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Cadbury Marketing Strategy

Cadbury Marketing Strategy

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Published by: Samata Shettigar on Aug 24, 2010
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On 7 May 2008. Milk chocolate for eating was first made by Cadbury in 1897 by adding milk powder paste to the dark chocolate recipe of cocoa mass. and Gems. In Milk Food drinks segment.OVERVIEW OF THE COMPANY Cadbury India is a food product company with interests in Chocolate Confectionery.Bournvita is the leading Malted Food Drink in the country. In 1905. Today. Temptations. Cadbury and Schweppe merged in 1969 to form Cadbury Schweppes plc.000 direct and indirect suppliers We employ around 45. Its heritage can be traced back in 1824 when John Cadbury opened a shop in Birmingham selling cocoa and chocolate. Cadbury India began its operations in 1948 by importing chocolates and then re-packing them before distribution in the Indian market. was launched. In 1824. Snacks. Eclairs. y y y y y y We make and sell three kinds of confectionery: chocolate. and Candy. Milk Food Drinks.making us nearly 200 years young We work with around 35. Cadbury Dairy Milk. 5 Star. cocoa butter and sugar. the separation of our confectionery and Americas Beverages businesses was completed creating Cadbury plc with a vision to be the world's BIGGEST and BEST confectionery company. Since then we have expanded our business throughout the world by a program me of organic and acquisition led growth. Some of the key brands of Cadbury are Cadbury Dairy Milk. By 1913 Dairy Milk had become Cadbury's best selling line and in the mid twenties Cadbury's Dairy Milk gained its status as the brand leader. gum and candy We operate in over 60 countries John Cadbury opened for business in 1824 . Switzerland. Celebrations. Cadbury has five . John Cadbury opened in Birmingham selling cocoa and chocolate. Cadbury is the market leader in Chocolate Confectionery business with a market share of over 70%.000 people Every day millions of people around the world enjoy our brand Cadbury is the world's largest confectionery company and its origins can be traced back to 1783 when Jacob Schweppe perfected his process for manufacturing carbonated mineral water in Geneva. Cadbury's main product . Perk. Cadbury's top selling brand.

For companies. Kolkota and Chennai). perceived quality and strong brand association. Brand equity is the value of a brand based on the extent to which its has brand loyalty. . Cadbury employs 60. Induri (Pune) and Malanpur (Gwalior). strong brands add value.company-owned manufacturing facilities at Thane. intended to identify the goods and services of one seller and to distinguish them from those of competitors". enabling premium pricing and making widespread distribution easier to achieve. Brands have many benefits for companies and consumers. brands help them to quickly identify products and make shopping easier. Branding helps differentiate products and can be a powerful tool of competitive strategy. This means the brand can act as a barrier to competition. While products can come and go over time. WHAT IS BRAND? A brand is a name sign symbol slogan or design or a combination of these. Worldwide. Consumers will pay a premium price for a branded product if they believe they it provides a higher value. and consumers develop positive associations with the brand and are less likely to purchase competitors¶ products. brands (if properly managed) can live indefinitely. brand name awareness. Strong brands carry a guarantee of quality which consumers trust and are often willing to pay more for. Its corporate office is in Mumbai. Mumbai. Brand loyalty helps create and sustain high sales and profit. Building strong brand is an important marketing strategy for companies. Bangalore and Baddi (Himachal Pradesh) and 4 sales offices (New Delhi. For consumers.000 people in over 200 countries.

This proposition should be easy to understand and appeal to the target market. The base of the pyramid is formed by the brand themes which are concerned with the brand currently communicate through its advertising.g. clothes. The brand pyramid helps managers understand the strengths of the brand and ensure consistency of its message. visual symbols (such as logos). The middle tier represents the brands style or elements of the brands¶ identity that represents the self image of the brand of the brand and need to be relatively stable over time. such as ³John Rocha Waterford Crystal´ . as this is key to gaining market acceptance and leadership.Brand Meaning Brand core Brand proposition Brand style Brand themes A brand pyramid can help managers plan and analyze a brand¶s identity. packaging. product shape and design. e. using a well known designer name on cosmetics.DEVELOPING A BRAND A brand identity is the message sent out by the brand through its name. A brand extension is the use of a well known brand name on a new product category. fashion. This also helps to identify the opportunities for brand stretching and brand extensions. The Brand Pyramid . We will discuss this in relation to the DAIRY MILK brand. The top tier of the pyramid consists of brand core. sunglasses etc. advertising etc. Brand starching is the use of an established brand name in unrelated markets or product categories . . This identity needs to be planned by brand management. technological developments and changing consumer tastes. Brand core values are the genetic code of the brand and remain the same overtime. Closely related to these values is the brand proposition : the promise the brand makes to the consumer.

The sub brand is then distinguished by its own individual livery. Cadbury uses a combination of brand strategies. Researches show 90% of the people recognizes the brand while 74% state that when it comes to chocolate only CADBURY will do. while allowing an individual brand to be identified. There are three main brand name strategies: Family brand names: The parent brand is also known as an ³umbrella´ brand. The family brand . i. Cadbury Crème Egg. This term is given to product ranges where the family brand name is used for all products. Cadbury Roses and Cadbury Flake to name a few.e. The advantage of this approach is the positive associations with the parent brand will transfer to all sub brands.\ Individual brand names (multi brands): in this case each brand is created and named separately and has separate identity.Cadbury is linked with its famous sub brands . The risk however is that that if one brand is unsuccessful or falls into disrepute. Cadbury Dairy Milk. e. Cadbury is a family brand . Recently marketers have identified particularly strong family or corporate brands as .g. Using a family brand may not be that suitable as brand values may be far apart.CADBURY: THE BRAND The brand CADBURY enjoys a high level of brand equity. The family brand identity is style communicated by packaging with the Cadbury corporate purple color and the distinctive Cadbury script logo. the reputation of the complete family of brands can be tarnished. Combination brand names: This approach allows for the optional use of the corporate brand name.

In 2002 more than 19 million Dairy y Milk products were sold.e. A Megabrand or range brand spans an entire range of products. vision and values. Cadbury¶s core brand values include "life¶s everyday pleasures that make us feel good and never let us down. creating. The Cadbury Dairy y Milk brand has been stretched to become a family brand in its own right. the one with the greatest loyalty is Cadbury Dairy y Milk. Cadbury is such a brand. representing them in a way that is easily understood by consumers. IBM is another example of MASTERBRAND. However. Cadbury y made a strategic marketing decision to leverage the value of the Dairy Milk brand (i. we consumer s trust Cadbury chocolate to make us feel better BUILDING A MEGABRAND: CADBURY DAIRY MILK In the last year there has been a major development in brand strategy at Cadbury y Ireland.MASTERBRANDS . optimize the market potential of the brand ) by elevating it to a Megabrand or range brand. relationships with products which may have been previously unseen by customers. Of all the successful Cadbury brands. As a reward or a pick me up. . a true Masterbrand is more than name of the company ± it incorporates the company¶s mission.

In addition. For Cadbury.The rationale for a mega brand: 1. Megabrands are better resourced and have a greater chance of success than standalone brands. Test showed that 85% of Wispa consumers were likely to buy Dairy Milk showed that 85% of Wispa consumers were likely to buy Dairy Milk. Cadbury Dairy Milk will provide the perfect accompaniment¶ Two products in the Cadbury range created a dilemma: Wispa and Caramel. while 89% of Caramel . The Dairy Milk Megabrand without alienating loyal consumer s. The new aerated chocolate product now in square form. Both were blocking chocolate and provided a fit with the Dairy Milk Megabrand. which is also easier to break. Their inclusion provided the opportunity to further leverage.e. the (blocks) chocolate brands were included as they were perceived as variants of Dairy Milk. 2. Both were standalone products with distinctive identities. To incorporate these products into the Dairy Milk range called for a fresh strategy. Stand alone it increasingly difficult to compete with Megabrands. Other factor s leading to the emergence of the Megabrand include growing Pressures and greater global competition. A Megabrand strategy can add visibility to products and provide greater credibility to consumer s for a variety of offers under the brand. The core proposition of the new Dairy Milk Megabrand could be described as µdelivering recipes for lives upbeat occasions i. no matter what your humor or the occasion. products are chosen for inclusion on the basis of their compatibility with the brand¶s identity. proved popular. Creating and maintaining brands has become very expensive. Both had a loyal consumer base high should not be abandoned. it is easier for consumer to try new offers from their trusted brand. The Megabrand concept can help provide structure and unity to a strategy. Megabrands provide economies of scale as the fixed costs of maintaining a brand name can be spread across the sales of numerous product lines. SCOPE OF THE MEGABRAND When developing a Megabrand. The new Dairy Milk Bubbly brand benefited from a new name which better conveys the distinctive "mouth feel" of Wispa.

customers indicated their likelihood to buy the new Dairy Milk Caramel. Fruit & Nut. They are breakfast type bars that are quick to eat in. or cappuccino. "Chunky" (thicker) versions called Caramilk "Thick" and cylindrical versions called "Caramilk Rolls" (similar to Rolo) have also been introduced. and sold in the UK by Cadbury UK and also sold in Australia and South Africa. Cadbury Caramilk is a caramel-filled chocolate bar made by Cadbury Adams in Canada. Chocolate Chip and Toasted Coconut and is made by Cadbury UK. Mixed Berry. Its wrapper says that it consists of milk chocolate with caramel and biscuit filling. and ideally as a slightly healthier and more wholesome snack option to chocolate bars. Apricot & Almond. They come in a variety of flavours: Raisin. ." Cadbury Brunch Bar is a bar of cereals (oats. Hazelnut. It was first sold in 1968. bran flakes and crispies) bound with honey and half covered in milk chocolate. include Caramilk made with dark chocolate maple. This approach will keep the range fresh!!!!!!! CADBURY AND ITS PRODUCTS Cadbury Boost is a chocolate bar made by Cadbury Ireland in the Republic of Ireland. some of them limited editions. The wrapper also states that Boost is "Charged with glucose.[1] Variations available. Cranberry & Orange. chocolate. Other range refreshment initiatives involved deleting some products such as Banoffi while incorporating new variants like Cadbury Dairy Milk Orange Shots.

hole Nut and Standard. Crispy Crunches were sold in the United States for a brief time in the 1990s by the food distribution arm of Pro Set the collectible card company. so parts of the bar can be "saved for later" although the bar is the same as the old 8 chunk but in Fruit and Nut. l Since Cadbury began manufacturing of the chocolate bar. though packaging continued to feature the Neilson ogo for a few years. This bar has the new logo and packaging. Neilson. B r and a Half In June 2009 Cadbury launched the "Cadbury Dairy Milk Bar and a Half" range as a replacement to the Cadbury Dairy Milk " chunk" across several Dairy Milk variants. Pro Set went bankrupt resulting in Crispy Crunch no longer being available in the United States. Th e concept is that the bar is to be more "portionable". the recipe has changed in that it is less salty and more sweet as it has a more of the crunchytopaz coloured candy coating around the centre. . However instead of larger bars. two separate bars are packaged together and are called "Duo". sold all their chocolate brands to Cadbury in 1996. A lower-calorie version of Crispy Crunch was available for a limited time in the mid-1990s. The original manufacturers. Both brands received a packaging refresh at the same time. Crispy Crunch is sold in Canada.peanut flake inside that is made Cri p Crunch i a hard chocolat bar with a cri by Cadbury. A similar techni ue has been introduced with Cadbury Double Decker and Cadbury Boost bars.

The super premium Celebrations Rich Dry Fruit Collection which is a festive offering is an exotic range of chocolate covered dry fruits and nuts in various flavours and the premium dark chocolate range which is exotic dark chocolate in luscious flavours. To do this the variant Cadbury 5 Star Crunchy was launchedwhich still had the richness of caramel. when it was renamed. In early 2009 it was relaunched. The bar is sold in the United Kingdom and Ireland. Cadbury five star Cadbury 5 Star needed to introduce an element of surprise in its eat experience to gain share among lapsed consumers. Perk. radio. Dairy Milk and Nutties and rich dry fruits enrobed in Cadbury dairy milk chocolate in 5 variants. outdoor and print media. internet. Gems. It is also a major success as a corporate gifting brand. with the Caramel name re-emphasised as the main on-pack brand. chewiness of nougat but also contained rice crispies. Rakhi. and the Dairy Milk brand reduced in size. In o rder to engage youth the campaign was executed acrossTV.Cadbury Dairy Milk Caramel is a chocolate bar that is part of the Cadbury Dairy Milk brand and is made by Cadbury UK and Cadbury Ireland. Cadbury celebrations : Cadbury Celebrations was aimed at replacing traditional gifting options like Mithai and dryfruits during festive seasons. The blocks vary in shape and number according to the size of the bar. originally called Cadbury Caramel until 2003. the blocks are stamped with the word Cadbury on the top. The bar was first launched in 1976. Cadbury Celebrations has become a popular brand on occasions such as Diwali. . nut butterscotch and caramels. but on all bars. The communication is based on the emotional route and the tag line says "rishte pakne do" which fits with the brand purpose of strengthening your relationships with something sweet. Cadbury Celebrations is available in several assortments: An assortment of chocolates like 5 Star. Dussera puja. raisin magic. he product is a Cadbury Dairy Milk chocolate bar semi-divided into blocks each of which has a caramel filling. Almond magic. cashew magic.

Cadbury Perk: A pretty teenager. this 'anytime. a long line. Cadbury Perk in 1996. the bubbly and vivacious Preity Zinta became the new face of Perk with the 'hunger strike' commercial in the mid 90's. As the years progressed. Cadbury Perk became the new mini snack in town and its proposition "Thodi si pet pooja" went on to define its role in the category. To compliment Cadbury Perk's values. which changed with changes in the consumers' way of life. so did the messaging. . Cadbury Perk targeted the casual snacking space that was dominated primarily by chips & wafers. and hunger! Rings a bell? That was how Cadbury launched its new offering. Raageshwari started the trend of advertising that featured mischievous. With its light chocolate and wafer construct. anywhere' snack zoomed right into the hearts of teenagers. With a catchy jingle and tongue in cheek advertising. bubbly teenagers getting out of their 'stuck and hungry' situations by having a Cadbury Perk.

Cadbury Gems has always had 'Masti' as the key proposition in all its communication. Cadbury Bournvita has continuously re-invented itself in terms of product. In fact. Cadbury Bournvita was launched during the same year. The Cadbury lineage and rich brand heritage has helped the brand maintain its leadership position and image over the last 50 years. promotion & distribution. With this promise in mind. Little wonder that Cadbury Gems. Throughout it's history. Cadbury Gems brings happiness to the consumer's world. packaging. Who can forget the unique. Cadbury Bournvita : Cadbury was incorporated in India on July 19th. It is among the oldest brands in the Malt Based Food / Malt Food category with a rich heritage and has always been known to provide the best nutrition to aid growth and all round development. 1948 as a private limited company under the name of Cadbury-Fry (India). encased in a pack that's as colorful as the product itself? Unrivalled in all these years. brightly colored chocolate buttons with crispy shells. Cadbury Gems has captured every consumer's fantasy for almost 4 decades. the brand that came into India in 1968 is still going strong. Cadbury Gems is always a willing ally for pranks and fun. .Cadbury Gems : The saying "Good things come in small packets" has been proven right many a times and it couldn't have been truer for the pretty chocolate buttons called Gems.

Adults like the products of Cadbury as much as children do. This approach is known as integrated marketing communications and ensures that consumers receive a clear and consistent message about a brand. The chocolate packs contain special chocoloates such as dry fruits rich chocolates as people normally serve dry fruits during diwali. It was not only considered better but also superior to carry Cadbury instead of the normal sweets. Cadbury aimed at replacing the traditional sweets. They are exclusively indianised. . Cadbury implemented comprehensive ³360 degree support´ campaign.INTRODUCING CADBURY AS AN AFTER DINNER SWEET One of the biggest marketing strategy followed by Cadbury in India was introducing Cadbury as an after dinner sweet. Cadbury also aimed at selling in bulk during festive seasons such as diwali and rakhi. COMMUNICATING STRATEGY To promote the new dairy milk megabrand . Indians are fond of having dessert after their dinner. Its products are not limited to children alone. Indians have the habit of carrying sweets as gifts when they visit a friend or relatives. In most of its advertisements. the brand is endorsed and advertised by adults rather than by children even though it basically sells chocolate. Another reason for Cadbury being such a successful brand was that it aimed at replacing the traditional sweet custom so prevalent in India. Cadbury items became the new sweets. Apart from its after dinner advertisement Cadbury targeted adults rather than children. Such type of advertisements have created a very wide range of consumers for Cadbury. This involved a highly coordinated set of promotional activities across various communications channel each activity bearing the same message . Diwali and rakhi packs are designed to give a feel of the festivities going on.

product developers. a buy-two-get-one free promotion on 100g bars. Not only will others know who they are dealing with. reliable one? Is your product the high-cost. It tells them what they can expect from your products and services. packaging and promotional materials--all of which should integrate your logo--communicate your brand. They branded themselves through continuously using their own name or that of their website. An effective brand strategy gives you a major edge in increasingly competitive markets. your brand is your promise to your customer. Branding is all important for those of use who want to be recognized for their name. but now under the Dairy Milk brand. the strategy can be considered a success! Branding is one of the most important aspects of any business. new display units . Like the big name brands such as Sony. the brand name is either their own name. Google. The strategy involved a packaging and range refreshment strategy which has resulted in a unified innovative Dairy Milk brand. The foundation of your brand is your logo. Are you the innovative maverick in your industry? Or the experienced. Your brand is derived from who you are. Who you are should be based to some extent on who your target customers want and need you to be. etc. For most.The 360 degree support campaign include a point of sale competition to win a new look . But what exactly does "branding" mean? How does it affect a small business like yours? Simply put. or else the name of the product they developed. This initiative is intended to leverage the strength of the Cadbury Dairy Milk brand to the full. retail or B2B. writers. PR and advertisements in the trade press. They can differentiate a company¶s products and customer loyalty. Yaro Starak. Amazon. Having exceeded initial sales tar gets by a considerable margin. then our name will be a synonym of quality further down the track. business or product. who you want to be and who people perceive you to be. high-quality option. Your website. pro-bloggers all need a brand to be instantly recognized by. John Chow. and you can't be all things to all people. We all know that big name bloggers such as ShoeMoney. and it differentiates your offering from your competitors'. business professionals such as freelancers. The Cadbury Dairy Milk brand has evolved into a Megabrand incorporating a range of products each with their own identity. but if we brand ourselves properly. or the low-cost. business idea. Yahoo. large or small. The result was that sales of the new Megabrand products exceeded targets by 12 % !! CONCLUSION In today¶s competitive business environment brands have assumed a role of growing importance. . helping to sustain profitability in the long term. Maki and Daren Rowse have managed to do just that. high-value option? You can't be both.

BIBLIOGRAPHY http://www.cadburyindia.com/home/index.asp http://images.wikipedia.google.cadburyindia.com/brands/choco1.co.asp .org/wiki/Cadbury_plc http://www.in/images http://en.


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