Marketing Essentials of Cadbury

This report analyzes the marketing strategies of Cadbury, a leading chocolate brand. It explores the roles and responsibilities of the marketing department, its interaction with other departments, and the application of the marketing mix to achieve business objectives. The report also includes a marketing plan for a new fitness chocolate product to be launched in the UK market.

Marketing Essentials of Cadbury
1

Table of Contents
Introduction.................................................................................................................................................4
LO1.............................................................................................................................................................4
P1 Explain the key roles and responsibilities of the marketing function in Cadbury...............................4
P2 Explain how roles and responsibilities of marketing relate to the wider organizational context in
Cadbury...................................................................................................................................................5
LO2.............................................................................................................................................................7
P3 Compare the ways in which different organizations apply the marketing mix to the marketing
planning process to achieve business objectives......................................................................................7
LO3.............................................................................................................................................................9
P4 Produce and evaluate a basic marketing plan for an organization......................................................9
Conclusion.................................................................................................................................................10
References.................................................................................................................................................12
2

Introduction
The marketing concept in the business is all about creation of consumer vale and managing the
overall relations with them. If this occurs then overall value can be gained from the consumers in
form of sales revenue, profit figure and their loyalty (Sinha and Sheth, 2017). The present study
has thus been carried out as an assistant to the Marketing Manager of Cadbury firm in order to
assess the roles played by the department and how it interrelates with other departments. Focus
will also be given on assessment of the marketing mix to attain business objectives and
developing a marketing plan for a new product to be launched by the company.
LO1
P1 Explain the key roles and responsibilities of the marketing function in Cadbury
Varied roles are played by the marketing function within Cadbury.
 Defining and managing the brand - One of the major roles is to carry out promotion of
the Cadbury brand and also ensure that there is maintenance of positive brand image for
the company. This helps to define the experience for the consumer as well as the partners
that interact with the firm (Morhart and et.al., 2015).
 Conducting promotional activities - promotional activities are further carried out by the
company so that the consumers can be lured towards the product and service offerings. In
case of Cadbury this is done by use of television ads, banner designing, endorsing key
people as brand ambassador such as film actor Amitabh bacchan in India among others
(Boelsen-Robinson, Backholer and Peeters, 2015).
 Creating content for website- the marketing department at Cadbury has ensured that its
website is well developed so that people are lured by the products (Choksi and et.al.,
2016). The marketers thus keep the web content quite accurate and current.
 Social media management - Other than the website of Cadbury, the marketing department
also makes sure that social media pages of the company are well managed and it also
watches carefully as to what is being posted about the firm online.
3

 Serving as media liaison - A member of the marketing department from Cadbury also
acts as a spokesperson for the company. His role is to provide guidance to media
executives as to how the queries should be handled.
 Conducting market research – this is one of the key functions within marketing
department of Cadbury as research helps to define the target markets and gain a know
how about their needs. This helps the production department to work on its product
offerings accordingly (Tuten and Solomon, 2017).
 Corporate functions – this involves for setting up and enforcing of brand standards,
defining infrastructure for public relations, formulation of event strategies among other.
All this function is performed by creation of a corporate marketing plan calendar so as to
deliver the stipulated marketing objectives in the best possible manner.
 Keeping up with the competition – the marketing department of Cadbury also ensures
that the company is able to keep up with the competitor strategies. This is done by
carrying out the research on rival firms as to what products are being launched by them;
what are their strength and weakness and how Cadbury can avoid the mistakes that have
been committed by the rivals. It is also essential to know as to where Cadbury has placed
itself in relation to its competitors being Lindt, Nestle, Godiva among others. This
function thus helps the marketing managers to formulate the best possible strategy.
 Communicating with other department – it is also a secondary marketing function within
Cadbury where focus is given on creating a communication channel with other
departments (Sinha and Sheth, 2017). This is done so as to familiarize the employees
with the overall marketing ethics, philosophy and consumer relation activities to be
performed by front office staff. It does this by carrying out workshops, training sessions
with respect to consumer complaints and building up of overall brand awareness.
P2 Explain how roles and responsibilities of marketing relate to the wider organizational context
in Cadbury
As discussed in the above section, one of the important functions of marketing is to create a
communication channel with other departments. Same applies to Cadbury as well where the
implementation of a marketing plan requires the help of other departments such as Hr., finance,
4

production, consumer service among others (Bailey and Alexander, 2017). For example, the Hr.
department plays the role of recruiting of employees who can work on varied marketing
divisions of Cadbury as brand managers, social media experts, content writers, executives, and
spokesperson among others (Boelsen-Robinson, Backholer and Peeters, 2015). The role of hr.
here is to train the employees with respect to working of the company, its policies and
procedures as well as ensuring that they receive the salary on a timely manner.
Then is the finance department of Cadbury which fixes a budget for the marketers so that
marketing plan is set and implemented as per the finances available with the company. It is very
crucial to have a good communication between these departments as Cadbury has focused on a
lot of marketing and promotional activities. Hence the need is to ensure that its plans are under
control (Jha, Saini and Kaur, 2017).
Next department is the production and manufacturing which is involves creating chocolates,
biscuits, ice-creams as per the needs and requirements of consumers. This will be done by
working in close cooperation with the market research team that can guide the firm about taste
and preferences of consumers as well the products that are being offered by the rival firms being
Nestle, Godiva, Lindt among others.
Then is the logistic department that is involved in raw materials such as chocolate, coffee beans,
milk etc. to make Cadbury products to production department as suggested by the market
research team. The logistics team will also supply materials for the working of marketing
department (Telang and Deshpande, 2016). These will be in form of computers, printers, papers,
stationery in order to product banners, promotional advertisements among others.
The operations department of Cadbury is also closely related with the marketing department as
the market research team guides the operational manager towards desired quality and texture
specifications that has been asked by the consumers. The number of orders that has been
generated through the marketing activities is then met by the operations department.
Then comes the consumer service department which provides data to the marketing department
from the complaints filed by purchasers and talks made by the sales persons. This assists in
increasing the chances of overall success to be attained by the company with respect to growth
rate.
5

LO2
P3 Compare the ways in which different organizations apply the marketing mix to the marketing
planning process to achieve business objectives.
Cadbury utilizes extended marketing mix to attain the business objectives which can be
compared with Lindt and is as follows;
 Product – the product range of Cadbury is quite vast and is spread over chocolates,
beverages, desserts, ice-cream segment and biscuits. This is quite big in comparison to
Lindt which focuses majorly on chocolates, sweets and seasonal confectioneries. The
classification of product mix in case of Cadbury is basically as per the seasons and sales
in various nations. There is a presence of certain standard products that are sold
everywhere while some are just meant for festive occasions like Halloween and
Christmas. For example, it launched Dairy Milk Snowman in vanilla; Cadbury tubes;
Roses boxes etc. especially for Christmas (Christmas comes early with Cadbury, 2017).
Similar such trend has also been adopted by Lindt for Christmas and Easter that includes
hollow milk chocolate rabbit for Easter, reindeer and Santa chocolates for Christmas
(Lindt, 2018). Still the product list of Cadbury is quite huge and it has given immense
growth rate to Cadbury.
 Price – The products of Cadbury are priced as per the quality that is provided by them.
For example, certain products like Bournville are highly priced while others like Éclairs,
Five Star and Perk have been serving the low priced segments. On the other hand, Lindt
has however been following premium pricing strategy as its prices are a lot more than
competitors on account of product quality leadership that distinguishes the company from
other players (Lynch and Dhesi, 2017). Nevertheless the strategy of Cadbury is such that
it wants to reach all the people with different taste buds and also caters to the overall
friendliness of the pocket. Other than this, the company can lay focus on adopting one
more pricing strategy where the bulk purchasers will be required to pay less in
comparison to the ones who are buying just one or two pieces of Cadbury products. This
can help to bring a further increment in growth rate and sales revenue followed by
increasing the overall return to the shareholders.
6

 Place – The products of Cadbury are available almost all around the globe on account of
the presence of good distribution channel it has. This has ensured that its product reaches
urban as well as rural areas which help to generate good sales figures and profitability.
Lindt on the other hand has a presence in just over a 100 nations but still its supply chain
management system is quite strong (Onikoyi, Awolusi and Ayodeji, 2015). The company
has further kept its marketing and distribution centers outside Switzerland and expanded
itself across UK and US. The company has also been catering to online orders since 1988
(The story of Lindt, 2018). The product availability is also widespread being airport,
lounges, shopping malls as well as luxury stores. Cadbury however has a wide spread
presence and can be easily in the local grocery market as well while the same may not
apply to lindt in all nations such as India.
 Promotion – Both Cadbury as well as Lindt has been carrying out its promotional
activities through TV ads, digital means, social media and also by offering discounts and
offers in the festive seasons. However Cadbury is required to come out with innovative
means of promotion such as done by Nestle in form of Maggi story (The magic of Maggi,
2018). Similar such efforts can be taken by the company with dairy milk where people
will get a chance share the ways in which the chocolate was consumed by them (Sinha
and Sheth, 2017). Free chocolates can also be given to the consumers whenever any new
product is launched by the company.
 People – the staff members of Cadbury are such that they are instilled with passion to
work on chocolate and for the company. The company also ensures that its staff is
professionally developed and provides them with many training courses as well.
 Process – Cadbury makes use of several products to product its chocolates so that special
taste and texture can be rendered to it. There is also a usage of advanced technology so as
to get in tune with the taste and preferences of consumers. There is further an
involvement of highly sophisticated as well as computer controlled processes so as to get
the best texture and taste. Similar such techniques are also used by lindt in chocolate
manufacturing but the one invented by the company is conching process that has brought
a huge revolution in the chocolate industry. There is also a huge difference in chocolate
mixing process in both the firm so as to give it is a smooth taste. A study has found out
that lindt chocolates gets the luxurious touch as it is mixed for 12 or more hours while
7

Cadbury is mixed only for two or three hours (Metz, 2015). Both the companies also give
similar emphasis on the packaging aspect of chocolates in such a manner that there is
minimal environmental impact and increase in the overall shelf life as well.
 Physical evidence – Both Cadbury and Lindt have a well maintained website that
provides a good amount of information about the products offered by the companies. The
store outlet of Cadbury is also well managed and provides an ease of shopping to the
consumers. Same holds true for lindt stores as well but they are less catchy in apperance
as compared to Cadbury.
LO3
P4 Produce and evaluate a basic marketing plan for an organization being Cadbury
Cadbury is planning to launch a new fitness chocolate in UK market whose marketing plan has
been showcased in below mentioned section.
About Cadbury
Cadbury is one of the most loved and well-known brand in the entire world when it comes to
chocolate. The company was formed in the year 1824 y John Cadbury in UK whose operations
stared from selling cocoa and drinking chocolate (THE CADBURY STORY, 2018). Since then
the company has expanded its product mix to ice-creams, biscuits among others. Recently the
company has planned to launch fitness chocolate in UK market.
About the product
The product is a fitness chocolate that is made from whole grains and is loaded with vitamins,
minerals, calcium and iron. It further has got real almond pieces in it to make the chocolate a
healthier one.
Consumers
The consumers of this product will be young athletes as well as health conscious consumers and
those who wish to try the new variant launched by Cadbury. The need of the consumers will be
to consume chocolate without having to worry about the calorie intake and they will lie in the
age range of 20 to 60 years.
Rival firms
8

The new fitness chocolate of Cadbury will receive competition from Nestle which has already
launched the same in the market.
Marketing objectives
 To increase the product awareness by 25 percent by next year
 To attain net profit of 20 percent by end of 2018.
Positioning
The product will be positioned as the one that is healthy and also good in taste. It will also be the
one that is infused with real pieces of almonds.
Pricing
Initially the company will keep the pricing of chocolate to be quite low one and when the
consumers accept the product then different variants will be launched with a price higher than
the previous one.
Promotion
The chocolate will be promoted by launchimg ads on Tv, radio and social media like Facebook.
Famous sports person will also be endoreaed for promoting the product.
Marketing Plan Budget
The budgetary requirement for the product will depend on finance available with Cadbury and
how much it wishes to invest in marketing of the fitness chocolate.
Conclusion
A conclusion can be drawn from the above report that varied functions are e performed by
marketing department of Cadbury that range from brand management; promotional activities,
Creating content for website; market research among others. All this is done by being in rune
with other departments such as operations, production, finance and Hr. the marketing mix of the
company also reveals that the company has been offering varied range of products to the
consumers that are in different price ranges. The new product to be launched by the company is a
9

fitness chocolate that will be served to UK consumers who are health conscious and in the age
range of 20 to 60 years.
10

References
Bailey, A.R. and Alexander, A., 2017. Cadbury and the rise of the supermarket: innovation in
marketing 1953–1975. Business History, pp.1-22.
Boelsen-Robinson, T., Backholer, K. and Peeters, A., 2015. Digital marketing of unhealthy foods
to Australian children and adolescents. Health promotion international, 31(3), pp.523-
533.
Chokshi, P., Shah, H., Arora, R. and Agrawal, N., 2016. Perception of Consumers towards
Cadbury and Nestle. Asian Journal of Research in Marketing, 5(6), pp.8-27.
Christmas comes early with Cadbury. 2017. Available through:
<https://www.scottishgrocer.co.uk/2017/09/christmas-comes-early-with-cadbury/>
[Accessed 17th August 2017].
Jha, M., Saini, G.K. and Kaur, S., 2017. A study on analyzing the branding and perception for
cadbury chocolate with reference to other market players. South Asian Journal of
Marketing & Management Research, 7(7), pp.89-98.
Lindt, 2018. [Online]. Available through: <https://www.lindtusa.com/> [Accessed on 6th June
2018].
Lynch, Z. and Dhesi, S., 2017. 9 George Cadbury and corporate social responsibility. Pioneers in
Public Health: Lessons from History, p.77.
Metz, E., 2015. Does Cadbury chocolate taste different in different countries. [Online].
Available through: <http://www.bbc.com/news/magazine-31924912> [Accessed on 6th
June 2018].
Morhart, F. and et.al., 2015. Brand authenticity: An integrative framework and measurement
scale. Journal of Consumer Psychology. 25(2). pp.200-218.
Onikoyi, I.A., Awolusi, O.D. and Ayodeji, B.M., 2015. EFFECT OF ABSENTEEISM ON
CORPORATE PERFORMANCE: A CASE STUDY OF CADBURY NIGERIA PLC,
IKEJA, LAGOS STATE, NIGERIA. British Journal of Marketing Studies, 3(2), pp.58-
71.
11

Sinha, M. and Sheth, J., 2017. Growing the pie in emerging markets: Marketing strategies for
increasing the ratio of non-users to users. Journal of Business Research.
Telang, A. and Deshpande, A., 2016. Keep calm and carry on: A crisis communication study of
Cadbury and McDonalds. Management & Marketing, 11(1), pp.371-379.
THE CADBURY STORY. 2018. [Online]. Available through: <https://www.cadbury.co.za/the-
story> [Accessed on 6th June 2018].
The magic of Maggi. 2018. [Online]. Available through:
https://www.nestle.com/aboutus/history/nestle-company-history/julius-maggi-cubes-
consommes-creativity> [Accessed on 6th June 2018].
The story of Lindt, 2018. [Online]. Available through: <https://www.lindtusa.com/story-of-lindt>
[Accessed on 6th June 2018].
Tuten, T.L. and Solomon, M.R., 2017. Social media marketing. Sage.
12