Professional Documents
Culture Documents
On
“Analyzing the Consumer Behavior and Buying
Pattern of Cadbury Chocolates in the Market.”
Introduction
Nature of Consumer Behavior:
FACTORS AFFECTING
CONSUMER BEHAVIOR:
COMPANY PROFILE
SWOT Analysis:
Finding
Suggestion
Conclusion
Bibliography
1. INTRODUCTION
The roles also vary in different consumption situations; for example, a mother
plays the role of an influencer in a child’s purchase process, whereas she plays
the role of a disposer for the products consumed by the family.
They borrow money from friends, relatives, banks, and at times even adopt
unethical means to spend on shopping of advance technologies. But there are
other consumers who, despite having surplus money, do not go even for the
regular purchases and avoid use and purchase of advance technologies.
The rich rural consumers may think twice to spend on luxuries despite having
sufficient funds, whereas the urban consumers may even take bank loans to buy
luxury items such as cars and household appliances. The consumer behavior may
also vary across the states, regions and countries. It may differ depending on the
upbringing, lifestyles and level of development.
a. Product design/model
b. Pricing of the product
d. Packaging
e. Positioning
f. Place of distribution
1. CULTURAL FACTORS:
Consumer behavior is deeply influenced by cultural factors, such as buyer’s
culture, subculture and social class.
Essentially, culture is the share of each company and is the major cause of the
person who wants and behavior. The influence of culture on the purchasing
behavior varies from country to country; therefore, sellers have to be very careful
in the analysis of the culture of different groups, regions or even countries.
2. SOCIAL FACTORS :
Social factors also influence the purchasing behavior of consumers. Social factors
are: the reference groups, family, the role and status.
Buyer behavior is strongly influenced by a family member.
So vendors are trying to find the roles and influence of the husband, wife and
children. If the decision to purchase a particular product is influenced by the wife
then sellers will try to target women in their ads.
Here we should note that the purchase of roles change with changing lifestyles of
consumers.
3. PERSONAL FACTORS:
Personal factors may also affect consumer behavior. Some of the important
factors that influence personal buying behavior are: lifestyle, economic status,
occupation, age, personality and self-esteem.
Age and life cycle have a potential impact on the purchasing behavior of
consumers. It is obvious that consumers change the purchase of goods and
services over time. Family life cycle consists of different stages as young singles,
married couples, and unmarried couples etc that help marketers to develop
suitable products for each stage.
The occupation of a person has a significant impact on their buying behavior. For
example, a marketing manager of an organization is trying to buy business suits,
while a low-level worker in the same organization buy-resistant clothing works.
Economic situation
Economic situation of the consumer has a great influence on their buying
behavior. If income and savings a customer is high, then going to buy more
expensive products. Moreover, a person with low income and savings buys cheap
products.
Lifestyle clients are another factor affecting import purchasing behavior of
consumers. Lifestyle refers to the way a person lives in a society and express
things in their environment. It is determined by the client’s interests, opinions,
etc and activities shapes their whole pattern of acting and interacting in the world
Personality changes from person to person, time to time and place to place.
Therefore, it can greatly influence the buying behavior of customers. In fact,
personality is not what one has, but is the totality of the conduct of a man in
different circumstances. Has a different characteristic, such as dominance,
aggression, confidence etc. that may be useful to determine the behavior of
consumers to the product or service.
4. PSYCHOLOGICAL FACTORS:
There are four major psychological factors that affect the purchasing behavior of
consumers. These are: perception, motivation, learning, beliefs and attitudes.
• Motivation
The level of motivation also affects the purchasing behavior of customers. Each
person has different needs, such as physiological needs, biological needs, social
needs, etc. The nature of the requirements is that some are more urgent, while
others are less pressing. Therefore, a need becomes a motive when it is most
urgent to lead the individual to seek satisfaction.
• Perception
Select, organize and interpret information in a way to produce a meaningful
experience of the world is called perception. There are three different perceptual
processes which are selective attention, selective distortion and selective
retention. In the case of selective attention, sellers try to attract the attention of
the customer. Whereas in case of selective distortion, customers try to interpret
the information in a way that supports what customers already believe. Similarly,
in the case of selective retention, marketers try to retain information that supports
their beliefs.
Cadbury India:
In 1948, Cadbury India began its operations in India by importing chocolates. On
19 July 1948, Cadbury was incorporated in India. It now has manufacturing
facilities in Thane, Induri (Pune) and Malanpur, (Gwalior), Hyderabad,
Bangalore and Baddi (Himachal Pradesh) and sales offices in New Delhi,
Mumbai, Kolkata and Chennai. The corporate head office is in Mumbai. The head
office is presently situated at Pedder Road, Mumbai, under the name of "Cadbury
House". This monumental structure at Pedder Road has been a landmark for the
citizens of Mumbai since its creation. Since 1965 Cadbury has also pioneered the
development of cocoa cultivation in India. For over two decades, Cadbury has
worked with the Kerala Agricultural University to undertake cocoa research.
Currently, Cadbury India operates in five categories – Chocolate confectionery,
Beverages, Biscuits, Gum and Candy. Its products include Cadbury Dairy Milk,
Dairy Milk Silk, Bournville, 5-Star, Temptations, Perk, Eclairs, Bournvita,
Celebrations, Gems, Bubbaloo, Cadbury Dairy Milk Shots, Toblerone, Halls,
Bilkul, Tang, and Oreo.
It is the market leader in the chocolate confectionery business with a market share
of over 70%. On 21 April 2014, Cadbury India changed its name to Mondelez
India Foods Limited.
Mission:
“Cadbury means quality; this is our promise. Our reputation is built upon quality;
our commitment to continuous improvement will ensure that our promise is
delivered.”
Vision:
“Working together to create brands people love.”
What is the secret of Cadbury’s continuing success, first there’s the careful?
selection of the finest cocoa beans from West Africa, as well as tasty hazel nuts
from Turkey and the fine sheet and choicest natural ingredient available to us
anywhere. Finally, there’s skillful marketing Cadbury always takes extreme care in
selecting and marketing the right range of product in every case. The
right product, the right partners, the right marketing, the promotional back up and
the right employees. These are the ingredients in Cadbury’s latest recipes for success.
Right from the start Cadbury Dairy Milk Chocolate success has been based on 3
factors:
• Quality
• Value for Money
• Advertising
Literature Review
Sr. Year Author’s Title Of Paper Objective Method of use Major
No. Name Finding
3. 2019 R.Jayasathya1 A STUDY ON To identify Sample size 200 The cost of the
& S.Hemasri CUSTOMER the customer respondent. product should
PREFERENCE preference ,Primary data be reasonable
TOWARDS towards has been to purchase,
CADBURY Cadbury collected the producer
CHOCOLATE chocolates. through self can with stand
WITH To analyze constructed the chocolates
SPECIAL the factors questionnaire market in the
REFERENCE influencing Coimbatore
TO the customers city.
COIMBATORE to buy a
CITY Cadbury
chocolates.
4. 2017 Dr. Somak Changing Trend This research Sample size 20 With the
Sen* of Product study seeks to The data is passage of
Advertising: A find out the completely time, it is
Study on changing secondary in evident that
Cadbury Dairy trends of nature Cadbury has
Milk advertisement been keeping
of a particular innovative
product to changes and
woo the regularly
consumers upgrading its
towards the advertisements
product. related to its
various
products.
Cadbury is one of the topmost FMCG brands in India and hence there is no doubt
that the strengths and opportunities of Cadbury are far more than its weaknesses
and threats. Let us delve deeper in the SWOT Analysis of Cadbury.
Brand name, Brand equity and Brand loyalty – Cadbury products are blessed
with a fantastic brand loyalty. Due to its marketing and strong branding over the
years, the brand equity of Cadbury is also high and hence Cadbury is comfortable
charging a premium for its product because of the high brand equity. Finally,
some brand names within the Cadbury family are known worldwide and are
desired by many.
Positioning as gift – The smartest tactic that Cadbury has done over the years
with products like dairy milk and celebrations is that these chocolates are
positioned for gifting. In fact, the recent Bournville, has a complete focus on the
gifting position. Due to this smart strategy Cadbury has safely differentiated itself
from majority of its competitors.
Promotions – With an amazing tag line of “Kuch Meetha Ho Jaye” along with
fantastic ATL and BTL activities, Cadbury has one of the strongest promotions
in the FMCG industry. This further imparts strength to Cadbury because it
provides excellent brand recall.
Indian connection– Cadbury is one of the few brands which connect so well with
the Indian Diaspora. For Indians, family, friends and love are all important parts
of their life. And Cadbury has always focused on emotional marketing to connect
with the Indian audience.
Placement and distribution – Cadbury has a superb distribution strategy in
place and like all FMCG companies, it uses the strategy of breaking the bulk.
Distributing to 200 countries with a variety of more than 40 variants is not a small
feat. And Cadbury has been achieving the same for the past many years. It is
known to have one of the best FMCG distribution channels in India.
At the same time, A few cases here and there have happened based on the quality
of the product where cockroaches or other rodents were found in the chocolate.
It is inexcusable for a brand like Cadbury to show such ignorance because such
infected chocolates should not leave quality control at all. Thus, quality
control needs to be strengthened.
New Tastes – Indian consumers have a sweet tooth and they frequently like to
eat small chocolates as well as chocolate bars. On top of it, there are various
flavors which consumers like. Thus, new tastes and new flavors are an
opportunity which Cadbury can generate regularly.
Decreasing importance of festivals – Cadbury has spent years to get the position
of a gift on festivals and occasions. What happens when the importance of these
festivals drops? The buying of chocolates also drops.
Cadbury dairy milk is a brand of chocolate made by Cadbury Plc. unit of Kraft Foods and
sold in several countries around the world. It first went on sale in 1905 in the
United Kingdom. The current parent is Mondelez International.
Customers:
The prospective customer of dairy milk ranges from 5 to 60 years of age. Since
dairy milk has a range of product suited for every member of the family. The aim
is to strengthen the brand relationship in the current consumer’s life. The ranges
vary for diary milk. Whereas some buy it as an alternative for sweet others buy it
as a gift item. The consumers mostly buy the product on impulse and are
influenced by taste/flavor and then by company/brand.
Competitors:
The main competitors of Dairy milk in India are Nestle, Ferrero Rocher, Amul
chocolates & unbranded chocolate. The high-end chocolates (Bourneville and
Silk) also face competition also face competition from the imported Swiss
chocolates. But one of the biggest advantages the dairy milk has over its
competitors is the brand loyalty that it has got. The excellent advertising, reach
and accessibility have made it the top-of-mind brand in the chocolate category.
Climate:
The climate for the chocolate industry and dairy milk in particular seems very
attractive in a country like India. With the size of the market being so big along
with encouraging category growth the prospects look very good. Since the
product is not seasonal and the margin is also good makes the climate for the
industry even better. With new innovations coming up in terms of product and
packaging the market is still on a growth curve.
Collaborators:
As already said Cadbury dairy milk manages a huge range of retailers and whole
sellers who make up the collaborators. Over the years the company has partnered
with various other companies like Adam Philippines in 2001 so that diary milk
has a much wider distribution network in the Philippines.
For more than six decades now, Cadbury has enjoyed leadership position in the
Indian chocolate market to the extent that 'Cadbury’ has become a generic name for
chocolate products. Cadbury has leading brands in all the segments viz bars (Dairy
Milk, Crackle, Temptations, 5-star, Milk Treat).
Demographic variables:
(e.g. Consumers age groups, gender, states, income, etc.…). Current Population
of India- with 1,270,272,105 (1.27billion) people is the second most populous
country in the world. With the population growth rate at 1.58%, India is predicted
to have more than 1.53billion people by the end of 2030. More than 50% of India's
current population is below the age of 25 and over 65% below the age of 35.
Geography:
About 72.2% of the population lives in some 638,000 villages and the rest 27.8% in
about 5,480 towns and urban agglomerations. So, India is the biggest market for
Chocolate in terms of population. The lifestyle of consumers (i.e., their interests
and activities) the benefits which consumers look for in a product or on the
occasions when the product might be consumed. Cadbury takes into account all
these factors when producing a range of products.
Break segment:
Products which are normally consume as a snatched break and often with tea and
coffee, for example Cadbury’s Perk and Oreo Biscuits.
Impulse segment:
These products are often purchase on impulse, eating these and then. They include
product such as Cadbury’s Dairy Milk.
This describes product that are normally purchased from supermarkets, taken
home consumed at a later stage. The price of Cadbury dairy milk is reasonable
and affordable. So a person does not need to think much before purchasing it,
they can easily buy it any time when they want to buy. The income of a person
does not play any important role in it. Cadbury dairy milk will not be much affected
by the generation differences. All types of peoples like to purchase the Cadbury
dairy milk when they want to buy it.
Targeting:
Starting from 1905 the purchasers of dairy milk have changed from children to all
age groups. When Cadbury started its operation in India their main buyers were
children and the youth who brought chocolates to celebrate special occasion. This
limited the market for Cadbury dairy milk. This is a reason that Cadbury came
out with the campaign of (‘Kuch Meetha ho Jaye’) to make dairy milk synonymous with
sweet so that it could target all the age groups. In India it was a mentality that
chocolates are for children and the adults were more inclined towards to the
conventional sweets. This campaign targeted them and saw a change in the target
market for the brand. Now the target market for dairy milk is every member of
the family.
Cadbury’s Dairy milk always aimed for the bigger bite of the Indian market. It has been
the market leader in the chocolate category for years. The main objective of
Cadbury’s dairy milk is very clear, reach the audience by showing them their reflection.
Showing small happiness and cheerful moment’s that we see in our day-to-day
life is cherished by enjoying a bite of Cadbury’s Dairy milk and by adding an
emotional touch to it, & has won the Indian audience thoroughly. They are Positioning
Diary milk as a successful alternative to the traditional Indian sweets in unique
way in order to cash in the rich tradition of Indian people associated with desserts,
birthday gifting through Facebook, gifting in schools (15th August &26th
January) & on birthdays, gifting in offices on birthday’s & gifting with marriages
invitation card & after marriage ceremony.
Positioning:
Cadbury Dairy Milk excels at positioning. Not only can the chocolate bars have
many different positions based on which segment they are in, but also none of the
position’s damper the effects of other positions! Youth see with word Cadbury as
a synonym for chocolate, others see it as synonyms for sweet and love and bliss.
In India, it positioned itself as “spontaneous, special, carefree, real moments (‘Mazza aa
Gaya’) in the initial stage. But later it tried to position itself as brand that is
synonymous with sweet (‘Kuch Meetha ho Jaye’). The most recent campaign (‘Shubh
Aarambh’) tries to take forward the initial positioning of dairy milk as an alternative
for the traditional sweet and positions itself as something that is as auspicious as
the sweet which is generally offered as ‘bhog’ to gods.
The Product Life Cycle of CDM:
The product life cycle model helps marketers identify the different stages that the
sales and profits of a product go through during the course of its lifetime. There
are 4 stages to the product life cycle: introduction, growth, maturity and decline.
1.Introduction:
Sales are slow as the product is not yet known. Costs are high due to heavy
marketing spend to create awareness. Emphasis is on advertising and distribution.
The Cadbury Dairy milk launched by Cadbury in 1905 is an example of a brand
at the introduction stage.
2. Growth:
This stage shows growing market acceptance and increasing profits. Competitors
begin to enter the marketplace. The business concentrates on optimizing product
availability. The Cadbury Dairy milk is the market leader in chocolate market
with 30 % market share example of brand at growth stage.3.
3. Maturity:
The rate of sales growth slows down as the product has been widely distributed
and sold. The company now focuses on creating brand extensions and promotion
offers to boost sales. New product research is critical to ensure future sales. The
Cadbury Dairy Milk Silk chocolate range is an example of creating brand
extensions brand at the maturity stage.
4. Decline:
Sales slow down dramatically and profits fall off. The product may be dropped
to make way for new products and the cycle recommences. So far CDM has not
reached at this stage because of extension in maturity stage.
Fig. PLC of Cadbury Dairy Milk
3. OBJECTIVES OF THE STUDY
Our main objective of the study is to “analyze the consumer behavior and
buying pattern of Cadbury Chocolates in the market.”
• To study about the customer taste and preference in the confectionary item.
• And also, to find out the satisfaction level of customer about their product.
1) Selection of subject.
4) Collection of data.
5) Reliability of data.
6) Analysis of data.
7) Reporting.
➢ METHODOLOGY OF ANALYSIS: -
Data which has been collected through various sources has to proceed and
analyzed the accepted relevant scientific method are used for analyzed processing
is done by different graphs, which clearly show the finding and half us to
understand thing is more better way different table and comparative chart also
used for analyzed and the most important ways was case study and illustration.
• Primary data
• Secondary data
Sample size
❑ 83 respondents.
Sampling method
❑ Non probability & convenience method.
Sampling area
❑ Ahmadabad, Gujarat
Research Instrument
❑ For data gathering, Questionnaire is used.
Research Analysis
❑ Data is analyzed in Microsoft Excel and shown in a graphical format.
Contact method
❑ Online survey via Google form.
➢ SECONDARY DATA: Secondary data are those which have already been
collected by others. When it is not possible to collect data in primary form,
the researcher may take the help of secondary data. They are thus which
have already been collected for serving the objectives other then what the
researcher might have in his mind.
1) Books
2) Websites
3) Journals
5. DATA INTERPRETATION AND ANALYSIS
The purpose of the data analysis and interpretation phase is to transform the
data collected into credible evidence about the development of the
intervention and its performance.
Gender
39% Male
Female
61%
INTERPREATION :In 100 respondent 61% are female that is 61. and 39% are
male
2.
Age
8%
19% 18-25
25-40
Above 40
73%
13%
Yes
No
87%
4.
0.00% 5.00% 10.00% 15.00% 20.00% 25.00% 30.00% 35.00% 40.00% 45.00% 50.00%
INTERPRETATION: Cadbury dairy milk silk is one of the most like product
of dairy milk. 44.60% respondent like dairy milk oreo and fruit & nuts dairy
milk chocolate like by 29.70%.
5.
14%
Yes
No
86%
6.
13%
Yes
87% No
32%
ocasionally
regular
68%
8.
9%
less than 5
31% 05 to 10
60%
more than 10
INTERPRETATION: As per the survey about 60% of the people are those
who buys less than 5 chocolate bar in a week whereas 31% of the people are
buying 5 to 10 chocolate bar in the week. Whereas only 9% of the people are
those who are buying more than 10 chocolate in the week.
9.
11% Yes
No
89%
10.
20%
Yes
No
80%
16%
Yummy
13% Tasty
60% Crunchy
11% Melting in mouth
12.
1% bubbly
14% 18%
mousse
oreo
17% 13% chocolate
roast almond
fruit & nut
19% 18%
other
INTERORETATION: In dairy milk silk category majority of respondent like
chocolate, 18% respondent like bubbly and Oreo dairy milk silk. In survey found
that only 13% are like mousse dairy milk silk. category majority of respondent
like chocolate, 18% respondent like bubbly and Oreo dairy milk silk. In survey
found that only 13% are like mousse dairy milk silk.
13.
21%
Yes
No
79%
22%
Yes
No
78%
12%
Yes
No
88%
INTERPRETATION: S o far as the survey done that most of the people are
becoming health conscious so to continue the sale and marketing Cadbury dairy
milk should introduce the sugar free chocolate so that more and more people who
are having some health issues can also buy the sugar free dairy milk and can enjoy
the taste which includes the 88% of the people and rest 12% of the people are not
bother about the change in the product.
Finding
CONSUMER RESEARCH:
Consumer research deals with consumer and them problems and solution to the
problems. In this I came to know about the consumers need and expectation
levels regarding products and ascertainable levels of consumer satisfaction,
PRODUCT RESEARCH:
Under product research I came to know about the modification which
consumers wants as to the quality, Pac tape, color, and quantityetc. of their
favorite chocolate.
PRICING RESEARC
This includes ability to consume, to pay for the product, how much a person can
spend on his/her favorite chocolate. In this I have tried to find out consumer’s
price expectations and reactions
ADVERTISING RESEARCH:
Under this I have concluded that whether the advertisement appeals the
consumers or not. This also includes evaluating and selecting the proper media-
mix and measuring advertising effectiveness
Suggestion
➢ Company should concentrate more on television for advertisement, as
mostly people attracted through television only.
➢ For promotional offers, company should its
➢ rather than going for other
ways.
➢ Cadbury should concentrate on the shape of a chocolate.
➢ People are unsatisfied with the price and quantity of chocolate so
companies should concentrate in this regard also.
Conclusion
A survey of the people has been conducted to know the liking pattern of the
products Cadbury. It is observed that overall people like to eat Cadbury brand
rather than Nestle or other. It is concluded that mostly people preferred Dairy
Milk Silk of Cadbury due to its flavor/taste, quality and image and due to its
hard form. Some people often like to have a chocolate with good flavor, quality
and crunchiness so they are going towards Kit Kat and Munch of Nestle due to
its taste and crunchiness.
It is thus concluded from the facts collected that mostly people refer to buy pack
of their favorite chocolate, and sometimes some of them go for small and family
pack
Bibliography
3.Ramya, N., Akshaya, C., Haripriya, M., & Jamuna, S. (2017). A study on
consumer perception towards Cadbury chocolate with special reference to
Coimbatore City. IJAR, 3(11), 79-82.
https://www.cadbury.co.uk/products/cadbury-dairy-milk-
11294