Cadbury India

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EXECUTIVE SUMMARY

Chocolates had its beginnings in the times of the Mayas and the Aztecs when they beat cocoa into a pulp and made a bitter frothy chocolate out of them. They first became popular in Europe in a highly unrefined form. Then the Hershey Food Company was the first to bring out chocolates in the currently popular solid form.

The main ingredient of chocolates is cocoa, grown mainly on the equatorial zones of South America. The other ingredients that go into the making of chocolates are: sugar, milk solids, and permitted emulsifiers. Cocoa constitutes nearly 40% of the total raw material cost.

The following report attempts to make a study on the chocolate industry and the position of the chocolate brand, Cadbury. The brand name chosen is the umbrella brand as we feel that the corporate name is recognised as a brand, not so much its individual products. The study will focus on the marketing and advertising strategy employed by Cadbury in the context of the Indian macro environment and industry structure. The advertising strategy will be studied with respect to Cadbury's business and marketing objectives. The strategies adopted will be analyzed for each product offering. The same is followed to a minimal extent for its major competitor, Nestle India Limited, to get an understanding of where Cadbury stands.

The report initially focuses on an examination of the industry environment and the product class. The report then goes on to analyse the corporate, marketing and advertising strategies adopted by the selected company and its main competitor. It concludes by looking at the future challenges and recommendations for the industry and the company.

TABLE OF CONTENTS

Chapter 1 INTRODUCTION & RESEARCH METHODOLOGY1

1. Research details(Type of research, Sample size, Sample design, Data Collection)8

2. Limitations of the project8

3. Market Segmentation9

4. Psychographics & Demographics 12

Chapter 2 COMPANY PROFILE13

Chapter 3 KEY SUCCESS FACTORS 14

Chapter 4 PRODUCT PORTFOLIO 15

Chapter 5 STRATEGIC BRAND ANALYSIS 16

Chapter 6 ORGANISATION ANALYSIS 17

Chapter 7 COMPETITOR ANALYSIS 19

7.1 Nestle (Strengths and Weaknesses)19

7.2 Amul (Strengths and Weaknesses)21

7.3 Cadbury (Strategy and Future Plans) 22

Chapter 8 CUSTOMER ANALYSIS 24

8.1 Need gap analysis vis-à-vis competitors24

Chapter 9 EXTERNAL ENVIRONMENT ANALYSIS29

9.1 The Chocolate Industry in India 29

Chapter 10 BRAND IDENTITY 30

Chapter 11 BRAND PRISM 31

Chapter 12 BRAND POSITIONING 33

Chapter 13 BRAND IMAGE 36

Chapter 14 BRAND PERSONALITY 37

Chapter 15 PORTERS FIVE FORCES FRAMEWORK 40

Chapter 16 FUTURE CHALLENGES42

Chapter 17 RECOMMENDATIONS TO GEAR UP FUTURE
CHALLENGES 43

Annexure
Appendix A: Porter’s 5 Forces Model44
Appendix B: Positioning with respect to the price segments45

Bibliography46

Chapter-1 INTRODUCTION AND RESEARCH METHODOLOGY

1.1 Research Details
Type of Research: Exploratory and Descriptive.
Sample Units: Two of the Number One brands in India namely Cadburys and Nestle, respectively, were chosen on the basis of their market shares. These two industries were chosen on the basis of the usage of the products, as the usage of FMCG’s is high and noticeable. Sample Design: Non-probability sampling was resorted to and the methods used...
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