Cadbury India and Cadbury UK Comparison

Cadbury India and Cadbury UK ComparisonThe Cadburys Inc has provided us a broader view of the umber category. The Cadbury umber is able to divvy up with their market place insights based on the unpar every(prenominal)eled pretension of coffee berry experience.Cadbury has bad from strength to strength with new technologies being introduced to oblige the Cadbury confectionery business one of the to the gameest degree efficient in the world. The conflate in 1969 with the Schweppes and the subsequent development of the business select led to the Cadbury Schweppes to civilise the lead in the both(prenominal) confectionery and the semisoft drink market in United Kingdom and becoming a major army in the multinational market. Today Cadbury Schweppes manufactures its mathematical products in 60 countries.The Cadbury story is a fascinating story of a family business that grew in one the biggest, most lowed chocolate snitch in the world. A story that you pass on look upon a s the story of The RealTaste of Life.THE LEGEND CALLED CADBURY1824 In 1824, John Cadbury opened a grocers shop at 93 Bull Street, Birmingham in the 1830s. Among a nonher(prenominal) things, he sell deep brown and drinking chocolate, which he prep atomic number 18d himself use a pestle and mortar.1831 The Cadbury manufacturing business was born in 1831, when John Cadbury decided to give way producing on a commercial scale and bought a four-storey warehouse in nearby Crooked Lane.1842 John Cadbury was change no less than 16 varieties of drinking chocolate and 11 distinguishable cocoas The earliest preserved cost list shows that you could profane drinking chocolate in the form of both pressed cakes and powder.1861 Johns health rapidly declined and he fin ally retired in 1861, handing everyplace complete control of the business to his sons Richard and George.1866 The turning point for the Cadbury business was the gateway of a new edgeing technique, resulting in the 186 6 launch of Cadbury Cocoa Essence, the UKs showtime unadulterated cocoa.1879 The business prospered and the factory was moved to Greenfeild a few miles by from Birmingham known as Bourneville.1897 When Cadbury started making Cocoa Essence they had lots of cocoa butter left over, so they use it to make veto of chocolate.1905 Swiss manufacturers were booster cable the field in milk chocolate, with much best products than their rivals. In 1904, George Cadbury Junior was given the challenge to develop a milk chocolate bar with much milk than anything else on the market.(SOURCE http//www.cadbury.co.uk/the-story)Cadburys dairy draw StoryIn June 1905, Cadbury made its first Dairy milk bar, with a high proportion of milk than previous chocolate bars, and it became the connections best selling product by 1913. George Cadbury Junior, responsible for the development of the bar, has said All sorts of name calling were suggested Highland draw, Jersey and Dairy Maid. But when a cust omers daughter suggested Dairy draw, the name stuck. Fruit and Nut was introduced as grammatical constituent of the Dairy Milk line in 1928, soon followed by Whole Nut in 1933. By this point, Cadburys was the reproach leader in the United Kingdom. In 1928, Cadburys introduced The crosspatch and A Half slogan to accompany the Dairy Milk bar, to advertise the bars higher milk content.(SOURCES http//www.cadbury.co.uk/products/Dairy-Milk?c2=1459p=2360)Cadburys Milk Tray 1915Boxes of chocolates had been produced at Cadbury since the 1860s. But they were dear(predicate), sold in small quantities and would only open been bought for very special parts. Milk Tray was different a chocolate assortment, affordable enough to be an usual treat. To start with, the chocolates were sold in 5 1/2 lb boxes, which would be put out in trays to sell to customers, which is where the name originated from. angiotensin-converting enzyme was Milk Tray and one was Plain Tray. Then, in 1916, Cadbury produced a half-pound box of chocolates, followed by a 1Ib box in 1924. By the mid 1930s it was outselling all its competitors.(SOURCE http//www.cadbury.co.uk/Home/the-story/milk-tray-is-launched)The Cadbury StoryCadburys Success StoryIn 1824, the U.K. enterprise founded by John Cadbury had the objective of creating the chocolates that could be recognised as the most highest part driven chocolates. By 1969, there was a spinal fusion between the Cadbury and Schweppes, the soft drink giant. Cadbury mark offs were already famous all around the world.Today to a greater extent than 120 countries enjoy the products by Cadbury, having over 40 brands in the chocolate confectionery. Cadbury in like manner dominated the market as far as U.K. and Australia and thats why it have been dubbed as The worlds master chocolate makers.The Secret of Cadburys SuccessThe mystifying behind Cadburys continuing success is first theres a careful plectrum of finest cocoa beans from the western parts of Africa, adding the quality of hazel nuts from misfire and fine sheets and natural ingredients open to us anywhere. At last, theres skillful merchandising as Cadbury always takes care in the selection and marketing process of the rightfield range of products.The key ingredients in Cadburys success is the selection of the right product, partners, marketing team and strategies, promotion techniques, and finally the employees. Success is based on 3 factors Quality, Advertising, Value for Money.ORGANISATIONAL STRUCTUREProduct ProfileCadbury have a wide range of product line with more than 40 brands of chocolate confectioneries.The products can be filtered as Christmas TreatBarsBoxes, tins and bagsDrinksHalloween TreatCadburys commercialise division marketplace place for any product consists of many different segments of customers, each having needs and wants different from each other. The market segments can be defined in legion(predicate) ways Demographic Variables (gender, mari tal lieu etc)Lifestyle of consumers (daily activities, hobbies), the benefits that the customers look for in a product or an occasion on which the product whitethorn be consumed.Cadbury takes in account all the major segments while manufacturing and designing new product range. The company has targetted numerous segments in the same(p) market such as Snatched Break Segment It refers to the breaks that the consumers use to consume products the likes of chocolates, biscuits etc with tea or coffee. Example Cadbury copImpulse Segment The products which are bought without thinking on the spot, no intend is done before the product or the service is bought from the market place. This includes chocolates like Cadbury Dairy Milk.Cadbury United KingdomMarket SizeThe six months end 30 June, Cadburys underlying pre-tax profits jumped by 11 per cent to 262m at constant currency. Its total sales jumped by 4 per cent to 2.77bn Todd Stitzer, knob executive of Cadbury said.The chocolate table t confectionery market is CDM market, representing 17%, 731 million.The CDM brand is charge approximately 360 million in the UK.500 million bars are made each year, in the UK.By 2007 Cadburys held over 10% of the 731 million UK confectionery market share with 23 types of CDM .(SOURCE Leatherhead Food Research, 2009, Cadbury,n.d.)gorilla is a British Advertisement Campaign launched by Cadbury Schweppes in 2007 to boost Cadbury Dairy Milk brand chocolate. The 90-second television and cinema advertisement, which formed the oculus piece of the GBP 6.2 million motility, was created and directed by Juan Cabral and starred actor Garon Michael. The campaign itself, which comprised appearances on billboards, print newspapers and magazines, television and cinema spots, event sponsorships and an internet presence, was handled by advertize agency Fallon London.ThreatsCompetitive pressures from other branded suppliers (national and global). Aggressive worth and promotion activity by comp etitors possible price wars in essential markets. injurys in competitionValue ShareDM (C/Kraft)50%-60%Galaxy ( spoil)10%-20% excellence (Lindt)5%-10%Aero ( cling to)5%-10%Milka (Kraft)0%-5% there is a threat of change of the current external surround which is likely to alter the nature of the market. For example change in the levy regime, Government laws regulating the industry, and other factors which are likely to impact negatively on the industry (SOURCECadbury, 2008).There exists no brand loyalty in the chocolate market and consumers frequently shift their brands.Raised health and respectable concerns.OpportunitiesThe confectionery market is characterized by a high degree of merger and acquisition activity in recent years. Opportunities exist to increase share through targeted acquisitions.There is a lot of potential for increment and a huge population who do not eat chocolates even nowadays that can be converted as new users.RecommendationsDairy Milk should emphasis on co coa-butter not milk-butter as the latter melts at higher temperatures and thus building perception of quality.Price as well needs to get more affordable.Promotional strategies also need to be revised in particular in Cadbury UK so as to gain attraction of customers above other famous brands.People in UK focus more on the encase and the ingredients and less on the taste. So Cadbury here should make strategies to attract customers by being effective in this area.Cadbury India is well established and is a leading brand so it should continue with their effective style of advertisements and other promotional schemes.One new product launch every year efficiency be profitable.(SOURCE http//www.marketingmagazine.co.uk/)Market ScanningThis implies scanning interior(a) and external environment. internal environment consists of 4ps, external implies scanning environment within which company operates. Analysing 4ps of Cadbury in comparison with close rival companiesMarketing Mix ElementsC adburyHersheyNestleMars Inc.ProductRange of fair trade chocolates, Chocolate bar that are made up of more milk, biscuits, ice cream, beverages etcChocolate and candy bars, bake chocolate, lollipops, cookies, cocoa mix, ice cream toppings etcChocolates, cereals, The company uses its name to endorse / go up Easy Whip, fair trade Kit KatM Ms, passably trade Mars, Snickers, Orbit, Extra.PlaceSold through network of whole sellers, retailersretail outlets like convenience store, grocery chains, brokers, whole seller and retailersOnly on stores and supermarketRetailers and whole sellersPrice low-priced + high quality indulgencechoose to stay with one price policyLow prices compared to other chocolatesAffordablePromotionTV, Internet, outdoor, radio, emotional appeals in adsBrand extension, acquiring famous brands ample promotional tools, constant product supplyIntensive ads campaign worth of 600 million.The company stands better in terms of range of products as it offers more products th an other confectionery company. Many brand under Cadbury have been cognizant as fair trade while only few chocolates have been certified as fair trade for rival companies. With regards to place the company needs to develop direct relationship with supermarkets, grocery chains as what competitor Hershey is pursuing. In terms of price, the company is considered to be slightly expensive than Nestle. The company also lags behind than Mars Inc. in regard to promotion. spring Best Global Confectionery Company, Corporate Watch (2010)Cadbury IndiaCadbury began its operations in India in 1948 by importingchocolates. After 60 years of existence, it straightaway has five company-owned manufacturing facilities an 4 sales offices. The corporate office is in Mumbai.Market SizeThe chocolate market for India is maturement rapidly. The market size has grown larger in the recent years. Of the 20 tonnes of the market for chocolate write up for around 400 crores, out of which Cadburys share is 70% which is followed by Nestle accounting for about 20 %, then Amul having 5% and rest with the minors. The major competition is between the Cadbury and Nestle.At present, the existing Cadbury Dairy Milk has a market share of 35 per cent.We already have 70 per cent of the Rs 2,000-crore (Rs 20-billion) chocolate market in India and now with the retail environment changing, Silk will help us tap into a wider audience, says Cadburys executive director, marketing and international business, Sanjay Purohit.ThreatsThere may be a threat of entry of other products in the market which will increase the level of competition in the market. There are other companies which are likely to introduce the same products in the market once there is success of the initial product.(Cadbury, 2008). accessible changes like rising obesity and consumers obsession with calories counting.( Department of Health, 2005)Globalisation may bring in better brands for upper end of the market and it may loose market sha re but will remain brand leader.OpportunitiesIncreasing gifts cultures in India.Substitute to Mithais with higher calories/cholesterol.To respond to changes in consumer tastes and preferences healthier snacks with lower calories need to be developed.Internet usage in India has been growing at a very high rate and majority of the urban population is connected to the interest. Since there is not company that is currently using online sales, the company will look into using this strategy to boosts its sales (Laura, 2008).Brand ambassador Amitabh Bachchan for advertising there new products.As Cadbury became a part of Krafts Foods, its distributionnetwork is increased.PositioningCadbury dairy milk made range of its product chocolate not only in the minds of consumers but also in the market.It uses various promotional techniques to make position in the minds of customersCadbury have good quality, more features like unique taste, design, logo and other attributes as compared to its comp etitors.Cadbury dairy milk is superior in quality, continuous benefitsIts price is rational and affordable by all customers.good use of advertising is employ especially the use of slogans to position a positive concept in customers minds.Cadburys reputation is built upon quality a commitment to continuous improvement will ensure that this promise continues to be delivered.The companys punch line for advertising Cadbury dairy milk REAL TASTE OF LIFE itself depicts how well the product is positioned in the market. The product shows the purity of milk, taste.PEST AnalysisP There are no restrictions on the set of the products by the political institutions that is the pricing of the product is decontrolled.E 1) There has been an increase in the per capita income depicting high disposable income.2) There has been an increase in demand due to the growth of the middle class.3) Better penetration due to low production costs.S 1) Increased demand due to increasing gift culture.2) Incre ased succour demand against the Indian Mithais.T The company has fulfilled the international standards.FINDINGS AND SURVEYSDo you consume chocolates ?Which chocolate brands do you prefer ?From where do you prefer to buy chocolates ?Are you aware of the campaign Gorilla ?Which Cadbury product do you normally prefer to consume ?Do you think Cadburys products are easily available in the market ?DATA ANALYSIS AND FINDINGSData was tabulated manually and was also analysed manually. Excel was used to make graphs and pie charts.Simple average method was used to compute the data and to get to the answers of the questions 26 % of the state are not interested in eating the chocolates and 74 are eating chocolates.60 % commonwealth prefer the Cadbury brand chocolates after that of Nestle, Mars, Lindt etc.Most of the people buy chocolates from the super stores and after that from retail outlets and movie halls.54 % of the people are not aware of any brand campaign gorilla whereas 46% are awa re. This shows that the company needs to advertise more in the market.Dairy Milk is the most consumed chocolate product from Cadbury.90% shows that the Cadbury brand chocolates are easily available in the market.