Imc Project on Cadbury

Integrated marketing communication

ON

SUBMITTETD TO SUBMITTED BY:

Prof Vinita Srivastava Faiz Zeeshan

Faizan Ahmed

Kritika Kumari

Shahid Ansari

Swati Paliwal

Overview of the Company:

Cadbury India is a food product company with interests in Chocolate

Confectionery, Milk Food Drinks, Snacks, and Candy. Cadbury is India’s

largest chocolate maker and enjoys a healthy market share of more than 70%

closely followed by Nestle which has a market share of 20%. The big two

names in the chocolate market together enjoy more than 90% of the market

while as the rest of the players, that is, Campco, Amul enjoy the rest. Cadbury

commands the market with some great products like Dairy Milk, Five-star,

Bourneville, and éclairs which are enjoyed by all.

Today, Cadbury has five company-owned manufacturing facilities at Thane,

Induri (Pune) and Malanpur (Gwalior), Bangalore and Baddi (Himachal

Pradesh) and 4 sales offices (New Delhi, Mumbai, Kolkota and Chennai). Its

corporate office is in Mumbai. Worldwide, Cadbury employs 60,000 people in

over 200 countries. 

CADBURY: THE BRAND

The brand CADBURY enjoys a high level of brand equity. Researches show

90% of the people recognizes the brand while 74% state that when it comes to

chocolate only CADBURY will do.

COMPETITORS:

1. Nestle

2. GlaxoSmith Con

3. Britannia

4. Kwality Dairy

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70%

15%

9%6%

Market Share

CadburyNestleBritanniaGlaxo Smith

Amitabh Bachchan as brand ambassador

Cadbury India Ltd has announced that mega star Amitabh Bachchan will be the

company's new brand ambassador.

He will endorse and promote Cadbury chocolates for a period of two years. As

brand ambassador, he will play a key role in brand and product communication

on television, in print and outdoor media.

Commenting on Amitabh Bachchan as brand ambassador for Cadbury

chocolates, Puri said, "There is a perfect fit between Amitabh Bachchan and

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Cadbury chocolates - their timelessness, and the love and trust they both share

with the people across India, makes this an ideal partnership. Moreover, Mr

Bachchan has a universal appeal that extends to everyone from 6 to 60, just as

our chocolates do.

We believe his endorsement of Cadbury Dairy Milk will go a long way towards

our objective of increasing chocolate consumption among all ages of

consumers."

Amitabh Bachchan said, "Most of you may not know this, but I have been a

brand ambassador for Cadbury for the last 55 years. Only, now it is official.

Bringing smiles, spreading happiness and joy amongst millions of people in

India is what Cadbury and I shall be continuously working towards."

Cadbury Advertisement

Recently, Cadbury Dairymilk has released new TVC campaign with innovative

& unique concept that conveying message Shubh Aarambh (Auspicious

Beginning). Although, both TVC campaign are co-relate with social

responsibilities.

(1) College Ragging (Brief about Campaign) :- The TVC has shown about

students are taking ragging in college, they calling one boy & telling to join

with other boys. That boy is start to giving a piece of Dairymilk to everyone

before he joined. Someone is asking to boy that why this Dairymilk or for

which purpose you are giving us Boy replied that his mom is telling Take Sweet

before going to start any new work. Then everyone is going to hug that boy &

they become friend. At the end of this campaign, voice over is coming up with

tagline Shubh Arambh (Auspicious Beginning).

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Advertisement Link: - http://www.youtube.com/watchv=yVns046DbkU

(2) News of Pregnancy (Brief about Campaign):- The TVC has shown about

a lady who is pregnant & thinking about how to give good news to her husband.

She is trying to speak various ways by looking towards mirror and when she is

speaking that she want to eat some sour things. Meanwhile, her husband has

heard that she spoke. Lady shocked by looking towards husband and suddenly

telling that she want to eat sour things. Husband going to take & when he is

coming back; he is giving a piece of Dairymilk and telling her that First take

some sweet before starting a new life. At the end of this campaign, voice over is

coming up with tagline Shubh Aarambh (Auspicious Beginning).

Advertisement

Link: -http://www.youtube.com/watchv=rFq7M1vUIgU&feature=relmfu

3) Cadbury had decided to re-position another of its brand Gems 

which so far had appealed to kids only. Cadbury which has

successfully re-positioned its other products in the past

decided to target adults as well, complemented by the

campaign with a tagline “Raho Umarless”, which en-

courage’s consumers to enjoy regardless of the age.

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Advertisement Link: http://www.youtube.com/watch?v=mYXHPmPUiN0

http://www.youtube.com/watch?v=Ink9lAkrcxY

4) Father-daughter duo charm the viewers in Oreo’s new TVC

A slice-of-life moment portrays father-daughter bonding over Oreo

Cadbury India, as part of Kraft Foods, today announced the launch of the

second TVC campaign that effectively captures father-daughter bonding over

Oreo. Based on the insight that every girl wants to play her mother’s part while

she is away, the TVC beautifully interspersed this with brand’s signature ritual

of ‘Twist, Lick and Dunk’.

This simple, insightful film captures a little girl who loves to play her mother’s

role while she is away, bossing her dad around. The girl’s ‘mom-like’ dialogues

at the dinner table are at the core of this highly endearing film.

Speaking on the campaign, Chandramouli Venkatesan, Director – Snacking,

India & Strategy- South Asia Indo China, Kraft Foods said, “With Oreo, our

constant endeavor is to promote family togetherness. Our first TVC campaign

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captured the important father-son relationship and received a very positive

response from consumers. In our second TVC campaign, we have used a very

powerful insight from a father-daughter’s relationship and used it to

communicate the brand message. We believe that there will be an instant

connect with the real life situation played out in the TVC and the consumers are

going to love the new campaign.”

CADBURY AND ITS PRODUCTS

Cadbury celebrations :

Cadbury Celebrations was aimed at replacing traditional gifting options like

Mithai and dry- fruits during festive seasons.

Cadbury Celebrations is available in several assortments: An assortment of

chocolates like 5 Star, Perk, Gems, Dairy Milk and Nutties and rich dry fruits

enrobed in Cadbury dairy milk chocolate in 5 variants, Almond magic, raisin

magic, cashew magic, nut butterscotch and caramels.

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

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flavours and the premium dark chocolate range which is exotic dark chocolate

in luscious flavours.

Cadbury Celebrations has become a popular brand on

occasions such as Diwali, Rakhi, Dussera puja. It is

also a major success as a corporate gifting brand. 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 five star

Cadbury 5 Star needed to introduce an element of surprise

in its eat experience to gain share among lapsed

consumers. To do this the variant Cadbury 5 Star Crunchy

was launched- which still had the richness of caramel,

chewiness of nougat but also contained rice crispies. In o

rder to engage youth the campaign was executed

acrossTV, radio, internet, outdoor and print media.

Cadbury Perk:

A pretty teenager; a long line, and hunger! Rings a bell? That was how Cadbury

launched its new offering; Cadbury Perk in 1996. With its light chocolate and

wafer construct, Cadbury Perk targeted the casual snacking space that was

dominated primarily by chips & wafers. With a catchy jingle and tongue in

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cheek advertising, this 'anytime, anywhere' snack zoomed right into the hearts

of teenagers.

Raageshwari started the trend of advertising that

featured mischievous, bubbly teenagers getting out of

their 'stuck and hungry' situations by having a

Cadbury Perk. 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.

As the years progressed, so did the messaging, which changed with changes in

the consumers' way of life. To compliment Cadbury Perk's values, the bubbly

and vivacious Preity Zinta became the new face of Perk with the 'hunger strike'

commercial in the mid 90's.

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. Who can

forget the unique, brightly colored chocolate buttons with

crispy shells, encased in a pack that's as colorful as the

product itself? Unrivalled in all these years, Cadbury

Gems has captured every consumer's fantasy for almost 4

decades. Little wonder that Cadbury Gems, the brand that

came into India in 1968 is still going strong.

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Cadbury Gems brings happiness to the consumer's world. With this promise in

mind, Cadbury Gems has always had 'Masti' as the key proposition in all its

communication. In fact, Cadbury Gems is always a willing ally for pranks and

fun.

Cadbury Bournvita :

Cadbury was incorporated in India on July 19th, 1948 as a private limited

company under the name of Cadbury-Fry (India). Cadbury Bournvita was

launched during the same year. 

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.

Throughout it's history, Cadbury Bournvita has continuously re-invented itself

in terms of product, packaging, promotion & distribution. The Cadbury lineage

and rich brand heritage has helped the brand maintain its leadership position and

image over the last 50 years.

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NEW LAUNCHES

1) Tang

King of Fruits makes its debut this season with Tang

Come summer and everyone looks forward to the King of Fruits - juicy

mangoes! Tang, introduced last year in India through Cadbury India, part of

Kraft Foods, today launched a thick and pulpy Tang Mango flavour, in India.

Delicious, refreshing and rich with the taste of real mangoes, Tang Mango will

give you an experience of eating a thick, pulpy and juicy mango.

Convenient, affordable and available in delicious flavours, Tang provides

mothers with an opportunity to make a quick, refreshing drink for their children

by just adding water. With its great taste and nutritional value, it revitalizes

children so that they can have fun through everything they do during the day.

Tang also provides the essential vitamins A, B and C; and iron that get depleted

during the course of a hectic day in the life of today’s children.

Tang Mango will be introduced through a new TVC

campaign which will be rolled out today. Developed by

Bates 141, the campaign is based on the theme of

“Surprising Thickness” and will play on the surprise

element of a powdered beverage providing the experience

of eating a real mango.

Developed to especially suit the Indian palette, Tang Mango

will be available in retail stores across the country in two

pack sizes of 200 gms for Rs. 40 and 500 gms for Rs. 85.

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2) Cadbury enters Indian biscuit market, launches 'Oreo'

Confectionery maker Cadbury India

announced its entry into the country's

estimated Rs 12,000-crore biscuit

market through the launch of 'Oreo'

brand from the global portfolio of its

parent Kraft Foods.

"The introduction (of Oreo) marks the

entry into a new category in India,

with the aim to make the world's

favourite biscuit, Oreo, one of India's favourite biscuits," Cadbury India said in

a statement.

Oreo is around 100 years old brand and currently generates a revenue of USD 1

billion globally. In India, the company will be launching the biscuit in dark

chocolate flavour.

Consumers will find Oreo on the shelves of "hundreds of thousands of retail

outlets across urban and semi-urban markets" at a price points of Rs 5, Rs 10

and Rs 20, it added.

The company also said the launch of the biscuit is part of its long-term strategy

in India to gradually expand the business' operation from a confectionery

company to a more broader foods company.

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3) Cadburys launches new chocolate range

Fresh from the kitchens of Joyville comes Marvellous Creations - a deliciously

new tongue-tingling Cadbury Dairy Milk chocolate experience.

The latest Cadbury Dairy Milk delivery to arrive from the magical and mythical

land of Joyville, Marvellous Creations will amaze and delight chocolate lovers

with its astonishing combinations of delicious ingredients and its enchantingly

varied taste sensations.

Marvellous Creations is made with ingredient combinations that are way out of

the ordinary - Peanut Toffee Cookie, Jelly Crunchie Bits or Jelly Popping

Candy Beanies - all covered in delicious Cadbury Dairy Milk Chocolate.

Even at first glance, Marvellous Creations is different, with an unusual looking

block and curiously shaped pieces of varying sizes made specifically for

sharing. The rounded pieces roll off the roof of your mouth, the chocolate

melting away to leave the key ingredients to tantalise your taste buds, as the

contrasting sensations play off. The sparks of popping candy mixed with the

smooth shell of candy beanies, the salty taste of peanuts clashing with sweet

toffee and cookie, and the softness of jelly alongside the crunchie bits is what

makes Marvellous Creations so marvellous.

This new addition to the Cadbury Dairy Milk family is made with joy, the secret

ingredient that gives Cadbury Dairy Milk its unique taste. Marvellous Creations

is designed to bring more enjoyment to the experience of eating chocolate,

injecting more fun, excitement, surprise and delight to confectionery.

Brightly wrapped in distinctive purple stripes, the fun of Marvellous Creations

also extends to the design of the packaging.

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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. Indians are fond of having dessert

after their dinner. Cadbury aimed at replacing the traditional sweets. Apart from

its after dinner advertisement Cadbury targeted adults rather than children. In

most of its advertisements, the brand is endorsed and advertised by adults rather

than by children even though it basically sells chocolate. Such type of

advertisements have created a very wide range of consumers for Cadbury. Its

products are not limited to children alone. Adults like the products of Cadbury

as much as children do.

Another reason for Cadbury being such a successful brand was that it aimed at

replacing the traditional sweet custom so prevalent in India. Indians have the

habit of carrying sweets as gifts when they visit a friend or relatives. Cadbury

items became the new sweets. It was not only considered better but also

superior to carry Cadbury instead of the normal sweets. Cadbury also aimed at

selling in bulk during festive seasons such as diwali and rakhi.

Diwali and rakhi packs are designed to give a feel of the festivities going on.

They are exclusively indianised. The chocolate packs contain special

chocoloates such as dry fruits rich chocolates as people normally serve dry

fruits during diwali.

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COMMUNICATING STRATEGY

The task was to get the youth audience to adopt Cadbury Dairy Milk in the

sweet eating or " muh meetha karna" moments

The campaign of " Jab Pappu Pass Ho jaye, Kuch Meetha Ho jaye" captured

the thought of celebrating a moment of delight with Dairy Milk

A campaign was built around the idea of how "pappu" celebrated passing his

exams with Dairy Milk

Media:

A multi-media campaign was launched on TV, Internet, Radio and Outdoor

The key was how do own the moment of " pappu passing his exams" in the

media space

An innovative tie -up with Reliance webworld was executed, wherein students

across 66 examination boards across the company could access their results on

Rworld through their Reliance mobiles. If they passed a message congratulating

them on their moment of delight from Dairy Milk was displayed.

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INTEGRATED MARKETING COMMUNICATION OF CADBURY

Marketing communication mix elements 

Advertising:

Television, the print media and posters have been the main media of

communication for Cadbury’s advertisements. Cadbury’s TV campaign was

devised illustrating the essential consumption occasions. For example, the eight

weeks campaign of Cadbury’s TV advertising to be showed in the evening

time was seen by its target audience and it had reached 85% of the market.

In addition, according to the sources from Cadbury’s website, there are other

types of advertising form being used in Cadbury which is the trade advertising,

informative advertising and the consumer advertising. Cadbury has launched a

lot of periodic trade advertising to monitor quality checks and educate its

retailers as well as promoting sales. For the purpose of inform and remind

customers, Cadbury published an advertising regarding “the facts about

Cadbury” in 55 trade publications. Cadbury never ignore the importance of

consumer advertising that people can see many Cadbury’s advertising in

newspaper, magazine, Cadbury’s website and so on. More importance, Cadbury

has launched a response cell through toll free number and an email id to

encourage its customers to give feedback. 　

Transition of Cadbury ads from older days to present days

1)Old Ads

Focuses on cricket.

Spread joy

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Focusing on different professions

2) New ads

More trendy

Teenage oriented

More event oriented.

　 　 ADVERTISING THEIR PRODUCTS IN DIFFERENT WAYS

Cadbury's advertisement can be seen during the late evening hours when

different soap opera are broadcasted. Then on switching on the laptop to check

the emails received during the day, the advertisement of Cadbury can be seen

again, but of course, this time the form of advertisement i.e. size of

advertisement is small, it looks like a teaser and the medium is different, here

internet playing an important role. At weekend while going through the

shopping mall the same advertisement of Cadbury can be seen highlighted in

big posters and banners, giving more prominence to brand name, the product

name and in order to attract the customer's attention, theme of the advertisement

also been a part of the poster, which also gets highlighted.

Different brand names, different products and different ways of promoting the

product.

Direct marketing:

　 　 For the purpose of boosting the awareness and stimulating sales, Cadbury

Trebor Bassett had launched a series of direct marketing campaign such as the

dairy milk’s door drop campaign through the leaflet firms. Mailings and inserts

to house is being frequently used in the Cadbury’s direct marketing campaign

and those campaigns have meet the objectives of Cadbury such as increasing the

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sales dramatically during the campaign time and it conducted a lot of valid

customer information. For example, Cadbury’s multi-award winning campaign

like the “Real Taste of Life” to capture the child like spontaneity in every adult

had reached extreme success. Moreover, in order to extend the reach of its

popular gorilla campaign and capitalize the target customers of 18-34 years

old, Cadbury had created the Vodafone mobile marketing to deliver extra

content and take the brand awareness and brand identity to a new level amongst

the target audience. 　 　

Interactive media :

　 　 The frequently asked questions on Cadbury’s website are being used

effectively at all time for customers. Cadbury likes its customers to engage in

the operations so as to offer the desired taste of chocolate for its target

customers. Moreover, customers can chat on the Cadbury’s community website

to obtain more product information and provide feedback to the Cadbury

management team. For example, customers are encouraged to joint the

promotions of Cadbury’s Online Community competition, Great Picnic

Challenge and the Top Gear Live Promotion. 　

Sales promotion :

　 　 Cadbury has launched many sales promotion activities especially the

customer oriented promotion that customers can benefit from it such as the

Cadbury dairy milk buttons had launched the kids campaign in the city centre in

April last year, the target audience of the campaign is parents with kids and the

campaign include treasure hunts, face painting, story telling and biscuit and

button decorating. Furthermore, Cadbury has been launching the yearly

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discount selling or price off sales promotion activities during Christmas time in

supermarket for a long time and it does increase sales dramatically every year.

Publicity/public relation :

　 　 Cadbury utilizes variety of tactics for the public relation such as the

activities of sponsorship of screenclick.com, the radio promotion, media gift,

product placement and point of sales. Cadbury has put much attention to the

concern of publicity such as the company always inform to consumers about its

changes. For instance, consumers can see the business evolution information on

Cadbury website like the “NZ Product Changes Q & A” The most distinctive

form of building public relation for Cadbury is its Trading Terms that declare

the Cadbury conditions of purchase for detailers to offer the best quality of

chocolate and service for consumers. The Cadbury Nutritional labeling global

standard to explain about consumer health and ingredient are also indicated on

the company website which include the detailed product information and

consumer health issues. 　 　

Sponsorships:

　 　 Cadbury has a long tradition of sports sponsorship, both in its original

country and of supporting major international events. Cadbury New Zealand

had announced to be the official treat provider of the New Zealand Olympic

Teams for Vancouver 2010 and London 2012. In addition, it’s easy to find out

the information about Cadbury’s international sponsorships promotions such as

the Coronation Street and Cadbury's Chocolate and the Cadbury sweeten

London 2012 sponsorship.

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Personal selling :

　 　 Personal selling had been used long time ago by Cadbury and it is not

being used anymore as brand awareness and brand identity of the Cadbury was

increased dramatically.

OTHER MARKETING MIX ELEMENTS OF CADBURY

Brand name and package

Package of Cadbury dairy milk chocolate also creates the brand image to

communicate the Cadbury brand with consumers. The package of Cadbury’s

products always packed with different colors and pictures according to different

tastes. For instance, the strawberry taste of Cadbury dairy milk chocolate is

packaged with red-pink color and Strawberry pictures. More important, the

labeling on Cadbury’s products are provided responsible consumption messages

and nutrition information to help educate consumers about the role of treats in

the diet.

5 P’S Of Cadbury

1 - PRODUCT

The average company will compete for customer by conforming to his

expectation consistently. But the winner will surpass them by constantly

exceeding his expectation, delivering to his door step additional benefits which

he would never have imagined. Cadbury’s offer such product. The wide variety

products offered by the company include:

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I. Chocolate & Confectionary

1) Dairy Milk

2) Fruit & Nut

3) 5 Star

4) Perk

5) Gems

6) Eclairs

7) Temptation

8) Milk Treat

II. Beverages

Tang

III. Food Drinks

1) Bourn vita

2) Drinking chocolate

2 – Pricing

The strategy used by Cadbury’s is for matching the value that customer pays

to buy the product with the expectation they have about what the production is

worth to them.

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Cadbury’s has launched various products which cater to all customer segments.

So every customer segment has different price expectation from the product.

Therefore maximizing the returns involves identifying right price level for each

segment, and then progressively moving through them.

Dairy Milk Rs. 15

Perk Rs. 10

5 Star Rs. 10

Fruit and Nut Rs. 22

Gems Rs. 10

Bournvita (500 gm) Rs. 104

Drinking chocolate Rs. 50.

3 - Physical Distribution – “Place”

India – 1 billion people, 155 million household has over 4 million retail

outlets in 5351 urban markets and 552725 villages, spread cross 3.28 million sq.

km. television has already primed and population for consumption, and the

marketer who can get to the to the consumer ahead of competition will give a

hard – to – overtake lead. But getting their means managing wildly different

terrains-climate, language, value system, life style, transport and

communication network. And your brand equity isn’t going to help when it

comes to tackling these issues.

Own distribution network consist of clearing and forwarding (C&F)

agents & distribution stockiest. This network of distribution can either contact

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wholesalers and which in turn retailers or the distributors can contact to the

retailers directly.

Once the stock product reaches retailers, the prospective customers can have

access to the product. Cadbury’s distributes the product in the manner stated

above. Cadbury’s distribution network has expanded from 1990 distributors

last year to 2100 distributors and 4,50,000 retailers. Beside use of TI to improve

logistics, Cadbury is also attempting to improve the distribution quality. To

address the issue of product stability, it has installed visit colors at several

outlets. This helps in maintaining consumption in summer when sales usually

drops due to the fact that the heat affects product quality and thereby off takes.

Looking at the low penetration of the chocolate, a distribution expansion would

itself being incremental volume. The other reason is arch rival Nestle reaches

more than a million retailers.

4 - Promotion

Finding showed that the adults felt too conscious to be seen consuming a

product actually meant for children. The strategic response addresses the

emotional appeal of the band to the child within the adult. Naturally, that

produced just the value vacuum that Cadbury was looking to fill. Thereafter it

was the job of the advertising to communicate customer the wonderful feeling

that he could experience by re-discoursing the careful, unselfish conscious,

pleasure – seeking child within him – and graft these feeling onto the Ad

campaign like “Khane Walon Ko Khane Ka Bahana Chahiye” for CMD and

“Thodi Si Pet Pooja – Kabhi Bhi Kahin Bhi” for Perk have been sure shot

winner with the audience.

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Ad since any discussion today would be incomplete without mention ‘e’ word,

the management plans to tap this new channel of marketing. Beside three

company website (i.e.www.cadburyindia.com, wwww.bourvita.com,

www.cadburygift.com) that the company has launched, it had also entered into

various marketing relationship with other portals, specially targeted during

festivals and events such as Valentines Day, etc.

It’s a combination of stiffing up its key brand, researching and improving the

newer products that haven’t taken off, supported with high ad – spends that

Cadbury hopes will see it emerges stronger after the current slowdown, as well

as expand the market.

5 – Positioning

Cadbury’s is an anchor in sea of confectionary products. As a variety of

competitive claims assails her senses, today customer uses complicated decision

making process to assess the alternative before making a purchase. Since

Cadbury’s is more clearly associated with a particular set of attributes in terms

of benefits and prices, the quicker becomes her search process.

Segmentation, Targeting, and Positioning 

 Segmentation, targeting, and positioning together

comprise a three stage process.  We first (1) determine which kinds of

customers exist, then (2) select which ones we are best off trying to serve and,

finally, (3) implement our segmentation by optimizing our products/services for

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that segment and communicating that we have made the choice to distinguish

ourselves that way.

Segmentation of Cadbury:

“Meetha hai khana,aaj pehli tareek hai” is the tagline that the chocolate-giant

has come out with. It tries to bring forth the excitement, which lies in the minds

of the general public as they wait for the first date of each month on the

calendar. The monthly salary stashed in their hands enables them to celebrate

and rejoice by spending it on Cadbury’s Dairy Milk.

Cadbury’s Dairy Milk has come out with such memorable ad-campaigns, which

settled into the hearts of everyone.

The story starts with “Once upon a time in 1948…” when Cadbury entered the

Indian market. It originated from a town in the United Kingdom, Bournville

(also the name of its recently launched high-end chocolate) in 1905.

As the Cadbury’s official web site suggests, its journey in India has been an

eventful one. In the early 1990s, it tried to cater to the sweet tooth of the

children. Those days they steered the market and took control over the

company’s major market share. However, the strategy changed by letting out

the secret that “everyone has a child inside” and thus everyone craves for the

taste of chocolate. Cadbury strategies went through a considerable change. It

now catered from children to adults and from sweets to chocolate. As the

tagline goes “Khane walon ko kahne ka bahana chahiye”.

The whole-in-one for the company was when it identified sweets to be a very

integral part of the Indian culture. It made sure that the festive and jubilant

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moods of the society that had paved the way for kilos and kilos of mithai, now

made way for a large number of Cadbury’s.

Meetha did to Cadbury’s what thanda had done for Coco-Cola. Both helped

them crawl their ways through into hearts of the rural population of the country,

which had an untapped and astounding potential.

The advertisement campaign of Amitabh Bachchan, dressed up as a villager,

proudly announcing that his “daughter-figure” won beauty contests for cattle,

brought out the laughs and struck a chord with the same segment of people.

Later came the campaigns of “Pappu paas ho gaya” acknowledged the market

potential for college-going youth. The treats for passing exams were now a

Cadbury instead of a mithai. With Kuch Meetha Ho Jaye, we knew Cadbury’s

was now a desert craving as well as a popular gift-item for festivals such as

Raksha Bandhan and Diwali. Cadbury’s also diversified its range of products

with Wowie (with Disney characters for kids), Crackle, Fruit and Nut(variations

of the Dairy Milk), Bournvita(health drink) Deserts, Perk(wafer ingredient) and

Eclairs (toffee segment).

Targeting of Cadbury

Cadbury is looking to attract millions of new customers by shifting its strategy

to focus on low-income consumers. The British candy maker, which has been in

India for more than 60 years and dominates the chocolate market, is making

candy affordable to this massive untapped segment with products such as

Cadbury Dairy Milk Shots—with tagline “beta mann me laddu futa”, sold

two to a package, for two rupees.

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Positioning of Cadbury

Cadbury India Ltd. Brand Cadbury Dairymilk has already been taken strong

position in Indian chocolate market. Now, Cadbury Dairymilk is trying to make

strong brand loyalty & brand acceptance.As well, since Cadbury Dairymilk

has introduced concept Shubh Aarambh (Auspicious Beginning), it became

really Shubh (Auspicious) as well as still getting positive result. There is

punch line Kuchh Mitha Ho Jaye (Do some Sweet Taste) which really

influence towards end-users (consumers).

The core competency of brand Cadbury Dairymilk can be Kuch Mitha Ho

Jaye (Sweet Tatse), Aaj Mithe mein kya hai as well as unique packing .

Today, consumers are speaking willingly Kuch Mitha Ho Jaye (Sweet Tatse),

Aaj Mithe mein kya hai. So, brand itself positioned in the mind of consumers

that really gives Value for Money.

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OVERCOMING THE WORM CRISIS USING IMC

The discovery of worms in some samples of Cadbury’s Chocolate in early

October 2003 created one of the biggest controversies in India against a Multi

National reputed for being a benchmark of QUALITY.

The state Food and Drug Administration has ordered seizure of Cadbury's Dairy

Milk chocolates from all over Maharashtra after worms were found in two of

them in Mumbai.

Cadbury India, whose chocolates had ridden into controversy late last year

during the festival season because worms were discovered in some stocks of its

Dairy Milk chocolates was probably hoped the association with Bachchan

would help consumers forget the bad press the company got on account of

the discovery.

The Food and Drug Administration had then seized the company's stocks and

the Cadbury India management had explained it was bad storage practices by

retailers and distributors that had led to the worms. Cadbury India's sales fell

following the discovery. And even the government got into the act with the

central health ministry asking for a report on the controversy.

The "worms controversy" came at the worst time. The next few months were

the peak season of Diwali, Eid & Christmas. Cadbury sells almost 1,000 tonnes

of chocolates during Diwali. In that year, the sales during festival season

dropped by 30 per cent. The company saw its value share melt from 73 per cent

in October 2003 to 69.4 per cent in January 2004. In May, however, it inched up

to 71 per cent. CDM sales volumes declined from 68 per cent in October’03 to

64 per cent in January 2004 Clearly, the worm controversy took a toll on

Cadbury's bottom-line. For the year ended December 2003, its net profit fell 37

per cent to Rs 45.6 crore (Rs 456 million) as compared with a 21 per cent

increase in the previous year.

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The controversy created an deep adverse impact on the company with their sales

not only drastically dipping down, but at the same time allowing the

competitors to establish their foothold and taking maximum advantage of

Cadbury’s misfortune.

The controversy, and the adverse publicity received in several countries, set

back its plan of outsourcing model which would have resulted in significant

revenue generation, several months back.

ROLE OF PR IN RESCUING CADBURY

The PR department of Cadbury’s played a very effective role in managing the

reputation and keeping up the goodwill of the company.

After being struck with the Worm Controversy it was not possible to create a

very good impact on consumers who trusted the company the most. But through

the efforts and a good PR team Cadbury’s managed to wriggle itself out of the

controversy with a clean chit.

STEPS TAKEN TO SOLVE THE CONTROVERSY

1. Taking precautions

'Project Vishwas' - “Steps to ensure quality & regain the confidence”

Following the controversy over infestation in its chocolates, Cadbury India Ltd

unveiled 'Project Vishwas', a plan involving distribution and retail channels to

ensure the quality of its products.

The Vishwas programme was intended to build awareness among retailers on

storage requirements for chocolates, provide assistance in improving storage

conditions and strengthen packaging of the company's range of products.

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Cadbury reduced the number of chocolates in its bulk packets to 22 bars from

the present 60 bars. These helped stockists display and sell the products "safely

and hygienically". 1,90,000 retailers in key states were covered under this

awareness programme.

"What you see now is the most over-engineered packaging for a Dairy Milk

chocolate anywhere in the world. Even our festival packs come with a tamper-

proof outer sealing and improved packaging inside," explains Purohit.

The new double packaging even for the smallest offering, the 13 gm Rs 5

Cadbury Dairy Milk, had the bar wrapped in aluminium foil and enclosed in a

polyflow pack, which was sealed on all sides.

The larger Cadbury Dairy Milk packs came in poly-coated aluminium foil,

which was heat-sealed and then wrapped in the branded outer package. Both

these initiatives are country specific and Cadbury invested nearly Rs 25 crore

(Rs 250 million) this year on new machinery for the improved packaging.

The company's team of quality control managers, along with around 300 sales

staff, checked over 50,000 retail outlets in Maharashtra and replaced all

questionable stocks with immediate effect. The company also carried out

quality checks at its facilities as well as its carrying and forwarding warehouses

and distributor warehouses and found products free of infestation.

2. Gaining back trust

The Big B promoted the Big C in the chocolate business - Cadbury in India.

Indian cine superstar Amitabh Bachchan has signed on to become the brand

ambassador of the chocolate major for two years.

The Big “B” FACTOR

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The big factor that has pushed up CDM sales is the Amitabh Bachchan

campaign. It helped restore consumers' faith in the quality of the product. In

early January that year, Cadbury appointed Amitabh Bachchan as its brand

ambassador for a period of two years. The company believed that the reputation

he has built up over the last three decades complements their own, which was

built over a period of 50 years. AB played a

pivotal role in all communication relating to

Cadbury's products and brands, be it in

print, on television or the great outdoors, the

company's managing director Bharat Puri has

been quoted as saying in media reports.

With the help of its Public Relations Dept. and

advertising agency O&M, it created a campaign

which aimed for both rational and emotional

appeal.

One of the ads showed Bachhan visiting a Cadbury plant, inspecting the

systems and processes and finally consuming a bar of chocolate to be convinced

that there's nothing wrong with the brand.

Addressing his audience, Mr. Bachchan says, "Mujhe aapse kuch kehna hai,

jis kaam mein manushya ki antar aatma uske saath na ho, uss kaam ko karne

se usse sab kuch mil sakta hai... man ki shaanti nahin mil sakti. Isliye jab

Cadbury walon ne mujhe kaha ki unki baat main aap tak pahunchaoon, to

pachpan saalon se Cadbury khaane wala main bhi thoda sa

hitchkichaya.... ...Maine unse ek sawaal poocha, ki kya iske baad main chain

ki neend so paoonga ya nahin, to jawaab mein voh mujhe apni factory le

gaye."

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Walking into the Cadbury factory, he takes a look at their complete

manufacturing process and continues, "Aur mujhe apni international

technology.... apne kade quality controls aur double

protection... ...packaging dikhayi." Saying which he takes a bite of the

chocolate. Finally giving his personal assurance and approval he says, "Aaj kal

mein badi chain ki neend so raha hoon." "Ab aapki favourite Cadbury

Dairy Milk naye purity seal pack mein."

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REFERENCES

Books

Kenneth E. Clow and Donald Baack, “ Integrated Advertising, Promotion and

Marketing Communications” Fourth Edition 2012.

Terence A Shimp, “ Advertising and Promotion” Fourth Edition 2011.

Internet

www.cadburyindia.com/in/en/home/pages/index.aspx

en.wikipedia.org/wiki/Cadbury

www.youtube.com

http://www.kraftfoodscompany.com/in/en/home/index.aspx

Newspaper

Times of India

Economics Times

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