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Cadburys Market Data

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PHANEENDRA KUMAR (1225111210)

KISHORE (1225111223)

SURAJ (1225111255)
MAHESH BATTU (1225111227)

SONALI PRIYANKA(1225111253)

COCOA BEANS

COCOA POD

Company profile

Started in 1824
By John Cadbury
In Birmingham, England
Headquarters : UK
By 1842, John was selling 11 kinds of cocoa and 16 kinds of drinking
chocolates.
By 1864, George and Richard, sons of John continued to expand the
product line.
Cadbury manufactured its milk chocolate in 1897
1920s The Cadbury script logo is first used.
Today Cadbury is the largest confectionary company in the world.
The company was known as Cadbury Schweppes plc from 19692008
until its demerge
On 19 January 2010, it was announced that Cadbury and Kraft Foods had
reached a deal and that Kraft would purchase Cadbury valuing Cadbury at
11.5bn

Cadbury India is a fully owned subsidy of Kraft Foods Inc.


The combination of Kraft Foods and Cadbury creates a global
powerhouse in snacks, confectionery and quick meals.
With annual revenues of approximately $50 billion, the
combined company is the world's second largest food
company, making delicious products for billions of consumers
in more than 160 countries. We employ approximately
140,000 people and have operations in more than 70
countries.
Our core purpose "make today delicious" captures the spirit of
what we are trying to achieve as a business. We make
delicious foods you can feel good about. Whether watching
your weight or preparing to celebrate, grabbing a quick bite or
sitting down to family night, we pour our hearts into creating

Mission
"Cadburys mission statement says simply: Cadbury means quality; this is
our promise. Our reputation is built upon quality; our commitment to
continuous improvement will ensure that our promise is delivered

Vision
The Barrow Cadbury Trusts vision is of a peaceful, equitable society, free
from discrimination and based on the principle of social justice for all.

Objective

to make lots of chocolate.


improve the quality of their chocolate.
To Survive in the market.
Have loads of stores worldwide

In India, Cadbury began its operations in 1948 by


importing chocolates. After over 60 years of existence,
it today has six company-owned manufacturing
facilities at Thane, Induri (Pune) and Malanpur
(Gwalior), Bangalore and Baddi (Himachal Pradesh)
Hyderabad and 4 sales offices (New Delhi, Mumbai,
Kolkata and Chennai). The corporate office is in
Mumbai.

WORLDWIDE, CADBURY HAS 60,000


EMPLOYEES
CHOCOLATE BAR MADE BY
BORN IN YEAR 1905.
CADBURY.
BOURNVILLE, U.K

Popular Brands in INDIA


C
C
hh
oo
cc
oo
ll
aa
tt
ee
ss
S
S
n
n
a
a
cc
kk
ss

Beverages
Beverages
G
G
U
U
M
M
SS
CANDys

Industry Analysis
Chocolate consumption in India is extremely low.
Cadbury dominates the chocolate market with about 70%
market share.
Nestle has emerged as a significant competitor with about
20% market share.
Leading national players are Parry's, Ravalgaon, Candico and
Nutrient.
Indian chocolate market grew at the rate of 10% pa in 70's and
80's, driven mainly by the children
segment.
In the late 80's, when the market started stagnating, Cadbury
repositioned its Dairy

Milk to any time product rather than an occasional luxury. Its


advertisement focused on
adults rather than children.
Cadbury had a market share of over 80 percent, but its party
was spoiled when Nestle appeared on the scene.
Five company-owned manufacturing
facilities:
Thane
Induri (Pune)
Malanpur (Gwalior)
Bangalore
Baddi (Himachal Pradesh)
Corporate/Head office:
Mumbai

Chocolate consumption And


Share in India

share
cadbury

Nestle

5%

amul

others

5%

20%

70%

MANAGEMENT TEAM
CEO
Todd Stitzer
CHAIRMAN OF THE BOARD
Roger Carr
DIRECTORS
Raymond Viault, Ellen Marram ,
Sanjiv Ahuja Guy Elliott, Chris Patten,
Colin Day, Wolfgang Berndt, Baroness Hogg
CFO
Andrew Bonfield

PEST Analysis
P Political
Political decisions can affect Cadburys, these can be either
advantages or disadvantages
E Economical
There is no doubt that the Cadbury is making a big
contribution in the economies of India as well as in their own
country.

S Social
Cadbury India has a tradition of caring for the environment and
enriching the quality of lives of the communities we live and work
in, through a variety of result-oriented programs
Various steps taken by Cadbury India are:
MIGRATORY BIRDS STOP OVER AT OUR BANGALORE
FACTORY
PIONEERING COCOA CULTIVATION IN INDIA
T Technological
New machinery
Maintenance
Cost of Equipment

PORTERS FIVE FORCE MODEL

THREAT OF NEW
ENTRANTS

BARGAINING
POWER OF
SUPPLIERS

INDUSTRY
COMPETITOR
S (Rivalry
among existing
firms)

THREAT OF
SUBSTITUTES

BARGAINING POWER
OF BUYERS

SWOT ANALYSIS

S
W
Reputed topmost chocolate
Lack of penetration in rural
provider
market
well known brand
Large population suffers
Priced according to Indian
from diabetes, cholesterol
mindset.
disorders etc.
Strong marketing and
distribution channel
Customers have positive
perception about the brand
Well established market with
vast variety of products.
O
Occasion celebrations and
festivals in India.
Increasing acceptance of
Globalization.
Increases in the recent chocolate
market(almost @ 30%)
Besides the low calorie products
they also provides sugar free
candies.

T
No brand loyalty in the
chocolate market .
Competition(Amul & Nestle)
Preference and availability of
other substitutes (sweets and
deserts)
New brands are entering
existing brands are introducing
new variants.

Celebrating 1OO years in India.


Market share-20%.
Profit 22% with net income rising to
$3.4billion
Sales growth-27%

Rulling since 1942.


3rd larget chocolate industry in India
followee by Cadbury and Nestle.
Market share-5%

CHOCOLATE SHARES

PROFIT AND SALES


Chart Title
SALES

PROFIT
3712.8
2652.03

1751.24

2045.08

1006.08 1149.24 1141.92


45.95
FY05

68.81
FY06

117.65
FY07

167.78
FY08

188.63
FY09

314
FY10

439.6
FY11

DEBT EQUITY RATIO


DEBT/EQUITY
DEBT/EQUITY
0.09

0.03
0.02

FY 05

0.02

FY 06

FY 07

FY 08

0.02

0.02

FY 09

FY 10

FY 11

EARNING PER SHARE


VALUE
EPS
EPS
67.02
59.08
51.51
35.43
12.87
FY 05

20.03

FY 06

FY 07

FY 08

FY 09

FY 10

FY 11

CHOCOLATES SALES AND


PROFITS
Chart Title
SALES

Column1

2079.16

668.3
246.18
DAIRYMILK

371.28
79.13
5 STAR

294.02
222.76
43.96
35.16
26.39 74.25
8.79

ECLAIRS

GEMS

PERK TEMPTATIONS

Cadbury Chocolates

Chocolate Industry

Cadbury Products

GE MATRIX

CHOCLATE
I.A; 59% CANDY
B.U.S; 41%

BISCUITS

B.U.I
B.U.I
I.A
I.A

BEVARAGES

B.U.I
I.A

GUM

B.U
I.A

DISTRIBUTIO
N

CDM ARE SOLD DIRECTLY TO WHOLESELLER AND


RETAILERS.
CADBURY'S DISTRIBUTION NETWORK USED TO
ENCOMPASSES
2100 DISTRIBUTORS AND
450,000 RETAILERS.

RETAILER
WHOLESELL
ER

VALUE CHAIN ANALYSIS

Marketing and Sales


Finance
Administration and IT support
Operations
Research and Development
Production
Customer Services
Human Resources

PACKAGING STYLES

1905

1930
s

1970
s

196
Pearlfisher
0sis the design agency responsible for the execution of the

STRATEGIES OF CADBURY
PRODUCT STRATEGY

PROMOTION STRATEGY
Campaign: pappu pass ho gaya.
Target: encourage those who have pass
the exams to celebrate with Dairy Milk.

More recently
Campaign: kuch metha ho jaye.
Target: to associate Cadbury with
celebratory occasion.

A FEW
ADVERTISEMENTS

The Real Taste of Life with the girl dancing


on the cricket field
The message: Dairy Milk is for enjoyment
During late 90s

Campaign: Khanewalon ko khane ka bahana chahiye.


Target: widening chocolate consumption among the masses

Campaign: Miss Palampur

Campaign: AAJ PAHLI TARIK


HAI

Target: Focusing on the adults.

Target: To celebrate pay day /


salary day

POSITIONING STRATEGY
For kids across India
The word Cadbury is synonymous with chocolates.

CDM positioned as
The perfect expression of love
Mazzaaagaya
Spontaneous, carefree, special, real moments.

KuchMeetha ho jaye
The brand want itself to be synonymous with Sweet.

BRAND STRATEGY
Extensive and strong
distribution network
Price Range
Consistent Taste

PRICING STRATEGY
WEIGHT (gm)
10.5

PRICE
5

22

10

40

20

42 CRACKLE

25

95

50

80
165

FRUIT & NUT

55
90

CONCLUSION
There is an immense scope for chocolate industry in India
Indian chocolate industry is unique mix with extreme
consumption patterns, attitudes, beliefs, income level and
spending
Understanding consumer preferences and demands is the
key to growth
Pricing, quality , flavors and pack size are some of the
important factors
Economical distribution using proper supply chain
management is necessity
Brand loyalty should be maintained

REFERENCES
http://
www.cadburyindia.com/in/en/careers/pages/currentopportunities.
aspx
www.businessstandard.com
www.moneycontrol.com

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