Distribution channel of Cadbury IndiaA report submitted to Delhi
Business School, New Delhi as a part fulfillment of MBA+PGP
Graduate program (industry integrated) in entrepreneurship and
business
Submitted to: Director Academics Delhi business school New
Delhi
Submitted by: Name of student: Roll. No: Batch: Semester:
University
Sudhir Chauhan 160 Spring09 4th PTU
Faculty: Smriti Sharma
Dbsdelhi business school Delhi Business School B-II/M.C.I.E.,
Mathura Road, New Delhi Website: www.dbs.edu.in1
TABLE OF CONTENTSTitle Acknowledgement Preface Company profile
Rational Scope of the project Review of the Literature SWOT
Analysis The Project
Page No. 3 4 5 12 13 14 20 22 23 24 26 42 43 44 45 46 47 48
Research Background Research Objective & Hypothesis Research
Methodology Findings Recommendations Limitations Conclusion
Executive Summary Bibliography
Analysis & Interpretation
Appendix
2
AcknowledgementI wish to express my appreciation and thanks to
whom I have had the opportunity to work and whose thoughts &
insights have helped me in furthering my knowledge and
understanding of the subject. Every page of this report reminds me
about the moral support and guidance that was bestowed on me by the
respected Guide, friends and family members throughout the duration
of the project. My sincere gratitude goes to faculty Mr. Priyank
Azad without whose valued guidance, encouragement and inspiration
the presentation of this project would ever have been possible.
Last but not the least I would like to express my gratefulness to
my institute and my Lab faculty members of Delhi business school,
New Delhi. I am unable to mention many others who have helped me
greatly but it gives immense pleasure to appreciate and thanks all
those without whose encouragement and help this project would never
have been completed.
Preface3
The project A STUDY ON THE DISTRIBUTION OF THE PRODUCTS OF
CADBURY INDIA TO FIND OUT THE INFLUENCING FACTORS AND SCOPE FOR
FURTHER IMPROVEMENT is to analyze the factors which influence to
sale of the Products from the unconventional channel outlets and
further scope for improvement in the unconventional channel. There
are three distributors in NCD who are covering the Delhi area. . In
this project I have to analyze the influencing factors which
influence the sale from the outlets of unconventional channel under
NCD and what type of support the outlets owner want from the
company .This project also includes the SWOT analysis, marketing
channel theory and suggestions which will help to understand the
needs of the outlets
Company Profile4
Cadbury SchweppesCadbury Schweppes is the No.1 confectionery and
third largest soft drinks company in the world. We manufacture,
market and distribute branded chocolates, confectionery and
beverages that bring smiles to millions of consumers across 180
countries. The origin of the group goes back over two centuries.
Some of the most loved international brands are from the stable of
Cadbury Schweppes Cadbury Dairy Milk, Dr Pepper, Flake, Trebor
Basset, Snapple, Motts and with the acquisition of Adams, brands
like - Halls, Clorets, Trident, Dentyne and Bubbas bubble gum range
will now be part of the Groups portfolio. 55,000 people populate
the humming offices of Cadbury Schweppes across the globe. The Core
purpose of Cadbury Schweppes is "Working better together to create
brands people love". We are respectful of the social and natural
environment in which we operate; supportive of our consumers,
customers and colleagues; proud of our heritage, and passionate
about success.
Cadbury India Ltd.5
Cadbury India began its operations as a trading concern in 1947.
The first taste of chocolate was defined by Cadbury in the Indian
sub continent. The company today employs nearly 2000 people across
India. With brands like Dairy Milk, Gems, 5 Star, Bournvita, Perk,
Celebrations, Bytes, Chocki, Delite and Temptations, there is a
Cadbury offering to suit all occasions and moods. We bring the
sweetest of smiles to millions of consumers through our dearly
loved brands distributed through 5.5 lakhs outlets across the
country. Cadbury Schweppes is the No.1 confectionery and third
largest soft drinks company in the world. The origin of the group
goes back to over two centuries. Some of the popular international
brands of the company are Cadbury Dairy Milk, Dr Pepper, Flake,
Trebor Basset, Snapple and Motts. The company also has Halls,
Clorets, Trident, Dentyne and Bubbas bubble gum range in its
portfolio with acquisition of Adams in December 2002.Since 1969,
Cadbury Schweppes has focused on confectionery and non-alcoholic
beverages. In 2004, 60 per cent of the Groups net sales came from
confectionery and 40per cent from beverages.
Cadbury India is a wholly owned subsidiary of Cadbury Schweppes
which has operated in the country for more than 55 years. It was
originally incorporated as a wholly owned subsidiary of Cadbury
Schweppes Overseas Ltd in 1948. The company today employs nearly
2,000 people across India.
6
Cadbury India is the No. 1 confectionery company with a 70 per
cent market share in India. Cadbury is mainly into three
segments:
Chocolates -Cadbury India is the market leader in the chocolate
confectionery market in India with over 70 per cent market share.
The leading brands in this category are Cadburys Dairy Milk, Fruit
& Nut, Crackle, Temptations, 5 Star, Perk & Celebrations
Gift boxes.
Sugar Confectionery Cadbury Dairy Milk Eclairs is one of the
leading brands in this category. It is amongst the largest clair
brands in the market in terms of value share. Cadbury also owns
Halls (which was acquired as a part of the global acquisition of
the Adams business from Pfizer in 2003). Halls is amongst the
largest brands in its segment of Minty/ Breath freshness brands in
India.
Food Drinks Cadburys Bournvita is a leading brand in the brown
drinks segment of milk/ malted food products. Cadburys other
products include Drinking Chocolate and Cocoa powder. Overall share
in the malted food drinks market is estimated to be around 19 per
cent.
The company has recently made a foray into snacking category
with Cadbury Bytes, its sweet snacking brand. The company has been
performing
7
well in India. The net sales of the company have increased from
around US$ 131.6 million in 2000 to US$ 166.3 million in 2005.
Cadbury India was recognized as one of the Indias best managed
Companies in 2002 by Business Today and AT Kearney. It was also
adjudged one of the Indias 25 great places to work in 2003 and 2004
by Business World and Grow Talent. Factors for Success Extensive
distribution network Cadburys brands are available in over a
million outlets across the country. The distribution network
directly covers almost the entire urban population. The company has
invested significantly in building such an extensive network. The
company uses Information Technology to improve its logistics and
distribution competitiveness. Cadbury has improved the distribution
quality of its products with the installation of refrigerators at
several outlets. This helps in maintaining product quality in
summer, when sales usually dip due to the fact that the heat
affects product quality and thereby consumption.
Creation of strong brands Cadbury owes its success to strong
brand equity and resultant consumer preference that it enjoys in
India. The company has built strong brand equity8
through consistently high product quality, relevant, insightful
and entertaining communication. Cadbury has developed new channels
for marketing its brands such as Gifting and Snacking. The company
places great emphasis in ensuring display dominance at the point of
purchase Customization of products for India Cadbury India has
spent time in understanding the Indian consumers. Leveraging its 55
years of experience in India, the company has customized its
products to the Indian markets. It also offers products at
affordable price points so as to increase its market penetration.
Leveraging the India Advantages Though, India contributes to less
than 5 per cent of the global revenues today, India is critical to
the global strategy of the company Managerial Talent Cadbury has
begun recruiting management graduates in India to serve its global
operations. Huge market potential India offers huge market
potential and is a priority market for Cadbury. The company also
leverages India as a manufacturing base for producing9
products for the overseas market. Cadbury India has 4 company
owned factories and as many third party manufacturing contractors.
It also has a wide Sales & Distribution infrastructure
consisting of 33 depots managed by 4 regional sales branches across
India. Future Plans Cadbury India expects strong growth in India in
future. The company plans to increase the franchise of its existing
brands and continue to explore new product opportunities including
adjacent market opportunities. Cadbury India is also looking for
more opportunities in the SAARC region.
Cadbury India Ltd.: At a glance Cadbury: No.1 confectionery and
third largest soft drinks company in the world. Presence across 200
countries. 55,000 employees worldwide Cadbury in India: Presence
for over 50 years. Market leader in the chocolate confectionery
market. Factors for success: extensive distribution network, strong
brands, customization to Indian market. For Cadbury, India is: huge
potential market, source of managerial talent Future plans, India:
To explore larger portfolio for growth. To look for opportunities
in10
SAARC region. Vision: Cadbury is an organization which impacts
and interacts with the consumers.
Cadbury is present in most happy occasions in the life of our
consumer. Our brands excite our consumer. Cadbury is an expression
of a consumer's life.
Cadbury Full of Life
Cadbury as a company is vibrant. Cadbury is a fun and energizing
workplace. Cadbury is robust and alive.
RATIONALE
11
The unconventional channel of the Cadbury is to analyze the new
way to improve the movements of the product. The unconventional
channel includes the sweet shops, stationary shops, Archies,
school/college and also Gift Shops. As a winter trainee my
objective is to analyze the market development, facilities provided
by the company and to know about the factors which influence the
unconventional outlets. After knowing the requirement and behavior
of customers will help to sort out the problem of lees customer
base. During this project I interacted with the outlets owner and
get the chance to know about marketing and selling of product of
Cadbury. This will help me further in future to make my career.
SCOPE OF THE PROJECT12
The project was done to finding a reason of the fewer customers
base of the some unconventional outlets. The project will help to
know about the state of mind of outlets owner who are selling the
Cadbury products and Find out the influential factor in the
movement of product. The Company will also be benefited as the
Company will know which type of supports the outlets owners want
from the company, where they are lacking, So that the company can
cope with it.
Review of literature13
Channel integration and systems Distribution channel do not
stand still. New wholesaling and retailing institutions emerge and
new channel systems evolve. We look at the recent growth of
vertical, horizontal, and multi channel marketing systems; Vertical
marketing systems: one of the most significant recent channel
developments is the rise of vertical marketing systems. A
conventional marketing channel comprises an independent producer,
wholesaler and retailers. Each is separate business seeking to
maximize its own profits. Horizontal marketing systems: another
channel development is the horizontal marketing system in which two
or more unrelated companies put together resources or programs to
exploit an emerging marketing opportunity. Multi channel marketing
systems: many companies sold to a single market through a single
channel. Today with the proliferation of customer segment and
channel possibilities more companies have adopted multi channel
marketing. Multi channel marketing occurs when a single firm uses
two or more marketing channels to reach one or more customer
segments. For the concern about the Cadbury India has to develop
the new way to push the sales through development of new channel
such as sweets shop, school/college canteen etc. Basically it is
unconventional way to sales the product. Now it is very popular way
to enhance its sales. There is two way for the movement of the
products in the Cadbury India Ltd.1. Conventional channel, which
includes mainly the Retail shop. It is
the base marketing of the company.14
2. Unconventional channel , which includes sweets shops,
stationary
shops, school, college, Archies, gift shops and Cyber caf.
Before five years the company has started to make market in these
areas under the name of New Channel Development. There is three
distributors under NCD who are covering the Delhi area.
The Purpose of Market Research
Market research is the collection and analysis of data in order
to identify and satisfy consumer needs. The main purpose is to
reduce risk and facilitate decision making. It is particularly
useful when launching a new way of movement of product and ensures
that the rights Strategy are developed. Market research provides
information on consumer needs and wants, competitors, the marketing
mix and potential sales.
Consumer needs and wants - individuals have different
requirements and consumers with similar characteristics must be
identified. A company can then choose a target market or section of
the market for its products. This provides a focus for marketing
activities.
Competitors - no firm exists in isolation. Competitors must be
identified and their actions monitored. Research must be undertaken
on competing products in order to identify a competitive advantage
for the new channel15
development. Marketing mix - marketing involves having the right
product at the right price in the right place using the right
promotion. These are the 4Ps of the marketing mix. It is necessary
for the right combination of these to be used in order for a
product to be successful. For instance there is no point
advertising nationally if research shows the product is only sold
in the local area. Potential sales - by knowing the likely level of
sales a firm will be able to estimate the correct amount to
produce/supply. This reduces the financial risk involved and
ensures the maximum return from the firms investment. Methods and
types of market research There are two main methods of market
research desk research and field research. Desk research, also
known as secondary research, is making use of information that is
already available. Internally the firm can draw on its own records.
Different departments can provide information on sales trends,
customers and castings, which are useful in the development of new
products. Extensive published material can also be sourced
externally. In addition the development of new technology such as
the internet provides information at the touch of a button.
16
Field research or primary research is carried out by contacting
potential consumers directly. It may include surveys,
questionnaires and general observation. Surveys involve questioning
people directly about their attitude to a particular product or
service. Surveys are usually carried out using a face to face
interview or by telephone. Because it is impossible to survey all
target customers, sampling is used. A representative group or
sample, whose views will accurately reflect the target population,
is chosen. Questionnaires are lists of prepared questions which
potential customers are asked to fill out. They are often used in
conjunction with surveys. Careful attention must be given to the
design of questionnaires so that the answers received are of value
for decision making. Information can be gathered by observing
people making purchases. A particular store, for example, could be
chosen and a study made of how many people buy a particular
product. There are two types of market research - quantitative and
qualitative. Quantitative research provides numerical data. At the
completion of a quantitative project it is possible to say (for
example) what proportion or percentage of the population fall into
different groups those that want something, those that would be
likely to buy something, those that are in favaor of a particular
policy or plan, etc. The essence of quantitative research is that
every respondent is asked the same series of questions.
Quantitative research can be carried out in various ways including
face-toface interviewing, by telephone, by post and self-completion
questionnaires.17
Qualitative research provides an understanding of how or why
things are as they are. It can be used on its own or to help in the
development of a questionnaire for a quantitative study. There are
no fixed set of questions and therefore no assumptions about what
is, or is not, important. Instead there is a list of topics,
problems, or possibilities to be explored. The informants own
concerns or assumptions heavily influence the form and nature of
the discussion. Qualitative research can be used for everything
from testing reaction to a potential new advertising campaign, to
exploring staff attitudes to a new management structure or
procedure. There are various sorts of qualitative research,
including unstructured interviews and focus groups (group
discussions).
New Channel Development ProcessIdea generation Method
screening18
Concept development Feasibility study Test marketing Launch
Segmentation:Company has sound background apart from that they
are looking for another segment to enhance their sales. Apart from
the retail they develop the new unconventional channel of
school/colleges; sweets shop Archies etc.The range of Product
provided by Cadbury has been segmented as a premiere product for
the people who want better taste and quality.
Target:For this purpose they are approaching the premiere school
and colleges in the Delhi as well as they are also looking for
sweets shops such as Agrawal19
sweets where they they preferred to sale the 90% Cadbury
product. Cadbury India Ltd has been targeted to the young
generation as well as children.
Positioning:They are promoting their product through
Advertisement by the Super Star which attracts the kids and also
young generation. Cadbury India has been positioned as a premium
product to serve school or college group of people.
SWOT ANALYSIS
STRENGTH20
Experience of more than 50 years of business in India. Strong
Customer base among School/College Students. Market leader in the
chocolate confectionery market. Extensive distribution network,
strong brands, customization to Indian
market and huge potential market.
WEAKNESS Less Movement of product in unconventional outlets
compare to Retail Market
OPPURTUNITIES: Emergence of new channel development.
Introduction of new way to promote their product. THREATS:-
Competitor like imported Chocolates and local brand
Research Background21
With opening up the boundaries in the country for private
players many multinational players entered in the market which
gives rise to the cut throat competition. It forced the FMCG
organization to define a need based strategy to survive in the
market. Many FMCG organizations have made enormous investments in
relationship-based strategies in recent years, hoping to increase
profitable revenue growth through improved customer interaction.
But major initiatives such as customer relationship management,
needs based selling and segmentation often fall victim to
front-line execution in the outlets, in contact centers, online and
in other channels, causing potentially huge opportunities to be
lost. Success of any relationship strategy is subject to the
satisfaction of the customers. We also understand that customer
satisfaction and loyalty is intrinsically coupled to the well-being
and long term growth of the company. In other words, the success of
your company depends on how satisfied and loyal your customers are.
We are also aware of the fact that acquiring new customers is about
ten times more expensive than servicing existing customers. Very
simply put, loyal customers decrease acquisition costs and increase
profitability. Also in this era, when cut throat rivalry exists in
FMGC sector, players in this industry are now seriously
concentrating on the feasibility of the concept of virtual
marketing. In this framework I have done a research work to find
out to what extent the development based strategy of Cadbury India
is successful in New Delhi.
22
Research Objective & Hypothesis Objective:23
Conducting a study on the distribution of products in the
Development of Cadbury India Limited, New Delhi to find out the
influencing factors and scope for further improvement. Timely
delivery of orders to the outlets Distributors are giving the good
service to the owners of the outlets. Sales Executives of the
company are not visiting the outlets at regular interval. Variation
in sale of products due to change in the season Internal factors
& attitude affected the sales
Research Methodology
24
Research design: My research was exploratory one. I have
collected the required information about the development of Cadbury
India from different sources at Business Intelligence Unit of
Cadbury India located at New Delhi. Apart from that I did a survey
to analyze the success of the Development of Cadbury India.
Sampling unit: My research sample will be Owners of Unconventional
channel of Cadbury India, New Delhi. These are the Non random
sample given by the company itself. Sampling Procedure: I went to
outlets located in Delhi and to know their views and opinion. Data
collection method: In order to collect the required data I will use
a structured and pre-tested questionnaire.
Data Analysis: The data are analyzed with the help of following
statistical tools: a) One pair T-Test, by which I implemented these
statistical tools on my questionnaires and then I analyzed the
effect of the test tools. b) Linear Regression: With the help this
Tool I implemented it on the sales of the outlets as a dependent
variable depends on the internal factors such as25
visit of sales executive, behavior of the RDSM etc apart from
marketing forces. Apart from that I have used graphs and tables to
get the clear picture of the survey.
Analysis & Interpretations
Hypothesis1: Timely delivery of orders to the outlets Null
Hypothesis: Not timely delivery of orders to the outlets.
One-Sample Statistics
N delivery on time 160
Mean 1.16
Std. Deviation .364
Std. Error Mean .029
One-Sample Test Test Value = 0 95% Confidence Interval of the
Difference delivery on time t 40.154 df 159 Sig. (2-tailed) .000
Mean Difference 1.156 Lower 1.10 Upper 1.21
26
Timely delivery of the order
100
80
60
t n c r e P40 20 0 yes no
ontimedelivery
Interpretation Out of 160 respondents of the outlets, we see
that around 82% respondents are getting their order on time from
distributor of the company and around 18% 0f the respondents are
not getting their order on time from distributor of the company. By
applying one pair T-Test, the significance level is less than .05
which means Our hypothesis is being accepted and null hypothesis is
being rejected. So we can say that orders are being delivered on
time to the outlets from the distributors of the company.27
Hypothesis 2: Distributors are giving the good service to the
owners of the outlets Null Hypothesis: Distributors are not giving
the good service to the owners of the outlets
One-Sample Statistics Std. Error Mean .031
N Satisfied with distributor s service 160
Mean 1.19
Std. Deviation .396
One-Sample Test Test Value = 0 95% Confidence Interval of the
Difference t Satisfied with distributors service 38.085 df 159 Sig.
(2-tailed) .000 Mean Difference 1.194 Lower 1.13 Upper 1.26
28
Satisfied with the Distributor's service
100
80
60
t n c r e P40 20 0 yes no
satisfiedwithdistributor
Interpretation: Out of 160 respondents of the outlets, we see
that around 80% respondents are Satisfied with the distributor of
the company and they are getting good service from the distributor
and around 20% 0f the respondents are not Satisfied with the
distributor of the company and they are not getting good service
from the distributor. By applying one pair T-Test, the significance
level is less than .05 which means Our hypothesis is being accepted
and null hypothesis is being rejected. So we can say that a large
numbers of owners
29
of the outlets are being satisfied with the service given by the
distributor of the company.
Hypothesis 3: Sales Executive of the company is not visiting the
outlets at regular interval. Null Hypothesis: Sales Executives of
the company are visiting the outlets at regular interval
One-Sample Statistics Std. Error Mean .118
N Visit of sales executive regularly 160
Mean 2.59
Std. Deviation 1.494
One-Sample Test Test Value = 0 95% Confidence Interval of the
Difference t Visit of sales executive regularly 21.911 Df 159 Sig.
(2-tailed) .000 Mean Difference 2.588 Lower 2.35 Upper 2.82
30
Regular visit of sales executive to the outlets
60
50
40
30
t n c r e P20 10 0 once in a time once in fortnight never
visitofsalesexecutive
31
100
80
60
Percent
40
20
0
Yes
No
Visit of sales executive to the outlets for feedback purpose
Interpretation: Out of 160 respondents of the outlets, we see
that around 46% respondents said that sales executive of the
company visited their shops/canteen once, around 1% respondents
said that sales executive visited their outlets once in32
a fortnight and 53% respondents said that the sales executive
never visited their outlets. By applying the T-Test, here the
significance level is less than . 05, which means our hypothesis is
being accepted and null hypothesis is being. So by the opinion of
respondents it can say that a large number of outlets are not being
visited by the sales executive regularly. But in second graph it is
being desired by most of the respondents that Sales executive of
the company should visit the outlets regularly for the feedback.,
in which 88% respondents desired for the regular visit of the sales
executive and 12% respondent said that there is no need of the
regular visit of sales executive.
Hypothesis 4: Variation in sale of products due to change in the
season. Null Hypothesis: No Variation in sale of products due to
change in the season.One-Sample Statistics
N
Mean 160 2.58
Std. Deviation .949
Std. Error Mean .075
Variation in sale
33
One-Sample Test
Test Value = 0 95% Confidence Interval of the Difference t Df
159 Sig. (2-tailed) .000 Mean Difference 2.575 Lower 2.43 Upper
2.72
Variation in sale
34.333
34
variation in sale due to season
70
60
50
40
t n c r e P30 20 10 0 winter summer no variation
Interpretation:
Out of 160 respondents of the outlets, we see that around 68%
respondents said that there is variation in sale in the summer
means there is decrease in the sale of product in the summer
compare to other season. 30% respondents said that there is no
effect on the sale of the product due to change in the season and
2% respondents said that there is variation In sale in winter also.
By applying one pair T-Test, the significance level is less than
.05 which means our hypothesis is being accepted and null
hypothesis is being rejected.35
Hypothesis 5: Internal factors & attitude affected the sales
Null Hypothesis: Internal factors & attitude not affected the
sales
RegressionVariables Entered/Removed(b) Model 1 Variables Entered
Good behavior of rdsm, visit for feedback, visit of sales
executive, easily replacement of product(a) Variables Removed
Method
.
Enter
a All requested variables entered. b Dependent Variable: sales
value
Model Summary
Model 1
R .290(a)
R Square .084
Adjusted R Square .061
Std. Error of the Estimate 1.322
a Predictors: (Constant), good behavior rdsm, visit for
feedback, visit of sales executive, easily replacement of
product
36
ANOVA (b) Sum of Squares 24.955 270.789 295.744
Model 1
df 4 155 159
Regression Residual Total
Mean Square 6.239 1.747
F 3.571
Sig. .008(a)
a Predictors: (Constant), good behavior of rdsm, visit for
feedback, visit of sales executive, easily replacement of product b
Dependent Variable: sales value Coefficients (a) Unstandardized
Coefficients Model 1 (Constant) Visit of sales executive Visit for
feedback Easily replacement of product Good behavior of rdsm B
1.895 -.210 .683 .181 -.130 Std. Error .630 .073 .314 .108 .129
Standardized Coefficients Beta -.230 .170 .145 -.088 t 3.005 -2.864
2.174 1.672 -1.012 Sig. .003 .005 .031 .096 .313
a Dependent Variable: sales value
37
Approx. Sales value of the outlets in terms of money
40
30
20
t n c r e P10 0 below rs 5000 rs 5000 rs 10000 rs 15000 rs 20000
rs40000 can,t say
salesvalue
Interpretation:
Above tables shows the linear regression which identify that the
sales of the Cadburys products from the distributor to the outlets
depends upon some of the Factors such as regular visit of sales
executive, visit for feedback purpose, Replacement of the products
and behavior of the RDSM. According to the table, Change in any one
of the variables will change than the difference between R and R
Square will be same as the figure of Adjusted R square. In the
table it is being Shown that the significance label38
is .008 which is less than .005, it means our hypothesis is
being accepted and null hypothesis is being. But in the coefficient
table it shows that the two factors, Visit of the sales Executive
to the outlet at regular interval for sales promotion and for the
purpose of getting feedback have only less significance level
from.05 and others factors, easily replacement & behavior of
the RDSM have more significance level, which means these two
factors not play very important role in increasing or affecting the
sale of the outlets.
Interpretation of some Graphs: 1.E s re la e e t o c d u 'sp d c
a d m g o e p a ily p c m n f a b ry ro u t t a a e r x iry
6 0
5 0
4 0
t n c r e P
3 0
2 0
1 0
0 d a re is g e a re g e s n ly a re tro g g e n t y t re la e e
t o e p c mn cs ae
e s re la e e to ro u t a ily p c m n fp d c
39
Interpretation:
Above graph shows the data that at the time of any damage or
expiry of the product the company replaces the product easily. On
this issue 58% respondent are strongly agree, 20% respondent of the
outlets are agree, 10% are disagree and 12% respondents have no any
replacement case yet.
2.
Satisfied with the behaviour of the RDSM
70
60
50
40
t n c r e P
30
20
10
0 disagree agree strongly agree
goodbehaviourofrdsm
40
Interpretation:
Above graph shows that around 63% respondents are strongly
agree, 27% respondents are agree and 10% respondents are disagree
with this that the behavior of the RDSM are good and they are
satisfied with their behaviour when they come for taking order to
the outlets.
3.40
Demand of support from the company
30
20
t n c r e P10 0 fridge display board & more schemes poster
more margin no support
supportfromcompany
41
Interpretation
Above graph shows that around 37% respondents want support from
the company for the fridge, 32% respondents want support from the
company for the more margin compare to whatever they are getting
now, 18% respondents want support from the company for the display
board and poster, 10% want more schemes and 3% respondents do not
want any support from the company. 4.
More discount given by other company compare to cadbury
50
40
30
t n c r e P20 10 0 yes no equal sale of only cadbury
moremarginonothers
42
Interpretation
Above graph shows that around 16% respondents said that they are
getting more Margin on others companys chocolates compare to
Cadbury, 4% said denying from this, 43% are getting approx equal
margin and 37% outlets are selling only Cadbury like Aggarwal
Sweets shops.
43
Findings1. Orders delivered on time to the outlet from
distributor of the company. 2. Outlets owners are being satisfied
with the service given by the distributor. 3. Sales Executive of
the company is not visiting the outlets at regular interval. 4.
Sales are being affected in summer due to less foot fall, melting
problem of chocolate and vacation in school and college. 5. There
are more margins on imported chocolates. 6. The sale is being
affected in some of the outlets due to not having the facility of
electronic storage device. 7. The sales scheme for summer to
provide fridge on purchase of products came too late in the market.
8. Company is not providing sales promotion activities to attract
the children more like providing tattoos, free gifts etc. 9.
Unavailability of the full range of the products means shortage of
the supply of the gift packs like celebrations, heroes from the
company itself. 10.Some of the outlets like Aggarwal Sweets shop
are selling the product of Cadbury only.11. Some of beats of
outlets are covering large area and it is difficult
for RDSM (RE DISTRIBUTOR SALESMAN) to cover it on one day.44
Recommendations1. It is not possible to provide fridge facility
to each outlet under sale scheme but the company should take steps
to provide fridge to that outlets which are giving good sale. 2.
Sales Executive of the company should visit the outlets at regular
interval for the direct communication with the outlets owner for
feedback purpose 3. Company should take steps for sales promotion
for attracting children apart from advertisement, like providing
tattoos, free gifts. 4. Company should take step for the regular
supply and availability of the full range of chocolates mainly the
gift packs. 5. Some beats, which cover the large area, should
divide in to small parts, so that the RDSM cover all the outlets in
a day to take the order from the outlets. 6. Company should provide
sales scheme on timely to the unconventional outlets comparatively
to retailers. 7. The incentive plan of sales should be on the basis
of turnover of the outlets.
45
LIMITATIONS1. A limited number of respondents were
interviewed.
2. The information given by the respondent could have a fragment
of bias. 3. General disinterest was found in source of
respondent.4. Not get proper information from school and college
due to cold
environment
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CONCLUSIONCadbury one of the oldest company in India completing
more than 50 years providing various products in India has
established its brand name with many value added services and by
introducing a range of favoring products. Cadbury is giving more
importance in sales promotion with the help of media and print
advertising only. For this purpose Cadbury has various segment of
its product range. Which take care of the sales of its products?
Also it has a variety of products suiting different needs of the
customers with different value additions. During my research I have
contacted many people and found uncommon opinion that Cadbury has
proven it self as chocolate company for the people who provide best
taste and quality at any cost. There has been a sales variation
during the period of winter vacation in the unconventional outlets.
But in some outlets the company has the strong position because
they are selling the products of Cadbury only i.e Aggarwal sweets
shops (madanpur khaddar). A large number of the respondents need
further support from the company to increase the sale.
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EXECUTIVE SUMMARY
Cadbury India has made enormous investments for the
Development-based strategies in recent years, hoping to increase
profitable revenue growth through improved Unconventional channel.
This project is all about to find the gaps in implementation of
these strategies by conducting an influential factor survey. The
primary objective of this research is to find the scope of
improvement in unconventional channel of marketing of the products.
For the purpose of analyzing my objective I have to cover the
outlets of the unconventional channel which includes sweets shops,
stationary shops, Archies, gift shops and Cyber caf in Delhi under
the Development of the Cadbury India Limited. During the project I
have taken the opinion from the outlets owner regarding the service
given by the distributors of the company, what the support they
want from the company and their requirement & suggestions.
During my survey I found that there is a scope for the improvement
in the distribution channel of Cadbury India ltd. The Company can
achieve it through improving the awareness regarding unconventional
channel to the potential buyers. The incentive plan of sales should
be on the basis of turnover of the outlets. After all, I feel that,
this report will be definitely helpful for Cadbury India in near
future
48
Bibliography
(1) Cadbury India Limited, New Delhi (2) Marketing Management By
Philip Kotler (3) www.google.com (4) www.ibef.org (5)
www.cadburyindia.com
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AppendixQuestionnaireName: Shop/ College: Address: 1. Are you
selling the product of Cadbury? A. YES B. NO Respondent Profile:
Contact no. :
2. In any season, is there any variation in the sale of Cadburys
products? A. Winter C. Rainy season B. Summer D. No Variation
3. Are goods delivered on time from the distributor, when you
give the order? A. YES B. NO
4. How often sales people of the company visit your shop/
canteen? A. Once in a time C. Once in a month B. Once in a
fortnight D. Never
50
5. Rate the following attributes of Cadbury? ( 1 for strongly
disagree.. 5for strongly agree) Attributes Delivery time Replacem
ent of products Behavior of sales man 1 2 3 4 5
6. Which brand other then Cadbury you are selling? A B C D 7.
Are you getting more margin of profit on the products of other
company compare to Cadbury? A. yes B. No C. Equal
8. For selling the product of Cadbury what support you want from
company. A. Display Items B. Electronic storage device51
C. Sales schemes
D. More discount.
9. Are you satisfied with the present service given by the
distributor? A. YES B. NO
10. If no what is the reason:
_____________________________________________________________
_____________________________________________________________ 11.
Anysuggestion
_____________________________________________________________
_____________________________________________________________
Signature Thank you for spending your precious time answering this
Questionnaire.
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