury Dairy Milk became the perfect expression of 'spontaneity'
and 'shared good feelings'.
The 'Real Taste of Life' campaign had many memorable executions, which people still
fondly remember. However, the one with the "girl dancing on the cricket field" has remained
etched in everyone's memory, as the most spontaneous & un-inhibited expression of
happiness.
This campaign went on to be awarded 'The Campaign of the Century', in India at the Abby
(Ad Club, Mumbai) awards.
In the late 90's, to further expand the category, the focus shifted towards widening chocolate
consumption amongst the masses, through the 'Khanewalon Ko Khane Ka Bahana Chahiye'
campaign. This campaign built social acceptance for chocolate consumption amongst adults,
by showcasing collective and shared moments.
More recently, the 'Kuch Meetha Ho Jaaye' campaign associated Cadbury Dairy Milk with
celebratory occasions and the phrase "Pappu Pass Ho Gaya" became part of street language.
It has been adopted by consumers and today is used extensively to express joy in a moment
of achievement / success. The interactive campaign for "Pappu Pass Ho Gaya" bagged a
Bronze Lion at the prestigious Cannes Advertising
Festival 2006 for 'Best use of internet and new media'. The idea involved a tie-up with
Reliance India Mobile service and allowed students to check their exam results using their
mobile service and encouraged those who passed their examinations to celebrate with
Cadbury Dairy Milk.
The 'Pappu Pass Ho Gaya' campaign also went on to win Silver for The Best
Integrated Marketing Campaign and Gold in the Consumer Products category at the EFFIES
2006 (global benchmark for effective advertising campaigns) award
OTHER MORE BRANDS OF CADBURY
1. CHOCOLATES
5-star.

Chocolate lovers for a quarter of a century have


indulged their taste buds with a Cadbury 5 Star. A
leading knight in the Cadbury portfolio and the
second largest after Cadbury Dairy Milk with a
market share of 14%, Cadbury 5 Star moves from
strength to strength every year by increasing its user
base. Launched in 1969 as a bar of chocolate that
was hard outside with soft caramel nougat inside,
Cadbury 5 Star has re-invented itself over the years
PERK to keep satisfying the consumers taste for a high
A pretty teenager; a long line, and quality & different chocolate eating experience
hunger! Rings a bell? That was how Cadbury launched its new offering; Cadbury Perk in
1996. With its light chocolate and wafer construct, Cadbury Perk targeted the casual snacking
space that was dominated primarily by chips & wafers. With a catchy jingle and tongue in
cheek advertising, this 'anytime, anywhere' snack zoomed right into the hearts of teenagers.
Raageshwari started the trend of advertising that featured mischievous, bubbly teenagers
getting out of their 'stuck and hungry' situations by having a Cadbury Perk. Cadbury Perk
became the new mini snack in town and its proposition "Thodi si pet pooja" went on to define
its role in the category.
CELEBRATIONS
Cadbury Celebrations was aimed at replacing traditional gifting options like Mithai and dry-
fruits during festive seasons.
Cadbury Celebrations is available in several assortments: An assortment of chocolates like 5
Star, Perk, Gems, Dairy Milk and Nutties and rich dry fruits enrobed in Cadbury dairy milk
chocolate in 5 variants, Almond magic, raisin magic, cashew magic, nut butterscotch and
caramels.
The super premium Celebrations Rich Dry Fruit Collection which is a festive offering is an
exotic range of chocolate covered dry fruits and nuts in various flavours and the premium
dark chocolate range which is exotic dark chocolate in luscious
flavours.
Cadbury Celebrations has become a popular brand
on occasions such as Diwali, Rakhi, Dussera puja. It
is also a major success as a corporate gifting brand.
The communication is based on the emotional route
and the tag line says "rishte pakne do" which fits
with the brand purpose of strengthening
your relationships with something sweet.

Cadbury Bites

Cadbury Bytes was launched in 2004-05 as Cadbury's foray into the rapidly growing
packaged snack market.
Cadbury Bytes is positioned as the 'only sweet snack' in the world of salty snacks. The
proposition we have arrived at is "Snacking ka meetha funda", where we take a pot-shot at
other snacks, by saying `Har snack namkeen nahi hota'. The product is all about breaking a
cliché and teenagers identify with breaking stereotypes.
The new commercials- 'Tommy' and 'Villain', talk about breaking the stereotype.

BEVERAGES

Bournvita
Cadbury was incorporated in India on July 19th, 1948 as a private limited company under the
name of Cadbury-Fry (India). Cadbury Bournvita was launched during the same
year.
It is among the oldest brands in the Malt Based Food / Malt Food category with a rich
heritage and has always been known to provide the best nutrition to aid growth and all round
development.
Throughout it's history, Cadbury Bournvita has continuously re-invented itself in terms of
product, packaging, promotion & distribution. The Cadbury lineage and rich brand heritage
has helped the brand maintain its leadership position and image over the last 50 years.
3.

CANDYHALLS

Halls accounts for 50% of international cough drop sales and is the leading sugar
confectionery brand in the world. In 1930’s, the Hall brothers invented its Mentho-Lyptus
formula, using a combination of menthol and eucalyptus, and began producing cough drops.
The cough drops were introduced into the US during the mid-1950s. Warner-Lambert
recognised the potential of the product and acquired Halls in 1964. In 1971, Warner Lambert
began selling Halls under the Adams family, and the first national television campaign was
aired in the US & the results were a resounding success.

4. GUMS
Bubbaloo
Cadbury India has expanded its confectionary portfolio in 2007 by foraying into the Bubble
gum category with the launch of Bubbaloo Bubblegum- a successful bubblegum brand from
its international portfolio.
Bubbaloo is an innovative soft bubblegum with a centre filled liquid.
It is filled with a high level of a great tasting fruit flavoured liquid that floods your mouth
instantly.
Bubaloo is currently available in two yummy flavors- Strawberry and Mixed Fruit.
The communication focuses on the "fun filled liquid centre " of Bubbaloo and is
QUALITY ASSURANCE OF CADBURY
Market high quality, superior value products that consistently meet our specifications and
comply with local regulatory requirements, while continuously improving and exceeding our
consumers’ expectations.
Guarantee that our customers and consumers come first by actively listening and
understanding their quality and value expectations at the points of purchase and consumption.
Ensure that any representation of our company image, including our products and trademarks,
meet approved standards, reinforce our commitment to quality and safeguard the reputation
of Cadbury.
Maintain a “right first time” culture that consistently embraces quality and food safety, where
everyone understands their responsibilities and accountabilities.
Operate audited quality management systems that continually improve processes to deliver
this policy and our standards.
Assign clear management accountability for setting and meeting measurable goals and targets
for quality and food safety.
Work with our supply chain and business partners to assure compliance with our quality
policy and systems, ensuring quality throughout our supply chain.
Place continuous improvement at the heart of our performance enabling us to deliver superior
products and service to our consumers and customers.
Create a passion for quality where success and achievement are communicated, recognised
and celebrated.
Cadbury 4p's under mktng mix
Product
My product is a re-launch of Cadbury dairy milk. Cadbury dairy milk is made from real
chocolate. Its ingredients include cocoa butter and there is a glass and half full cream dairy
milk in every 200 grams of Cadbury dairy milk chocolate, Cadbury buys 65 million litres of
fresh milk each year to make Cadbury dairy milk chocolate.

Price
Price is an important element of the marketing mix. The price charged for a chocolate bar can
determine whether a consumer will buy it and the level of sales achieved can determine
whether or not Cadbury Schweppes will make a profit. Price is also affected by factors such
as the state of the economy, what competitors are charging, the stage reached in the products
life cycle and above all what price the market will bear. From the marketing point of view
this is what matters.

Place
Cadbury products are produced at the chocolate factory in Bourneville in Birmingham. After
the chocolate is produced and has undergone all the quality checks it is transported to the
stockrooms. After this Cadbury sells its products to shopsthat deal with beverages and
confectionery e.g. corner shops, super stores such as Iceland, Sainsbury, Kwik save, Tesco,
Asda, Safeway and petrol station. These businesses are usually visited by customers on a
daily basis.
They then sell it to the general public. Cadbury produces chocolate for more than 200
countries so that they have a chance to enjoy it as well and make profit.
This gives them a wide range of consumers around the world. Cadbury Schweppes therefore
makes sure that the cultures of these different people are kept. They can do this by producing
products, which are eaten in that particular country without upsetting religious or cultural
practises.

Promotion
Cadbury has a great brand image in the worldwide market, they focused on present
dominance in the chocolates market to be maintained. Average sales to grow at least at 20%
p.a. for the next 3 years, volumes by at least 12%. 1 new major product to be launched every
year. Sugar conf Share in sales mix to be enhanced through value added niche products.
With control over costs and reduction in relative depreciation charge for the year, steadily
increase margins.
SWOT ANALYSIS OF CADBURY

1.High brand equity and top of the mind chocolate


Strengths 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

7. Strong R&D and innovation

8. A trusted and premium quality brand

9.Strong distribution network and operations in US,


UK, India, Australia and a few other countries

10.’Dairy Milk’ is one of the most famous and


widely sold brand
Weaknesses 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


Awards /Achievements:

Asian Marketing Effectiveness Awards 08


Asian Marketing Effectiveness Awards 2008 for Bournvita Folk/Fusion campaign - GOLD
award for the "Best Insights and Strategic Thinking" and SILVER award for the 'Most

No. 1 FMCG Company

Cadbury India has been ranked as the 7th Great Place to


Work and the No. 1 FMCG company in India in 2008, by the
Great Place to Work Institute.

Great Place to Work 2007'

Cadbury India' has been awarded the "Bronze Award for


Excellence in People Management" in the 'Great Place to
Work 2007' survey conducted by Grow Talent Company Limited and Businessworld. The
award recognizes Cadbury India as a national leader in the area
of Human Resource Management.

Cadbury India roars at Cannes

Cadbury India received a bronze award at the Cannes Lions


International Advertising Festival for partnering with a mobile
phone operator in 2005 to provide exam results via SMS to school
children.
Reader's Digest Award recognizes Bournvita

Bournvita won the 'Reader's Digest Trusted Brands' Gold Award for the vitamin health
supplement category in Indian in 2006. The merit was based on 7000 responses from
questionnaires and telephone interviews across Asia.

Suraksha Puraskar Award – 2005

Cadbury India's Bangalore factory has received the


"Suraksha Puraskar" safety award from the National Safety
Council - Karnataka
chapter.
ABBY Award wins for India.

The prestigious ABBY awards, held in March, recognise


creative excellence in the Indian Advertising Industry. The Ulta
Perk campaign won four Silver Awards in total and the Cadbury
Dairy Milk Campaign, Miss Palampur, also won a Silver Award.
This year Cadbury also sponsored the new 'Young ABBY'
Award.

Cadbury wins the Effies 2006


At the recent Effie 2006 awards organized by The
Advertising Club of Mumbai, our 'Pappu Pass Ho Gaya'
advertising campaign bagged two more awards - Gold in the
Consumer Products category and Silver in the Integrated advertising campaign category.
CHAPTER-2
INDUSTRY
OVERVIEW
Market and Business Overview of Cadbury

Cadbury, a brand well known and loved by millions around the world, had a very humble
beginning. It began with the opening of a grocer's shop in Ball Street, Birmingham in the year
1824 by John Cadbury. This grew to become the most recognisable brands in the world. In
most parts of the world just the word Cadbury symbolises chocolate. John who as a young
Quaker was against alcohol sold tea, coffee, cocoa and drinking chocolate at his shop at the
beginning, later he started producing cocoa and chocolate. After few years his brother
Benjamin joined and later they got a Warrant as manufacturers of chocolate and cocoa to
Queen Victoria. Later when John Cadbury retired his sons Richard and George took over the
company. They thought the company could not survive in the dirty conditions of the city and
were egger to move it out of Birmingham, they setup a factory 4 miles from the city and had
a concept in mind which was "factory in garden", to provide hygienic working environment
for their employees, the factory had opened in the year 1879. The Cadbury brothers had
named it Bournville. There was a rapid increase in the work force of the company by late
1880's and the factory was expanded.

Cadbury, a brand well known and loved by millions around the world, had a very humble
beginning. It began with the opening of a grocer's shop in Ball Street, Birmingham in the year
1824 by John Cadbury. This grew to become the most recognisable brands in the world. In
most parts of the world just the word Cadbury symbolises chocolate. John who as a young
Quaker was against alcohol sold tea, coffee, cocoa and drinking chocolate at his shop at the
beginning, later he started producing cocoa and chocolate. After few years his brother
Benjamin joined and later they got a Warrant as manufacturers of chocolate and cocoa to
Queen Victoria. Later when John Cadbury retired his sons Richard and George took over the
company. They thought the company could not survive in the dirty conditions of the city and
were egger to move it out of Birmingham, they setup a factory 4 miles from the city and had
a concept in mind which was "factory in garden", to provide hygienic working environment
for their employees, the factory had opened in the year 1879. The Cadbury brothers had
named it Bournville. There was a rapid increase in the work force of the company by late
1880's and the factory was expanded.

Strengths
Cadbury is world's top most chocolate provider which has international reputation.
Cadbury is well know and easily identifiable brand among.
Cadbury is well known force in marketing and distribution strategies that is one of the
reasons for it being the world leaders of chocolate industry.
Users are assured about the qualities of the brand.
The strength of Cadbury lies in Dairy milk. Which is the most sold chocolate in Indi
Cadbury has adjusted itself to all the custom around the world according to the market.
Cadbury is a leader in innovation and has established brand name, and has strong competence
in manufacturing.
Cadbury has a advantage as it has understanding of consumer in the segment of chocolate,
candy and chewing gum.
With 9.9% of global market share Cadbury is the largest confectionery in the world.

Weaknesses
The competitors of Cadbury e.g. Nestle have a very diverse product portfolio, where as it
only depend on the confectionery and beverage market, where as its competitors can use
profits from other areas of the business.
Cadbury doesn't have great international experience like its other competitors; it has
traditionally been strong in United Kingdom Europe only. New to America, it possibly lacks
the understanding of the new emerging markets compared to competitors.

Threats
Worldwide there has been an increase in demand for cost environment, particularly for
energy, packaging, sugar and transport. Global supply chain in low cost locations.
There is competitive pressure from other brands in the market, nationally and globally. Over
aggressive promotion and price activity by its competitors - there is a possible price war in all
developed markets.
Social concerns, rise in obesity and consumer's obsession with calorie count. Nutritional and
healthier lifestyles is very much affecting demand for core products of Cadbury.

Opportunities
The opportunities lie in new markets, i.e. developing countries and emerging markets like
China, Russia, India and other Asian countries where populations are growing, the wealth of
consumer is increasing and there is a high demand for confectionery products.
The market of confectionery highly characterized by a degree of acquisition and merger
activity in recent past. There are opportunities to increase the share through specific
acquisitions.
The main key for survival in the Fast Moving Consumer Goods (FMCG) market is increasing
efficiency and cost reduction. Cadbury's Fuel in Growth and cost efficiency of programmes
seeks to bring huge cost savings by, Moving production to countries with low costs, where
the raw materials required and labour cost is cheaper, reduce internal costs and use supply
chain efficiently, global out sourcing and procurement, and wise investment in Research
&Development.
Innovation is the most important and key driver in any kind of market. To respond to variety
in consumer preferences and tastes like healthier snacks with low calories needs to be
developed.

COMPETITORS OF CADBURY
Cadbury is one of the most iconic confectionery brands in the world. The company, known
for its Dairy Milk Bar, is now a part of Mondelez International. Kraft acquired Cadbury for
$18.9 billion, combining two strong food companies before spinning off some of the
international brands as Mondelez. Together with other Mondelez brands, Cadbury is part of
the company that has the leading global market share for chocolates.

Mondelez International had strong market share positions in 2014. Its number one overall
global market position was supported by strong number one market share in the Asia-Pacific
region, Middle East/Africa region and European region. In Latin America, Mondelez ranked
second for 2014. The company's lowest market share came in North America, coming in at
number five. The company faces strong competition from many companies in North America
and around the world.

1. Mars/Wrigley’s

Mars is a recognizable name, but as a private company, it hasn't been one investors can get
behind. In 2014, Mars had a market share of 29.5% in the United States for the chocolate
market. Some of its best-known brands are M&M's, Snickers, Starburst, Twix and Skittles.

Mars was the seventh-largest private company in America in 2014, with sales of $33 billion.
The company competes in six segments: chocolate, pet care, food, Wrigley’s (gum), drinks
and symbioscience.

Along with competing against Mars for the chocolate market share, Cadbury now competes
against the giant for share in the global gum market thanks to Mars' acquisition of Wrigley's
in 2008. Mars' $23 billion acquisition gave it control of brands such as Extra, Orbit and
Eclipse, which helped produce sales of $5.4 billion prior to the sale. Cadbury has gum brands
that include Dentyne, Stride and Trident. Both companies have strong market share in a gum
market that has seen sales decline.

2. Hershey's

In 2014, Hershey's had a market share of 44% in the U.S. for the chocolate industry. The
company has many well-known brands in the U.S., including Hershey's, Reese's, Jolly
Rancher and Twizzlers. Hershey's still gets more than 80% of its annual revenue from the
North America market.

The case of Hershey's and Cadbury being rivals took a big turn due to a licensing agreement
set back in 1988. In 1988, Hershey’s paid $300 million for the rights to Cadbury’s U.S.
operations. Cadbury agreed; at the time, it saw no chance to compete against Hershey's and
Mars, which controlled a combined 70% of the market.

Hershey's caused an uproar when it sued several importers of Cadbury products from the U.S.
Hershey's uses a different recipe than the British chocolatier, and many former British
residents want the authentic version. Cadbury's chocolate in the United Kingdom lists milk as
the number one ingredient, while the American version made by Hershey’s has sugar as the
number one ingredient.

Hershey's is in a unique position, as it is both a competitor and a distributor of Cadbury


products. The long-time rights deal led many to believe that Cadbury and Hershey's would
eventually merge, but that has not been the case. Nestle and Cadbury did at one time attempt
a joint bid for Hershey's, but it ultimately fell through.

3. Nestle

Nestle is the largest food company in the world, covering many different subsectors of the
market. The company's chocolate market is one of its smallest, but it was good enough for a
5.8% market share in the U.S. Nestle has grown through many acquisitions that have given it
control of brands that include Kit Kat, Smarties and Gerber baby food.

Nestle's confectionery segment was its sixth-largest in 2014. With sales of $9.7 billion
globally, Nestle held the number three market share position. Sales of the company's
chocolate products totaled $7 billion, including $4 billion from the Americas.

Similar to its deal with Cadbury, Hershey's also licenses several brands from Nestle for U.S.
distribution rights. This includes Kit Kat and Rolo, two Nestle brands.

ABOUT THE COMPETITORS

Companies in this industry have to have a knowledge of the food industry and a finger
on the heartbeat of society in order to succeed. Companies like Cadbury and Hershey
lead the way with their specialized product lines while other companies such as Nestle
and Unilever are diversifying their products in order to reach a broader audience.
Overall, these companies excel in provide products that consumers love to buy over
and over again. In order to be successful in this industry a company must have a
premium product.
MARKET SHARE AS A COMPETITOR

cadbury V/s nestle


Introduction:
India's chocolate market is dominated by two just companies-Cadbury, which
entered the country 60 years ago and has nearly 60% market share, and Nestle,
which has about 32%. The two have prospered by luring consumers with
attractively packaged chocolate assortments to replace the traditional dried fruits
and sugar confectioneries offered as gifts on Indian holidays, and by offering
lower-priced chocolates, including bite-sized candies costing less than 3 cents.
With growth just starting to kick in, Asia is going to remain a sweet spot for
chocolate makers for years to come.

Objectives:
Corporate Objectives:
• Broadening consumer appeal and extending reach to newer markets
• Sustained growth of market share through aggressive product development
• Striving for international quality in the products and processes
• Focussing on cost competitiveness, productivity and innovative utilization of
assets

Marketing Objectives:
• Get more people to eat more chocolate, which calls for making it more
affordable and being more innovative

Advertising Objective:
Consumer focus:
• Appealing to a broader range of consumers is at the heart of the plan.
• Greater innovation in packaging & product presentation across various power
brands
Suppliers and business partners:
• Continue using Ethical Sourcing Standards when working with suppliers
• Continue to engage in regular dialogue with its suppliers and responds to their
suggestions

Situation Analysis
The chocolates market is estimated at around 33,000 tonnes valued at
approximately Rs 8.0 bn.
Cadbury is the leader in Chocolate with 70% share. It has actually become the
generic name for chocolates in India.The next closest competitor to Cadbury in
this segment is Nestle 22%. Besides that large foreign brands like Hershey’s and
local ones like ITC are trying to tread into Cadbury’s turf. Imported chocolates are
available via modern trade in higherend
segments where Cadbury’s presence is arguably weaker.

Cadbury’sStrategy:
Branding
Strategy:
Cadbury’s strategy to attract consumers is unique in a sense. Instead of focusing
on the product, it seeks to tap into emotions normally associated with chocolates.

Marketing
Strategy:
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.

Advertising
Strategy:
Television, the print media and posters have been the main media of
communication for Cadbury’s advertisements. However, with their understanding
of the peculiarities of the Indian market, Cadbury has also explored many new
ways of getting their message across to the consumers.

Nestle strategy:
BrandingStrategy:
Nestlé describes itself as a food, nutrition, health, and wellness company.
Recently they created
Nestlé Nutrition, a global business organization designed to strengthen the focus
on their core
nutrition business.

MarketingStrategy:
Cadbury’s biggest competitor, Nestle, often stresses the energy giving aspects of
chocolate, or on other attributes of the chocolate - taste in the case of Nestle
Crunch, as a light snack in the case of Nestle Bar One.
Advertising Strategy:
Television, the print media and posters have been the main media of
communication for Nestle advertisements.

Marketing Mix:
Product:
Cadbury India Limited (CIL) confectionary products include Dairy Milk, 5 Star,
Eclairs, Perk, Halls, Bytes and Gems which are the largest selling brands in their
segments.
Nestle products are Kit-Kat, Munch, Milky-bar, Charge, Classic, Polo. Kit-Kat is
their premium brand in chocolates. In Nestle, the diversification and revenues
across other segment like snacks, coffee, milk products, infant food, beverages is
higher.

Pricing:
The price charged for a chocolate bar can determine whether a consumer will buy
it and the level of sales achieved can determine. Price is also affected by factors
such as the state of the economy, what competitors are charging, the stage reached
in the products life cycle and above all what price the Indian market will bear.

Promotion:
The basic purpose of promotion and advertising by Cadbury is to make Cadbury
synonymous with chocolate and -
• Educate the market
• Build brand awareness
• Increase consumption
• Encourage seasonal purchases

Place:
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. Distribution, in the case of chocolates, is a
major deterrent to new entrants as the product has to be kept cool in summer and
also has to be adapted to suit local tropical conditions.

Customer Target:
The Chocolate market presently is close to 60mn consumers and they are mainly
located in urban areas. Cadbury's has successfully played the role of market leader
and market maker by building brands that have a large base of loyal consumers.
Cadbury had its tryst with India when it kick-started operations in 1947. Today the
brand claims a 70% share of the Indian chocolate market, despite heavy weight
competitors like Nestle and domestic giants like Amul.

Conclusion:
Thus we understood better the chocolate market in India. Cadbury’s has a very
good market share currently but will have to constantly revamp their strategies in
order to compete with the foreign brands.

INDUSTRY SWOT ANALYSIS


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%)[1] • Strong
manufacturing competence, established brand name and leader in innovation.

• Advantage that it is totally focused on chocolate, candy, chewing gum, unique


understanding of consumer in these segments.

• Successfully grown through its acquisition strategy. Recent acquisitions, including


Adams, 2003, enabled it to expand into important markets like the US market.

Weaknesses
• The company is dependent on the confectionery and beverage market, whereas other
competitors e.g. Nestle[2]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[3].

Threats
• Worldwide - there is an increasingly demanding cost environment, particularly for
energy, transport, packaging and sugar. Global supply chain in low cost locations[4].
• Competitive pressures from other branded suppliers (national and global). Aggressive
price and promotion activity by competitors - possible price wars in developed markets.

• Social changes - Rising obesity and consumers obsession with calories counting.
Nutrition and healthier lifestyles affecting demand for core Cadbury products.[5]

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.
• The confectionery market is characterized by a high degree of merger and acquisition
activity in recent years. Opportunities exist to increase share through targeted
acquisitions[6].
• Key to survival within the FMCG market is increasing efficiency and reducing costs.
Cadbury Fuel for Growth[7]and cost efficiency programmes seek to bring cost savings
by: 1) Moving production to low cost countries, where raw materials and labour is
cheaper ii) reduce internal costs - supply chain efficiency, global sourcing and
procurement, and wise investment in R&D.
• Innovation is key driver. To respond to changes in consumer tastes and preferences -
healthier snacks with lower calories need to be developed. R&D and product launches
have led to sugar-free & center filled chewing gum varieties and Cadbury premium
indulgence treat. Low-fat, organic and natural confectionery demand appears strong.

CHAPTER-3
RESEARCH
METHODOLOGY
RESEARCH OBJECTIVES

TO develop differentiated product, while exploiting a smart variety, to achieve theirprofitable


growth in confectionery and beverages. Another objective is to further take advantage of
technology in order to increasegrowth, quality and productivity.By Working together with
global supply chain Cadbury have a competitive advantagewhile attaining their ethical and
cost-reduction goals.

By competing on quality this gives Cadburys a USP that allows them to lay anemphasis on
total consumer and customer perceived value. As Cadbury have a highly motivated Global
Science & Technology Team that isadmired internally and externally for delivering superior
results
RESEARCH METHODOLOGY
Research designmethod

The goal of the research process is to collect information and use the produced knowledge to
solve our problems. The research to be conducted here will be of Exploratory and Descriptive
in nature which structures and identifies new problems. The objective of exploratory research
and descriptive research is to gather preliminary information.
Secondary data – Online Journals, Online Articles, Books, Magazines, Social Networking
Sites.
Primary data-HDFCBank officials, HDFC Bank staff
The research-type is of:

 Analytical Research, i.e. to analyze facts or information produced by someone else or


which is already available to make critical evaluation.

 Basic Research, i.e. finding information that has a broad base of applications & thus
adds to the already existing pool of knowledge.

Limitations of the Study


As learning is a human activity and is as natural, as breathing. Despite of the fact that
learning is all pervasive in our lives, psychologists do not agree on how learning takes place.
How individuals learn is a matter of interest to marketers. They want to teach consumers in
their roles as their roles as consumers. They want consumers to learn about their products,
product attributes, potential consumers benefit, how to use, maintain or even dispose of the
product and new ways of be having that will satisfy not only the consumers needs, but the
marketers objectives. The scope of my study restricts itself to the analysis of consumer
preferences, perception and consumption of Cadbury and Nestle Chocolates. There are many
other brands of chocolates available but my study is limited to two major players
of chocolates leaving behind the others. The scope of my study is also restricts itself to
Moradabad region only.
SCOPE OF THE STUDY
As learning is a human activity and is as natural, as breathing. Despite of the fact that
learning is all pervasive in our lives, psychologists do not agree on how learning takes place.
How individuals learn is a matter of interest to marketers. They want to teach consumers in
their roles as their roles as consumers. They want consumers to learn about their products,
product attributes, potential consumers benefit, how to use, maintain or even dispose of the
product and new ways of be having that will satisfy not only the consumers needs, but the
marketers objectives. The scope of my study restricts itself to the analysis of consumer
preferences, perception and consumption of Cadbury and Nestle Chocolates. There are many
other brands of chocolates available but my study is limited to two major players
of chocolates leaving behind the others. The scope of my study is also restricts itself to
Moradabad region only.
CHAPTER-4
DATA ANALYSIS
AND
INTERPRETATION
Table 4.1 The frequency of ratings as given by the respondents

Figure 4.1:Pie chart depicting the most common consumption reasons of Cadbury
Need Satisfaction

0%
18%

Yes
No

82%

82% of the total people who were surveyed agreed that cadbury fulfill all their needs while
18% respondent were not in the favor of complete satisfaction given by Cadbury products

Figure 4.2Pie chart depicting consumer preferences for chocolates


Figure 4.5 Bar graphs showing age distribution of
Cadbury’s consumers
Year Record

0% 15%
Less than 2 years
30%
between 2-5 years

More than 5 Years

55%
CHAPTER-5
RECOMMENDATI
ON
RECOMMENDATIONS

1) The retailers on their outlets do not properly place the glow signboard and the
company or distributors do not do the distribution of the boards properly.
2) Sales promotion schemes are important to influence the consumer. The retailer was
dissatisfied by the promotional schemes of the company. The distributors were not
distributing all the schemes properly to the retailer.
3) The competitor’s sales promotion schemes were not much effective but schemes
were properly distributed to the retailers.
4) The company has strong distribution channel but the retailers were not satisfied by
the services of the distributors.
5) Number of root vehicle is very less as compare to the size of the market.
The merchandising equipments distributed by the company are not being maintained properly
by the company.
CHAPTER-6
CONCLUSION
CONCLUSION

The Indian Chocolate Industry is a unique mix with extreme consumption patterns,attitudes,
beliefs, income level and spending. Understanding the consumer demandsand maintaining the
quality will be essential. Pricing is the key for Cadbury’s to maketheir product reach to every consumer
houses. Right pricing will make or break the product
Success. There’s also an immense scope for growth of chocolate industry in India,geographically as well
as in the product offering. So we think that bringing onlinesales(through Facebook) &
increasing the institutional sales(in unique way) would bringprosperity and increase the
sales of Cadbury’s as a whole again resulting in the goodwill ofthe company.Cadbury has
indeed emerged as the Market Leader in the Chocolate industry. And as a leaderembraces the
characteristic of group preference over oneself, Cadbury has practically appliedthis principle.
The marketing strategies of Cadbury has not only increased the share ofCadbury in the
Market pie, but also it has increased the very shape of the pie itself.Cadbury hit the consumer
at the place which is the key aspect of a consumerhis mind.Rather than employing
conventional or short cut sales promotion strategies, Cadbury playedthe long run by aiming at
the consumer mindset rather than the consumer wallets. And indeedit paid off.The stunning
marketing efforts is nothing short of an exceptional, out-of-the-box spectacle.In it, lies
valuable teachings for any firm aiming to take a toll in the industry, in general, anda
marketer, in particular.In the end I conclude by reaffirming the adage:
CHAPTER-7
BIBLIOGRAPHY
BIBLIOGRAPHY

WEBSITES:

WEBSITE
• www.cadbury.com
• www.cadburyindia.com
• www.cadbury.co.uk
• www.cadburyschweppes.com
• www.google.com

BOOKS & MAGAZINES


Global Marketing Management (Kiefer Lee & Steve Carter)
• A L Ries (1996), “Focus” Harper Collins Publishers Ltd.
• David A. Aaker (1991), “Managing Brand Equity”, The Free Press.
• David A. Aaker (1996) “Building Strong Brands”, The Free Press.
• Philip Kotler (Eighth Edition) “Marketing Management”, Prentice Hall of India
Ltd.
• Advertising and marketing Magazine
• The Economic Times – “Brand Equity”
• Company Literature
• Market survey and questionnaires
• Business World
• Business Today
ANNEXURE
QUESTIONNAIRE

QUESTIONNAIRE
1. Do you eat chocolates?
 Yes  No

2. Which brand of chocolates do you use?


 Cadbury’s
 Nestle
 Amul
 Others

3. Where do you buy chocolates from?


 Super stores
 Retail Stores
 Restaurants
 Movie Halls
 Others

4. Are you aware of any campaign of the above brands?


 Yes  No

5. Which cadbury’s product do you usually prefer or use?


 Dairy Milk  5 Star
 Fruit & Nut  Perk
 Temptation

6. Do you think Cadbury’s chocolate is easily available in market ?


 Yes  No

Вам также может понравиться