IMC Cadbury

Download as docx, pdf, or txt
Download as docx, pdf, or txt
You are on page 1of 39

1

Introduction:-

Integrated marketing communications (IMC) is an approach used by


organizations to brand and coordinate their communication efforts. The
American Association of Advertising Agencies defines IMC as "a
comprehensive plan that evaluates the strategic roles of a variety of
communication disciplines and combines these disciplines to provide clarity,
consistency and maximum communication impact. " The primary idea behind
an IMC strategy is to create a seamless experience for consumers across
different aspects of the marketing mix. The brand's core image and messaging
are reinforced as each marketing communication channel works together as
parts of a unified whole rather than in isolation.

An approach to achieving the objectives of a marketing campaign, through a


well coordinated use of different promotional methods that are intended to
reinforce each other.
As defined by the American Association of Advertising Agencies, integrated
marketing communications " ... recognizes the value of a comprehensive plan
that evaluates the strategic roles of a variety of communication disciplines
advertising, public relations, personal selling, and sales promotion and
combines them to provide clarity, consistency, and maximum communication
impact."

Integrated Marketing Communication (IMC) is the application of consistent


brand messaging across both traditional and non-traditional marketing channels
and using different promotional methods to reinforce each other.
It is essential for organizations to promote their brands well among the endusers not only to outshine competitors but also survive in the long run. Brand
promotion increases awareness of products and services and eventually
increases their sales, yielding high profits and revenue for the organization.
To understand integrated marketing communication, let us first understand what
does brand communication mean?
Brand communication is an initiative taken by organizations to make their
products and services popular among the end-users. Brand communication
goes a long way in promoting products and services among target consumers.
The process involves identifying individuals who are best suited to the purchase
of products or services (also called target consumers) and promoting the brand
among them through any one of the following means:
Advertising
Sales Promotion
Public Relation
Direct Marketing
Personal Selling
Social media, and so on
Integrated Marketing Communication - Let us now understand what does
integrated marketing communication mean?

Integrated marketing communication refers to integrating all the methods


of brand promotion to promote a particular product or service among
target customers. In integrated marketing communication, all aspects of
marketing communication work together for increased sales and maximum cost
effectiveness.

Various components of Integrated Marketing Communication:


1. The Foundation - As the name suggests, foundation stage involves
detailed analysis of both the product as well as target market. It is
essential for marketers to understand the brand, its offerings and endusers. You need to know the needs, attitudes and expectations of the
target customers. Keep a close watch on competitors activities.

2. The Corporate Culture - The features of products and services ought to


be in line with the work culture of the organization. Every organization
has a vision and its important for the marketers to keep in mind the same
before designing products and services. Let us understand it with the help
of an example.
Organization As vision is to promote green and clean world. Naturally its
products need to be eco friendly and biodegradable, in lines with the
vision of the organization.

3. Brand Focus - Brand Focus represents the corporate identity of the


brand.

4. Consumer Experience - Marketers need to focus on consumer


experience which refers to what the customers feel about the product. A
consumer is likely to pick up a product which has good packaging and
looks attractive. Products need to meet and exceed customer expectations.

5. Communication Tools - Communication tools include various modes of


promoting a particular brand such as advertising, direct selling,
promoting through social media such as facebook, twitter, orkut and so
on.

6. Promotional Tools - Brands are promoted through various promotional


tools such as trade promotions, personal selling and so on. Organizations
need to strengthen their relationship with customers and external clients.

7. Integration Tools - Organizations need to keep a regular track on


customer feedbacks and reviews. You need to have specific software like
customer relationship management (CRM) which helps in measuring the
effectiveness of various integrated marketing communications tools.
Integrated marketing communication enables all aspects of marketing mix to
work together in harmony to promote a particular product or service effectively
among end-users

The Shift from Fragmented to Integrated Marketing


Communications
Prior to the emergence of integrated marketing communications during the
1990s, mass communicationsthe practice of relaying information to large
segments of the population through television, radio, and other media
dominated marketing. Marketing was a one-way feed. Advertisers broadcasted
their offerings and value propositions with little regard for the diverse needs,
tastes, and values of consumers.
Often, this "one size fits all" approach was costly and uninformative due to the
lack of tools for measuring results in terms of sales. But as methods for
collecting and analyzing consumer data through single-source technology such
as store scanners improved, marketers were increasingly able to correlate
promotional activities with consumer purchasing patterns. Companies also
began to downsize their operations and expand marketing tasks within their
organizations. Advertising agencies were also expected to understand and
provide all marketing functions, not just advertising, for their clients.
Today, corporate marketing budgets are allocated toward trade promotions,
consumer promotions, branding, public relations, and advertising. The
allocation of communication budgets away from mass media and traditional
advertising has raised the importance of IMC importance for effective
marketing. Now, marketing is viewed more as a two-way conversation between
marketers and consumers. This transition in the advertising and media industries
can be summarized by the following market trends:

a shift from mass media advertising to multiple forms of communication


the growing popularity of more specialized (niche) media, which considers
individualized patterns of consumption and increased segmentation of consumer
tastes and preferences the move from a manufacturer-dominated market to a
retailer-dominated, consumer-controlled market the growing use of data-based
marketing as opposed to general-focus advertising and marketing greater
business accountability, particularly in advertising performance-based
compensation within organizations, which helps increase sales and benefits in
companies unlimited Internet access and greater online availability of goods and
services a larger focus on developing marketing communications activities that
produce value for target audiences while increasing benefits and reducing costs

The Tools of Integrated Marketing Communications


The IMC process generally begins with an integrated marketing
communications plan that describes the different types of marketing,
advertising, and sales tools that will be used during campaigns. These are
largely promotional tools, which include everything from search engine
optimization (SEO) tactics and banner advertisements to webinars and blogs.
Traditional marketing communication elements such as newspapers, billboards,
and magazines may also be used to inform and persuade consumers. Marketers
must also decide on the appropriate combination of traditional and digital
communications for their target audience to build a strong brand-consumer
relationship. Regardless of the brand's promotional mix, it is important that
marketers ensure their messaging is consistent and credible across all
communication channels.

Benefits of Integrated Marketing Communications


With so many products and services to choose from, consumers are often
overwhelmed by the vast number of advertisements flooding both online
and offline communication channels. Marketing messages run the risk of
being overlooked and ignored if they are not relevant to consumers' needs
and wants.
One of the major benefits of integrated marketing communications is that
marketers can clearly and effectively communicate their brand's story and
messaging across several communication channels to create brand
awareness. IMC is also more cost-effective than mass media since
consumers are likely to interact with brands across various forums and
digital interfaces. As consumers spend more time on computers and
mobile devices, marketers seek to weave together multiple exposures to
their brands using different touch points. Companies can then view the
performance of their communication tactics as a whole instead of as
fragmented pieces.
The other benefit of integrated marketing communications is that it
creates a competitive advantage for companies looking to boost their
sales and profits. This is especially useful for small- or mid-sized firms
with limited staff and marketing budgets. IMC immerses customers in
communications and helps them move through the various stages of the
buying process. The organization simultaneously consolidates its image,
develops a dialogue, and nurtures its relationship with customers
throughout the exchange. IMC can be instrumental in creating a seamless
purchasing experience that spurs customers to become loyal, lifelong
customers.

CADBURY-COMPANY PROFILE
Cadbury India is a food product company with interests in Chocolate
Confectionery, Milk Food Drinks, Snacks, and Candy. Cadbury is Indias 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
clairs 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.
COMPETITORS:

Market Share
Cadbury
Nestle

9% 6%
15%

Britannia
70%

Glaxo Smith

10

Cadbury Dairy Milk


Product type

Confectionery

Owner

Cadbury

Country

United Kingdom

Introduced

1905

Related brands

List of Cadbury products

Markets

Worldwide

Tagline

Free The Joy

Website

www.cadbury.co.uk

Type

Cadbury UK Limited (Subsidiary)

Industry

Confectionery

Founded

Birmingham, United Kingdom (1824)

Headquarters

Uxbridge, London, United Kingdom

Key people

Irene Rosenfeld (Chairman and CEO)

Products

See list of Cadbury products

Revenue

11,346,002,000 (2011)

Operating income

559,432,200 (2011)

Net income

447,545,760 (2011)

Number of employees

71,657 (2008)[1]

Parent

Mondelz International

Slogan

Working together to create brands people love

Website

www.cadbury.co.uk

History
In June 1905 in England, Cadbury made its first Dairy Milk bar, with a higher
proportion of milk than previous chocolate bars, and it became the company's
best selling product by 1914. George Cadbury Junior, responsible for the
development of the bar, has said "All sorts of names were suggested: Highland
Milk, Jersey and Dairy Maid. But when a customers daughter suggested Dairy
Milk, the name stuck." Fruit and Nut was introduced as part of the Dairy Milk
line in 1928, soon followed by Whole Nut in 1933. By this point, Cadbury's was
the brand leader in the United Kingdom. In 1928, Cadbury's introduced the

11

"glass and a half" slogan to accompany the Dairy Milk bar, to advertise the bar's
higher milk content.
In September 2012, Cadbury made the decision to change the shape of the bar
chunks to a more circular shape in order to reduce the weight. The bar had not
seen such a significant change in shape since 1905.
Since 2007 Cadbury had a trademark in the United Kingdom for the distinctive
purple colour (Pantone 2865C) of its chocolate bar wrappers,[6] originally
introduced in 1914 as a tribute to Queen Victoria.In October 2013, however, an
appeal by Nestl succeeded in overturning that court ruling.

Amitabh Bachchan as brand ambassador

12

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
Cadbury chocolates - their timelessness, and the love and trust they both share
with the people across India, makes this an ideal partnership. Moreover,
MrBachchan has a universal appeal that extends to everyone from 6 to 60, just
as our chocolates do.
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."

MARKETING PLAN
Marketing Objectives:Over the years Cadbury dairy milk has positioned itself as an all-time favorite
chocolate that is meant for all irrespective of the age, class and gender. It has
been always marketed as a chocolate having the contemporary taste but which is
affordable, with several variants to select from and over the time it has been
trying to position itself as an alternative to the traditional Indian sweet.
Whereas the corporate strategies are centered towards ensuring profitable

13

growth in the market and grow shareholder value over the long term the
marketing strategies are more particular which can be stated a follows: Increase sales profit of Cadbury diary milk
Positioning diary milk as a successful alternative to the traditional Indian
sweets in order to cash in the rich tradition of Indian people associated with
desserts
Sustain market share over the year through product innovation in product
development and packaging

STP for Cadbury Diary Milk:-

Dairy Milk chocolate bars have been in existence since 1905. Their
packaging has changed, although their promotions remain somewhat constant
but the positioning has evolved over the years. Their actual Diary Milk
chocolate has not been altered over time except for when being sold to different
regions Indians like creamier chocolate than do those from England so Dairy
Milk in India contains more of a milk content.

14

Segmentation: The segmentation of the market for dairy milk is based on three things.
The first one being based geography. Geographically, Dairy Milk bars
are segmented by consumer preferences in the area and are sold more
predominantly in regions which consume more snack/junk food. The
other type of segmentation is catering to the impulse purchasers. These
type of consumers form a major chunk of the consumer base that the
product caters to. Dairy Milks are often stocked in convenience stores
and the check-out aisles of supermarkets due to impulse purchasers
who are buying the chocolate for purchase and consumption now. The
other segment is the gift segment. Giving away chocolates as gifts is a
trend that is fast catching up in India Cadbury dairy milk wants to cash
in on that. The latest segment that Cadbury dairy milk is catering to is
the dessert segment. The tradition of having a dessert after meal is
present in every civilization and this is a huge segment. The latest
drive of dairy milk is to become the national dessert of the country. As
far as segmenting the market on income there are different variants of
dairy milk (bournville and silk) targeted towards the higher class who
are ready to pay the premium for extra dark chocolate.
Targeting: Starting from 1905 the purchasers of dairy milk have changed from
children to all age groups. When Cadbury started its operation in India
their main buyers were children and the youth who brought chocolates
to celebrate special occasion. This limited the market for Cadbury
dairy milk. This is a reason that Cadbury came out with the campaign
of (kuch meetha ho jaye) to make dairy milk synonymous with sweet
so that it could target all the age groups. In India it was a mentality
that chocolates are for children and the adults were more inclined
towards to the conventional sweets. This campaign targeted them and

15

saw a change in the target market for the brand. Now the target market
for dairy milk is every member of the family.

Positioning: Cadbury Dairy Milk excels at positioning. Not only can the chocolate
bars have many different positions based on which segment they are
in, but also none of the positions damper the effects of other positions!
Youth see with word Cadbury as a synonym for chocolate, others see it
as synonyms for sweet and love and bliss. In India it positioned itself
as spontaneous, special, carefree, real moments (Mazza aa gaya) in
the initial stage. But later it tried to position itself as brand that is
synonymous with sweet (Kuch meetha ho jaye). The most recent
campaign (Shubh Aarambh) tries to take forward the initial
positioning of dairy milk as an alternative for the traditional sweet and
positions itself as something that is as auspicious as the sweet which is
generally offered as bhog to gods.

The Marketing Mix: Product:- The product Diary Milk is a chocolate bar that is made from
real dark chocolate. The design of the chocolate is nearly same
throughout the world with slight changes that are made according to
the different regions. The amount of milk content in dairy milk is the
highest as compared to other competitors. The components that are
used in making the chocolate are sugar, cocoa butter, vegetable fats,
cocoa mass and emulsifiers. The various variants of dairy milk are
Wowie, Crackle, Fruit and Nut, Crunchie, Temptations (roasted
almond, rum raisins and raisin apricot), Bournville and Silk.

16

Price:- Cadbury Dairy Milk has always adopted a competitive pricing


strategy for the basic product whereas has gone for premium pricing
on the other other variants. The price list is given as follows*:-

Product

Weight(gms)

Price(Rs.)

Dairy Milk

9.5

Dairy Milk

20

10

Dairy Milk

38

20

Crackle, Roast Almonds

42

35

Dairy Milk Wowie

17

10

Dairy Milk

95

60

Dairy Milk

Place:- The company has five company owned manufacturing capacities


in Thane, Induri (Pune), Malanpur (Gwalior), Bangalore and Baddi
(Himachal Pradesh). The sale offices are located in the metros and the
head office is located in Mumbai. The distribution structure is such that
Cadbury dairy milk are sold directly to the retailers and the whole sellers.
Cadburys distribution network used to encompass 2100 whole sellers
and 450,000 retailers.
Promotion: - Creation of a strong brand is very important in the
confectionery industry. Almost 80 percent of the chocolate purchases are
unplanned and are on impulse. The media mix for any campaign for diary

17

milk comprises of TV, radio, print, OOH and Internet. The advertisements
are used to create and emotional bonding with the consumers and hence
are high on the emotional content. The print media is for making the
consumers more knowledgeable about the brand and digital media is used
for more targeted two way communication. Over the years dairy milk has
concentrated heavily on TV advertising but lately there is a shift towards
digital media. The promotions have been done keeping in mind to
increase brand loyalty and to encourage repeat purchases at the same time
increasing market share. Apart from the mass media the other strategies
include making dairy milk a visible brand in the market and encouraging
free samples through competitions to gain trust and familiarity among the
target audience.

5C Analysis: Company:Cadbury dairy milk is a brand of chocolate made by Cadbury Plc. unit of
Kraft Foods and sold in several countries around the world. It first went
on sale in 1905 in the United Kingdom.
Customers: The prospective customer of dairy milk range from 5 to 60 years of age.
Since dairy milk has a range of product suited for every member of the
family. The aim is to strengthen the brand relationship in the current
consumers life. The ranges of customers vary for diary milk. Whereas

18

some buy it as an alternative for sweet others buy it as a gift item. The
consumers mostly buy the product on impulse and are influenced by
taste/flavor and then by company/brand.
Competitors: The main competitors of Dairy milk in India are nestle, Mars and Amul
chocolates. The high end chocolates (Bournville and silk) also face
competition also face competition from the imported Swiss chocolates.
But one of the biggest advantage the dairy milk has over its competitors
is the brand loyalty that it has got. The excellent advertising , reach and
accessibility has made it the top of mind brand in the chocolate category.

Climate:The climate for the chocolate industry and dairy milk in particular seems
very attractive in a country like India. With the size of the market being
so big along with encouraging category growth the prospects look very
good. Since the product is not seasonal and the margin is also good
makes the climate for the industry even better. With new innovations
coming up in terms of product and packaging the market is still on a
growth curve.
Collaborators: As already said Cadbury dairy milk manages a huge range of retailers and
whole sellers who make up the collaborators. Over the years the company
has partnered with various other companies like Adam Philippines in
2001 so that diary milk has a much wider distribution network in the
Philippines.

19

ANALYSIS OF THE PROMOTIONAL PROGRAM SITUATION


Internal Analysis assesses relevant controllable issues
Firms Promotional Capabilities - Cadbury as a company is a PLC. unit for
Kraft Foods. Dairy milk is the flagship product of Cadbury in India as well as
abroad and the firm doesnt leave any stone unturned to promote the brand
which gives it the highest revenue. As far as the promotional capabilities is
concerned the company has resorted to every communication media (print,
OOH, TV, radio etc.) to create a high brand recall for dairy milk. With a sales
and advertisement budget of nearly four hundred crores the firm can employ
any promotional mechanism it wishes and it has done full justice to the dairy
milk by spending a major chunk of this budget in the promotion of dairy milk
and its variants.
Product/Service Analysis - Dairy Milk offers a range of products suited for the
taste buds of all types of consumers from nutty flavours to rich chocolate
flavours. A few of Dairy Milks product offerings are as follows:

20

Review of Past Promotional Programs


Campaign

Target

Real Taste of
Life

Child in adult

Khanewalon ko
Wider masses
khane ka bahana
chahiye
Pappu Pass Ho
Youngsters
Gaya
Miss Palampur
Rural masses

Shift over the


years
From just for kids
to the kid in every
adult
Appeal to a wider
mass based on
age, gender, etc.

Shift to smaller
packs
Kuch Meetha Ho Conversion of
This was an
Jaaye
sweet consumers innovative idea
to chocolate for
and Cadbury went
special occassions ahead with the
Celebrations
packs with these
ads
Khane ke baad
Targeting the
From converting
Meethe mein
habit of Indians to sweet consumers
Kuch Meetha Ho have desserts after on special
Jaaye
meals
occasions

Promo
Mechanisms
TVC, Print,
Hoardings
TVC, Print,
Hoardings
TVC, Hoardings
TVC, Hoardings
TVC, Print,
Hoardings, Social
Media

TVC, Print,
Hoardings, Social
Media

21

Shubh Aarambh

Targeting the
belief of Indians
that anything
begun by having
something sweet
provides good
luck

Cadbury now
tried to sweet
consumption for
dessert to
chocolate as well
Converting yet
another segment
of sweet
consumers i.e.
before the start of
any work

TVC, Print,
Hoardings, Social
Media

External Analysis assesses relevant uncontrollable issues


Customer Analysis Who are the customers?
Cadbury has targeted different segments of consumers through their various ad
campaigns. From targeting kids they extended their target audience to 'the kid in
every adult' through their 'Real Taste of Life' campaign. Next they targeted the
youths through their 'Pappu Pass Ho Gaya' campaign and the rural populous
through their 'Miss Palampur' campaign. The last few of their ad campaigns
have specifically been targeted towards converting consumers of sweets to
chocolates and this they have done extensively by giving consumers the idea
that chocolates could substitute sweets in ways that consumers could never
think of like on special occasions or for dessert after meals or for the auspicious
start of something important.
What do they buy and how they use it?

22

Purchase as a gift - Cadbury Dairy Milk Celebrations

As a snack

As a dessert
Where do they buy?

Leading supermarkets and 'big chains' stores

Kirana stores
How has Cadbury tried to capture these buyers?

For those shopping at malls and supermarkets Cadbury aimed at as many


as possible using big boxes of chocolates stored near billing area to
stimulate impulse buying

They also used the concept of eye level shelves to a great extent to
capture the attention of consumers
When do the consumers buy?

Impulse buying

Festive season

Special Occasions
How do they choose?
Consumers are influenced to buy a particular brand/product based on the
following criteria in the order of importance:

How they respond to marketing programs?


Consumers have till date responded very well to Cadbury's marketing
campaigns. With every new campaign, Cadbury's market share has
increased and Cadbury has been able to capture the audience targeted.
Also brand loyalty has increased with the promotional campaigns.

23

Competitive Analysis
Product
Feature
Market
Position
No. of
variants
Gift Packs
Objective

Nestle

Amul

Cadbury

2nd

3rd

1st

Many

Few

Many

Yes
To be the worlds largest
and best branded food
manufacturer, whilst
ensuring that the brand
name is synonymous
with products of the
highest quality

No
Confectioneries
just happens to be
a side business for
Amul whose core
competency lies
in milk and milk
products

Yes
To grow the
market for
chocolate
confectionery
To increase
Cadburys share
of the snacking
sector

Strategy

Integrated cost
leadership/differentiatio
n
Wide range of products
Low cost operators

No clear-cut
strategy

Growing the
market by apt
pricing strategy
that will create a
mass market and

24

to have offerings
in every
category to
widen the
market

Environmental Analysis
Porter's 5 forces Analysis:

25

PEST Analysis:

26

ANALYSIS OF COMMUNICATION PROCESS


Real Taste of Life

27

Communication Objective- Through the ad, they wanted to convey the message
that there is a child in each one of us and they wanted to appeal to that child,
since children loved eating chocolates. The ad was meant to create a particular
image in the eyes of the customer and successfully communicate what the
product conveyed.
It appealed to the child in every adult and Cadbury Dairy Milk became the
perfect expression of 'spontaneity' and 'shared good feelings' In every adult
there is a child let that child express itself give in to temptation and satisfy his or
her desire to sink teeth into a smooth creamy delicious chocolate This approach
appears to be unique to Cadbury.
What was Communicated- The Real Taste of Life was launched in the 1990 s. It
was an attempt to capture the child-like spontaneity in every adult. From the
depiction of an old man offering his wife a Dairy Milk chocolate to the dancing
girl in crowded stadium, it all reflected the impulsiveness and the spontaneity of
the child in the adult.
Why they communicated- They wanted tore-create the image of a child in the
eyes of the adults, remind them of their childhood days and create an image that
Cadbury essentially stood for childhood and stimulate them to buy chocolate so
as to make them remember the childhood days.
What was achieved- A change in Consumer mindset that chocolates were
mostly for kids and young people. Through the campaign, adults realized they
could and should enjoy chocolates as well.
Khanewalon ko khane ka bahana chahiye
Communication objective-

28

Through the ad, it was aimed at widening the chocolate consumption


among the masses and making sure the product reached a wider group of
people, based on age, sex etc.
What was Communicated- The ad reflected the fact that Cadbury could
be available and eaten by all groups of people. In the ad, an elderly lady,
middle-aged man, newly married bride, young guy and a child are all
seen enjoying Cadbury, which showed that all people, irrespective of their
sex and age could enjoy it.
Why they communicated- The ad was meant to stimulate purchase
intentions and enable the reach of Cadbury to a wider audience.
What was achieved- A widening of audience, which meant a wider
market for the product.
Kuch Meetha Ho Jaaye
Communication Objective- The ad was meant to portray Cadbury as
something which can be had on all celebratory occasions. It projected
chocolates as a substitute to mithai (sweets) and cheered people to have
chocolate on every joyous occasion.
What was communicated- The basic depiction was that the ad showed
that chocolate can be showed as being enjoyed during Diwali and any
other celebratory occasions.
Why they communicated- The idea was mainly to develop preferences
among people for chocolates to sweets and stimulate the demand for
chocolates in festive and joyous occasions.

29

What was achieved- Depiction of chocolate as a substitute to sweets and


the fact that it can be enjoyed in joyous occasions too.
Pappu Pass Ho Gaya
Communication Objective- The ad targeted youngsters and has become
part of street language. It has been adopted by consumers to express joy
in a moment of achievement/success. The ad showed association with
little joys of life. The campaign urged people to celebrate every little
moment of happiness in their life with a chocolate.
What was communicated- The ad showed the coming out of results and
the passing of a person called Pappu, who had failed repeatedly. All
youngsters were seen having chocolate to enjoy their moment of success.
Thus, it predominantly targeted youngsters.
Why they communicated- The ad was meant to reach out to youngsters
and encourage them to buy chocolates.
What was achieved- Enabling Cadbury to be portrayed as a product
which can be had by youngsters to celebrate their successes.

Miss Palampur
Communication Objective- The ad targeted the rural parts of India. It
focused on Adults and values, like Sacred Cow campaigns aimed at rural

30

India did fare well. Campaigns aimed at rural India did fare well. The
share of Cadbury increased by more than 20% in rural India. The share of
Cadbury increased by more than 20% in rural India. The brand further
strengthened its positions with the core audience. The brand further
strengthened its positions with the core audience.
What was communicated- It shows a villager enjoying the success of his
cow becoming Miss Palampur. The entire village joins in the celebration,
with all having chocolates.
Why they communicated- The ad was meant to increase the reach of the
product to rural areas and develop preferences for chocolates in the rural
areas.
What was achieved- Enabled Cadbury to be shown as a product which
can be enjoyed in rural areas too.

Shubh Aarambh

31

Communication Objective- The ad was specifically aimed at indicating a


shift from the notion of celebrating happy occasions with chocolate to the
happy occasions with chocolate to the concept of anticipating concept of
something good after consuming the chocolate, a substitute for mithai.
The campaign is aimed at consumers across sectors, and is supposed to
have a balanced appeal across all tiers.
What was communicated- The ad depicted the starting if friendship over
having Cadbury and how a bonding developed over it.
Why they communicated- The ad was meant for

the core group, i.e.

consumers in the age group of 15-35 years. The ad was established to


remind consumers about the utility of Cadbury
What was achieved- Enabled Cadbury to re-establish itself in the eyes of
the core target customers.

STEPS TAKEN TO SOLVE THE CONTROVERSY


1. Taking precautions

32

'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 Vishwasprogramme 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.
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 tamperproof outer sealing and improved packaging inside," explains Purohit.
The new double packaging even for the smallest offering, the 13 gmRs 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.

33

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
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 kehn ahai,
jis kaam mein manushya ki antaraatm auske saath na ho, usskaamkokarne
se usse sab kuch mil saktahai... man ki shaanti nahin mil sakti. Isliye jab

34

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

se

Cadbury

khaanewala

main

bhi

thodasa

hitchkichaya.... ...Maine unse ek sawaa lpoocha, ki kya iske baad main chain
kineend so paoonga ya nahin, to jawaab mein vo hmujhe apni factory le
gaye."
Walking into the Cadbury factory, he takes a look at their complete
manufacturing

process

technology....

apnekade

and

continues,

quality

"Aurmujheapni

controls

aur

double

international
protection...

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


giving his personal assurance and approval he says, "Aajkalmeinbadi chain
kineend so rahahoon." "Abaapkifavourite Cadbury Dairy Milk naye
purity seal pack mein."

BUDGET DETERMINATION FOR SHUBH AARAMBH


CAMPAIGN
Shubh Aarambh campaign was launched in 2010, drawing lines from the
traditional Indian custom of having something sweet before embarking on
something new.

35

We have adopted the Percentage of Sales method for budget determination of


theShubh Aarambh campaign. We have referred the Profit & loss statement of
Cadbury India Ltd for 5 years prior to the launch of the Shubh Aarambh
campaign i.e. from 2005 to 2009.
Revenue break up of Cadbury India Ltd

Chocolate

65%

Confectionaries

11%

Malted health drink

24%

36

Total Promotional Expense


222
Advertising
197.14
Sales Promotion
13.93
Events and Sponsorship
10.92

Print
Television
Radio
out-of-home
Online

37.5
138.0
5.9
5.9
9.9

37

CONCLUSION
Cadbury is the largest confectionery company with a market share
approximated at 10 per cent. The company also enjoys a strong financial
position. In addition, Cadbury is competent in its manufacturing process
due to a strong brand name and leadership in innovation. The companys
manufacturing focus on chocolate, candy, and chewing gum has helped
the company to understand unique consumer segments.
The confectionery market is well known for a high the propensity to
merge or acquire, this is an opportunity for Cadbury to increase its market
share through acquisitions. There are also new markets in highly
populated countries such as China and India where demand for
confectionary is increasing. In order to survive in the FMCG market, cost
minimization is very important. Cadbury has the ability to further reduce
costs through outsourcing, increasing supply chain efficiency, and
prudent investment in R & D. innovation is important to responding to
consumer preferences. This can be achieved by the production of sugar
free gums and Cadbury premium chocolate for treats and enjoyment.
Very effectively used various tool of IMC
The Kuch Meetha Hojaye Campaign also went on to win silver for The
Best Integrated Marketing campaign and
Gold in the Consumer Products Category at the EFFIES awards.

Successfully re-established the brand in different classes even


after the worm controversy.
Through timely and consistent marketing communication
Cadbury succeeded in solving daunting business crises.

38

By integrating a variety of tools such as press release,


conferences, trade advt., point of purchase communication,
package initiatives, email communication, and like , all focusing
on same problem , cadbury could communicate aunified
message and get audiences to appreciate the efforts it had taken
to minimize instances of future occurance.
Cadbury solely depends on confectioneries and beverages for its revenues
while some of its main competitors such as Nestle have diversified their
product portfolio. This generates more profits that can be ploughed back
and/or invested in R&D. other competitors have even stronger
supranational experience, Cadbury on the other side has majorly been
strong in Europe. Cadbury must continue to enhance its presence and
understanding of emerging markets in order to remain competitive.
Globally, environmental costs are rising especially costs of energy,
packaging, cocoa, packaging, transport and sugar. Thus the company
should locate its global supply chains at low cost areas. Pressure from
competitors especially branded suppliers leads to higher costs of
advertising. This is manifested in terms of price wars and aggressive
marketing. In addition to this, societal changes due to increased cases of
obesty and calorie couonting have also affected the demand for Cadbury
products.

BIBLIOGRAPHY

39

https://www.boundless.com/marketing/textbooks/boundless-marketingtextbook/integrated-marketing-communication-12
http://www.businessdictionary.com/definition/integrated-marketing

communications-IMC.html
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
http://www.ukessays.com/essays/marketing/integrated-marketing-andcommunications

You might also like

pFad - Phonifier reborn

Pfad - The Proxy pFad of © 2024 Garber Painting. All rights reserved.

Note: This service is not intended for secure transactions such as banking, social media, email, or purchasing. Use at your own risk. We assume no liability whatsoever for broken pages.


Alternative Proxies:

Alternative Proxy

pFad Proxy

pFad v3 Proxy

pFad v4 Proxy