Marketing Plan for New Product Development

This assignment provides a comprehensive marketing plan for the development of a new product. The document outlines the key concepts of marketing, including market research, segmentation, targeting, and positioning (STP). It also discusses the importance of marketing in production and sales, effective use of the marketing process, comparison of marketing mix, and creation of a marketing plan. The assignment concludes with a conclusion that highlights the significance of marketing in achieving higher profitability and productivity for the company.

UNIT 2 – MARKETING
ESSENTIALS

INTRODUCTION
Marketing is concerned with the activity of the company which is associated with buying
and selling of products or service. It includes activities of promoting, advertising and selling
products to the individual. It is an interrelation between the customers in a way that educates,
informs and builds relationship for a long period of time (Baines, Fill and Page, 2013). Chosen
organisation under the report is Cadbury. It is a multinational confectionery company which is
the most attractive and largest brand headquartered in London. Its products include Cadbury
bars, Biscuits desserts and many more items. The report will focus on concept of marketing
including its current and future trends. It determines the roles and responsibilities of marketing
manager and its interrelation between the departments of organisation. At last it compares the
way company applies the marketing mix with another company and therefore marketing plan for
Cadbury is also mentioned in this report.
Main Body
1. Concept of marketing including current and future trends
Marketing is related to the concept of identification of customer needs and wants and
accordingly producing products as a way to satisfy them (Concepts of Marketing. 2018). In
context to this, Cadbury should focus on marketing concept in producing goods considering the
current and future trends.
Concepts of marketing-
 Production concept- It is an old concept based on perception of consumers which
believes that consumer will prefer purchasing products which are low priced and easily
available in market. Here the manager of Cadbury should focus on high production

efficiency and mass production which will incur low price for its products. It is based in
the marketing trend of enhances operational efficiency of organisation which focuses on
increasing production rate (Coombs, 2012). Product concept-It is considered on the on the fact that customers will prefer purchasing
those products which are qualitative in nature. Cadbury should focus on continuously
improving their products in order to target more customers. Here the manager of Cadbury
should focus on high production efficiency and mass production which will incur low
price for its products. It is based on the marketing trend of relationship marketing which
focuses on giving emphasis on customer satisfaction rather than the number of sales
made.
(Source: Concepts of Marketing, 2018)
 Selling concept- This concept is based on the idea that in order to increase customer base
for the product, company should increase its promotional efforts to increase their
awareness and which motivates them to buy the product. Selling concept is based on the
marketing idea of social media marketing such as Cadbury should promote its products
on social media tools such as Facebook, Instagram and advertisements in TV and
newspaper in order to increase awareness among people (Bird, 2012).
Illustration 1: Concepts of Marketing

 Marketing concept- This concept should state that customers should provide goods
according to customer needs and desires and provide them maximum satisfaction. It is
based on the current trend of Artificial intelligence where the Cadbury can make use of
AI and chat box to identify customer needs according to their demographic and psycho
graphic behaviour and accordingly innovate its products.
 Societal marketing concept- This concept states that marketing strategy adopted by the
respective company should be in such a way that meet customers’ requirement and
enhances society's well being. Cadbury should focus on providing products in such a way
that doesn't harm the environment and the society. It is based on the marketing trend of
virtual reality in which the company creates awareness about its brand and provides
information to the customers that production system doesn't harm society and
environment.
Current and future Trends of Cadbury
Cadbury is well known for its imaginative videos but it has stepping marketing efforts with a
series of experiential efforts. It targets specifics demographics with timely events. The Recent
trend in marketing involves increased focus ons on customer experience which the Cadbury has
adopted to produce products according target groups and and provide them maximum
satisfaction. Moreover Cadbury brings the latest Cadbury dairy milk social analytics, trends in
key statistics from Facebook and Twitter in marketing and advertising industry.
2. Overview of different marketing processes
Marketing processes describes the way customer and the company interact so that value
can be created for the customers in order to satisfy their requirements. There are various steps
involved in marketing process which are described below-
 Analysis of opportunities in market- In this step Cadbury should analyse its target
market in order to find its opportunities related to needs and wants of customers. This
helps the company in getting proper marketing information and assist in producing
products accordingly (Desai, 2013).
 Selection of Target Market- Cadbury divides whole market into different groups and
choose the most relevant target market which meet its strengths and opportunities. Target
market for Cadbury mainly includes children but with increase in its product range it has
started targeting teenagers and adults.

 Development of marketing mix- It is the mix of actions and decisions that the Cadbury
takes in order to promote its products. It adopts a suitable combination of marketing mix
supported by effective marketing programmes in order to create value for customers and
achieve business targets (Hsu, 2011).
 Management of marketing efforts- This step is the action phase concerned with
management and monitoring of marketing efforts. Cadbury advertises and promote its
products as to increase awareness. Marketing manager of Cadbury implements the
marketing programme and reviews performance of marketing efforts.
3. Roles and responsibilities of marketing manager in context of the organisation.
Marketing manager is an employee within the respective company who performs
marketing activities like branding, product promotion, new product development etc. Roles and
responsibilities of marketing manager at Cadbury are described below-
 Manager's main role is to develop the marketing strategies and plans by identifying
customer needs and wants, thereby creating value for customers and achieving company's
objective.
 Its role is to direct and coordinate with other staff members, conducting marketing
functions which assist in minimising conflicts and brings unity among employees which
makes organisation a better place to work (Joshi, 2012).
 They have the responsibility to promote their products by advertising in newspaper and
television and on social media tools so as to create awareness about products.
 They are responsible for forecasting sales and accordingly assist production department
to manufacture products.
 They are responsible for making necessary changes in products and services by
enhancing innovation in products as to capture larger market share as well as responsible
for adopting appropriate marketing mix for product.
4.How marketing influences and interrelates with other functional departments of the
organisation
Marketing is the major department in the respective company as its influences and
interrelates with other functional departments and assist in effective functioning of organisation-
 Marketing with the operations department- Production or operational department is
concerned with conversion of raw materials into finished goods. Marketing by analysing

the current trend in market and identifying needs and wants of consumer provides
information to production department to produce goods accordingly (Kennedy and
Parsons, 2014). This assist the department in proper production of products and achieves
goals and objectives of the respective company.
 Marketing and finance department- Finance is the backbone of the company.
Marketing by conducting sales forecasting identifies the requirement for fund and
provides information to the finance department of Cadbury company so as to make
arrangement for funds in order to avoid interrupted production. Marketing for conducting
its promotion and advertising activities takes fund from finance department. This assist in
proper functioning of the department in Cadbury.
 Marketing with HR department- HRM of Cadbury is responsible for recruiting and
selecting the appropriate candidates. According to changing demand of the customer it
requires workforce with specific skills and capabilities to work, Marketing by analysing
such requirements provides information to HR department of Cadbury and assist in
proper selection of employees (Lamb, Hair and McDaniel, 2011).
Activities of marketing has a greater impact upon the departments of the respective company as
it controls all the functional units as bit provides necessary information which helps in the proper
functioning of departments.
5. Value and importance of the marketing role in the context of the organisation.
Marketing is a wider concept which create value for customers and assist company in
meeting organisational objectives. Importance of marketing at Cadbury is discussed below-
 Marketing assist in higher sales for company- Increase product awareness with the
use of advertisements and social media tools, makes the customer aware about the
product which motivates them to purchase the product and assist in achieving higher
sales and profitability.
 Competitive advantage- There is a high level of competition in the market. Marketing
by analysing the needs and wants of consumer, provide product to the consumer and
therefore analyses the competitor’s strategy and its products and takes decision to
manufacture products better than the competitors.
 Maintains company's goodwill and image- By promoting its quality and innovative
products it maintains trust among the customers and builds a standard reputation in their

minds and assist company to achieve higher profitability (Malhotra, Birks and Wills,
2013).
Marketing has a greater value in context to the Cadbury as by analysing needs and wants of
the customer it has come up with products and helps in increasing revenue for the company and
builds good reputation in market.
6. Conclusions that emphasise the significance of having effective interrelationships between
different functional departments.
It has been determined that there is great importance of having relationship among
different functional departments. Marketing when coordinates with other departments it provides
relevant information to them to carry activities in a proper manner. Effective interrelation among
departments will led to improved customer service and would lead to better efficiency of work
by targeting more customer case and achieving maximum profitability. Effective
interrelationships will led to better functioning of organisation, thereby increasing company's
reputation (Marshall and Johnston, 2011).
7.Compare the ways in which the chosen organisation applies the marketing mix to the
marketing planning process to achieve business objectives.
Marketing mix is the set of actions and decisions that the respective company takes in
order to promote its products and achieves an company's objective. It encompasses of the 7p's
such as Product, place, price, promotion, people, process and physical evidence that the company
uses to achieve maximum profitability.

Marketing Mix:
Basis Cadbury Mars
Product Cadbury's product capture the
attraction of every individual because
of quality. It is classified into
beverages, chocolates, desserts,
biscuits and now in ice creams. They
also provide festive and seasonal
products to attract consumer's
attention.
Mars company is known for
its chocolate and
confectionery products. Its
product portfolio ranges from
Chocolate, Pet care, Wrigley,
Food and drinks and many
more. Its wider portfolio
attracts larger customer base.
Price Cadbury is very much concern about
each and every individual need. They
set the price of product which can be
affordable by all category of people
i.e. for high income people
(Bournville) & for low income
people items like five star, eclairs
gems etc. They follow skimming,
economy and bindle pricing strategy.
Mars is a diversified business,
each of its business follows
mid premium pricing strategy
as it targets customers mainly
from Upper middle class.
This pricing strategy assist the
company in maintaining
quality of its products and
provides a competitive edge
(McDaniel and Gates, 2013).
Place Cadbury has strong distribution
channel and it is available in rural
and urban areas from small general
store to big outlet (Perreault, 2010).
It increased company's productivity
and has spread worldwide.
Mars has better distribution
channels and its products are
available in all stores. It has
partnered with big retailer
giants such as Walmart, Big
Bazaar and Hypermarket in
order to easier availability of
products to customer.

Promotion It's an essential element to promote
the product and also impressing the
customer which can be done through
advertisement in newspaper,
television, radio, sales promotion etc.
Cadbury created their own tag line
for various products branding to
attract the people. They introduced
Cadbury celebration which is more
attracted by employees or clients and
they buys in bulk.
Company uses various tag-
lines, slogans in order to
promote its products.
Promotional activities include
advertisements in TV and
newspaper and online
promote its products via
website, Facebook page and
other e-commerce sites
(Scarborough, 2016).
People People are the lifeblood of any
products as they impact on
company's productivity and
efficiency. Cadbury targeted all
youngsters, children and also elders
and they success among people by
gaining their heart. On the other
hand, employees within the company
are skilled and knowledgeable which
helps in identifying customer needs
and provides product accordingly. It
Company must hire skilled
employees who could easily
manufactures products
according to consumer
demands. As well behaviour
of the employees in company
is very polite which aims to
provide quality products to
their clients. Moreover it
provides training to its
employees in manufacturing
products efficiently.
Physical Evidence This mix is also an integral part of a
company as it contains the
infrastructure of company inside and
outside which tempt customer to visit
again. Cadbury is making
memorable and enjoyable visit of a
customer.
Physical evidence of the
company is clean and
hygienic, with good ambience
at its stores. and quality
products and leaves good
impression in the minds of
customers.
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Process Process is a systematic mechanism in
order to flow of company's activities
smoothly without conflicts of
interest. Cadbury has excellent
organised structure. Company
ensures efficient distribution and
supply chain in order to deliver
products within specified time with
the use of better transportation to
retail stores (Wilson, 2014).
New equipment and tools are
used by the company for
producing their products. It
ensures proper packaging of
its products to target more
customers.
8 Produce and evaluate a basic marketing plan for the chosen organisation
Marketing plan is a business document which outlines the marketing activity, strategy
and various tactics which the respective company adopts in order to achieve business objectives
within the set time frame. Main purpose of developing the marketing plan is to make a blue print
of the company's marketing activities which will assist Cadbury to work according the set
strategies and objectives. Cadbury is planning to develop a new product that would be a cadbury
jam which would be sugar free in nature and targets health conscious people.
Company's background- It is a British international confectionery organisation wholly
owned by Mondelez International since 2010, which is second largest brand in the world , and
operates its business activities in more than 50 countries. It manufactures a wide range of
products such as Cadbury bars, beverages, ice cream, biscuits and many more.
Vision- Its vision is to make the employees work collectively as to provide quality
products to consumer.
Mission- Company's mission is the commitment for continuous improvement of products in
order to enhance quality and maintains high reputation in the mind of customer (Pike, 2015).
Objective- Main motive of Cadbury is to launch a new product and attract larger
customer base which assist in achieving maximum profitability. SMART objective for the
respective company would be-
“To capture market share by 45% in upcoming 8 months by providing high quality products
SWOT analysis of Cadbury
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Strengths Weakness
 Cadbury has a high brand equity and
increased awareness about the brand
targets larger customer base.
 It has strong customer loyalty which
assist the company in achieving higher
sales and profitability.
 It has a strong marketing and
distribution channels which makes the
products availability in smaller villages
also.
 Strong research and development
department assist company in
producing goods according to customer
needs.
 It is relatively high priced brand and
doesn't attract price conscious
customers.
 Health conscious people avoid eating
because of the presence of high level of
sugar in it.
 Strong branding demands huge
financial investment.
Opportunities Threats
 Company can diversify its products
range into food segments.
 New product developed in the
marketing plan will attract larger
customer and assist company in
achieving profitability (Pike, 2016).
 Brand can add more flavours to its
existing brands as well as providing
sugar free candies will attract more
customers.
 It has threat of competition from Mars
and Nestle.
 Increasing cost of raw materials will
ultimately increase product price, this
creates a problem for the company to
lose its customers.
 Inflation in country causes reduction in
sales.
STP Approach
 Segmentation- It is concerned with dividing the whole market into different target
customer segments so as to manufacture and provide products accordingly. Customers
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are segmented on the basis of geographic, demographic, psycho graphic and behavioural
characteristics. For its new product company use Psycho graphic segmentation
concerning customers’ lifestyle, personality, attitude and targets more customer towards
its new product.
 Targeting- It involves dividing the market into segments and selecting the most effective
target segments by producing products according to their needs and desires. Respective
company mainly targets children, teenagers but its new products targets health conscious
people.
Positioning- Positioning outlays perception of the customer regarding the brand and how it is
distinguished from the products of competitors. Cadbury adopts various strategies for attracting
the target segment and develops a positive brand image in UK market (Purvis, 2015). In order to
create awareness about its new products Cadbury advertises on newspaper and television as well
as display image of the new products in various chocolate stores.
Marketing mix for new product-
 Product- The new product introduced by the company is Cadbury jam which is sugar
free and will attract health conscious people.
 Price- For its new product Cadbury would adopt economy pricing strategy so as to attract
price conscious people.
 Place- This new product will be available in all chocolate stores as well as in all grocery
stores.
 Promotion- Respective company can make use social media tools and increases its
advertisements in TV so as to increase awareness.
Marketing Strategy- Cadbury should make use of relationship marketing strategy so to increase
loyalty and use social media marketing tools to increase customer's awareness regarding new
products.
Marketing Budget
Marketing budget
Particulars 1st year 2nd year 3rd year 4th year 5th year
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Initial money 8000 12000 14000 16000 18000
Investment 6000 24000 25000 36000 20000
Total 14000 36000 39000 52000 38000
Marketing outlay
Promotion 11000 8000 7000 9000 3000
sales publicity 9000 6000 5000 7000 3000
Direct selling 5000 15000 6000 3000 5000
Total 25000 29000 18000 19000 11000
Monitoring and Control
Marketing manager should analyse and monitor each and activity in the marketing plan
so as to ensure that marketing activities are executed in a proper manner to achieve desired
results and necessary actions are taken to achieve desired results (Wirtz, 2012).
Effectiveness and Ineffectiveness of Marketing Plan
Their are various tools of marketing Plan such as marketing mix, marketing budget,
and monitoring and control.
Effectiveness of Marketing mix- Marketing mix in the marketing plan of new product will
assist respective company to properly adopts the promotion strategy to create awareness about its
new products as well as adopts effective pricing strategy to target new customers. This will
assist the company in marketing their new products effectively.
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Ineffectiveness of Marketing mix-In order to develop the new product respective company has
to frame a new marketing mic concerning price of new products as well as use of different
promotional tools will burden the role of marketing manager and will be time consuming and a
costly process for the company. It is just oriented towards internal product of respective
company and doesn't focus clients behaviour.
Effectiveness of Marketing Budget- It assist the manager of the respective company to make
efficient use of resources and and effectively conducts the marketing activities and create
awareness about its new products.
Ineffectiveness of Marketing Budget- effective time is required to form a appropriate budget
and company needs an experienced manager so that funds can deliberately used towards
conducting marketing activities properly. This would be costly and time consuming process for
respective company.
CONCLUSION
It is determined from the above project that marketing plays a important role in
production and sales of product according to customer needs and preferences and thereby assist
in achieving higher profitability and productivity for the company. It has been determined that
marketing manager effectively uses the marketing process in order to meet requirements of the
selected target segments. Along with this comparison of marketing mix helps in comparing the
product with those from competitors which assist them in taking decisions to produce products
better than those from competitors. Project concluded with the marketing plan of new product
development.
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REFERENCES
Books and Journals
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