cadbury marketingstretegy

8/9/2019 Cadbury Marketingstretegy

1/25

A Marketing Strategy template on Cadbury Chocolate

A Template of marketing strategy-

An overview for

Submitted to-Prof. itendra Sharma

Prepared by!Chetan Panara

"ishal Soni

ay Akhani

#cellon $nstitute-School of %usiness Page &


2/25


#cellon $nstitute-School of %usiness Page '


3/25


OVERVIEW OF MARKET ANALYSIS*

• CHARACTERISTICS• SALES POTENTIAL• SHARE ESTIMATE• PROFIT FROM SERVING

Driving Forces and Implications for the Company in Order of Magnitude of Effect

#cellon $nstitute-School of %usiness Page


4/25


1. Driving Force: implication impact!

A"#$%ti&$m$nt Inc%$a&$ in &al$&

2. Driving Force: implication impact !

C'ocolat$ a& "$&i%$ C%$at$ n$$"&

!. Driving Force ! implication impact:

(%an" Nam$ Top o) t'$ min" %$call

". Driving Force: implication impact:

(%an" am a&&a"o%& Inc%$a&$ %an" a+a%$n$&&Inc%$a&$ %an" $,-it.

Inc%$a&$ &al$&

/0 Driving Force: implication impact:1i&t%i -tion A#aila ilit.



5/25


Mar#et $nalysisW$ 'a#$ al%$a". compl$t$" t'$ )i%&t l$#$l o) anal.&i& in i"$nti).in2 t'$ "%i#in2 )o%c$& t'at l$a" to c'an2$& ino-% in"-&t%.0

T'$ n$3t &t$p i& to anal.4$ in"i#i"-al con&-m$%& 5in"i#i"-al&6 an" o%2ani4ation&7 an" to &$t o-t o-% p%ima%.

an" &$con"a%. &$2m$nt& o% ta%2$t ma%8$t&0

Customer %eed $nalysis

&ey Customer 'roups Customer %eeds

90 C'il"%$n 90 1$&i%$ )o% C'ocolat$

:0 Yo-t' :0 Gi)t

;0 (:( ;0 R$#$n-$ 2$n$%ation

51i&t%i -t$%6 W'ol$&al$%6 R$tail$% an"All t.p$ o) c'ann$l m$m $%&7

4. Parents 4.Care of own children

50 Ol" a2$ /0 A)t$% 'a#in2 l-nc' o% "inn$% a& &+$$t

#cellon $nstitute-School of %usiness Page (


6/25


(roduct )ervice $nalysis

(roduct )ervice *enefit

90 C'ocolat$ 90 Ta&t.

:0 Sati&)acto%.

;0 H$alt'. 5In &om$ ca&$&7

+arget )egments on Order of (riority

No+ matc' t'$ n$$"& o) t'$ c-&tom$% &$2m$nt& +it' t'$ $n$)it& o) t'$ p%o"-ct &$%#ic$0

(rime Mar#et: ,outh

)econdary Mar#et: Child

+ertiary Mar#et: Entire family

(eripheral Mar#et: -eplacement of s eet

1$&c%i $ t'$ c'a%act$%i&tic o) t'$ ta%2$t 2%o-p& in a littl$ mo%$ "$tail in o%"$% to -n"$%&tan" t'$ &cop$o) t'$ ma%8$t&!

+arget 'roup: (rimary Mar#etC'a%act$%i&tic&!

• In)l-$nc$ . a"#$%ti&$m$nt• Fa&'ion


7/25


)hare Estimate: $ccording to us share of this segment should /e around "0 in total sales

+arget 'roup: )econdary Mar#et:C'a%act$%i&tic&!

• Inc%$a&$" in)l-$nc$ on p-%c'a&$ o#$% t'$ p$%io" o) tim$• Emotion on"in2 +it' )amil.

Sal$& Pot$ntial! C'ocolat$ +a& an" +ill $ al+a.& a )i%&t "$&i%$ )o% an. c'il"%$n &o t'$%$ +ill $ no "o- t on t'$ &al$&

pot$ntial o) t'i& &$2m$nt

S'a%$ E&timat$!• :/?

+arget Mar#et: +ertiary Mar#et: Family

C'a%act$%i&tic&!• To )-l)ill c'il"%$n & n$$"• To &'o+ ca%$ )o% c'il"%$n to t'$ +o%l" an" to inc%$a&$ t'$i% ima2$ in t'$ p- lic plac$&

Sal$& Pot$ntial!(i22$&t &a. on &p$n"in2 o) incom$Cont%ol o#$% t'$ incom$

S'a%$ E&timat$!9B?

+arget Mar#et: (eripheralMar#etC'a%act$%i&tic&!Po&itionin2 )%om compan. a& &+$$t %$plac$%=&$ a& 2i)t in&t$a" o) &+$$t& on occa&ion& li8$ 1i+ali6 Ra8&'a an"'an6 $tc

Sal$& Pot$ntial!In"ia a& S+$$t )%i$n"l. nation

N-m $% o) occa&ion& to c$l$ %at$ an" 2i#$ 2i)t

S'a%$ E&timat$!9;?



8/25


-esearch

In)o%mation i& not al+a.& a#aila l$ )%om &$con"a%. &o-%c$& -t onl. )%om p%ima%. &o-%c$&0 A li&t o)n$$"& +it' co&t $&timat$& ma. i"$nti). 2ap&0

Information %eeded )ource Cost

90 C'oic$ o) %an" am a&&a"o% T'$ KPMG G%o-p /o lac&

:0 Ro-t$ map )o% t'$ &al$& t$am T'$ KPMG G%o-p ;@ Lac&

Competitive $nalysis

T'$ )i%&t &t$p i& to i"$nti). t'$ comp$tition an" anal.4$ t'$i% &t%$n2t'& an" +$a8n$&&0

Competitor )trength ea#ness

90%estle St%on2 %an" $,-it. in Hi2' p%ic$6 Lo+ c-&tom$% a&$ 'i2' cla&& ma%8$t

:0 P%octo% St%on2 %an" $,-it. I lo+ ma%8$t Lo+ "i&t%i -tion an" lo+,-alit.

;0 Am-l St%on2 %an" lo.alt. o) compan. &till not a national pla.$%

#cellon $nstitute-School of %usiness Page )


9/25


Competitive (rice $nalysis

(riceComp$tito% P%o"-ct S$%#ic$

N$&tl$ Hi2' p%ic$

P%octo% Lo+ p%ic$

Am-l Sam$ p%ic$

#cellon $nstitute-School of %usiness Page *


10/25


Competitive $nalysis

+ey Success ,actor estle Amul Proctor

P%o"-ct S$%#ic$ O))$%in2 '

P%o"-ct S$%#ic$

P%o"-ct S$%#ic$ D-alit.Co&t

/ /

Mana2$m$nt Ma%8$tin2 / / '

S8ill& Ma%8$tin2 E))o%t ' '

T$c'nolo2. / '

Sal$& Fo%c$ 1i&t%i -tion ' / '

P%icin2 Man-)act-%in2 ' '

Financial St%$n2t' / / '

Location ' '

P%omotion A"#$%ti&in2

+otal ( '0

#cellon $nstitute-School of %usiness Page &1


11/25

Organi3ational $nalysisT'i& i& t'$ int$%nal &it-ation anal.&i&0 W$ n$$" to 8no+ o-% int$%nal &t%$n2t'& an" +$a8n$&&$& an" +'$%$ +$&tan" in t$%m& o) $in2 a l$ to comp$t$ $))$cti#$l. in t'$ ma%8$tplac$0 W$ al&o n$$" to 8no+ o-% capacit. tota8$ a"#anta2$ o) oppo%t-niti$&0

To &ta%t +it'6 a li&tin2 o) t'$ pa&t )i#$ .$a%& p$%)o%manc$ p%o#i"$& t'$ &8$tc' o) t'$ pa&t &-cc$&&$&0

Evaluators

alance Sheet of Cadbury India ------------------- in Rs. Cr. -------------------

Dec '09 Dec '08 Dec '07 Dec '06 Dec '0

12 mths 12 mths 12 mths 12 mths 12 mths

ources !f "unds

otal Share Capital 31.07 32.18 33.20 34.36 35.71

!"it# Share Capital 31.07 32.18 33.20 34.36 35.71

hare $pplication %one# 0.00 0.00 0.00 0.00 0.00

reference Share Capital 0.00 0.00 0.00 0.00 0.00

&eser'es 4((.73 432.22 372.(4 357.73 3(8.10

&e'al"ation &eser'es 0.00 0.00 0.00 0.00 0.00

et$orth %0.80 &6&.&0 &06. & %9(.09 &%%.8

ec"red )oans 2.28 32.02 1.28 3.26 3.71

nsec"red )oans (.8( (.68 7.48 6.75 4.51otal Debt (. 7 & .70 8.76 0.0 8.((

otal *iabilities &(.97 06. 0 & &.90 &0(. 0 &&(.0%

Dec '09 Dec '08 Dec '07 Dec '06 Dec '0

12 mths 12 mths 12 mths 12 mths 12 mths

,,lication !f "unds

ross ,loc- 724.75 586.(4 544.77 430.21 3(5.50

ess $cc"m. /epreciation 372.0( 335.55 2((.18 265.13 234.88

et Bloc % (.66 ( .%9 (& . 9 6 .08 60.6(

apital or- in Pro ress 152.53 123.86 25.58 82.18 2(.55

n est/ents 8.0 (.9( (98.&9 ( %.&( ( 8.(

n'entories 1((.82 222.81 151.02 122.08 102.33

"ndr# /e tors 31.0( 1(.67 13.14 11.37 10.68

ash and ,an- ,alance 271.50 26(.5( 8.(0 11.20 18.40

otal C"rrent $ssets 502.41 512.07 173.06 144.65 131.41

oans and $d'ances 74.20 6(.82 72.34 44.27 53.3(

i ed /eposits 0.00 0.00 0.62 0.62 0.00

otal C$ )oans $d'ances 576.61 581.8( 246.02 18(.54 184.80


12/25

ffered Credit 0.00 0.00 0.00 0.00 0.00

"rrent )ia ilities 534.02 433.56 370.8( 275.84 205.0(

ro'isions 22.83 20.40 2(.(1 25.(6 13.41

otal C) Pro'isions 556.85 453.(6 400.80 301.80 218.50

et Current +ssets 9.76 (7.9% - &.78 - (.(6 -%%.70

%iscellaneo"s penses 0.00 0.00 0.00 13.68 27.35

). .O.+. $nalysis

T'$ ,-ic8$&t +a. to 2$t to a ,-alitati#$ a&&$&&m$nt o) t'$ compan. i& #ia t'$ &t%$n2t'6 +$a8n$&&6oppo%t-nit. an" t'%$at anal.&i& 5S0W0O0T070

trengths

Maintain a stable growth of a company23ith its brand name2 Cadbury could counterattack the competitors.+eep up with the 4nancial strength by increasing its sales and pro4t.Ac5uisition rules in 6+2 reduce its dependence on the 6+ market.7verall2 Cadbury has been successful through the new products 8development9 it has

to o:er.

Weakness

3eak position in the 6S market.

;ack of distribution network.

Total ,rench production of chocolate bars and confectionary has slowed down in

more recent years2 partly due to the economic slump.

Consumption of chocolate products2 fall in demand due to the gloomy economic

situation.

Sales of milk chocolate bars2 which account for '/ per cent by volume of total sales

of chocolate bars2 decreased by .0 per cent.

Opportunities

Through its confectionary product line2 to build viable positions in prioriti

?evelop @ourmet ;ine.

%esides developing the ;ow CalorieB line of chocolates and sweets2 they also o:er

the Sugar ,reeB sweets line.

Therefore in order to get the product into a new foreign market2 ,rance2 Cadbury

would have good opportunities in store for them.


13/25

Threats

The company should take note of the changes in the consumer s buying trend.

Price wars would occur between its competitors like Mars2 Dershey and estle.

There would be seasonal sales slumps all year round which will reEect to an increase

in cost of the raw materials needed.

Cadbury would then have to be prepared for growth of small local gourmet

chocolates and regional candy manufacturers.

Also to be aware of the cost of packaging materials as it has increased over time.

$ncrease Marketing and Promotion globally by marketing products in emerging

markets.


14/25

Identification of theCompany4s Competitive $dvantage

Comp$titi#$ A"#anta2$& 5c-%%$nt7

Inno#ation i& at t'$ '$a%t o) c%$atin2 %an"& p$opl$ lo#$0 Ca" -%. & in#$&tm$nt in t$c'nolo2. o) ta&t$6)la#o%6 pac8a2in26 p%oc$&& "$#$lopm$nt an" n-t%ition 'a& n$#$% $$n 2%$at$%0 Ca" -%. i& &-ppo%tin2 o-%

%an"& +it' inno#ati#$ app%oac'$& to ma%8$tin2 an" a"#$%ti&in20

• Scal$ o) p%o"-ction• 1i&t%i -tion c'ann$l• Lo.al a&$ o) c-&tom$%&

Comp$titi#$ A"#anta2$& 5to $ "$#$lop$"7

• S$2m$ntation on t'$ a&i& o) incom$ o) t'$ p$opl$ in t$%m& o) %an"in2• Pac8a2in2• A#aila ilit. in t'$ %-%al a%$a&

Issues that the Organi3ation %eedsto $ddress *ased on the )ituation $nalysis

90 C%$at$ p%o"-ct on t'$ a&i& o) t'$ comp$tito%& :0 C-&tomi4$ p%o"-ct& on t'$ a&i& o) p%o"-ct po%t)olio t'$ nation&

;0 Hi2'$&t R 1 pla.$% -t &till n$$" to $ con&i&t$nt a& N$&tl$0


15/25


16/25

Mission

Ca" -%. & m$an& ,-alit.! t'i& i& o-% p%omi&$0 O-% %$p-tation i& -ilt -pon ,-alit.! O-% commitm$nt tocontin-o-& imp%o#$m$nt +ill $n&-%$ t'at o-% p%omi&$ i& "$li#$%$"

O/5ectives

Overall Company O/5ectives:1. G%o+ &'a%$'ol"$% #al-$ o#$% t'$ lon2 t$%m :0 ?eliver superior shareholderreturnsB

;0 To "$li#$% &-p$%io% &'a%$'ol"$% %$t-%n& . >0 To ma8$ lot& o) c'ocolat$ %$ali4in2 o-% #i&ion to t'$ +o%l" & i22$&t an" $&t con)$ction$%. compan.0 0

/0 Improve the quality of their chocolate

Mar#eting O/5ectives:1. To 'a#$ o))$%in2& in :0 Ca" -%. in $#$%. poc8$t$#$%. cat$2o%. to +i"$n t'$ma%8$t

;0 Ma%8$tin2 &t%at$2. i& aim$" at >0 P%o)ita ilit. O $cti#$ac'i$#in2 t'i& #i&ion . 2%o+in2 t'$ma%8$t


17/25

Financial O/5ectives:

90 To ac'i$#$ t'$ 'i2'$% ROE in $#$%. )inancial .$a% :0 To p%o#i"$ ma3im-m $n$)it& to t'$ &'a%$ 'ol"$%

;0 To $com$ mo&t t%an&pa%$nt )inancial compan. >0 To inc%$a&$ t'$ con&i&t$nt ca&' in)lo+ )o% it& &ta8$ 'ol"$%&

)trategy

T'$ )i%&t t'in2 to "o i& to anal.4$ t'$ option& an" "$ci"$ +'$%$ t'$ &t%at$2. i& '$a"in20 In a 2$n$%al +a.6 t'$%$a%$ )o-% "i%$ction&!

C-%%$nt P%o"-ct S$%#ic$ N$+ P%o"-ct S$%#ic$P%$&$nt Ma%8$t I II

N$+ Ma%8$t III IV

(enetrations 5Ri&8 oppo%t-niti$& in D-a"%ant I7Ca" -%.& +a& to -&$ ma%8$t p$n$t%ation )o% t'$i% p%o"-ct6 I )$$l t'i& +o-l" not '$lp at all a& t'$ c-%%$nt p%o"-ctt'$. 'a#$ o-t in t'$ ma%8$t +'ic' i& t'$ (%-nc' a%6 i& not "oin2 #$%. +$ll an" p$opl$ +o-l" not -. it6 &o I )$$lt'i& +o-l" $ t'$ +o%&t option to c'oo&$0

(roduct Development 6 Ri&8 oppo%t-niti$& in D-a"%ant II7Ca" -%.& +a& to -&$ p%o"-ct "$#$lopm$nt )o% t'$i% p%o"-ct I )$$l t'i& co-l" po&&i l. $ &-cc$&&)-l6 alt'o-2'a)t$% t'$ )ail-%$ o) t'$i% p%$#io-& p%o"-ct p$opl$ ma. not -. t'$i% n$+ p%o"-ct0

Mar#et Development 6 Ri&8 oppo%t-niti$& in D-a"%ant III7Ca" -%.& +a& to -&$ ma%8$t "$#$lopm$nt I )$$l t'at a2ain t'$%$ co-l" po&&i l. $ a c'anc$ o) &-cc$&&6 a& t'$.ma. 'a#$ aim$" t'$i% p%$#io-& p%o"-ct at t'$ +%on2 ma%8$t6 alt'o-2' p$opl$ )%om t'$ n$+ ma%8$t ma. al&o not

$ 8$$n to -. t'$i% p%o"-ct0

Diversification 6 Ri&8 oppo%t-niti$& in D-a"%ant III7It i& cl$a% t'at i) Ca" -%.& +a& to -&$ "i#$%&i)ication an" aim a n$+ p%o"-ct at a n$+ ma%8$t6 t'$%$ +o-l" $ a

'i2' c'anc$ o) &-cc$&& a& lon2 a& t'$ n$+ p%o"-ct +a& to m$$t c-&tom$% n$$"&6 +'ic' can $ "on$ t'%o-2'$3t$n&i#$ ma%8$t %$&$a%c' to '$lp 2at'$% an i"$a o) p$opl$ +'o +o-l" %$2-la%l. p-%c'a&$ t'$i% p%o"-ct


18/25

+he Choices

Ma%8$tin2 &t%at$2i$& a%$ &tat$m$nt& o) t'$ "i%$ction o) t'$ compan. & ma%8$tin2 $))o%t0 Fo-%c'oic$& m-&t $ ma"$ 9!

90 T'$ c'o&$n ma%8$t an" ta%2$t &$2m$nt&0

• Yo-t'• C'il"• Enti%$ Famil.• R$plac$m$nt o) S+$$t

:0 T'$ ma%8$t po&ition an" #al-$ p%o#i"$" to t'$ &$l$ct$" ma%8$t0

• A"#$%ti&$m$nt %$lat$" to all ta%2$t &$2m$nt• =&$ o) 'oli&tic comm-nication &t%at$2.

;0 T'$ "i&t%i -tion c'ann$l& to $ -&$" to %$ac' t'$ ma%8$t0

1i&t%i -tion C'ocolat$ n$$"& to $ "i&t%i -t$" "i%$ctl.6 -nli8$ ot'$% )mc2 p%o"-ct& li8$ &oap& an"

• 1$t$%2$nt&6 +'ic' can $ &ol" t'%o-2' +'ol$&al$ n$t+o%80 J@? o) c'ocolat$ p%o"-ct& a%$&ol"

• 1i%$ctl. to %$tail$%&0• Ca" -%. & "i&t%i -tion n$t+o%8 -&$" to $ncompa&&$& :9@@ "i&t%i -to%& an" >/@6@@@

%$tail$%& To a#oi" canni ali4ation o) it& 'i2'$% p%ic$" p%o"-ct& )%om lo+$% p%ic$" on$&6 Ca" -%. i& S$ttin2 -p t+o &$pa%at$ "i&t%i -tion c'ann$l& on$ )o% co%$ -&in$&& ot'$% )o% ma&&ma%8$t&

>0 A li&t o) t'$ acti#iti$& to $ -n"$%ta8$n in o%"$% to &-ppo%t t'$ "i%$ction ta8$n0

T%a"$ p%omotion&R$tail$%& conn$ction p%o2%amA"#$%ti&$m$nt& to ac'i$#$ t'$ &al$&


19/25

)tatement of Investments%eeded to Implementthe )trategy

90 Capital )-n"&R 1! /@@ C%0 N$3t / .$a% A"#$%ti&$m$nt

o TVC&! :@ C%0 N$3t .$a% o P%int! 9@ C%0 N$3t .$a% o Ra"io! : C%0 N$3t Y$a%

Spon&o%&'ip o) t'$ $#$nt&!; C%0 N$3t Y$a% 1i&t%i -tion c'ann$l m$m $%!9:@ C%0 N$3t .$a% $nti%$ In"ia 5inc$nti#$&6 p%omotional o))$%$tc07

:0 H-man capitalR 1 T$am! ;@ p$opl$A"#$%ti&$m$nt! 9@ p$opl$E#$nt& T$am&! 9@ p$opl$1i&t%i -tion C'ann$l! :@@@ p$opl$

;0 E3p$n&$&T%an&po%tation! /@ C%0

TA6 1A6 HRA an" ot'$% p$%8&! ;@ C%0Mi&c$llan$o-& E3p$n&$&! :@ C%0

O%2ani4ational St%-ct-%$ to Ca%%. O-t St%at$2.


20/25


21/25


22/25

$ction %eeded to Create a Mar#et )trategy )upported Culture

90 A"#$%ti&$m$nt acco%"in2 to t'$ 8$$pin2 c-lt-%al a&p$ct in min"

:0 Si2nin2 %an" am a&&a"o% a& p$% t'$ min" &pac$& o) t'$ In"ian con&-m$%0

;0 Ta%2$t t'$ %-%al ma%8$t o) t'$ &$2m$nt a& B@? o) t'$ pop-lation &till li#$ t'$ %-%al a%$a0


23/25


24/25


25/25

cadbury marketingstretegy

Documents