Marketing Plan and Strategy for Cadbury Plc

This assignment provides a detailed marketing plan and strategy for Cadbury Plc, a food chocolate company. The report includes a comparison with Nestle using the 7 Ps of marketing mix, SWOT analysis, PEST analysis, and a review of the role and responsibilities of marketing functions in an organization. It also concludes with a marketing plan that outlines strategies to achieve the company's objectives, vision, and mission.

MARKETING ESSENTIALS

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Explaining roles and responsibilities of the marketing function...........................................1
P2. Explaining the ways in which responsibilities of marketing relates to wider organisational
context..........................................................................................................................................3
P3. Comparing different ways in which organisation uses elements of the marketing mix to
achieve business objectives.........................................................................................................5
TASK 3............................................................................................................................................9
P4. Producing a marketing plan for the organization..................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................13

INTRODUCTION
Marketing is very essential tools in the modern scenario as it helps in achieve target in an
effective manner. To develop the business on a large segmentation which requires to have
effective promotional strategies. The present report helps firm in identifying current
requirements and wants of consumers in a particular location. Cadbury Plc is a British
multinational confectionery company which is second largest in the world. In Cadbury Plc,
marketing department plays several roles or responsibilities for developing an organization and
achieving competitive advantage in better way. Report will explain marketing function and their
interrelation with organization. In the present report, there has been discussion based on internal
and external analysis of Cadbury. The firm will be compared the marketing mix tools and
techniques with Nestle based on its operational capacity. Along with this, there will be
segmentation to the professionals of this organization for making necessary improvement in the
operational efficiencies and developing brand image on a global context.
TASK 1
P1. Explaining roles and responsibilities of the marketing function.
Marketing refers to the activities of a company associated with buying and selling a
product or services. Marketing process includes all the function of company to attract customers
and built more customer base. This process includes advertising, selling and delivering the
company’s products to customers. Marketing is based on customer needs and their satisfaction
(Craciun and Bober Corrigan, 2010). The main goals of marketing is to match company's
products and services to the needs and wants of customer to ensure company's profitability.
Marketing is an effective tool to enhance the company's profitability and market share.
Marketing function is a role which helps a company to identify potential successful
product for the target market and helps to promote them by designing promotional plans to make
products unique and different from other similar products in market. In Cadbury, there are
various marketing functions that includes performing research, producing plan and product
development, promotional activities etc. Marketing and its functions are important to make the
product successful and increase company's profitability (Gnizy and Shoham, 2014). Cadbury's
marketing team should work to attain good competitive advantage over several other companies
in market.
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The roles and responsibilities of marketing functions in Cadbury are as follows: Analysing market Information: It is an effort which is made to understand the needs of
customer in market. The expectation from product is being analysed, like taste of
chocolates, quantity given at a certain price (Linton, 2018). On the basis of information
planning will be done to find which product has the best opportunities in market. Marketing planning: In order to achieve objectives of an organization with regard to its
marketing, a proper plan is needed to be made in order to achieve those objectives.
Marketing plan will help to increase production, sales and enhance market share of
Cadbury in market. Product designing and development: Product designing and development is the basic
requirement to increase volume of sales of company's product. Product designing and
development plays an important role in making the Cadbury's product better than other
rivalry company (Hill, 2017). Continuous development of product like producing
different varieties and flavour of chocolates. Pricing: It is the most important function of marketing to fix the price of a product. The
product price can be affected by its cost of production, profit margin, price of
compensative product, etc. Promotion: Promotion is the main strategy in which company inform to customers about
its product and stimulate them to buy their products. Promotion helps in increasing the
sales of products. Promotion is an important tools and techniques to attract customer in
market and increase the sales. Promotion of a product can be done through different ways
like newspaper, television, events which are traditional process. The modern process of
promotion includes social media, digital marketing etc. The promotion process should be
effective and less expensive. Brand Image: It is an important function of marketing to create and maintain the brand
image of organization from other competitors in an appropriate manner. Effective brand
image is very helpful in attracting more customer towards the organization (Helms and
Nixon, 2010). Marketing department of Cadbury plays a vital role in implementing
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strategies so that the company can increase its brand value in marketplace and market
share.
 Financing: Making a proper budget for marketing activities is important responsibility
of marketing department. They have to provide funds as well as financial support to
every activities regarding market so that maximum products or services can be promoted
and sold. Cadbury always focused on proper marketing of their products in cost effective
manner.
P2. Explaining the ways in which responsibilities of marketing relates to wider organisational
context.
The marketing department plays a significant role in promoting a business of an
organization. It is represented as face of the company. It is marketing department's
responsibilities to reach out to the customers, investors, communities while creating a brand
image that represent company in a positive light (Mady, 2011). Marketing department has
overall responsibility for growing revenue, increasing market share which can contribute to
company's growth and profitability.
Marketing department is accountable for making better decision and formulates strategies
for organization to enhance customer base for the organization. Cadbury should consider proper
study and research for analysing the market and customer in an effective manner.
Key roles and responsibilities of marketing in the context of Cadbury are as follows:
Sales: Marketing department of Cadbury focuses on increasing sales by maintaining as
well as balancing the demand or supply in more appropriate manner. It is essential to achieve
targets or goals of company by providing effective products and services to the customers on
time. Increasing in sales will help in increasing profitability of the organization.
Product department: The marketing department of Cadbury works with product
development team to develop new products or improving existing one, which helps in finding
out any opportunities for company. Marketing process helps in providing information to product
development team about the needs and preferences of customer as well as recent trend in market
(Molenaar, 2013). It will help to modify Cadbury products to compete in the market. Marketing
department also helps in analysing the price and plans to launch product in market at right time.
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Information and communication technology: In the context of Cadbury, marketing
department plays a significant role in selecting best communication channels or process for the
organization. Depending on their available budgets, marketing department will plan advertising
campaign, develop digital marketing. Further, marketing department gives input to the IT
department about the aspects or factors which have high level of influence on customer’s
decision making. Referring such input, IT department would become able to develop suitable
strategies pertaining to digitalization. Digital marketing is an important responsibility of IT
department that helps in communicating to target customer in market.
Human Resource: Managing business operation and people within the firm is an
important function of human resources department. The HR manager plays an important role in
increasing the probability and productivity of company in more appropriate manner. HR
managers have responsibilities to manage task and recruits capable candidates so that the goals
and objectives of company can be achieved. Managers plays an important role in motivating the
entire team to increase their skills and capability to attain the predetermined goals.
Assessment of risk factor: Marketing manager has all the responsibility for any risk that
can be occurred while running an organisation function. It has direct influence on company and
all the business function. Risk factor is high when company is offering new product in the
market, these risk includes threats of competitors and substitutes of products (Raffelt, Schmitt
and Meyer, 2013). Cadbury firm requires to undertake some activities while making appropriate
decisions such as investment, adopting various technologies and strategies for the purpose of
achieving goals and objectives.
Customer services: In marketing, customers are considered as king of the market, every
operations of companies are focused towards satisfying needs and wants of customers in order to
achieve success and profitability in market. Therefore, each organization must focus on
customer’s services. Customer satisfaction is helpful tool to create better brand image in the
market and build relationship among them.
Market research: Marketing department has the key responsibilities for marketing
research. This in turn helps company in identifying market opportunities and in getting
customer’s needs and market trend information. Marketing research helps in understanding
competitors' strength and weaknesses to make better strategies to overcome them. Marketing
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research can also be done through study of industry reports, market data on websites or by
contracting customers and prospects to survey their needs and attitudes. By taking into account
research inputs concerned department would be able to provide suitable products or services to
the customers as per their requirements.
TASK 2
P3. Comparing different ways in which organisation uses elements of the marketing mix to
achieve business objectives.
Marketing mix refers to set of action that a company uses to promote its brand or product
in the market. It is an important tool to be considered by the organizations for making better
decisions regarding producing goods or services, deliver process setting of price and promote
those into market. There are 4 P's and 7 P's included in marketing mix process that includes
several elements to consider. These marketing mix are useful to make strategies for the
organization as it can be an effective tools to create goodwill among competitors (Sarkees,
Hulland and Prescott, 2010). Cadbury is a multinational confectionery company which sells its
products in almost 200 countries, producing different varieties of chocolates.
As Cadbury offers a wide range of products and has a strong depth and width of
marketing mix. The decision to sell products in different countries is based on different factors
such as demographic, production cost, demand fluctuations and presence of competitiveness in
different market.
Nestle is well known brand, who also serves in food and nutrition. Almost six thousand
products are being hosted under the brand name Nestle. The marketing mix of both Cadbury and
Nestle are controllable variables which have to be carefully managed and must meet the needs of
customers in same market (Spillard, 2014). Comparing the 7 Ps of marketing mix of both Nestle
and Cadbury will help in giving ideas how they apply tools of marketing mix to achieve their
business objectives.
7 Ps of
marketing mix
Cadbury company Nestle company
Price Setting a right price is the main
marketing tool of a company.
The pricing strategy for Nestle is
dependent on market for each
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Cadbury products are priced as per
the quality provided by them. The
marketing mix pricing strategy of
Cadbury depends on competition,
demand and packages. The price of
products also vary, depending on the
size of products. The pricing strategy
is set so that product can meet the
requirement of all targeted segments.
Cadbury product prices are based on
the type of customer who is buying it.
For example, the price of Dairy milk
is high as well as low depends on its
quantity, variety and packaging.
Dairy milk celebration packs are sold
in millions on festivals strategically
so that the customer have empathy to
buy them.
individual products. For example,
Nescafe coffee and Maggie noodles
being the most selling products are
priced quite high to earn high margin
of profits than other competitors.
Flexible prices are the key factor for
success of Nestle in global market.
The milk pack brands pricing are
largest selling with high quality as
compared to other low quality
products. The pricing of Nestle's
product are affordable almost too all
types of customers. Nestle offers
competitive pricing to varieties of
chocolates due to tough competition
from other companies. Some of the
prices of Nestle's products are very
much similar to Cadbury's products.
Products The product range in Cadbury are
pretty large as compared to Nestle.
There are many Cadbury products
which are classified according to the
seasonality and occasions in its target
market. Some products in chocolates
lines are Dairy milk, Five star, Perk,
Cadbury éclairs etc. In biscuits
segments, it offers premium Oreo.
Cadbury' is one of the leaders in milk
additives. The company has good
market share in its industry. Its
product Dairy milk holds 60-65 % of
Being one of the largest food and
nutrition company producing over
6000 products in market. In
beverages segment, Nestle is the most
known brand for its product Nescafe.
Nestles's prepared dishes and cooking
aids Maggie noodles are probably one
of the most sold products in all over
the world. Nestles's has some more
popular chocolates products like
Nestle Kitkat, Munch, Milky bar. The
Nestle's chocolates segment is very
popular which helps it in earning
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market share in chocolates industry. good market share in industry. The
Nestle is appreciated in market for
their maintaining of quality in its
products.
Promotion The promotional strategy in
marketing mix of Cadbury uses
Digital Channels for creating
awareness of their products in
market. Cadbury uses different types
advertising campaigns. Like “let’s
have some sweets” slogan for Dairy
milk and “you earn it” for
Bourneville is successful promotional
strategies for brand. Cadbury
celebration has a major commercial
customer base, where the chocolates
can brought in bulk in a gifting
package. Cadbury has left no
opportunities to promote itself.
Promotional strategies of the
company are very well planned and
they always pay multiples of the
expected amounts. One of the widely
known tunes is the Nescafe coffee
tunes. It was one of the best
advertising campaign which brought
Nescafe strongly in market. On the
other hand, Nestle's brand Maggi
have increased with its excellent
quality and taste and its innovative
promotional campaigning. Nestle
gives more efforts on the promotional
strategy for its best brand that is
Nescafe, Maggie, Kitkat. Nestle also
use TVC's and ATL marketing. It
also uses online method like
launching Kitkat websites. Nestle has
a strong marketing plans.
Place Cadbury products are available all
over the world. Due to its excellent
distribution channel, company has
achieved a huge impact on global
market. Company plans its strategy in
such a way to ensure that its product
should be available in all over the
Nestle products have their main target
market in Europe where they get
almost 90% of sales and revenue.
Nestle also follows the FMCG
marketing strategy. The distribution
channel of Nestle is strong with a
good marketing and sales network for
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world so as to increase the customer
base (Wilson and et.al., 2012).
Cadbury products are available not in
urban area but in rural area of
different countries also as Cadbury
follows the FMCG marketing. Due to
the big distribution channel, the cost
of distribution is also high which is
compensated with high demands of
products. The wider range of
distribution has made it possible for
products to available to customers.
This helps company in making profit
both in terms of revenue and
customer base.
channel distribution. Nestle apply
strategies of offering trade discounts
to distributors to keep the channel
motivated. Due to high demand of
Nescafe and Maggie, Nestle is also
able to distribute its other products in
market. The main challenge for
Nestle is competing its chocolates
products in market with rival
company Cadbury.
People People refers to the staff and
employees working for company and
final consumer of the product
offering. Cadbury has strong
employee base of around 71,500
employees all over the world, which
are working to achieve the company's
goals and objectives and satisfaction
of customers. Cadbury always
focuses on the needs and preferences
of customer. Company's product like
chocolates and beverages can be used
by different people with different age
groups.
Nestle is operating in more than 96
countries, has a good customer base
with 323000 employees. Nestle aims
to increase sales and profit, but at the
same time works to raise the standard
of living of both its employees and
customers. Company believes that the
strength of Nestle lays in its people
and success cannot be achieved
without their commitment and
energy. Through open
communication and active co-
operation helps in enhancing
company's result and personal
development.
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Process Cadbury products are distributed in
almost 200 countries. To achieve
such a large distribution channel, the
company has different production
plant in all over world like in Ghana
in west Africa, Indonesia and
Malaysia, Singapore etc.
Nestle products are distributed in 96
countries. It has 442 manufacturing
plants in more than 86 countries.
Physical
evidence
Cadbury's headquarter is situated at
Uxbridge, UK.
Nestle's headquarter is situated at
Vevey, Switzerland.
TASK 3
P4. Producing a marketing plan for the organization.
Cadbury is a well-known food and confectionery company which deals in chocolates and
beverages in more than 200 countries. The target customers of company are lower middle and
upper class. With the motive to gain competitive edge over rival firm’s business unit is planning
to introduce different flavours in chocolates such as mix-fruit, butterscotch etc.
Vision and Mission: To have a range of its products with portfolio of gum, chocolates
and candy brand in the world. The company has maintained its constant values, which are
inspired in business and it helps the brand in their corporate responsibilities.
Objectives:
 To make the brand more affordable to customers.
 To make smooth operation of Company.
 To increase market share and achieve growth.
 To improve the variety of food and beverages.
 To maintain healthy relationship with suppliers and customer and increase their
satisfaction level.
SWOT analysis of Cadbury:
Strength of Cadbury:
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 The brand is considered as top best company with its chocolates products across the
world.
 Company has most effecting marketing strategy with different promotional campaign all
over the world, which helps to increase sales and customer base.
 Cadbury has wide variety of its food products.
 It has strong R&D department which helps in making innovation in food products.
 The Dairy milk is most popular brand of Cadbury which have more than 60-65% market
share in industry.
 It has a strong employee base in its organization, more than 71000 employees are
working in Cadbury Plc.
 Company has strong distribution channels in all around world (Cadbury SWOT Analysis,
Competitors & USP, 2018).
Weakness of Cadbury:
 The company is dependent on confectionery and beverage market, whereas other
competitors like Nestle have more diverse product portfolio, where profits can be used to
invest in other areas of the business.
 Cadbury has low distribution in rural areas as compared to urban areas.
 Few controversies regarding advertising, worms etc. made it an international news.
 There is no new products line in chocolates segment.
Opportunities of Cadbury:
 The company needs to enhance its market, for which it needs to make their distribution
system more effective to have approach to rural areas.
 The company should diversify its product range into related food segments.
 Production can also move to lower cost countries, so as to minimize the cost of labour.
Threats of Cadbury:
 The people are more conscious about health and hygiene of products which may be
reluctant in buying these products.
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 High level of competition from international and chocolates brands can affect Cadbury's
market share. There is a threat of substitution as there is no permanent brand loyalty, and customer can
easily shift to other brands.
Pest analysis of Cadbury:
Political: Governments policy regarding sugar tax and pressure to manufacturers to
reduce the amount of sugar in their products. Many tax imposed are also another factor to study
how the company is managing its payments and investments. Value added which are increased
led to rise in price of chocolates which ultimately brought to decline to its sales.
Economic: The global economic conditions have an effect on operations and sales of
industries. Cadbury was successful in business by gaining 30% rise in yearly profit. If any
countries is facing inflation, the purchasing power of customer will drop and sales of Cadbury
will also decrease.
Socio-culture: Cadbury has relatively responding to changing demands and preferences
of customer. Cadbury has been strictly against the use of alcohol, coffee, tea or liquid chocolate
in its product. The Cadbury's products are accepted in whole world. A lot of nutritionist’s advice
people to reduce their intake of chocolates and candies which ultimately will affect the company.
Technological Factors: Technology has changed Cadbury's packing and production in
the past years. Recent technologies advances have been made that use different filling system for
heart-resistant chocolates.
The customer’s satisfaction is basic aim of every company, to achieve this a good
marketing strategy is required. The marketing plan will help in making proper strategies and
planning to achieve the company's objectives.
STP approach Segmentation: Cadbury will segment its customer base on the basis of demographical
aspects such as age, income etc. Targeting: Differentiated targeting strategy will be undertaken by Cadbury for attaining
goals and objectives within the suitable time frame.
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 Positioning: Business unit will position its new offerings on the basis of packaging,
nutritious and cost effectiveness.
CONCLUSION
On the basis of above report, it can be concluded that, marking plays effective role in
developing brand image and enhancing the operational effectiveness. The report defines Cadbury
Plc which is food chocolate company. Present report includes the role and responsibilities of
marketing functions and marketing departments in context of organization. Report includes a
comparison of Cadbury with Nestle by applying marketing mix tools of 7 P's which shows how
Cadbury is different to achieve the objectives of company. Further, the report will concluded
with a marketing plan for Cadbury which includes to make strategies by undertaking its
objective, vision and mission, SWOT analysis and PEST analysis of Cadbury.
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REFERENCES
Books and Journals
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Helms, M. M. and Nixon, J., 2010. Exploring SWOT analysis–where are we now? A review of
academic research from the last decade. Journal of strategy and management. 3(3).
pp.215-251.
Hill, T., 2017. Manufacturing strategy: the strategic management of the manufacturing function.
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Mady, T. T., 2011. Sentiment toward marketing: Should we care about consumer alienation and
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Molenaar, C., 2013. E-Marketing: Applications of information technology and the internet
within marketing. Routledge.
Raffelt, U., Schmitt, B. and Meyer, A., 2013. Marketing function and form: How functionalist
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Sarkees, M., Hulland, J. and Prescott, J., 2010. Ambidextrous organizations and firm
performance: the role of marketing function implementation. Journal of Strategic
Marketing. 18(2). pp.165-184.
Spillard, P., 2014. Organization and Marketing (RLE Marketing). Routledge.
Wilson, A. and et.al., 2012. Services marketing: Integrating customer focus across the firm (No.
2nd Eu). McGraw Hill.
Online
Cadbury SWOT Analysis, Competitors & USP. 2018. Online. Available through: <
https://www.mbaskool.com/brandguide/food-and-beverages/3350-cadbury.html>.
Linton, L., 2018. Responsibilities of Marketing Department. Online. Available through: <
https://smallbusiness.chron.com/responsibilities-marketing-department-69931.html >.
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