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Marketing Mix of CADBURY : Cadbury plc is a British confectionery company, the industry's second-largest globally after the combined Mars-Wrigley.[2] Headquartered in Cadbury House in the Uxbridge Business Park in Uxbridge, London Borough of Hillingdon, England and formerly listed on the London Stock Exchange, Cadbury was acquired by Kraft Foods in February 2010. The company was an ever-present constituent of the FTSE 100 from the index's 1984 inception until its 2010 takeover.[3][4]

The firm was known as "Cadbury Schweppes plc" from 1969 until a May 2008 demerger, which saw the separation of its global confectionery business from its U.S. beverage unit, which has been renamed Dr Pepper Snapple Group Inc.[5]


MARKETING MIX
THE TOOLS AVAILABLE TO A BUSINESS TO GAIN THE REACTION IT IS SEEKING FROM ITS TARGET MARKET IN RELATION TO ITS MARKETING OBJECTIVES. IT IS THE GENERALLY ACCEPTED AS THE USE AND SPECIFICATION OF THE “FOUR P’S” DESCRIBING THE STRATEGIC POSITION OF A PRODUCT IN THE MARKETPLACE.
PRODUCT
PRICE
PLACE
PROMOTION



PRODUCT
PRODUCT VARIANTS
CURRENTLY CADBURY INDIA OPERATES IN FOUR CATEGORIES VIZ. CHOCOLATE CONFECTIONERY, MILK FOOD DRINKS, CANDY AND GUM CATEGORY
CADBURY DAIRY MILK, 5 STAR, PERK, ÉCLAIRS AND CELEBRATIONS
CANDY CATEGORY HALLS
BUBBLE GUM BRAND BUBBALOO
BOURNVITA - THE LEADING MALTED FOOD DRINK (MFD)
PRODUCT INNOVATIONS
�� 5 STAR:
CONSUMER FEEDBACK SUGGESTED THAT THE OLD 5 STAR WAS TOO CHEWY, AND PEOPLE COMPLAINED OF IT STICKING TO THEIR TEETH. IT WAS MADE SOFTER AND MELTED EASILY IN THE MOUTH & INTRODUCED AS 5 STAR CRUNCHY
�� PERK:
PERK WAS MADE MUCH LIGHTER AND THE SIZE OF THE BAR INCREASED TO MATCH NESTLE’S MUNCH. PERK HAD BEEN UNDER FIRE FROM NESTLE’S DEADLY DUO OF KITKAT AND MUNCH, BUT AFTER THE RELAUNCH, ITS MARKETSHARE IS TWO PER CENT MORE THAN KITKAT’S. AND, THE FIVE-YEAR-OLD BRAND IS NOW ALMOST AS BIG AS THE DECADES-OLD 5 STAR IN SIZE, BOTH IN THE REGION OF RS 50-55 CRORE.

�� HEROES:
PACKAGING INNOVATION HAS PLAYED A VITAL ROLE IN REVAMPING OF VARIOUS CADBURY’S BRANDS.HEROES BRAND IS SIMPLY A MULTI-PACK WITH MINIATURES OF ALL ITS MOST POPULAR BRANDS IN A SINGLEOUTER CASE.
PACKAGING
THE PACKAGING WAS CHANGED TO INCLUDE A SEALED PLASTIC WRAPPER INSIDE THE OUTSIDE FOIL. CADBURY’S LAUNCHED A NEW 'PURITY-SEALED' PACKAGING FOR ITS FLAGSHIP PRODUCT, CADBURY DAIRY MILK. OVER THE NEXT FEW WEEKS CADBURY WILL WORK TOWARDS INTRODUCING EITHER A HEATSEALED OR A FLOW-PACK PACKAGING THAT OFFERS A HIGH LEVEL OF RESISTANCE TO INFESTATION FROM
IMPROPER STORAGE. CADBURY INVESTED NEARLY RS 25 CRORE (RS 250 MILLION) THIS YEAR ON NEW MACHINERY FOR THE IMPROVED PACKAGING.



PRICE
THE RS 5 PRICE POINT ACCOUNTS FOR MORE THAN HALF OF ALL CHOCOLATE SALES
TODAY, CADBURY HAS FOUR PRODUCTS AT THIS PRICE POINT: CDM, PERK, 5 STAR AND GEMS — AND THE FIVE-RUPEE CDM BAR IS ITS SINGLE LARGEST-SELLING SKU.
“THIS IS A POTENT PRICE POINT IN INDIA, BECAUSE THE AVERAGE PURCHASING POWER IS ABYSMALLY LOW,” IS WHAT INDUSTRY ANALYST HAVE TO SAY
VOLUME LED GROWTH STRATEGY
CADBURY HAS FOLLOWED A WELL-PLANNED STRATEGY OF FUELLING VOLUME GROWTH BY INTRODUCING SMALLER UNIT PACKS AT LOWER PRICE POINTS. SIMULTANEOUSLY, THE COMPANY SEEMS TO HAVE ASTUTELY JUGGLED WITH THE LARGER PACK SIZES AND RAISED PRICES TO A DEGREE HIGHER THAN WHAT APPEARS AT FACE.
HIRES AT KEARNEY TO CURB COSTS
CADBURY INDIA APPOINTED MANAGEMENT CONSULTANCY FIRM AT KEARNEY TO DRAW UP A STRATEGY TO CONTROL COSTS IN SEVERAL AREAS, INCLUDING SOURCING OF RAW MATERIALS AND PACKAGING.
THE CONSULTANCY FIRM WILL ALSO LOOK AT THE SOURCING OF DIRECT AND INDIRECT MATERIALS LIKE RENEGOTIATING WITH SUPPLIERS FOR LONGER TERM CONTRACTS AND VENDOR MANAGEMENT. OTHER COSTS (INDIRECT EXPENSES) LIKE TRAVEL COSTS AND HOTELS WERE ALSO BEING STUDIED.
EARNINGS SENSITIVITY FACTORS
COCOA BEAN PRICES: DOMESTIC AS WELL AS INTERNATIONAL PRICES OF KEY RAW MATERIAL - COCOA HAVE SIGNIFICANT IMPACT ON MARGINS.

EXCISE DUTIES : CHANGES IN EXCISE LEVIED ON MALT AND CHOCOLATE INFLUENCES END PRODUCT PRICES AND THEREBY VOLUME GROWTH AS WELL AS MARGINS.

CHANGES IN CUSTOM DUTIES AND FOREIGN EXCHANGE FLUCTUATION: AS 20% OF RAW MATERIAL IS IMPORTED, CHANGES IN CUSTOM DUTIES & FOREIGN EXCHANGE FLUCTUATIONS HAVE SIGNIFICANT IMPACT ON THE FINAL COST OF THE PRODUCT.

COMPETITION FROM MNCS LIKE NESTLE AS WELL AS IMPORTED BRANDS. INCREASING COMPETITION PUTS PRESSURE ON ADVERTISEMENT BUDGET AND MARGINS. HOWEVER ON THE POSITIVE SIDE, IT HELPS IN EXPANDING THE MARKET.
PLACE
PLANT LOCATIONS
IN INDIA, CADBURY BEGAN ITS OPERATIONS IN 1948 BY IMPORTING CHOCOLATES. AFTER 60 YEARS OF EXISTENCE, IT TODAY HAS FIVE COMPANY-OWNED MANUFACTURING FACILITIES AT THANE, INDURI (PUNE) AND MALANPUR (GWALIOR), BANGALORE AND BADDI (HIMACHAL PRADESH) AND 4 SALES OFFICES (NEW DELHI, MUMBAI, KOLKOTA AND CHENNAI). THE CORPORATE OFFICE IS IN MUMBAI.THESE FACTORIES CHURN OUT CLOSE TO 8,000 TONNES OF CHOCOLATE ANNUALLY
DISTRIBUTION
CHOCOLATE NEEDS TO BE DISTRIBUTED DIRECTLY, UNLIKE OTHER FMCG PRODUCTS LIKE SOAPS AND
DETERGENTS, WHICH CAN BE SOLD THROUGH A WHOLESALE NETWORK. 90% OF CHOCOLATE PRODUCTS ARE SOLD
DIRECTLY TO RETAILERS.
CADBURY'S DISTRIBUTION NETWORK USED TO ENCOMPASSES 2100 DISTRIBUTORS AND 450,000 RETAILERS
TO AVOID CANNIBALIZATION OF ITS HIGHER PRICED PRODUCTS FROM LOWER PRICED ONES, CADBURY IS
SETTING UP TWO SEPARATE DISTRIBUTION CHANNELS – ONE FOR CORE BUSINESS & OTHER FOR MASS MARKETS
NATURE OF RETAIL OUTLET
CHOCOLATES ARE PRIMARILY SOLD THROUGH KIRANA STORES, GIFT STORES, MEDICAL STORES, CANTEENS,
PAN-BIDI STORES, BAKERIES, SWEET SHOPS ETC. THIS IS TRUE FOR CHOCOLATES ALSO. THE SPACE ALLOCATED FOR
THE CHOCOLATES WAS LESS WHEN COMPARED TO THE TOTAL AREA OF THE SHOP. OF THE SPACE ALLOCATED FOR
CHOCOLATES, CADBURY BRANDS OCCUPIED MORE THAN NESTLE BRANDS.
PROMOTION
ADVERTISEMENTS
THE ADVERTISEMENT AIMED AT CONVEYING THE IDEA THAT NO SPECIFIC OCCASION IS REQUIRED FOR CONSUMING CDM

CELEBRITIES ENDORSEMENTS

CADBURY ROPED IN PREITY ZINTA FOR ITS PERK BRAND. PREITY ZINTA’S ANGELIC DIMPLES LAID THE
FOUNDATION FOR WHAT WOULD BECOME THE INDIAN TEENAGER’S FAVORITE SNACK. AFTER THIS CAMPAIGN,
PERK’S SALE SURGED

THE BIG ‘B’ FACTOR
THE BIG FACTOR THAT HAS PUSHED UP CDM SALES IS THE AMITABH BACHCHAN CAMPAIGN. CADBURY APPOINTED AMITABH BACHCHAN AS ITS BRAND AMBASSADOR
CHOCOLATE ADS SHIFT FOCUS FROM KIDS TO YOUTH
INDIAN CHOCOLATE MARKET IS ALMOST TOTALLY DEPENDED ON PURCHASES OF KIDS.
WHILE CADBURY IS TRYING TO SELL INDULGENCE TO ADULTS, KIT KAT IS SELLING 'RITUALISTIC' BREAK TO
TEENAGERS/ YOUNG ADULTS. THIS IS REFLECTED IN THE CHANGING ADVERTISING PATTERNS ACROSS DIFFERENT
CHANNELS.
 
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Marketing Mix of CADBURY : Cadbury plc is a British confectionery company, the industry's second-largest globally after the combined Mars-Wrigley.[2] Headquartered in Cadbury House in the Uxbridge Business Park in Uxbridge, London Borough of Hillingdon, England and formerly listed on the London Stock Exchange, Cadbury was acquired by Kraft Foods in February 2010. The company was an ever-present constituent of the FTSE 100 from the index's 1984 inception until its 2010 takeover.[3][4]

The firm was known as "Cadbury Schweppes plc" from 1969 until a May 2008 demerger, which saw the separation of its global confectionery business from its U.S. beverage unit, which has been renamed Dr Pepper Snapple Group Inc.[5]


MARKETING MIX
THE TOOLS AVAILABLE TO A BUSINESS TO GAIN THE REACTION IT IS SEEKING FROM ITS TARGET MARKET IN RELATION TO ITS MARKETING OBJECTIVES. IT IS THE GENERALLY ACCEPTED AS THE USE AND SPECIFICATION OF THE “FOUR P’S” DESCRIBING THE STRATEGIC POSITION OF A PRODUCT IN THE MARKETPLACE.
PRODUCT
PRICE
PLACE
PROMOTION



PRODUCT
PRODUCT VARIANTS
CURRENTLY CADBURY INDIA OPERATES IN FOUR CATEGORIES VIZ. CHOCOLATE CONFECTIONERY, MILK FOOD DRINKS, CANDY AND GUM CATEGORY
CADBURY DAIRY MILK, 5 STAR, PERK, ÉCLAIRS AND CELEBRATIONS
CANDY CATEGORY HALLS
BUBBLE GUM BRAND BUBBALOO
BOURNVITA - THE LEADING MALTED FOOD DRINK (MFD)
PRODUCT INNOVATIONS
�� 5 STAR:
CONSUMER FEEDBACK SUGGESTED THAT THE OLD 5 STAR WAS TOO CHEWY, AND PEOPLE COMPLAINED OF IT STICKING TO THEIR TEETH. IT WAS MADE SOFTER AND MELTED EASILY IN THE MOUTH & INTRODUCED AS 5 STAR CRUNCHY
�� PERK:
PERK WAS MADE MUCH LIGHTER AND THE SIZE OF THE BAR INCREASED TO MATCH NESTLE’S MUNCH. PERK HAD BEEN UNDER FIRE FROM NESTLE’S DEADLY DUO OF KITKAT AND MUNCH, BUT AFTER THE RELAUNCH, ITS MARKETSHARE IS TWO PER CENT MORE THAN KITKAT’S. AND, THE FIVE-YEAR-OLD BRAND IS NOW ALMOST AS BIG AS THE DECADES-OLD 5 STAR IN SIZE, BOTH IN THE REGION OF RS 50-55 CRORE.

�� HEROES:
PACKAGING INNOVATION HAS PLAYED A VITAL ROLE IN REVAMPING OF VARIOUS CADBURY’S BRANDS.HEROES BRAND IS SIMPLY A MULTI-PACK WITH MINIATURES OF ALL ITS MOST POPULAR BRANDS IN A SINGLEOUTER CASE.
PACKAGING
THE PACKAGING WAS CHANGED TO INCLUDE A SEALED PLASTIC WRAPPER INSIDE THE OUTSIDE FOIL. CADBURY’S LAUNCHED A NEW 'PURITY-SEALED' PACKAGING FOR ITS FLAGSHIP PRODUCT, CADBURY DAIRY MILK. OVER THE NEXT FEW WEEKS CADBURY WILL WORK TOWARDS INTRODUCING EITHER A HEATSEALED OR A FLOW-PACK PACKAGING THAT OFFERS A HIGH LEVEL OF RESISTANCE TO INFESTATION FROM
IMPROPER STORAGE. CADBURY INVESTED NEARLY RS 25 CRORE (RS 250 MILLION) THIS YEAR ON NEW MACHINERY FOR THE IMPROVED PACKAGING.



PRICE
THE RS 5 PRICE POINT ACCOUNTS FOR MORE THAN HALF OF ALL CHOCOLATE SALES
TODAY, CADBURY HAS FOUR PRODUCTS AT THIS PRICE POINT: CDM, PERK, 5 STAR AND GEMS — AND THE FIVE-RUPEE CDM BAR IS ITS SINGLE LARGEST-SELLING SKU.
“THIS IS A POTENT PRICE POINT IN INDIA, BECAUSE THE AVERAGE PURCHASING POWER IS ABYSMALLY LOW,” IS WHAT INDUSTRY ANALYST HAVE TO SAY
VOLUME LED GROWTH STRATEGY
CADBURY HAS FOLLOWED A WELL-PLANNED STRATEGY OF FUELLING VOLUME GROWTH BY INTRODUCING SMALLER UNIT PACKS AT LOWER PRICE POINTS. SIMULTANEOUSLY, THE COMPANY SEEMS TO HAVE ASTUTELY JUGGLED WITH THE LARGER PACK SIZES AND RAISED PRICES TO A DEGREE HIGHER THAN WHAT APPEARS AT FACE.
HIRES AT KEARNEY TO CURB COSTS
CADBURY INDIA APPOINTED MANAGEMENT CONSULTANCY FIRM AT KEARNEY TO DRAW UP A STRATEGY TO CONTROL COSTS IN SEVERAL AREAS, INCLUDING SOURCING OF RAW MATERIALS AND PACKAGING.
THE CONSULTANCY FIRM WILL ALSO LOOK AT THE SOURCING OF DIRECT AND INDIRECT MATERIALS LIKE RENEGOTIATING WITH SUPPLIERS FOR LONGER TERM CONTRACTS AND VENDOR MANAGEMENT. OTHER COSTS (INDIRECT EXPENSES) LIKE TRAVEL COSTS AND HOTELS WERE ALSO BEING STUDIED.
EARNINGS SENSITIVITY FACTORS
COCOA BEAN PRICES: DOMESTIC AS WELL AS INTERNATIONAL PRICES OF KEY RAW MATERIAL - COCOA HAVE SIGNIFICANT IMPACT ON MARGINS.

EXCISE DUTIES : CHANGES IN EXCISE LEVIED ON MALT AND CHOCOLATE INFLUENCES END PRODUCT PRICES AND THEREBY VOLUME GROWTH AS WELL AS MARGINS.

CHANGES IN CUSTOM DUTIES AND FOREIGN EXCHANGE FLUCTUATION: AS 20% OF RAW MATERIAL IS IMPORTED, CHANGES IN CUSTOM DUTIES & FOREIGN EXCHANGE FLUCTUATIONS HAVE SIGNIFICANT IMPACT ON THE FINAL COST OF THE PRODUCT.

COMPETITION FROM MNCS LIKE NESTLE AS WELL AS IMPORTED BRANDS. INCREASING COMPETITION PUTS PRESSURE ON ADVERTISEMENT BUDGET AND MARGINS. HOWEVER ON THE POSITIVE SIDE, IT HELPS IN EXPANDING THE MARKET.
PLACE
PLANT LOCATIONS
IN INDIA, CADBURY BEGAN ITS OPERATIONS IN 1948 BY IMPORTING CHOCOLATES. AFTER 60 YEARS OF EXISTENCE, IT TODAY HAS FIVE COMPANY-OWNED MANUFACTURING FACILITIES AT THANE, INDURI (PUNE) AND MALANPUR (GWALIOR), BANGALORE AND BADDI (HIMACHAL PRADESH) AND 4 SALES OFFICES (NEW DELHI, MUMBAI, KOLKOTA AND CHENNAI). THE CORPORATE OFFICE IS IN MUMBAI.THESE FACTORIES CHURN OUT CLOSE TO 8,000 TONNES OF CHOCOLATE ANNUALLY
DISTRIBUTION
CHOCOLATE NEEDS TO BE DISTRIBUTED DIRECTLY, UNLIKE OTHER FMCG PRODUCTS LIKE SOAPS AND
DETERGENTS, WHICH CAN BE SOLD THROUGH A WHOLESALE NETWORK. 90% OF CHOCOLATE PRODUCTS ARE SOLD
DIRECTLY TO RETAILERS.
CADBURY'S DISTRIBUTION NETWORK USED TO ENCOMPASSES 2100 DISTRIBUTORS AND 450,000 RETAILERS
TO AVOID CANNIBALIZATION OF ITS HIGHER PRICED PRODUCTS FROM LOWER PRICED ONES, CADBURY IS
SETTING UP TWO SEPARATE DISTRIBUTION CHANNELS – ONE FOR CORE BUSINESS & OTHER FOR MASS MARKETS
NATURE OF RETAIL OUTLET
CHOCOLATES ARE PRIMARILY SOLD THROUGH KIRANA STORES, GIFT STORES, MEDICAL STORES, CANTEENS,
PAN-BIDI STORES, BAKERIES, SWEET SHOPS ETC. THIS IS TRUE FOR CHOCOLATES ALSO. THE SPACE ALLOCATED FOR
THE CHOCOLATES WAS LESS WHEN COMPARED TO THE TOTAL AREA OF THE SHOP. OF THE SPACE ALLOCATED FOR
CHOCOLATES, CADBURY BRANDS OCCUPIED MORE THAN NESTLE BRANDS.
PROMOTION
ADVERTISEMENTS
THE ADVERTISEMENT AIMED AT CONVEYING THE IDEA THAT NO SPECIFIC OCCASION IS REQUIRED FOR CONSUMING CDM

CELEBRITIES ENDORSEMENTS

CADBURY ROPED IN PREITY ZINTA FOR ITS PERK BRAND. PREITY ZINTA’S ANGELIC DIMPLES LAID THE
FOUNDATION FOR WHAT WOULD BECOME THE INDIAN TEENAGER’S FAVORITE SNACK. AFTER THIS CAMPAIGN,
PERK’S SALE SURGED

THE BIG ‘B’ FACTOR
THE BIG FACTOR THAT HAS PUSHED UP CDM SALES IS THE AMITABH BACHCHAN CAMPAIGN. CADBURY APPOINTED AMITABH BACHCHAN AS ITS BRAND AMBASSADOR
CHOCOLATE ADS SHIFT FOCUS FROM KIDS TO YOUTH
INDIAN CHOCOLATE MARKET IS ALMOST TOTALLY DEPENDED ON PURCHASES OF KIDS.
WHILE CADBURY IS TRYING TO SELL INDULGENCE TO ADULTS, KIT KAT IS SELLING 'RITUALISTIC' BREAK TO
TEENAGERS/ YOUNG ADULTS. THIS IS REFLECTED IN THE CHANGING ADVERTISING PATTERNS ACROSS DIFFERENT
CHANNELS.

Hey abhi, i would like to tell you that you are doing very nice work and i really appreciate it. Well, i have also got some important information on CADBURY and would like to share it with you which would help many people here.
 

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