Cadbury
Cadbury
Cadbury
SRISHTI TEKRIWAL 212 SHIVANI KHULLAR 243 ASHUTOSH GOEL 263 GAURAV KHULLAR 244 GAURAV JOSHI 219 HARSHIT AJMERA 238
Objective
To study Cadburys marketing strategy in India, especially in context of Dairy Milk Oreo keeping in mind that one is a vintage product and the other a latest offering
FLOW OF PRESENTATION
Industry Overview SWOT Analysis Porters Five Forces model Suggestions and Conclusion
Compan y Overvie w
Product Line
4Ps of Oreo
Industry Overview
FMCG Food Industry Fruits and vegetables
Food Industry
India 2nd largest in world after China Has some of the biggest brands in the world Changes fast and constantly evolves Thrives on customer retention Focuses on customer wants Major players - Dabur India Ltd, Britannia Industries Ltd, ITC Ltd, Nestle, Cadbury (Kraft Foods)
Company Overview
Incorporated in 1948 Cadbury Fry (India) Pvt Ltd., began operations in India by importing chocolates. 1950s, the company started the manufacture of Chocolate and Bournvita, launched Cadbury's Fruit & Nut 1960s, the company set up a Cocoa Research Centre in Kerala, The name of the company was changed from Cadbury Fry (India) Pvt Ltd to Cadbury India Ltd, launched Cadbury's Eclairs
Product Line
KRAFT ACQUISITION
Took over Cadbury on 19th January 2010 Increased its direct reach by 25 per cent in 2011 to more than 700,000 stores Built refrigeration in its entire supply chain and invested heavily in sales infrastructure 'Project Leap - new organizational structure
SWOT ANALYSIS
SWOT Analysis
Strengths:
Well known to customers Less risk due to well diversification New product development and creativity Effective Advertising
SWOT Analysis
Weaknesses:
Health conscious customers are naturally segregated Despite its best efforts, it has been unable to break into the adult market effectively
SWOT Analysis
Opportunities:
Better Supply Chain and Distribution Efficiency Low calorie and sugar free lines should be launched Leveraging Kraft brand equity in developing markets of India
SWOT Analysis
Threats:
Chance of cannibalization due to large number of similar products Competition from famous brands like Amul and Nestle Foreign exchange rate risk due to imported raw materials
4 Ps of Dairy Milk
Product : Variants of Dairy Milk
Dairy Milk (their flagship product) Dairy Milk Fruit n nut Dairy Milk Roast Almond Dairy Milk Crackle Dairy Milk Celebrations Dairy Milk Shots Dairy Milk Silk
4 Ps of Dairy Milk
Price:
Most important factor in India Convenience is of prime important so price in whole numbers like `5, `10 etc. All Products have variants from low price to high depending on size of chocolate
4 Ps of Dairy Milk
Place
Well knit distribution network Cadbury chocolates have a tropicalised formation
4 Ps of Dairy Milk
Promotion
Changes the complete game Advertising most important edge of Cadbury
FOUR Ps OF OREO
4 Ps of Oreo
Product
Launched in India in March 2011 Was introduced to the world in 1912 Marked as the No.1 biscuit with sales exceeding 7.5billion worldwide Classic flavor has been introduced in India to be followed by other variations
4 Ps of Oreo
Price
Introduced at low price in India market Variations in size priced at `10 and `20 were launched initially New small pack of 3 biscuits priced at `5 has recently been launched keeping competitors in mind
4 Ps of Oreo
Place
Pre-development B-2-B Marketing Channel (due to large Variety of Oreo-based dishes) Retailing through existing channels of CadburyKirana stores, Convenience stores etc.
4 Ps of Oreo
Promotion
Launching the Twist-LickDunk(TLD) routine to capture attention Advertising Strategy to educate adults about Oreo through their kids Emphasis on the products attributes rather than emotional appeal because its a new product
BCG MATRIX
BCG Matrix
Dairy Milk is a cash cow as it has a high market share and low growth opportunity
Oreo is a question mark(?) as it has low market share currently but great market potential for growth in future
Conclusions
Cadbury is doing well and is the leader in the chocolate sector of the food industry It has been successful in keeping Dairy Milk alive due to its new product development and constant creativity Oreo seems to have excellent prospects in future, especially backed by Kraft Foods now
Recommendations
Cadbury should beware of substitute products, especially in the adult market Should try to increase its direct reach to stores Must look out for and keep up with competitors with foreign brands entering the Indian market
References
www.campaignindia.in business.library.wisc.edu mediapanther.co.in www.foodindustryindia.com www.just-food.com www.about-fmcg.com
Thank You