Marketing

Presentatio
n
on
CADBURY
Kuch Meetha ho jaye !
 About the Indian Chocolate Industry

VALUE CAGR COCOA PRODUCTION

US 1.9 Billion Dollars 11.3% CAGR during 2021-26 Rising Demand

70% in Sugar Confectionary One of the world's fastest-growing Reduce dependence on Imports
30% in Chocolate Confectionary markets for chocolates. Increase in Cocoa Production by
60% in the next 4 years

SIZE CHARECTERISTICS

Size of the industry is around 30,000

tonnes in 2008. High Volume
Bars of molded chocolate comprise of Price Sensitivity
the largest segment (37% of the total Huge Expenses on Advertising
market volume)
 Innovations in the Chocolate Industry

01 02 03 04
FLAVOR INDULGENCE PREMIUMIZATION HEALTH SUSTAINABILITY

• Decadent taste • High price for Unique value • Indulgent Product • Increasing environment
• Exotic pairings • Specific details • Sugar-Free consciousness
• Experimenting with • Artisan Products • Gluten-Free • Health concerns
textures • High-quality components • Milk Substitutes • Sustainable Practices
• Unusual vegetables • Customization • Vegan Chocolates • Palm oil to Coconut oil
• Use of spices • Cardiac health
• Childhood scents • Citrus Flavours
 Competitive
Cadbury
Landscape of
the Indian Nestle
Chocolate
Industry Amul India

Ferrero Rocher

The 5 tycoons of
Chocolate
 Distribution Strategy of Cadbury

3-tier Distribution approach

C&F WHOLESALER RETAILER END CUSTOMER

a link between the business that sells business that sells a person who buys and
owners of goods goods in large goods to the public in uses a product or
and owners of quantities at low relatively small service
means of transport. prices. quantities for use.
 Promotional Strategy of Cadbury

01 02 03
RELIES HEAVILY ON BTL MARKETING COLLABORATIO
ON EMOTIONAL AND EMPLOYS N WITH
ADVERTISING VERNACULAR CELEBRITIES
CAMPAIGNS TO COMMUNICATION TO DURING
CONNECT WITH PROMOTE ITSELF IN FESTIVAL
ITS TARGET MANY STATES AND SEASONS.
AUDIENCE. AREAS.
 AMUL PROMOTION STRATEGY

Amul is well known for its longest advertising campaign character- the
Amul girl.

She is an informant of current affairs, taking timely digs through Amul’s

commercials.

Amul butter and Cheese are the only ones that are majorly advertised.

The company spends only around 1% on marketing and advertising.

Its prices are always better than its competitors despite cut-throat
competition.
NESTLE PROMOTION STRATEGY

Nestle uses a call to action aspect that will convince consumers to view
the promoted brand appropriately.

Nestle uses include giveaways and free samples or discount products.

The company uses the Internet, mainstream media, and posters or

banners in retail outlets as its main forms of advertising.

The company comes with trip events for its customers to win when
they purchase the products.

For advertising Nescafe, Nestle uses the youth appeal by having a

youthful boy or girl having coffee using a Nescafe branded mug.
Distribution of AMUL
Amul is one such brand that has established its presence in every part of
the country.

All grace to the massive distribution channel that makes sure that Amul
products reach homes pan India.

The distribution model works on buying in bulk and disintegrating it

further into smaller chunks where the final product reaches the end
customer.

Channels
The acquisition channel through which Amul buys raw material that is
milk from villages and dairy co-operatives.

The distribution channel consists of carrying and forwarding agents,

distributors, dealers, and retailers.

Amul has its own exclusive showrooms where all Amul products are
available.
 Distribution of NESTLE
VERTICAL INTEGRATION - Nestle use agents, wholesalers, retailers and direct selling.
Nestle use middleman because they are the window to the market and each one focuses on
different target market

Nestle use intensive distribution for Nescafe and Dolce Gusto because it is affordable. They
sell all product through middleman.

Nestle focusses on customer needs and wants. The middlemen focusses on geographic area

Channels
Products are sent to the C&F Agents of the company from its Manufacturing Unit. Later it
flows from the Manufacturing Unit to Distributor and Super Stockist.

The Distributor is responsible to manage the availability of products in his area

Super Stockist supplies the goods to the Re-Distributor who is in charge of managing the
availability outside the region of the Distributor.

The Distributor and Re-Distributor, then supplies the products to Wholesaler and Retail in
their respective region or area.
 S W O T
Strengths Weaknesses Opportunities Threats
• Offers a quality and • Highly-priced – When • The introduction on new • Imitation of Ferrero
luxury product. compared to other flavors will help in Rocher
• Has captured a huge alternatives. gaining more market • High competition from
amount of market share • Not advertised – A big share. other chocolate brands
in boxed chocolates negative for Ferrero • Increase in the usage of • Increasing trends of
• Instant customer Rocher is that it is rarely internet .
Nutri-bars replacing
recognition due to its advertised • Increase in the demand
chocolates
packaging • Perception of chocolates for the three-piece
being unhealthy impulsive pack
DISTRIBUTION STRATERGIES
Select locations
Ferrero Rocher is a prestigious product and hence its availability is in select
locations. It is available in malls and big supermarkets where the people who visit
can afford luxury products.

E-commerce platforms
Ferrero Rocher is available online on e-commerce platforms and on discount deals
can be obtained only through these depending upon the individual sellers.

Geographical reach
The company has 22 production plants across 5 continents and sells the chocolate to
170 countries.

Technology oriented
The company has 22 production plants across 5 continents and sells the chocolate to
170 countries.
PROMOTIONAL STRATERGIES

Packaging Techniques
Ferrero Rocher has been crafted is very appealing, especially because of the golden
wrapper. The chocolate is available in different types of boxes.

Event marketing
Ferrero Rocher sells it in boxes in the shape of the Easter Bunny during Easter to
convey the message. Bell-shaped and pyramid-shaped boxes are used for packaging
Chocolates during Christmas.

Commercial Advertisements
Ferrero Rocher advertises heavily on television in Italy. ‘Ambassador’s Reception’ is
one of the classic adverts that it has had which made its return to TV in 2003.

Social media marketing

Ferrero Rocher has separate Instagram and Facebook pages according to countries so
that it caters to the festivals of those countries and puts up relevant posts in
connection with those festivals
 5 PORTER'S ANALYSIS
BARGAINING POWER OF BUYERS
Retail buyers are the group that has the most effect for Cadbury
and other confectionery producers. They are mainly large
retailers like i.e. Tesco, Asda in UK
BARGAINING POWER OF SUPPLIERS
‘Cadbury Cocoa partnership’ is established to insure sustaina
supply of Cocoa by supporting Cocoa farmers in Ghana, Indi
Indonesia and Caribbean (Cadbury, 2008)

RIVALRY AMONG EXISTING COMPETITORS:

There are five major players competing globally in
confectionery industry: Nestle, Mars & Wrigley, Cadbury,
Ferrero Rocher and Hershey with about 42% share of global
market.
THREAT OF SUBSTITUTE PRODUCTS:
There are numbers of substitutes emerging on the market,
products like cereal bars and fruit bars are threat for the
chocolate industry, as health conscious parents especially,
THREAT OF A NEW ENTRY: would opt for the healthier option.
Nestle, Mars & Wrigley, Cadbury with 42% of the market
(Cadbury, 2008) for a new company is very difficult to enter the
market, unless they come up with new product.
 SEGMENTATION
• Customer-based Segmentation: Kids- Amul chocolates, Amul Kool drinks, Amul
SEGMENTATIO
Butter, Amul Lite butter, Amul Pizza Cheese, Regular cheese, Cheese spreads, Amul
N, TARGETING
milk powder, Nutra Amul
AND
• Industry-based segmentation: Milk- Ice cream manufacturers, Restaurants/food
POSITIONING
(STP) chains, cafes, and Coffee shop chains. Butter, Cheese, Ghee- Indian households,
ANALYSIS OF Bakeries and Confectionaries, street vendors, and snack shops.
AMUL
TARGETING
• Amul has established its image by being a product that is easily available,
affordable, and surpasses the quality of other brands.
• It has targeted kids, adults, and industries all together under its product umbrella.

POSITIONING
• Campaigns like “The Taste of India” have added an emotional quotient to its
marketing and vouches for itself as a family product in every household.
• Value for money, quality, and availability.
 BCG Matrix
Stars Question Mark
• Dairy Milk • Silk Oreo
• Lickables • Creme Eggs
• 5 Star
• Fuse

Cash Cows Dogs

• Bournville Chocolates • Temptations
• Dairy Milk • Marvellous Creations
• 5 STAR
Thank you!
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