NIPS COLLEGE OF IT AND

MANAGEMENT
ALLAHABAD

A MARKETING PROJECT
REPORT ON
NESTLE VS
CADBURY

Submitted to
Submitted b
1
M!" JITENDRA KES#ANI
ANIL MOHIT

BBA $
TH
Sem

Ro%% No"&'($)&(((*

DECLARATION
I ANIL MOHIT a student of NIPS COLLEGE
OF IT + MANAGEMENT ALLAHABAD BBA,
$
TH
-eme-te!. hereby declares that the fnal
year research report entitled /A MARKETING
PROJECT REPORT ON NESTLE VS
CADBURY0 is my original work and the same
has not been submitted for the award of any
other diploma or degree.
2
(ANIL
!"I#$
%%A
&
#"
'(('#()
)oll
No *2+&,*+++-
ACKNO#LEDGEMENT
I take this opportunity pro.ect to place on record my
grateful thanks and sincere gratitude to all those who
ga/e /aluable ad/ice and inputs for my study. y study
could not ha/e been completed if I had not been able to
get the reference materials from the company.
I am immensely grateful to my esteemed guide M!"
JITENDRA KES#ANI whose continued and in/aluable
guidance can ne/er be forgotten by me but without
whom this study could not ha/e got present shape.
0
#he success of this report is because of the cooperation
of all. I take no credit for this achie/ement but take
responsibility for any mistakes and inaccuracies 1 fnally
as well I want thanks to 2!34 for being so kind to me and
blessing me with you all.

1
ANIL MOHIT2

BBA $
TH
SEMESTER

Ro%% No &'($)&(((*
TABLES OF CONTENT
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Strategies of the Dominant Brands---------------------------------------------------44-51
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%. Impulsi/e %uying %eha/ior and ?ricing
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2. 'ales promotion Acti/ities
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&

A MARKETING PROJECT
REPORT ON
NESTLE VS CADBURY

9

THE INDUSTRY SCENARIO
@ith the entry of multinationals and home companies
sprucing up their act4 the confecti onery market i s
boomi ng. c>i nsey 1 7o. has esti mated the
confectionery industry to touch a whopping )s. &-++ crore by the
year 2++:.
#ill the eighties4 the chocolate market was small and the
product category i tsel f was fuBBy. I n the ei ghti es4
7adburyC s 8 the /i rtual monopol i st 8 had decided to
focus its eDorts on making chocolates a distinct category
with an i denti ty of i ts own. And the marketer had
sharpl y posi ti oned i ts product at children to do that.
"ence4 chocolates bore an E!nly for kidsF tag4 and kept
adults at bay.
%y the end of the eighties4 7adburyCs still ruled the roost with o/er
:+ percent market share. And though se/eral brands 8 like
Amul and 7amp co 8 tried to break into the market4 none of
them had succeeded in shaking the leaderCs grip. In fact4
7adburyCs had become a brand /irtually generic to
chocolates. #hen chocolates were used to reward and
reinforce positi/e beha/ior and hence were categoriBed as a
luGury reser/ed for special occasions. #his was4 a stark contrast to
the west where chocolates were snacked on4 eaten as mini meals
or .ust to suppress pangs of hunger.
%ut constant working by players like 7adburyCs (re8launch of
7adburyCs 3airy i l k targeti ng adul ts and as a casual
any8 ti me buy$ and Nestl e towards eGploding the myth that
chocolates are meant for children only4 has resulted inthe
segment booming.
T!e3d- i3 t4e I3du-t!
:
H @i th soci o8 economi c changes rapi dl y taki ng pl ace4
the young and not so young population will
lead a new life style and chocolate eating is defnitely going
to be widespread and acceptable.
H In the industry4 both population and family incomes as well as
urbaniBation are on the increase.
H #here has been a si gni f cant growth i n the mi ddl e
cl ass4 wi th -. : mi l l i on people ha/ing upgraded to the Iuoted
middle class.
H #here is Iuantifed data on =72 usage ha/ing increased (N)'8
<I 1 I)'C*:fgures$
#hanks to the abo/e reasons the growth in the chocolate market
is estimated to be at
22J in 2++1. %ut marketers in the industry are looking
forward to a much higher growth rate4 as IndiaCs per capita
consumption of chocolates is only 1- 2ms. <ersus & >g in the
west

T4e I3di53 C4o6o%5te m5!7et 653 be -%i6ed i3to 8ou!
95!t-"
:" Mou%ded C4o6o%5te Se;me3t ,
7omprising slab chocolates like 3airy milk chocolates4 etc.
#hese are made by pouring the ingredients into moulds.
'" Cou3t%i3e Se;me3t ,
7omprising bars like - star4 %ar !ne4 ?erk4 >it >at4 etc.
#hese ha/e ingredients other then chocolate and are
usually %ar shaped4 making for chunky bites.
<" C4 o 6 o , P5 3 3 e d Se ;me 3 t ,
*
7 o mp r i s i n g c h o c o l a t e f o r ms l i k e %ut t er s cot ch4
Nut t i es 4 #i K nC s 4 et c. ?anned /ar i et y has di D er ent
coresLcenters which are co/ered with a layer of chocolate.
)" Su;5!,P533ed Se;me3t ,
7omprising chocolate forms such as 2ems4 7hocolate Mclairs4
etc. #hese generally ha/e a sugar coating on the outside.
RESEARCH
METHODOLOG
Y
1+
RESEARCH METHODOLOGY
As mentioned earlier4 the ob.ecti/e of the study is to
formulate a arketing ' t r a t e g y f o r a n y n e w e n t r a n t
i n t h e I n d i a n 7h o c o l a t e I n d u s t r y. @h i l e
recommending the said strategy detailed information from
both primary and secondary sources was collected and
analyBed. #his includedN
P!im5! Sou!6e-

=our le/el primary information collections were undertaken.
:" #o anal yBe buyi ng beha/i or and i n order to gai n an
i nsi ght i nto the buyer need8 sati sfacti on l e/el 4 a
Iuesti onnai re was formul ated and administered among :+
people. #he profle of the respondents was as followsN
:" 7onsumers of chocolates O 12 years P in L53"IANA. #his was
sinceQ chocolate consumption was witnessed amongst all
age groups.
'" A di stri butor was al so i nter/i ewed so as to get
perti nent i nformati on regarding the most important R?C of
=72 marketing O ?lace.
<" (Gtensi/e inter/iews were conducted with retailers in the
L53"IANA a r e a . # h e s e i n c l u d e d p a n s h o p s 4
g r o c e r y s h o p s 4 b a k e r i e s 4 departmental stores4 etc.
#hey pro/ided information on /arious facts of chocolate
distribution such as ?oint8of Opurchase material (dispensers etc. $4
11
i nfrastructure probl ems4 cri ti cal i nformati onal
regardi ng the policies of the present players in the market4 etc.
Se6o3d5! Sou!6e-

A number of secondary sources of information were used. #hese
wereN
HInformationN Industry statistics4 problems facing the
industry4 future outlook4 etc. Also measures being adopted for
cocoa production de/elopment.
HInternet websites !f 7adburyCs4 Nestle and indiainfoline.com4
ask.ee/es.com
H(Gtensi/e use of secondary information in the form of
magaBinesL.ournalsLnewspapers clippings4 such as %usiness
@orld4 %usiness #oday4 %usiness India4 A14 %rand (Iuity4 (conomic
#imes4 etc.
#he methodology adopted was as followsN
Industry 'cenario 'ketch (utiliBing secondary information$
(Gtensi/e Inter/iews held with ?rimaryL'econdary 'ources
(7ompaniesL7hocolate manufacturers Association$.
(Gtensi/e retailer inter/iews in L53"IANA Area
=ormulation and administration of a Iuestionnaire
=ormulation of the )ecommended 'trategy on the basis of the
abo/ementioned ?rimary and 'econdary Information
12



OBJECTIVES OF THE STUDY
:" #o get familiar with their marketing strategies separately.
'" #o /iew the segments being targeted by these brands in the
market.
<" 5p to what eGtent do the public respond to their productsS
)" #o prepare a marketing plan for any brand that is planning to
enter the India chocolate market.
*" #o be a rele/ant guide for any brand launch in India.
10
COMPANY PROFILE


Hi-to!
H'tarted business in 1*,: in India. #he company was
incorporated as 7adbury8=ry (India$ ?/t. Ltd.
H=ounderN ;ohn 7adbury in %irmingham4 5> in 1:2,
H7urrent 3N r. )a.i/ %akshi
1,
H#urno/erN ,-+ 7r.
HNo. of oKcesN , 'taD 'trength O 2+++ approG.
:" %ranch anager is responsible for the entire %ranch
=unction
' " ? r o mo t i o n a l a t e r i a l s O Ne t wo r k a d 4 e d i a 4
? !' a t e r i a l s l i k e posters4 danglers4 dispensers etc.
<" #arget O Al l age groups
)" 3istributionN #hrough 71= Agents T )e8distributors T
)etailers Tconsumers 2odownN 1 in 3elhi !KceN 1 in 3elhiA/g.
No. of calls per day by '.!.N 0-'ales )eporting O weekly basis
*" 'ales >itN 3aily call report4 product folder4 price list4 calculator4
etc.
$" !rgani sati onal 'tructureN
=" >ey productsN 7adburyCs 3airy ilk4 - 'tar4 =ruit 1 Nut4
%ourn /ita4 ?erk etc.
COMPANY BACKGROUND
In 1*0+ ) "udson and 7ompany fnally .oined with 7adbury.
#his ga/e the U ouri shi ng l ocal f rm a di rect l i nk wi th
one of the greatest i n i nternati onal chocolate
manufacturing and marketing. !/er the years the company
has been in/ol/ed with many other long standing brands
and entrepreneurs Onames such as =ry O a chocolate brand
dating back to 19-&4 and of course 'chweppes which is still
part of the 7adbury group internationally although no tin New
Vealand.
1-
In 1*&* 7adbury =ry and 'chweppes merged internationally
with the New Vealand 7ompany becoming known as 7adbury
'chweppes "udson Limited in 1*90.
I n 1*:& 7adbury 'chweppes "udson merged wi th
7adbury 'chweppes Australia. #he result was a truly
international operation with both the New Vealand and
Australian companies supplying each other. 7adbury 'chweppes
Australia is a fully owned subsidiary of 7adbury 'chweppes
plc4 the 5nited >ingdom based parent company.
ost recently4 in 1**+ 7adbury reIuired the 2riKns confectionery
business4 and sold the "udson biscuit operation in a reciprocal
agreement. #he 2riKns bus i nes s dat es back t o bef or e
t he t ur n of t he cent ur y.
2eor ge 2r i K n established the company when he opened a
small confectionery business at Nelson.
=inally4 in 1**1 we became known as 7adbury
7onfectionery Ltd4 and can now boast dominance in New
VealandCs chocolate and sugar confectionery markets. @ith
manufacturing bases in both 3unedin and Auckland4 as well as
sales oKces in @ellington and 7hristchurch4 the 7ompany
employs nearly14+++ in total.
#he 7adbury group has also Uourished internationally.
7adbury 'chweppes O the parent company O has manufacturing
facilities in 2+ countries and its famous brands are bought and
en.oyed in more than 11+ countries around the world. 7adbury is
one of the worldCs leading chocolate makers and is number one in
(ngland and Australia as well as in New Vealand.
PRODUCTION

7adbury IndiaCs frst manufacturing facility was set up at
#hane (umbai$ in1*&&. #oday4 the factory has grown
manifold and manufactures a range of p r o d u c t s t h a t
i n c l u d e 7 a d b u r y 3a i r y i l k 4 - ' t a r 4 Nu t t i e s 4
2e ms a n d %ourn /ita. #he factory employs about 9-+
1&
people and houses the )13 and engineering de/elopment
facilities of the company.
In a mo/e towards backward integration4 7adbury bought Induri
3iary farm in ? u n e i n 1 * & , . )e c e n t l y 4 a ma . o r
i n / e s t me n t p r o g r a m r e s u l t e d i n t h e installation of
modern molding4 crumb and chocolate making facilities. #oday4
the Induri =actory manufactures intermediate products like milk
crumb and arrange fnished chocolates.
In 1*:*4 the company began operations in their newest and
most modern plant at malanpur. (Iuipped with state8of8the8
art technology and backed by constant in/estment4 this unit
manufactures Wclairs4 2ems4 ?erk and ?icnic.
V I S I O N

#he go/erning ob.ecti/e for 7adbury India is to deli/erN
H'uperior 'hareholder <alue
H7adbury in e/ery pocket
ADVERTISING + SALES PROMOTION

As we ha/e discussed the importance of Ad/ertising and 'ales
promotion in i ntroducti on4 so we know how much
ad/erti si ng ai m sal es promoti on are important.
#he slogans of ad/ertising are the tools of sales promotion
are so important which couples the customer to purchase
the product. Now we are going to discuss all these things one by
one about 7adbury.
19
=ollowing are a few ad/ertising slogans used by 7adbury for
introducing the product to the customersN8
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(3AI)6 IL>$
>#"!3I 'I ?(# ?!!;A >A%"I %"I >A"I %"I
(?()>$
H@"(N (<() !N "5N2() '#)I>(
(?()>$

H#AN >I '"A>#I4 AN >I '"A>#I
(%!5)N<I#A$
H>57" VA3A "I '!LI3
(?I7NI7$
H6(" 7"!7!LA#( >"A( AA? IN"( >"A(
((7LAI)'$
All these slogans used by 7adbury are beautifully prepared
because they can compel the consumer to buy the product to
some eGtent.
Now we wi l l di scuss them i n detai l s wi th the hel p of
whi ch we can easi l y understand how these slogans can lea/e
these impression on the customer.
>T4e Re5% T5-te o8 Li8e
#his slogan was prepared for the frst chocolate introduce by the
7adbury frst time in India. #he chocolate was R3airy ilkC.
#his slogan says that there are many types of products
present in the market4 they ha/e diDerent taste but 3airy
ilk is the best and the true taste of the life. #his slogan also
stands for the /ictory. !n electronic media4 the ad/ertisement
shows that a cricketer wins the match and after that he and his
girl friend eats this product. #herefore4 this stands for /ictory of
any body eats this product will defnitely win in his life.
1:
>T4odi Si Pet Poo?5 K5b4i B4i K54i B4i

@hen 7adbury introduced its neGt chocolate named R?erkC
this slogan were used. #his eGplains that if anybody is hungry
and he do not ha/e any thing to eat accept this ?erk then he
can ha/e this. #his shows that ?erk is so good chocolate
which can be used as a substitute of food and is a complete food.
>#4e3e@e! o3 Hu3;e! St!i7e
Later on 7adbury came out with new slogan on tele/isionQ the
ad/ertisement shows that few students are on hunger strike. %ut
they had the chocolate. #his shows that nobody can control
himselfLherself if this product of 7adbury is lying in front of
that person. #his means that 7adbury product is so good that
nobody can lea/e it.
HT53 Ki S457ti. M53 Ki S457ti
#his slogan was used for R%ourn /itaC. %ourn /ita is full of
proteins4 /itamins4 minerals and all those necessary things
which are useful for our body and mind. #herefore4 this slogan
stood best for %ourn /ita. #AN >I
'"A>#I4 means the energy to the body. If anybody here this
product4 he Lshe will remain acti/e for whole day. #hat person will
look healthy4 acti/e and will look smart.
>YEH CHOCOLATE KHAIN. AAP INHE KHAIN
@hen Wclairs toDee came in the market4 this slogan was
used. Wclairs is a toDee flled with chocolate. It means that
instead of ha/ing chocolate you can ha/e Mcl ai r s t oD ee
t oo. I t a per s on does not want t o ha/e 12 pi eces
of chocolate4 can ha/e one or two Mclairs toDee.
>KUCH AADA HI SOLID
Nowadays new chocol ate has been i ntroduced by the
7adbury and thi s slogans going on creating demand for this
1*
new product. In this ad we can see that one chocolate falls on
a car and damages the car. #his chocolate is so
strong due to lots of nuts4 caramel etc. etc. present in this
chocolate. #his also shows that this is for ad/enturous people who
lo/e thrills4 ad/enture etc.
DISTRIBUTION SYSTEM ADOPTED BY CADBURY

7adbury 'chweppes pick the world number 0 soda market has
egged to sell most of its soft drinks business outside the 5' to
7oca 7o. for X 1.:- billions to fnance a head on battle with 7oke
in the No. 1 soda makers home market. #he agreements
included the 'howersC 3r. ?epper chanda dry and crush
brands and eGude 'outh Africa and =rance the pact which was
dependent on regulatory appro/al was likely to be concealed in
mid 1*** 7adbury said. #he more will allow 7adbury to eGpand it
3r. ?eeper business in 5' where it deri/es two8thirds of its soft
drinks sales and was a 1- per cent market share at the same time
it get 7adbury out of markets where it is growing at a
slower pace. #he shares rose as much as 9+.- per cent or
9.- per cent or 9.- per cent 1++2.E#his sort out the places
where 7adburyCs systems werenCt strong enough to compet e
wi t h 7oca8 7ol a4 F s ai d r. 3a/i d l ong an anal ys t a
"ender s on 7rosthwaite4 Ethey were fghting with proper for
this.
P 5 t t e ! 3 - o 8 d i - t ! i b u t i o 3 6 4 5 3 3 e % -
5 3 d t 9 e - o 8 d i - t ! i b u t i o 3
i3te!medi5!ie-
anufacture
Y
'tockiestL3istributor
Y
2+
'emi8wholesaler
Y
)etailer
Y
5ser
FACTORS INFLUENCING PRICING OF CADBURY

I3te!35% F56to!-
H7orporate and marketing ob.ecti/es of the frm.
H#he image sought by the frm through pricing.
H#he characteristics of the product.
H?rice elasticity of demand of the product.
H#he stage of the product on the product life cycle.
H5se pattern and turn around rate of the product.
H7ost of manufacturing and marketing.
H(Gtent of distincti/eness of the product and eGtent of production
diDerentiation practiced by the frm.
H!ther el ements of the marketi ng mi G of the f rm and
thei r i nteracti on wi th pricing.
H7omposition of the product line of the frm.
EBte!35% F56to!-
Harket characteristics.
H%uyerCs beha/ior in respect of the gi/en product.
H%argaining power of ma.or customers.
H7ompetitors pricing policy.
H2o/ernment controls regulations on pricing.
H!ther rele/ant legal aspects.
H'ocietal (or social$ considerations.
H5nderstanding4 if any reached with price cartels.
21
C5dbu! ob?e6ti@e o8 9!i6i3;
H?roft maGimiBation in the short8term.
H?roft optimiBation in the long8term.
HA minimum return (or target return$ on in/estment.
HA minimum return on sales turno/er.
H#argets sales /olume.
H#arget market share.
H3eeper penetration of the market.
H(ntering new markets.
H#arget proft on the entire product line irrespecti/e of
proft le/el in indi/idualproducts.
H>eeping competition out4 or keeping it under check.
H=ast turn around and early cash reco/ery.
H'tabiliBing prices and margins in the market.
NESTLE INDIA LIMITED




22
HISTORICAL HIGHLIGHTS

Incorporated in 1*-* as =ood specialties4 Nest India (NIL$
was promoted by Nestle Alimantana4 'witBerland4 which
presently holds -1J eIuity stake in the company. anufacturing
in India began with the start up of the oga =actory in 1*&2.
NestlMCs frst unit at oga4 ?un.ab is manufacturingN
Hilk products
HInfant milk formulae
H@eaning cereals
H7ulinary products
H%e/erages
It is the main manufacturing unit of Nestle India Limited. #he
second factory at 7holadi4 #amil Nadu to produce be/erages i.e.
1++J (!5 for instant tea wasset up in 1*&9.
#he third plant in Nan.angud4 >arnataka was set up in 1*:* to
produce
HInstant 7oDee
H"ealth %e/erages
#he fourth plant at 'amalkha4 "aryana4 was set u in 1**04 to
produce
H@eaning cereals
H7ulinary products
H"ealth be/erages
Hilk products
#he ffth plant at ?onda4 2oa was set up in 1**, to produceN
H@afers
H@aZes
20
#he siGth plant at %icholine4 2oa commenced construction for
manufacture of a range of culinary products and this was
eGpected to be commissioned in the latter part of 1**&.
Nestle India4 the largest food company in the country is
continuously looking at new niches in the market place for its
/arious products.
I n mi l k products Nestl e has made a consi derabl e mark.
=or i nstance4 the c o mp a n y wa s t h e f r s t t o
i n t r o d u c e a 3a i r y @h i t e n e r wi t h i t s p r o d u c t C
(/eryday[. And till today that product is a brand leader
despite the presence of a host of other brands in the feld. IN
the case of ilkmaid condensed milk4 Nestle relaunched the
product as desert maker and has seen the sales graph climbing
since.
In baby foods4 Nestle has made its strong hold with
Lactogen and 7erelac. Nestl e i s al so popul ar i n pure
ghee segment. I ts (/eryday pure ghee has gained a
Iuite satisfactory market share4 Nestle has also entered into
ftness f ood pr oduct s . Nes t l e t oday i s a hous ehol d
name. Nes t l e eGt ended t he product line in coDee by
bringing in 3olco4 and then 'unrise.
I n 1**+4 NI L entered the chocol ate busi ness
i ntroduci ng Nestl e ?remi um chocolate. NestlMCs products are
sold under brand names such as a ilkmaid4 (/eryday4 7erelac4
Nescafe4 aggi4 Lactogen4 Wclairs etc. It launched the world
famous >itkat chocolates in 1**-. 3uring the year 1**& ilo the
worldCs largest selling chocolate energy food drink was launched.
MORE THAN A MOUTHFUL , CHOCOLATE INDUSTRY
#he Indian chocolate market is getting bigger and better. @hile on
one hand4 the premium segment (comprising imported
/arieties$ is opening up4 on the other4 companies like 7adbury
India are launching indigenous products made to international
standards. !f the 2+4+++8tonne chocolates market worth about
2,
)s. ,++ crores4 7adbury accounts for about 9+ percent4
followed by Nestle4 with a share of around 2+ percent. Amul has
f/e per cent of the market4 with minor players taking the rest.
#he battle4 though4 is between 7adbury and Nestle. #hough
much smaller portfolios4 Nestle is putting up a touch fght.

* St5!
Although positioned internationally as energy bar4 - 'tar was
positioned on an emotional platform in India during the late
1*:+s. 'ymboliBing togetherness4 -'t ar was or i gi nal l y
t ar get ed at t eenager s . I n ; une 1**,4 t he company
reworked the strategy for - 'tar to make it a source of energy. In
fact4 before t he l aunch of ?er k4 - 't ar [ s ener gy bar
pos i t i oni ng made i t a s nacki ng chocolate4 with Nestle
pitching %ar !ne (launched in 1**0$ against it with the punch
l i ne [ for those i n between ti mes[ . 7adbury wi l l be
l aunchi ng a new campaign for - 'tar shortly. #hey would
like to further - 'tar[s eIuity in the functional or snacking
direction. It is /ery nebulous one though.
E6%5i!-
7ompeting in the chewable toDees segment4 (clairs was
relaunched during the mi d8 ni neti es wi th a new name4
3ai ry i l k (cl ai rs. Accordi ng to )a. i / %akshi 4 anagi ng
3i rector (desi gnate$4 7adbury I ndi a Ltd4 growth i n thi s
s egment i s /er y hi gh. I t i s wor t h o/er ,+++ t ones
now. Nes t l e al s o a presence here with Nestle[s (clairs.
Gem-
%roadcasting 2ems4 though4 did not pro/e to be a feasible
proposition for 7 a d b u r y. #a r g e t e d a t c h i l d r e n
u n d e r 1 2 y e a r s wi t h t h e [ 2e ms % o n d Rad/ertising4
7adbury decided to woo teenagers with the ['mart[. <ery
smart campaign. %ut now4 the company is re8targeting
children with its animated commercial. 2ems is the best
brand to speak to children. 7olorful chocolate buttons appeal
2-
most to children and that is why we are re8targeting children.
@hile 7adbury has successfully relaunched a host of its sub8
brand4 it has not been able to pay attention to brands like r.
?ops lillipop. As you grow and add more brands4 the ability to
spend on brands becomes lower. #herefore we ha/e selected a
few critical brands to do a paper .ob.
POLO
?!L! is one of Nestle[s key strategic confectionery brands
worldwide4 and represents Nestl e[ s f rst entry i nto the
l arge -+4 +++ tonne p. a. (organi Bed sector$ Indian 'ugar
confectionery market
GRO#ING MARKETS """"""""""""FALLING MARGINS
I ncorporated i n 1*-* as =ood 'peci al ti es Ltd. 4 Nestl e
I ndi a Ltd. (NI L$ i s promoted by Nestl e Al i mentana8
'wi tBerl and4 whi ch presentl y owns -1J eIui ty stake i n
i t. Ni l i s one of the top pl ayers i n the processed food
and be/erages i ndustry and the l argest producer of
i nstant coD ee wi th a ,*Jmarket share. Its market
dominance apart from instant coDee is spread
o/er processed milk products (condensed milk4 milk
powders and dessert miG$4 infant foods and processed and
culinary products (instant noodles4 sauces4 soups etc.$.
(stablished in 1:&+4 its 'wiss parent Nestle4 '.A. with ownership
and a clutch of top selling global brands (>it8>at4 ?olo4 Nescafe4
Nido4 aggi4 ?errier etc.$ is one of the l argest and most
prof tabl e pl ayers i n the processed food and be/erage
industry. with sales at 5'X ,9.9 billion4 it ranks 0*
th
in the
=ortune-++ l i s t t ower i ng o/er i t s compet i t or s l i ke4
>el l oggC s 4 7onagr a4 2r oupe8 3anone4 >raft82eneral =oods
and others.
2&
Increasing market dominanceN NIL[s portfolio comprising
o/er &- products4 marketed through a representati/e8network in
0+++ towns and -9++++ outlets4 is manufactured at f/e state8of8
the8art manufacturing plants in India.
@hile its oga unit produces milk products4 infant milk food4
weaning cereals4 culinary products and be/erages4 the 7holadi
unit was set up to produce tea i n 1*&9. #he thi rd pl ant at
nan. angud was set up i n 1*:* to manufacture i nstant
coD ee and heal th be/erages. I ts other two pl ants are
l ocated at 'amalkha in "aryana and ?onda in 2oa. It is
currently setting up another pl ant at %i chol i m4 2oa t o
manuf act ur e cul i nar y pr oduct s . #he gamut
of operations of NIL could be broadly classifed into four
categories.
Di!e6t Com9etitio3
At present there are three ma.or players Nestle4 7adburyCs
and Amul in the Indian 7hocolate market. 7ampco initially tried
to break into market but failed. %rief profle of the same has been
entailed belowN

C5dbu!C- I3di5 Ltd"

7adburyCs India Ltd4 has been in India since 1*,:. Its
brandsN 3airy ilk4 -'tar4 2ems and 7hocolate (clairs are the
households names in India today. In al l the segments i . e.
mol ded chocol ates4 count chocol ates and panned
chocolates4 it is undoubtedly the market leader.
7adburyCs has its manufacturing units at #hane (umbai$4
alanpur4 Indori(near ?une$4 ithuri and >olapur. It has a
strong distribution network with about -++ distributors in
North India and more than 0 lac retail outlets beingser/iced
all o/er India.
In 1**94 7adbury planned to pump in )s.:+8crore to up production
capacity at a couple of 7adburyCs factories. #his cash is
eGactly double of whatCs been in/ested in 1**&.
29
#he 7ompany launched ?erk4 a wafer enrobed chocolate in
1**-. #his was reactionary to the launch of >it >at and has been
able to counter competition.
C5dbu!C- D5i! Mi%7 1CDM2 , T4e F%5;-4i9 b!53d
734 the oldest of 7adburyCs brands was launched in 1*-&. In
the early *+s4a ri se i n the pri ces of cocoa4 i ncrease i n
the eGci se duty and a fal l i n the demand inspired the
idea of repositioning. #wo years i n the process
after relaunch 7adburyCs 3airy ilkCs market share stood at
2- percent with sales rising by an a/erage ,+ percent per
annum.
% e s i d e s 73 7a d b u r y C s h a s a n u mb e r o f
e n d o r s e r b r a n d s s u c h a s =rui tC nC Nut4 Nut i l k etc.
(/en though contri buti on of these brands to the
companyC s bottom8 l i ne i s /ery smal l 4 they are reIui red
i n order to make a complete portfolio of oDering.
#he 7ompany de/el oped a concent r at i on s t r at egy
on 734 =i /e 't ar 4 7adburyC 2ems4 7adburyCs (clairs4
?erk and the latest of its oDering ?icnic(which has drawn a
good response in the market$.
#he 7ompany has also identifed sugar confectionery4 as a growth
sector. Itsfrst oDering
2oogly.

Ne-t%e I3di5 Ltd"

Nestle India Ltd. has been in India for more than 0- years
now. #he worldCs largest marketer of chocolates (became
world number one when it acIuired )ownt r ee aci nt os h
of t he 5>$ 8 Nes t l e4 made i t s f or ay i n t he I ndi an
chocolate Industry in No/ember 1**+. It launched three
products 8 the milk chocol ate4 the bi tter chocol ate and
7rackl e (a crunchy chocol ate$ 8 i n the slabs category and
%ar !ne in count lines.
2:
7adburyC s was Iui ck to react4 and l aunched a whol e
host of products i n successionN All 'ilk milk chocolate4 7reamy
%ar4 and a new /ersion of - 'tar.
Nestle4 in the beginning did not ha/e its own manufacturing
facility. It had an alliance with 7amp co to manufacture
chocolates. Later4 in 1**- a state8of8art manufacturing plant was
set up at ?onda4 2oa at a cost of )s. -+ crores. #his unit took care
of the entire >it >at production. "owe/er4 the production tie8up
with 7amp co still continued.
L5u364 o8 Kit K5t

>it >at4 one of worldCs most popular chocolate4 was launched in
India in 1**-.@ithin months of its launch4 it fulflled e/ery
target Nestle had set. Its launch was accompanied by the
launch of 7adburyCs ?erk in order to counter >it >at and
safeguard the Uagship brand O 73. >it >at has been able
to defne anew segment in the industry in the form of the wafer
enrobed any time snack.
>it >at outsells ?erk in the outlets where both are a/ailable.
In the crucial markets of %ombay and 3elhi both are
running neck8and8neck. It has e/en said to ha/e threatened
the mother brand4 7adbury 3airy ilk.
NESTLEC- NeD L5u364e-

B!53d L5u364

Allen 'plash 'elected 7ities
('ugar 7andies$

After (ight ints 3elhi 1 umbai
Lion @afer %ars 3elhi 1 umbai
2*
INDIRECT COMPETITION
'ince the target audience includes4 consumers of not only
chocolates but also of biscuits and confectionery4 it faces indirect
competition from these product categories. Also4 other
confectionery products like toDees4 candies etc ha/e
pro/ed to be i ndi rect competi ti on (howe/er woul d be
l i mi ted si nce we are targeting small kids segment$.
MARKET RESEARCH
I n order to recommend and eGecute an eD ecti /e
strategy for marketi ng of goods and ser/ices4 a
systematic market research needs to be undertaken. #he
buyer preference research would play a /ital role in the
assessment of c o n s u me r s t a s t e L p u r c h a s e h a b i t s
a n d a b e t t e r u n d e r s t a n d i n g o f t h e consumers
mind. In fact the strategy formulationLrecommendations in
this report of the marketing miG relies hea/ily on these research
fndings.
A Iues t i onnai r e was admi ni s t er ed ( as ment i oned
i n t he et hodol ogy$ amongst people of diDerent age
groups and professions. )esults from this research pro/ided
interesting cues4 which were eGtremely benefcial in the
formulation of the recommended marketing miG.
#he main ob.ect of this researchLIuestionnaire was as followsN
H#o fnd out the current the current tasteLchocolate eating habits.
H#o fnd out the eGtent of brand loyalty.
H#o get feed back of consumers perception about Ua/ors
and con/entional outlets.
H#o fnd out eGtent of price sensiti/ity
0+
H)etail outlet preference.
H%rand preference etc.



OBSERVATIO
NS
+
FINDING
01
OBSERVATION
S

%ased on the basis of the Iuestionnaire research4 some of the
facts that came to the fore ha/e been listed below. #hese
research fndings played a key role in the de/elopment of the
recommended marketing strategy.
H>it >at and 73 had a high unaided awareness le/el and
also4 both these brands en. oyed a hi gh consumer
preference. Amul i s percei /ed for gi /i ng /alue for money.
H7hocolates are no more a childrenCs item.
Host of peopl e buy chocol ate by i mpul se deci si on.
7hocol ates are e/en considered as a good gift option.
H7ons umer s pr ef er ence /i s 8 \8 /i s pl ace of
pur chas e4 s i B eL f or mL t as t e of chocolates4
etc
Host of the respondents had a high ad. )ecall le/el for 7adburyCs
3airy ilk and >it >at.
H@hen it comes to gifting4 usually the recei/ers are
1. A fri end of opposi te seG
2 . 7 h i l d r e n
H#he idea of making chocolates a/ailable at sweet shops4 gift
shops4 ice cream parlors4 fast food .ointsLrestaurants was
02
asked to be rated. #he concept of eGclusi/e chocolate parlors
was rated fa/orably (around &0J$.
H#he product category does not en.oy high brand loyalty le/els.
H?eople are not price sensiti/e and consider the prices of
chocolates a/ailable in India4 Ereasonably !.>.F. #hey are ready to
pay a premium for good Iuality. 'uitable price for a ,+gm
chocolate was felt to be between )s1+L8 to )s1-L8.
D5t5
535%-i-
+
00
I3te!9!et5ti
o3
:" Do ou 6o3-ume 64o6o%5teE
!?#I!N' No != )('?!N3(N#'
6(' 9+
N! 0+
0,
INTERPRETATIONF
#his chart shows that 0+J of respondents does not consume
chocolate
@hile 9+J of respondents
'" HoD o8te3 do ou bu 64o6o%5te"
!?#I!N' N! != )('?!N3(N#'
?er day ,+
@eek 0+
onth 2+
No 1+
0-
INTERPRETATIONF
#his chart shows that ,+J of respondents buy chocolate per day4
0+J on
@eekly basis4 2+J on monthly and 1+J respondents does not
buy chocolate.
<" #45t b!53d o8 64o6o%5te 5!e ou 5D5!e o8E
!?#I!N' N! != )('?!N3(N#'
7adbury ,-
Nestle 2-
Amul 2+
0&
!ther 1+
INTERPRETATIONF
#his chart shows that ,-J of respondents are aware of 7adbury
brand42+J of
respondents are aware of amul42-J of nestle and 1+J awareness
of other brand.

)" #45t i3Gue36ed ou to bu t4e 5bo@e -t5ted b!53dE
!?#I!N' N! != )('?!N3(N#'
Ad/ertising &+
3ealer 1+
Attracti/e packing 1+
09
'hop display 2+
INTERPRETATIONF
#his chart shows that &+J of respondents are inUuenced by
ad/ertising4 1+J by
dealer4 1+J by attracti/e packing4 and the rest 2+J by shop
display.
*" I8 5 95!ti6u%5! b!53d i- 3ot 5@5i%5b%e Dit4 !et5i%e!" You
Di%%E
!?#I!N' N! != )('?!N3(N#'
0:
3rop the idea 0+
%uy another brand 9+
INTERPRETATIONF
#his chart shows that 0+J of respondents drop the idea if the
particular brand
Is not a/ailable with retailer4 and the rest 9+J go with the another
brand.
$" You 9u!645-e o8 64o6o%5teE
0*
!?#I!N' N! != )('?!N3(N#'
!ccasion led (birthday etc.$ 0+
As a gift 0+
7asual purchase 2+
Any other 2+

INTERPRETATIONF
#his chart shows that 0+J respondents purchase chocolate on
occasion
Led4 0+J as a gift 42+J on casual purchase4 and 2+J on any
other occasion.
=" I8 ou bu 64o6o%5teE
,+
!?#I!N' N! != )('?!N3(N#'
A gift 2+
'pouse 1+
7hildren 0+
=riends ,+

INTERPRETATIONF
#his chart shows that 2+J respondent buy chocolate for a gift
purpose4
1+J for their spouse4 0+J respondents buy chocolate for
children4 and ,+J for
their friends.
,1
H" #45t 566o!di3; to ou i- t4e -uit5b%e 9!i6e 8o! )( ;m
64o6o%5teE
!?#I!N' N! != )('?!N3(N#'
]1+ 1-
1+ to 1, 2-
1, to 2+ ,+
^2+ 2+
INTERPRETATIONF
#his chart shows that 1-J respondents prefer less than 1+rs for
,+ gm
7hocolate4 2-J respondent prefers 1+ to 1,rs4 ,+J prefer 1, to
2+rs4 2+ J prefer
,2
ore than 2+rs.
&" Ide5% 64o6o%5te Dou%d t5-te 5- 8o%%oDE
!?#I!N' N! != )('?!N3(N#'
%itter 0+
@afer enrobed ,+
7aramels nuts inside 2+
Any other 1+
INTERPRETATIONF
#his chart shows that 0+J respondents prefer bitter taste4 ,+J
prefer wafer
,0
(nrobed4 2+J prefer caramels nuts inside4 1+J prefer any taste
chocolates.
:(" O3e 53 o665-io3 I Dou%d %i7e to 5 ;i8t 5
64o6o%5te to %o@ed o3eE
!?#I!N' N! != )('?!N3(N#'
6es 9+
No 0+
INTERPRETATIONF
#his chart shows that 9+J respondents say yes that they would
like to gift a
,,
7hocolate to a lo/ed one4 and0+J say no.
::" A!e ou 4599 Dit4 t4e 7i3d o8 64o6o%5te b!53d-
5@5i%5b%e i3 I3di5
Tod5E
!?#I!N' N! != )('?!N3(N#'
6es 9&
No 2,

INTERPRETATIONF
,-
#his chart shows that 9&J respondents say yes that they happy
with the
7hocolate brands in India4 and 2,J respondents are not happy.

:'" I8 ou D53t to bu 5 D58e! 64o6o%5te. -5 KitK5t
53d i8 it i- 3ot 5@5i%5b%e.
ou Dou%d -ett%e 8o! 5 B5!IMou%ded 64o6o%5te -5 *
-t5! o! CDM"
!?#I!N' N! != )('?!N3(N#'
6es &9
No 00


,&
INTERPRETATIONF
#his chart shows that &9J respondents say yes4 and 00J
respondents are says no.

Strategies of the Dominant Brands
It is important to understand the strategies of dominant brands in
the market before we go on to analyBe the brand communication.
7adbury is the biggest player followed by Nestle4 and they co/er
amongst themsel/es o/er *-J of the market share
1
. #he
perception map in (Ghibit 1 shows the positioning of popular
brands graphically.
,9
Exhi bit 1 ?ositioning of 3ominant 7hocolate brands in the
Indian arket
C5dbu!
7adbury is the market leader with around &+J of the /alue sales.
It boasts of se/eral strong brands in the category co/ering almost
the entire spectrum of consumer needs.
D5i! Mi%7
3airy milk is the megabrand of the 7adbury =amily focusing on
consumers of all ages. #he core proposition is [something to
celebrate all the good occasions in life with[. #he communication
proposes that no matter what the occasion of your happiness4
3airy ilk is the perfect way to celebrate.
Si%7
'ilk is a premium /ariant of dairy milk and aims to gi/e an up
market stretch to the core brand. #he positioning of 'ilk is
['moother4 7reamier and 7hunkier[. #he communication focuses
on the eGperience of eating chocolate with childlike innocence
,:
and unabashed .oy. #he tagline ["a/e you felt 'ilk latelyS[ tries to
gi/e a refreshing feel to the entire eGperience of chocolate eating.
Pe!7
?erkCs target market segment in India is the causal snack space
that has primarily been dominated by chips and wafers. #he
target consumers are teenagers and the ad/ertising .ust
highlights its role as a mini snack. [#hodi8'i8?et8?oo.a[ campaign4
featuring mischie/ous teenagers4 defned its brand personality.
Ce%eb!5tio3-
7elebrationsC target market was to replace the traditional gift
options like traditional sweets and dry8fruits during festi/als. #he
communication focused on the emotions related to gifting.
* St5!
#he target segment for this brand has been the youth and
children. #he brand has continuously focused on /ariants to add
an element of surprise in the chocolate8eating eGperience.
Ne-t%e
Nestle ranks second with 01J of the /alue sales. A large product
portfolio and a strong distribution network ha/e helped the
company in maintaining its leadership along with 7adbury.
Kit K5t
#he brand[s commercial focuses on ["a/e a break4 ha/e a >itkat[.
Nestle >it >at was well recei/ed by consumers in early years
owing to both the no/el [fnger format[ of the chocolate as well as
the way its ad/ertising celebrated the [consumption ritual[.
Mu364
unch is the largest distributed brand in its category. It is a wafer
chocolate. #he campaigns of unch focus on its crunchy taste.
,*
?riced at )s. - it targets the middle class in metros and smaller
towns.
Pe!-o35%it T!5it-
7onsider how you would describe the personality of a close friend.
7hances are that you would list a number of traits4 such as
outgoing4 kind or e/en8tempered. A trait is a relati/ely stable
characteristic that causes indi/iduals to beha/e in certain ways.
#he #rait theory suggests that indi/idual personalities are
composed of broad dispositions called traits. 7attle came up with
1& key personality traits that he uses to describe most aspects of
human personality
,
.
@e tried to map the personality traits targeted or represented
through /arious commercials. 'imultaneously4 we tried to match
the o/erall personality of a brand as reUected by o/erall
marketing communication and consumer perception on these
personality traits.
An interesting fnding was the diDerence in traits obser/ed for
Nestle unchCs recent commercial featuring the boGer <i.endra
'ingh from their o/erall brand image. =or traits like [openness to
change[ and [pri/ateness[4 not only was the ad in8consistent but
also con/eyed a brand personality signifcantly diDerent from the
o/erall brand personality built o/er the years.
unchCs pro.ected brand personality has shifted in siG of se/en
rele/ant traits from the last ad campaign to the current one.
#hese inconsistent brand personality pro.ections may lead to
confusion in the minds of consumers who will rather shift to
another related brand with a more consistent personality. (Ghibit
2 shows the diDerences in positioning of Nestle unch from old to
new ads with two of these traits as dimensions.
-+

Exhibit 2 3iDerences in Nestle unch[s newly communicated and eGisting
personality traits
Im9u%-i@e Bui3; Be45@io! 53d P!i6i3;
Impulsi/e beha/ior occurs when the consumer is looking for
immediate hedonic benefts. It is commonly associated with urges
to smoke4 drink4 o/erspend or o/ereat. [Impulsi/e beha/ior[ is
defned by [7onsumers eGperiencing an irresistible urge to
consume[4 which they might e/en regret later.
@hether an indi/idual focuses on cost or the beneft of
impulsi/eness depends on the chronic /alues of the consumer4
which forms the core of its personality. "edonic personalities will
focus selecti/ely on the benefts than the cost of impulsi/eness
and are considerable uninUuenced by the costs. "ence4 such
indi/iduals become insensiti/e to price aspect when their hedonic
urge is dri/ing the purchase decision.
Let us eGplain the growth of the market at the higher end of the
spectrum in recent years in chocolate category with this
argument. #he product oDerings on the higher end are of rich
chocolate (e.g. silk$ based products (associated with taste and
-1
pleasure$ instead of wafer8based oDerings (which ser/e as a
snack$. #his shows that brands command a better premium when
an impulsi/e urge rather than functional benefts are the prime
moti/ators for purchase.
(/en though chocolate buying beha/ior is impulsi/e4 research
suggests that the relati/e accessibility of inputs such as costs
/ersus the benefts of impulsi/eness inUuences impulsi/e
beha/iour
-
. Impulsi/eness is unaDected by cost highlighting
arguments which eGplains the ineDecti/eness of ad/ertisements
discouraging cigarettes4 alcohol4 etc.
@hen the beneft of impulsi/eness was the pleasure of yielding to
temptation4 the ad/ertisements4 that [triggered the desire[ or
[highlighted the benefts of gi/ing in to the temptation[ appealed
most to the hedonic indi/iduals. "owe/er4 the prudent
personalities gi/e more /alue to the cost than the benefts. #hus4
the benefts are relati/ely non8inUuential in .udgment. #hus4
ad/ertisements that .ustify the cost of impulsi/eness can help
pro/oke impulsi/eness in such consumers.
RECOMMENDED MARKETING STRATEGY DESIGN
#he market strategy of the f rm i s a compl ete and
unbeatabl e pl an or an i ns t r ument des i gned s peci al l y
f or at t ai ni ng t he mar ket i ng ob. ect i /e of company.
#he formulation of the marketing strategy consists of two stepsN8
1. 'egmentati on 1 target market sel ecti on.
2. Assembl i ng the marketi ng mi G.
M5!7et Se;me3t5tio3 53d T5!;et M5!7et Se%e6tio3

a r k e t s e g me n t a t i o n a n d t a r g e t ma r k e t
s e l e c t i o n h a / e a n i n t i ma t e relationship with market
strategy formulation.
#he company may f ocus on t he f ol l owi ng f act or s
whi l e l ayi ng down t he target market.
-2
:" Geo;!594i6 Se;me3t5tio3

2eographi cal l y the country can be broadl y di /i ded i nto
0 sub segments8)ural4 'uburban and 5rban.
In the frst phase (after the test launch$4 5rban parts of the
country should be targeted. #he chosen segment is targeted
because O
HLack of infrastructure4 like refrigeration8not to /enture rural
markets.
H#he consumpti on pattern 1 beha/i or i n )ural I ndi a
does not f t wi th the product attributes and percei/ed
benefts.
H#he limitation of disposable income is another factor that
hampers entry in rural areas.
H'emi 8 5r ban may be cons i der ed i n t he s econd
phas e. An year af t er t he launch.
@ithin 5rban India4 the cities with 1 million P population i.e. top
20 metros will be targeted. A soft launch of the brand should be
undertaken before taking the brand to these areas. #his (test
launch$ will be undertaken in %ombay4 since it(%ombay$ is a
high consumption city for chocolates. ('ourceN Nestle (I$ Ltd
Oinfect NestlMCs sales peaked out in %ombay4 during its initial
launch$.
'" Demo;!594i6 Se;me3t5tio3

#he demographic /ariables ha/e been separately addressed
to arri/e at the target audience.
HA;eF12 years P segment of the population is
recommended to be targeted. 'mal l ki ds may not be
targeted4 because of the nature of the percei /ed
product beneft by consumers in that age group4 who are
inclined towards sweeter and creamier snacks. =urther4 it
may not be easy to get youngsters oD thei r tuck money.
-0
Al so4 chi l dren today al ready ha/e an array of cheap
domesti c and i nternati onal confecti onery (i n the form
of chewi ng8 gums4 lollipops4 rolls4 loBenges and toDees$.
HF5mi% Li8e C6%eF I3 terms of family life cycle it is
addressed at all of the followingN
1. 6oungL'ingle or arried (withLwithout >ids$
2. atri cul ates and 7ol l ege goers
0. arri ed wi th no chi l dren under 1:.
,. arri ed ol d coupl eL ol d si ngl e.
-. (mpt y nes t coupl es .
#he brand may positioned such that it fts all stages of family life
cycle.
>I36omeF #he income segmentation may be all households
with an annual income eGceeding )s. one lakh. #argeted
audience may be all households that can aDord a tele/ision or
ha/e access to satellite tele/ision.
<" P-64o;!594i6 Se;me3t5tio3
So6i5% C%5--F I n terms of psychograph the soci al cl ass
targeted i s the educated upwardly mobile urban middle and
upper class.
?ersonality #raitsN
#hi s segment essenti al l y consi sts of emul ators i . e. 4
upwardly mobile4 pioneers4 freaky4 fun lo/ing type of
people. #hese are the people who like to en.oy life and belie/e
in tra/eling and ad/enture.
Li8e St%eF In terms of lifestyle4 it may be aimed at those
who fa/or buying con/eni ence products. #hey are al so
wi l l i ng to eGperi ment wi th al ternate products in place of
con/entional food items4 as the uni/erse of chocolate
consumption is changing from occasion led to more casual
consumption.
)" Be45@iou!5% Se;me3t5tio3
-,
#he moulded segment of the market is percei/ed to be the
growth engine of the market. "ence4 this segment is Iuite
lucrati/e for a new brand launch. Also4 chocolate purchases
ha/e mo/ed from being occasion8led to a casual snack.
"ence4 anytime anyplace snack aspect needs to be established.
#his segment comprises of people who like to ha/e chances
and want to try new things.
*" Le5!3i3;,I3@o%@eme3t

#he purchase of a chocol ate i s of a l ow8 i n/ol /ement
category. I t i s an impulse purchase and decision to buy is not
pre8planned.
$" U-5;e R5te

#he mar ket may be f ur t her s egment ed on us age
r at her t han at t i t ude8 Anytime Anyplace 'nack. #his is a
group of consumers that fnd traditional snacks too hea/y.
(/en though a range of chocolates may be oDered4 a core brand
(concentrated strategy mentioned later$ may be launched
in the count l i ne segment. 'i nce thi s segment i s ti pped
to be the growth engi ne of the industry (according to
industry sources O r. 'an.ay <erkey4 7adburyCs India and r.
%ohi dar$ and thi s segment has a substanti al share of
the market (00J$.
TARGET AUDIENCE

=ollowing from the abo/e4 it is recommended to target consumers
who found traditional snacks too hea/y. 5sage rather attitude is
being used to segment. #his is the segment that tended to
pick up biscuits instead8something they could munch while
continuing with their schedule.
--
#here are 1:1 million urban indi/iduals in India !ur target
segment is people li/ing in the top 20 metros (1 million
Ppopulation$4 which implies &0 million people. =urther4 '(7
A8% in these 20 metros with 7able 1 'atellite at home are
targeted (*,. , J of '(7 A8% ha/e a cabl e 1 satel l i te
connecti on$.
SUGGESTIVE MARKETING MIJ FOR
INTRODUCING A NE# PRODUCTF
#he ob.ecti/e of the marketing miG de/eloped isN
/To de@e%o9 5 9!odu6t t45t i- 5@5i%5b%e. 5Ko!d5b%e.
b5-ed o3 %o65% !5D m5t e! i 5% . 53d 5d59t ed t o t 4e
t 5-t e 53d t 4e 3ut ! i t i o35% 45bi t - o8 t 4e
9o9u%5tio30"

#he el ements of the mi G 8 ?roduct4 ?ri ce4 ?l ace 1
?romoti on ha/e been entailed belowN
P!odu6t
As menti oned earl i er4 the two most i mportant
segments of the market are oulded and 7ount line
segment (segments ha/e a high share of the market$.Also4 it can
be seen in the fndings4 the Indian consumer does not
recogniBe the di D erence between oul ded and 7ount
l i ne segment. =urther4 a key decision that needs to be
taken is to decide whether to ha/e a core brand focus or
ha/e a plethora of brands. "ere4 it would be ad/isable to
launch a complete basket of products co/ering both the
count line and the oulded chocol ate segment (at l east
i f not ?anned$. A range of brands can hel p cushion out
risks o/er the entire oDering.
Also4 it has been that to sustain in the long term4 a
complete portfolio of chocolates for e/ery taste is essential.
-&
"owe/er4 a concentration strategy may be adopted in the frst
phase4 focusing on one core Uagship brand.
#he /arious product attributes ha/e been mentioned belowN
H'tipulations regarding the use of "ydrogenated <egetable
!il8"<! (since it contains nickel$ may be adhered to. Nickel
in chocolates can cause cancer. "owe/er4 research is still
on to pro/e this. ?roduct formulation should keep this aspect
in mind.
>P5675;i3;F
#he packages or the co/er packs4 of the brands can be in
%lue4 2reen and )ed color which represents a fun element. #he
packaging should keep the product crisp4 fresh and protected
from the harsh climatic conditions in the country4 and hence
pro/ide a longer shelf life.
>SiLe-F
As can be s een i n t he f ndi ngs t he mos t popul ar
s i B e i s ,+ gms . "owe/er4 in order to pro/ide a good
assortment of oDering4 the following siBes may be introducedN
_1- gm _0-L,+ gm _:+ gm.
_'uper 'a/er (1+- gms.$
_2++ gms

_2ift packagesN since4 chocolates is a /ery popular gifting option4
attracti/e gift packs may be introduced. #he oDering is also
planned to be distributed through gift shops4 hence4
attracti/e packs on the E'wiss 7oatsF (small local player$
concept be de/eloped.
HAny foreign brand formulation needs to be EtropicalisedF and
hence4 adapted to the Indian conditions. 3ropping of the
EinternationalF formula (Nestle had faced problems because
-9
of this as product could not take the Indian heat$ may be
considered.
>T5-teF
'ince4 Indians ha/e a preference for soft chocolates with
caramels4 wafers etc inside (see fndings$4 and the product
should appeal to the Indian pal ate by i ncorporati ng these
i n the oD eri ng. I n thi s segment there wi l l be di rect
competi ti on onl y from #ruZ e. A panel of target
consumers may be called in to sample any fresh batch of
chocolates4 so as to ensure that the product de/eloped
appeals to the Indian palate.
#he milk and creams in India are diDerent4 and workers no way as
well trained as abroad. "ence4 the product de/elopment must
keep this fact in mind.
H#he product should also ha/e a high shelf life with a good
shelf appeal as well. #his so since4 chocolates is an impulse buy
and a good distinct product look can attract a customer.
P!odu6t DiKe!e3ti5tio3
'ince4 there eGists strong competition from hea/y weights such as
Nestle and 7adburyCsQ the product oDering should be well
diDerentiated. Nestle4 when it l aunched i ts chocol ate
brands i n I ndi a4 ensured that each brand was wel l
diDerentiated 8 @hite chocolate(not con/entional brown$
with a sugary taste that appeal ed to ki ds4 i l ky bar
marbl es di D erenti ated as they had whi te chocolate centre
instead of the brown chocolate core in 2ems.
P!i6i3;
-:
=actors like competition4 internal costs4 and the positioning
and corporate ob.ecti/e of the company need to be taken
into consideration by a company before pricing a product.
?remium pricing (relati/e to the competing brands O not designer
chocolates$4 wi th speci al emphasi s on taste and Iual i ty
(most i mportant attri butes8 see fndings$ is
recommended. #he premium pricing does not suggest that
the oD eri ng i s made unaD ordabl e to the target
consumer. A hi gh pri ce woul d accompany a promise for a
better taste and Iuality. #herefore4 the brand(s$C taste 1
Iuality needs to .ustify the high price.
=urther4 the product category is relati/ely inelastic i.e.
consumers would not stop buying their fa/orite brands if
the price is increased by a few rupees(see fndings$.
7onsumers feel that e/en if the price of their fa/orite brand is
reduced4 they might not buy more of it. Also4 there is a
general perception of chocolates being E)easonably !.>.F('ee
fndings$.
According to 'arura %usiness4 the high priced (relati/e to other
brands in the market$ imported foreign brands ha/e been able to
draw a decent response. ?rimarily4 because of their high foreign
brand eIuity.
As can be seen in the table (on brand comparison Oon price4 gi/en
on the neGt page$4 Nestle and 7adburyCs are pitted against
each other and Amul is the cheapest brand in the market.
7onsidering the abo/e4 a premium pricing strategy4 with the
assurance of good Iuality and better taste4 in a market that
is not high on price sensiti/ity may pro/e to be a success.
It may be noted that the price should be only )s2L8 or )s 0L8
eGpensi/e than 7adburyCs or NestleCs oDering. =or instance
73 is priced at )s 1-L8 for ,+ gms
-*
NestleCs ilk 7hocolate at )s 10L8 for ,+ gms
Amul is priced at )s 1+L8 for ,+ gms
#he oDering in this segment may4 therefore4 be around )s 1&L8
@hile pricing the product4 the following duty structure may be
consideredN
H1: percent eGcise
H!ther state le/ied duties (after eGcise$ such as 'ales taG4
etc. (which /ary from state to state$8within 1+ to 2+ percent.
P%56eme3tF

#he s ucces s of any =72 pr oduct t hr i /es on
di s t r i but i on. =act or s l i ke f nanci al cost
eD ecti /eness$ peri sh abi l i ty of the productQ repeat
ordersQ manager i al capaci t y and uni t /al ue of t he
pr oduct need t o be car ef ul l y analyBed while setting up
the distribution framework of the company. #he pr oduct
cat egor y i s es s ent i al l y a E pul l F mar ket . "owe/er 4
t he channel members pro/ide greater /isibility to the product.
#his is eGtremely important s i nce chocol at es i s a l ow
i n/ol /ement i mpul s e pur chas e pr oduct . #he
recommended distribution framework has been entailed belowN
Re6omme3ded Di-t!ibutio3 Lo;i-ti6-
#he frst task in hand should be4 to eDecti/ely map the
territory into smaller more accessible and controllable units. An
eDecti/e territory mapping needs tobe done not only to pro/ide
an eKcient co/erage of the market but also to pro/ide
growth opportunities to the constituents (stockiest$4 as the
company grows. #he recommended distribution chain would be
as followsN
#he 7ompany
&+
7arrying 1 =orwarding Agents
'tockiestL 3istributors
@hole sellers
)etailers
C5!!i3; + Fo!D5!di3; A;e3t-F
#hese may be appoi nted at two or more 'tate(s$ of
operation of the company. 7arrying 1 =orwarding agents work on
a c o mmi s s i o n b a s i s O 0 J ( i n d u s t r y n o r ms $ o f
t h e g o o d s h a n d l e d . I t i s recommended that the
country keeps about , to & weeks of in/entory at the 71=
le/el and a commission structure which is in keeping with
the industry nor m. #her ef or e a 0 per cent
commi s s i on on t he i n/oi ce /al ue may be pro/ided to
the agents.
Sto67ie-tF
A s t o c k i e s t p r o / i d e s a l o c a l d e l i / e r y
p o i n t f o r t h e manufacturerLmarketer. #hey store the
products4 break bulk4 and distribute to the retailers. @ith greater
no. of retailers now seeking credit from the retailer4 eKcient
management of collection has become a /ital part of the
stockiestC .ob.
#he main problems that new product faces is that of getting
eGperienced and eDecti/e channel members. As eGisting
marketing marketerLmanufacturer can pi ggy back on the
eGi sti ng channel structure. A new company wi l l ha/e
to pro/ide greater incenti/es con/ince channel members to
stock the product oD er i ng. "ence4 an i nno/at i /e
means of channel handl i ng needs t o be adoptedN
&1
H7ompet i t i /e commi s s i on t o t he s t ocki es t 8 ar ound
-. &&J on t he i n/oi ce(industry standards -.&&J$
H#he eDorts of the sale representati/es employed by the stockiest
to get orders may be supplemented by the manufacturerCs sales
force.
H)etail outlets to be ser/iced at least four times in a month
(at least once a week$
H3istributors (stockiest$ to maintain stock of not more than 1- to
2+ days
H'ince4 distributors are to maintain air8conditioned go
downs4 in summers the AL7 eGpenses may be borne by the 7o.
HT4e Me!6453di-e! 6o36e9tF erchandisers may be appointed
by the company(salary to be borne by the 7o.$ in order to keep a
constant touch4 and to Efeel t h e p u l s e F o f t h e ma r k e t .
# h e s e me r c h a n d i s e r s wo u l d a l s o f a c i l i t a t e
implementation of /arious schemes of the co. )egular .ob would
includeN
_ #o check if products ha/e reached eGpiry
4
_ ?roper setting of shelf space
_ ?!? material displays4 etc.
_ore transparent and clearer claims handling policy
#4o%e-5%e!F
@hole sellerCs prime concern is buy in bulk and sell at the fastest
rate. #he aim of any distribution chain of mass8market
product category like chocol ates woul d be to eGpand i ts
reach i . e. the no. of outl ets stori ng i ts products. #hi s
may not be possi bl e e/en wi th a wel l establ i shed
&2
stocki est network. "ence4 wholesalerCs play a signifcant
role in supplementing the stockiestC eDort send in pro/iding a
better reach to the product.
Ret5i% Out%et-F
It is eGtremely important for any chocolate brand to ha/e a
wel l entrenched retai l presence. )each I the key.
7onsi der4 2eneral 3e7onfetaria (marketer of %oomer %ubble
gum$ ha/ing its products a/ailable in,+++++ outlets around the
country4 and ?erfetti with 2-+4+++ outlets. #he aim would be to
eGpand the retail network as wide and deep as possible.
A EblitB forceF tactic for retail chain enhancement may be
followed. A blitB force is a EcommandoF unit hired to target
specifc work. About - to 1+ salesmen4 recruited from the
same locality will be roped in to penetrate a specifc area.
%eing far more familiar with the area4 they are eGpected to create
about 1+ to12 new outl ets dai l y. #hi s task on a l ater
stage may be entrusted to the distributorCs salesman.
#he biggest problem in distributing a product category like
chocolates is lack of infrastructure. #he product needs to be
kept in refrigeration (more so4 in summers$8limiting the points
at which it is a/ailable (ideal temperature needed for chocolates
is 1: to 2- degrees$. "ence4 summer see sales suDer. 3emand
falls by almost two8thirds in the summer months. #o counter this4
the 7o. can O
H7oolLchilled /ans may be operated in summers (for 71= to
'tockiest transit of goods$. %ecause of only a seasonal
reIuirement4 these may be out sourced.
HInsulated boGes4 IceLchilled pads and packs4 Ice
surrounded 'inteG tanks4 towel s etc may be used to
ensure that the product reaches the retai l ers without
losing its form.
H7onsidering the importance of refrigeration (specifcally in
summers$4 <iBBy coolers may be installed. #hese coolers not
only pro/ide refrigeration but also a good ?!? /alue. =urther4
&0
while distributing chocolates4 it must be ensured that the brand
has a deep retail co/erage not a selecti/e presence. =inally4 while
deciding onto the selling outlets4 certain uncon/entional outlets
may be considered. #hese include O
5" SDeet S4o9-F
#he product may be kept at traditional 'weet 'hops. ore
so4 during festi/al times.

b" Gi8t S4o9-F
As the idea of gifting chocolate is becoming more popular among
the targeted segment4 i t woul d be prof tabl e to ensure
the a/ailability of chocolate chocolates at /arious gift shops.
6" St5tio35!IBoo7 S4o9-F
#eenagers4 is a lucrati/e segment with a high consumpti on
rate. #hey freIuent book shops and magaBi ne stores
Iuite often. "ence4 making chocolate a/ailable at these outlets
may be considered.
d" I6e C!e5m P5!%o!- F
In India4 ice cream is treated as a fun product and a sweet dish
or a desert after meals. %oth these attributes match with
chocolate consumption habits. "ence4 ice cream parlors may
pro/e to be benef ci al i n pro/i di ng greater reach to the
product. "ere agai n4 chai ns l i ke 3ol l ops4 etc. may be
used i n order to faci l i tate greater reach. A strategic
distribution tie8up may be reached with ice cream
compani es such as >wal i ty @al l s4 <adi l al C s etc for
di stri buti on of chocol at es al ong wi t h t he
di s t r i but i on of i ce cr eams t hr ough t he <ending #rolleys.
e" F5-t,8ood Joi3t-IRe-t5u!53t-F
A s a d i s c u s s e d a b o / e t h a t o n o u r country the
chocolates can be ser/ed as a sweet after meals4 hence
separate counters may be installed at /arious fast food
.oints such as ac 3onal dC s4 Ni rul aC s etc. #hi s woul d
pro/i de the brand4 not . ust greater /isibility but also
&,
/aluable sales. Also4 these outlets possessadeIuate
infrastructure to store chocolates.
8" JeDe%%e! S4o9-F
#he leading .ewellery shops in the city entertain their customers
with cold drinks and or tea. #hese are not suited to all. #he
complimentary chocolate treat at the particular shop would only
status of treating his clients diDerently and the children folk
would also en.oy t hi s s peci al t r eat ment and l ea/e
f ddl i ng wi t h t he pr eci ous gol d garments.
;" EB6%u-i@e C4o6o%5te P5!%o!- F
As can be seen in the fndings4 there has been an
o/erwhelming response to the idea of buying chocolates
from eGcl usi /e chocol ate outl ets. "ence4 de/el opment
of eGcl usi /e chocolate parlors may be considered.
P!omotio3F
#his in/ol/es communicating persuasi/ely to the
consumers4 in or der t o ar ous e t hei r i nt er es t i n t he
pr oduct . A det ai l ed pr omot i on pl an in/ol/ing
ad/ertisement4 sales promotion and public relations is proposed.

Po-itio3i3;F
#he posi ti oni ng of the /ari ous brands i n the market
has been listed belowN
C5dbu!C-
B!53d-
Po-itio3i
3;
Ne-t%eC-
b!53d
Po-itio3i
3;
7adburyCs
3airy milk
E#he )eal #aste
of LifeF
7lassic ilk
chocolate
?ositioned as
an aDordable4
enriched milk
chocolate
=ruit n Nut ?ositioned at
7reamy %ar Adults as an
&-
)oast Almond Impulse
anytime
Nut ilk purchase
7rackle 'elf eGpression
%oon/ille <alues
attached
- 'tar L ?erk ?erk8
?ositionesed as
a snacking
consumption.
>it >at ?ositiond as a
snacking
consumption
%reakL7rispL3ou
ble 3ecker
E#hodi 'i ?et
?oo.aF
-'tar8(nergy
%ar
E"a/e a %reak4
"a/e a >it
>atF
)each for the
'tars
%ar !ne ?ositioned as a
trendy4cool
anytime snack
2emsL(clairs
?ositioned as
%utterscotch <ariety4 gifting
7aramelsL!/ert
ures
and taste
preference
NuttiesLAll 'ilk
#iKns
)elish
#he Uagship brand may be positioned as a premium (see
pricing$ anyplace4 anyti me snack. 'i nce4 snacki ng
proposi ti on i s the growth engi ne for the i ndustry4
posi ti oni ng shoul d hence4 be focused on that. #he two
dri /ers8 i mpul se purchase and need to snack.
Ad@e!ti-eme3t P%53

#he Ad/ertisement plan could be as underN
&&
Co!9o!5te ob?e6ti@eF #he corporate image should be built
o/er a period of time4 so as to reinforce consumer
confdence in the brands of the company. #hi s i s al so
essenti al to counter competi ti on4 si nce o/er a peri od
of ti me4 names such as 7adburyCs4 Nestle ha/e attained high
le/els of recognition and assurance.
Ad@e!ti-eme3t Ob?e6ti@e-
H#o position the product as a Ehigh Iuality brand4 with a wide
range of oDering4 pro/iding4 fun anytime4 anyplace productsF.
H#o create awareness about new Ua/ors.
HInduce consumer trials.
H%uild corporate image
H#o undertake competiti/e ad/ertisement.
T4e Bud;etN
7onsidering the fact that the market is dominated by big8
wigs such as 7adburyCs and Nestle4 aggressi/e competiti/e
ad/ertising needs to be undertaken.
'ince both >it >at and ?erk are allocating &+ to 9+ percent
of their total ad budget on chocolates4 an allocation of about 2+
to 2- percent of the pro.ected turno/er may be suKcient in the
frst year. After which about 1+ to 12 percent may be used to
sustain the brands.
essageN #he message design will be consist of followingQ
HA99e5%F 7hocolate is basically a fun product and eGchange
chocolate as gifts i s getti ng popul ar these days. An
(!#I !NAL appeal of ELo/eF can be designed. Apart
from it chocolate can be highlighted by fun elements in life
can be positioned as !!3 (L(<A#!)'. An A'?I)A#I!N
appeal would also be helpful.
HP!e-e3t5tio3F #he design of ad/ertisement will be the
setup of fun scene like picnic4 college4 campus4 sports.
&9
2round4 partly time can be suitable so that people can
EAssociateF the chocolate with fun.
HMe--5;e Sou!6eN =or print media the message source will
be the copy part and creati/e ad/ertisement design. =or
electronic media4 the source will be whole family unit4
younger en.oying eGchanging and eating chocolate.
Medi5F

P!i3t Medi5F @ill be the ma.or magaBines read by the
target segment i.e..4 India today4 society4 famine4 stardust etc.
H?.!.?.aterial induce impulse purchase.
E%e6t!o3i6 Medi5F 'ince the whole of target segment watch
'atellite #< during pri me ti me and ad/erti sement wi l l be
featuri ng share for 0 or more ti me to l ea/e an i mpact.
Apart from i t company wi l l be sponsori ng the fun
rel ated programmes on 33 and 'atellite #<.
Pub%i6 Re%5tio3-F
I . # h e c o mp a n y wi l l h o l d a p r e s s c o n f e r e n c e
a n n o u n c i n g i t s a r r i / a l i n India and will highlight its
global achie/ements.
I I " 7o mp a n y h a s p l a n t o s p o n s o r e / e n t s l i k e 2
/ i B . 4 s k i i n g r i / e r r a f t i n g 4 yachting etc.
I I I . 7ompany wi l l al s o s pons or f un bas ed #<
pr ogr ams .
S5%e- 9!omotio3 A6ti@itie-F

#o induce consumers to try the new chocolate and to get the
product pushed in the market the sales promotion plan should
include the followingN
T!5de 9!omotio3F
#he 7ompany will ha/e to oDer lucrati/e trade promotion
schemes4 in order to push primary sale. #hese include incenti/es
to stockiest for pushi ng the sal e of chocol ates. At the
&:
retai l l e/el 4 the fol l owi ng trade promotion measures may
be adoptedN
H'chemes such as4 a certain percent oD on the purchase of
)s -+++ or )s1+4+++ worth of chocolates.
HA boG of chocolates free with e/ery doBen purchased.
H'hop 3isplaysL<iBBy 7oolers Olinking them to sales
Apart from these4 @indow 'helf space may be purchased outright.
Co3-ume! P!omotio3F
'ome of the consumer oDers that could be introduced areN
:" =ree gifts like pen4 comics etc.4 on return chocolate
wrapper.
' " o n e y ' a / e r s
<" 7hocol ates i n a toy truck etc.
) " # h e 7 o mp a n y c a n a n n o u n c e c o n s u me r
E c o n t e s t s F ( wi t h p r o o f o f purchase$ with attracti/e
priBes4 supplemented by an ad/ertisement campaign.
Poi3t O8 Pu!645-e M5te!i5%F

?!? is of eGtreme importance4 to a product category like this. #his
is so4 since sales are impulse Lcasual dri/en. "ence4 hea/y point
of purchase ad/ertising in the form of danglers4 chocolate
dispensers4 etc. may be used.
M5!7et Te-ti3; P%53
#he company should test the product before it goes national (20
metros withmillion P population$. #his is so becauseN
:"It would reduce the risk of failure in the market where it
goes national4by /alidating the marketing miG.
'" =aci l i tate /al i dati on of posi ti oni ng.
<"Allow correcti/e action through incorporation of consumer
feedback.
=or test marketing the chocolates4 the plan may be as followsN
&*
1.#est !b.ecti/esN #o /alidate the brand names4 new outlets4 etc
and tomeasure the sales /olume4 pricing and promotion
policy. 7ompetitor reaction can also be analysed.
2.#he product may be launched in %ombay ( as a soft(test$
launch$. #hisselection was based on N
H%ombay is uniformally represented by the target segment
H7ompetitor acti/ity is high. Also4 Nestle was able to wrest a
signifcant marketshare from 7adburyCs when it was launched.
H%ombay is representati/e of the target segment.
IMPLEMENTATION
A wel l des i gned mar ket i ng pl an count s f or
not hi ng4 i f not i mpl ement ed properl y. 'uccess i n the
market pl ace depends upon the way the pl an i s
i mp l e me n t e d . # h e l a u n c h i s r e c o mme n d e d t o
b e b e f o r e wi n t e r s 8 s a y 'eptember or !ctober4 since O
H#hat period would facilitate high 3iwali sales4 and
H3ur i ng wi nt er s t her e woul d not be much need f or
r ef r i ger at i on. "ence company would get /aluable time its
infra in place.
#he success of the brand would largely depend on the followingN
H'ales 3istribution Network
H`uality standards
H)esearch and 3e/elopment8continuous inno/ati/e products
H#echnology support

9+
CONCLUSION
#he growth and eGpansi on of the I ndi an chocol ate
market i n the past has8been hampered4 due to stiD eGcise
duties on chocolates (at 1: percent O while other agro based
products are being charged as low as :J and a few4
e/en+J eGcise$ and non8a/ailability of Iuality cocoa in the
country.
Also4 import of chocolates has been put in the !2L category4 with
duties being reduced (in a phased manner$. #he industry has
made recommendations to the Indian go/ernment to go back
to the 'pecial item list category4 in order to safeguard the
domestic industry.
"owe/er4 conti nuous marketi ng focus by the pl ayers i n
the market has resulted in the industry looking up like ne/er
before. #hese companiesLbrands ha/e become much more
market sa//y. #he I ndi an chocol ate market i s
transforming and new players ('ara Lee is planning to set
up base in India$are entering the market. "ence4 considering
the low per capita consumption of chocolates4 the future of the
industry seems to upbeat.
91





ANNEJURE


92



:" ?lease rank the following attributes in a chocolate on a scale
of 189
According to their importance to youS (18most important4
98least
Important$
a. #aste
b. `uality
c. ?ackaging
d. ?rice
e. =la/our
f. Add8ons (wafer4 nuts4 etc$
g. %rand image
'" If particular brand is not a/ailable with the retailer4 you wil8
a. 3rop the idea of buying a chocolate
b. 2o to another retail outlet
90
c. #ry another (competitorCs$ brand
<" 6ou purchase (of a chocolate$ is
a. !ccasion8led (say on a birthday4 etc.$
b. As a gift
c. 7asual purchase
)" If you fa/ourite brand is a few )s eGpensi/e than it is4 you
would still
2o for it.
a. 6es
b. No
*" A sale promotion scheme like )s 2L oD4 1+gms eGtra4 a candy
free4 etc.
@ould aDect your purchase decision.
a. 6es
b. No
$" An ideal chocolate would taste as follows8
a. %itter
c. @afer enrobed
9,
d. 7aramels4 nuts inside
e. "igh on sweet
f. Any other (please specify$
=" ost of my chocolate purchases are pre8planned.
a. 6es
b. No
H" @hat siBe of a chocolate do you normally buyS
a. 1-gms
b. 2-gmsL0+gms
c. :+gms
d. 'uper sa/er packs(1+-gms$
e. 2++gms
&" #he price of your fa/ourite brand or preferred brand of
chocolate is
a. "igh 1 eGpensi/e 99
b. )easonably ok
c. cheep
9-
:(" Are you happy with the kind of chocolate brands in
India4 todayS
a. 6es
b. No
::" If the price of your fa/ourite brand is reduced4 you will
buy more of itS
a. 6es
b. No
:'" If you want to buy a D58e! chocolate4 say kitkat and if
it is not a/ailable
you would settle for B5!IMou%ded chocolate4 say -star or
7adburyCs dairy
milk.
a. 6es
b. No
:<" !n an occasion I would like to gift a chocolate to a
lo/ed one.
a. 6es
b. No
9&
:)" @hat according to you is the suitable price for a ,+
gm. 7hocolate which is
!f good Iuality and Ua/or(which will be a/ailable for the frst
time$.
a. %elow )s.1+L8
b. %etween )s.1+L8to1,L
c. )s. 1,L8to)s2+L8
d. ore than )s.2+L8
:*" 3o you consume chocolate
a. 6es
b. No
:$" "ow often do you buy chocolate
a. ?er day
b. @eek
c. onth
d. No
:=" @hat brand of chocolate are u aware of
99
a. 7adbury
b. Amul
c. Nestle
d. !ther
:H" @hat inUuenced you to buy the abo/e stated brandsS
a. Ad/ertising
b. 3ealer
c. Attracting packing
d. 'hop display
:&" If a particular brand is not a/ailable with retailer. 6ou
willS
a. 3rop the idea
b. %uy another brand

'(" Ideal chocolate would taste as follow
a. %itter
b. @afer enrobed
9:
c. 7aramels nuts inside
d. Any other
':" If you buy chocolateS
a. A gift
b. 'pouse
c. 7hildren
d. =riends
BIBLIOGRAPHY
>otler ?hillip4 arketing anagement4 illennium edition.
(?rentice hall of India$.
%usiness today
%usiness @orld4
9*
%usiness India4
(conomic #imes
7I( reports

indiainfoline.com
Internet sources
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www.agencyfaIs.com
www.nil.comwww.cadburys.com
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:+