MM Management
MM Management
MM Management
1] Customer Satisfaction
Amway conductedbusiness through affiliated with companies in more than 100
countriesaround the world.-it was ranked by Forbes as one of the largest private companies in
US in2008.In 2008 66% of Amway market reported sales is increase including sales growth in
china,Russia and Indian markets. Amway India sales grew 40% to $230 million. The majority
of Amway sales today come fromhealth and beauty sector. In small towns Amway began
over51 years.The head office stretches one mile from east to west and is comprised of 80
buildings and 3.5million square feet of office and manufacturing space. More than 4,000 of
Amway 14000employees
2] Loyalty about Product
Justina stated when I saw this business in 1979.It is not about products it is the people and
theplan. I got so much from the association, the encouragement. Quite honestly, the people
that Iam (still today) associated with have done way more than either of my parents had ever
donefor me. No wonder Igravitated towards this company. I still love Amway for the
memories.My grown children have said they remember the times we went on Amway
weekends as thebest times of their lives. I know there are people who paid the money to make
a quick buckand got out and talk negative, but I believe they never even knew what they were
in.The mosthonest, high integrity company I have ever known
INTRODUCTION TO COMPANY
Cadbury India is a food product company with interests in Chocolate Confectionery, MilkFood
Drinks, Snacks, and Candy. Cadbury is the market leader in Chocolate Confectionerybusiness
with a market share of over 70%. Some ofthe key brands of Cadbury are CadburyDairy Milk, 5
Star, Perk, Éclairs, Celebrations, Temptations, and Gems. In Milk Food
drinkssegment, Cadbury's main product-Bournvita is the leading Malted FoodDrink
in thecountry.Cadbury is the world's largest confectionery company and its origins can be
traced back to1783 when Jacob Schweppes perfected his process for manufacturing
carbonated mineralwater in Geneva, Switzerland. In 1824, John Cadbury opened in
Birmingham selling cocoaand chocolate. Cadbury and Schweppes merged in 1969 to form
Cadbury Schweppes plc.Milk chocolate for eating was first made by Cadbury in 1897 by adding
milk powder paste tothe dark chocolate recipe of cocoa mass, cocoa butter and sugar. In
1905, Cadbury's topselling brand, Cadbury Dairy Milk, was launched. By 1913 Dairy Milk had
becomeCadbury's best selling line and in the mid twenties Cadbury's Dairy Milk gained its
status asthe brand leader. Cadbury India began its operations in 1948 by importing chocolates
andthen re-packing them before distribution in the Indian market. Today, Cadbury has
fivecompany-owned manufacturing facilities at Thane, Induri (Pune) and Malanpur
(Gwalior),Bangalore and Baddi (Himachal Pradesh) and 4 sales offices (New Delhi, Mumbai,
Kolkotaand Chennai). Its corporate office is in Mumbai. Worldwide, Cadbury employs 60,000
peoplein over 200 countries.
MISSION
"Cadbury’s mission statement says simply: ‘Cadburymeans quality’; this is our promise.
Ourreputation is built upon quality; our commitment to continuous improvement will ensure
thatour promise is delivered’
3.4 VISION
The Barrow Cadbury Trust’s vision is of a peaceful,equitable society, free
fromdiscrimination and based on the principle of social justice for all
OBJECTIVESSUMMER
•To find out the famous products of cadbury among the consumers.
•To find out the consumer behaviour towards cadbury.
•To make lots of chocolate.
•Improve the quality of their chocolate.
•To Survive in the market
Promotion Strategy-the element of afirm's decision-making concerned with
choosing them o s t a p p r o p r i a t e m i x o f a d v e r t i s i n g , s a l e s p r o m o t i o n , p e r s o n a l
s e l l i n g a n d p u b l i c i t y f o r communicationwith its market. The Promotion Strategy are as
follows.
4.1 PULL STRATEGY FOR SALES PROMOTION
Sales promotiondecisions are significantly affected by whether the company decides to
do“pull or push strategies” to accomplish its objectives.Such a decision may require a
little ora lot of cooperation from resellers.The requirements to implement one
strategy might belittle more than to just stock the product by the retailers.The other
strategy may demand more participation from resellers such as the ability toexplain to the
consumers as to how a product works.
PULL STRATEGY
In case of using apull strategy, marketing efforts are directed at the ultimate
consumer andconsumer promotions such as consumer contests and sweepstakes, rebates,
coupons, freesamples, consumer premiums, etc are used.If this strategy is also
chosen to include advertising, then, there are large advertising expenditures.The objective
of such promotional efforts would be to create sufficient consumer demand topull the product
through the channels that is the consumers are encouraged to demand theproduct from
retailerswho in torn place orders with wholesaler or manufacturer to meet theconsumer
demand.This strategy may require little promotional efforts from the resellers except to stock
input theproduct on shelves.
A pull strategy is appropriate when:-
•The product demand as high.
•It is possible to differentiate the product on the basis of real or emotional features.
•Brand consumers show high degree of involvement in the product purchase,
•There is reasonably high brand loyalty and
•Consumers make brand choice decision before they go to the store.
Push strategies generally appropriate for:-
•Product categories where there is low brand loyalty
•Where many acceptable substitutes are available in the market.
•Relatively new products are to be launched
•When the brand choice is often made in response to displays in the stores,
•The product purchase is unplanned or on impulse and
•The consumer is familiar and has reasonably adequate knowledge about
the product.Manufacturers, who cannot afford to engage in sustained mass advertising, often
use pushstrategy and offer effective incentives to dealers.Retailer promotion: Buy
Cadbury’s
products worth Rs.3000/-and get any 30 chocolates worth Rs.5 each free.
CONSUMER SALES PROMOTION:-
Consumer sales promotions encompass a variety of short-term promotional
techniquesdesigned to induce customers to respond in some way. The most popular consumer
salespromotions are directly associated with product purchasing. These promotions are
intendedto enhance the value of a product purchase by either reducing the overall cost of the
product(i.e., get same product but for less money) or by adding more benefit to the regular
purchaseprice (i.e., get more for the money).While tying a promotion to an immediate purchase
is a major use of consumer salespromotion, it is not the only one. As we noted above,
promotion techniques can be used toachieve other objectives such as building brand loyalty or
creating product awareness.Consequently, a marketer’s promotional toolbox contains a large
variety of consumerpromotions.The following 11 types of consumer sales promotions are:-
B . R e b a t e s :
Rebates, like coupons, offer value to purchasers typically by lowering the customer’s finalcost
for acquiring the product. While rebates share some similarities with coupons, they differin
several keys aspects. First, rebates are generally handed or offered (e.g., accessible on
theInternet) to customers after a purchase is made and cannot be used to obtain
immediatesavings in the way coupons are used. (So called “instant rebates”, wherecustomers
receiveprice reductions at the time of purchase, have elements of both coupons and rebates,
but forour purposes we will classify these as coupons due to the timing of the reward to
thecustomer.)Second, rebates often request the purchaser to submit personal data in order to
obtain therebate. For instance, customer identification, including name, address and
contactinformation, is generally required to obtain a rebate. Also, the marketer may ask
thoseseeking a rebate to provide additional data such as indicating the reason for making
thepurchase.Third, unlike coupons that always offer value when used in a purchase (assuming
it isaccepted by the retailer), receiving a rebate only guarantees value if the customer
takesactions. Marketers know that not all customers will respond to a rebate. Some will
misplaceor forget to submit the rebate while others may submit after a required deadline.
Marketersfactor in the non-redemption rate as they attempt to calculate the cost of the rebate
promotion.Finally, rebates tend to be used as a value enhancement in higher priced products
comparedto coupons. For instance, rebates are a popular promotion for automobiles and
computersoftware where large amounts of money may be returned to the customer.
PROMOTION STRATEGY
The basic purpose of promotion and advertising by Cadbury is to make Cadbury
synonymouswith chocolate and-
•Educate the market
•Build brand awareness
•Increase consumption
•Encourage seasonal purchases
CADBURY PERK:
1)360-degree campaign with mix of television, consumer contact activities, etc.2)Tie up with
leading coffee chain Café Coffee Day for direct sampling.3)Product sampling for
first two months across 25 towns.
C.CADBURY 5 STAR:
Cadbury India uses the outdoor medium as an integral part of its advertising campaigns.
The360-degree marketing campaign for the re-invented 5-Star, apart from the TVC and brand
Sales Promotion Strategy With Special Reference To Cadbury India
43
micro site, also features a theme-based outdoor and fun sampling and tasting sessions
aboutthe ‘right way to taste a 5-Star.
D.CADBURY CELEBRATION:
Radio constitutes 10 per cent of the overall spends for the
Rakhi
campaign for CadburyCelebrations. Besides radio, outdoor constitutes 15-20 per cent of the
spends, while TVcontinues to dominate the media plan at 70per cent. For a campaign relying
so heavily ontelevision, there is no new TV commercial. The company is airing last year
's TVC this yearas well, the rationale being that the ad–an emotional one about a brother in a
hostel beingsurprised by his sister–still generates high recall.
SWOT ANALYSIs
STRENTH:
1.Strong brand names like Cadbury Dairy Milk, Five star and Eclairs. 2 . R i c h
p r o d u c t m i x . 3.Support from the parent Cadbury Schweppes.4.Cadbury
Schweppesplc was one of the Fortune Top 100 Companies to Work For in2005. The
company is a respected employer that values its workforce.5.The organization has strong
ethical values and an ethical mission statement.
Weaknesses:
1.Lack of launch of new brands in Chocolates segment.2.Cadbury has a reputation
for new product development and creativity. However, they remain vulnerable to the
possibility that their innovation may falter over time.3.The organization is dependent on a
main competitive advantage, the retailof coffee. This could make them slow to diversify
into other sectors should the need arise.4.The company has no apprehensions of
cannibalization of its chocolate brands.
Sales Promotion Strategy With Special Reference To Cadbury India49
Opportunities:
1.The Indian market and more specifically
the urban areas where thepenetration of Chocolates is low can be developed as a future
market through affordability andavailability.2.Using information and technology to bring
efficiency in logistics and distribution.3.Cadbury India is attempting to
increase the declining marketfor chocolate with innovation, one of which is its sweet
snack, Byte4.Brand ambassador Amitabha Bachchan for advertising there new
products.
Threats:
1.Stiff competition in Confectionery segment.2.The company has large exposure
to foreign currency exchange rate risk, mainly on account of imported cocoa beans and
cocoa butter in US Dollar and Pound St.3.Health organization have so many barriers for
new development.4.Entry into salted snacks was ruled out so it is important to do
new innovation andmarketing research.
BIBLIOGRAPHY
Cadbury Home:-https://www.cadbury.com.au/Home.aspxCadburys Campaign:-
http://articles.ekconomictimes.indiatimes.com/keyword/cadburyCadbury Expanding the
market:-http://mediapanther.co.in/marketing/cadbury-expanding-the-market/ Advertisement Str
ategy of Cadbury:-http://ad-mad-club.blogspot.in/2009/08/cadburys-advertising-startegy.html