PRESENTED BY, PRASANNA LAD BALIRAM DESAI SUBODH SINGH VAIBHAV JADHAV

COMPANY PROFILE

CADBURY INDIA
Cadbury India is a fully owned subsidy of Kraft

Foods Inc. It was establish in year 1948 in India. The combination of Kraft Foods and Cadbury creates a global powerhouse in snacks, confectionery and quick meals. annual revenue is approximately $50 billion. the combined company is the world's second largest food company, making delicious products for billions of consumers in more than 60 countries. It employ approximately 140,000 people and have operations in more than 70 countries.

POPULAR BRANDS IN INDIA

C h o c o l a t e s

S n a c k s

Beverages G U M S CANDys

JOURNEY OF CADBURY IN INDIA

Opening its doors in 1824 at Bull Street, Birmingham.
it shows how a small family business can be

developed into an international giant. Cadbury began its Indian operations as a trading concern in 1947. With brands like Cadbury Dairy Milk, Gems, 5 Star and Perk. (CIL) today, has become a market leader in the confectionary segment and have a 70 percent market share in chocolates.

 Cadbury's Dairy Milk (CDM) is its flagship brand,

having a market share of 30%.

Success of Cadbury
Cadbury was growing year by year. They were became synonymous to chocolate

in India. Their competitors were far behind them. They acquired most of the chocolate market in India. Dairy milk become most selling product of Cadbury.

Success of Cadbury

WORM CONTROVERSY
Everything was going good for Dairy milk & Cadbury

India, unless that worm controversy happened. On October 2003, just a month before Diwali, the Food and Drug Administration Commissioner received complaints about infestation in two bars of Cadbury Dairy Milk. Over the following 3-week period, resultant adverse media coverage touched close to 1000 clips in print and 120 on TV news channels. the companys reputation and credibility was under intense scrutiny

WORM EFFECTS ON CADBURY

Sales volumes came down drastically in the first 10 weeks in festive season.
Retailer stocking and display dropped.

employee morale especially that of the sales team was shaken.

The heat of negative publicity melted Cadburys

sales by 30 per cent. For the first time, Cadburys advertising went off air for a month. Consumers seemed to ignore their chocolate cravings.

BRIEF FINANCIAL OF CADBURY

SALES
1000 800 600 400 200 0 2001 2002 2003 2004 624.43

687.3

764.05

700.81
SALES

MARKETING CHALLENGES & OBJECTIVES

The incident came close on the heels of a cola

controversy. incident acquired political overtones. The challenge was to restore confidence in the key stakeholders. build back credibility for the corporate brand. Get the sales to pre-crisis stage. To stop Negative Publicity.

The immediate objective was to get the following key messages across: Infestation could never occur at the manufacturing stage. The problem was storage linked; this without alienating trade channels Cadbury Dairy Milk continued to be safe for consumption.

COUNTER ATTACK
Cadbury began to cultivate relationships with

the media. to restore consumer confidence they form a project Called Project Vishwas (Trust). A retail monitoring and education program undertaken to address storage problems. Significant packaging changes to reduce dependency on storage conditions as much as possible. The new purity sealed packaging was launched in January 2004.

THE BIG B FACTOR

To communicate all above significant changes

Cadbury brought in Amitabh Bachchan as a brand ambassador. Amitabh Bachchan, a legendary Indian film star, was chosen, as he embodied the values of Cadbury as a brand and connected with all of India. That Reinforce the credibility that the company had demonstrated through its actions. After signing Big B Cadbury organize Press conferences In different cities.

 media persons were encouraged to compare the old and new packs.
An audio visual with a message from Amitabh

Bachchan, was beamed to build credibility and excitement. Another audio visual with a message from the Big B was used in a series of sales conferences to enthuse and reassure salespersons. this helped to rebuild confidence in the salespersons.

BIG B FACTOR
Cadbury use Amitabh Bachchans,good image to re-establish them.
They use him in various ads to convey the

message that Dairy milk is safe to Eat. Amitabhs Good image helps cadbury to create confidence in consumers mind. Slowly sales were going to pre-crisis stage. Some of the ads are as follows-

Results of Big B Endorssment

Media Coverage: The media relationship effort clearly helped in making media accept that the infestation was genuinely caused by storage-

linked problems. Image: There was significant upward movement in ratings amongst consumers on parameters like company image, responsiveness of company and behavioral parameters like intention to buy Cadbury chocolates.

 Sales: Sales volumes, which declined drastically

between week 1 and week 10 of crisis, climbed back almost to the pre-incident levels by week. within 8 weeks of introduction of new packaging and communication.

CONCLUSION
Endorsing Big B has been proved as a master

stroke. Because of his good image Cadbury regain their credibility. Sales went up as compare to Previous year. Customer again start showing faith in Cadbury products.

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