Marketing Mix for Cadbury's Organic Chocolate

The assignment provides a comprehensive analysis of Cadbury's marketing efforts for their organic chocolate product. The company uses psychographic segmentation to target customers who prefer healthy lifestyles. The marketing team aims to promote healthy living through advertisements. To monitor success, the manager checks feedback from buyers and sales reports. The objective is to achieve £1300 in sales per store, which is considered attainable due to Cadbury's established distribution and sound marketing team. The financial position of the company also allows for the necessary resources to be available on time.

MARKETING MIX

Contents
INTRODUCTION...........................................................................................................................1
Marketing mix of Cadbury and Nestle to achieve business objective.............................................1
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................8

INTRODUCTION
Marketing comprises all the efforts made by a manager to make finished good easily
accessible for end customer. Present report will articulate comparison between marketing mix of
Cadbury and Nestle. Report also includes different tactics uses by manager to achieve objective
on time. Lastly, marketing plan will be given to understand more about steps taken by marketing
manager. Cadbury is the leading confectionery company 1824, headquartered in England. Nestle
is one of the tough competitor of Cadbury, it is founded in 1866. It has its headquarter in
Switzerland.
Marketing mix of Cadbury and Nestle to achieve business objective
Marketing mix helps in making strategic plan for business which includes product, price,
place, promotion, people, packaging and positioning. This helps in evaluating various factors
which influence profitability and operational efficiency of business.
1) PRODUCT: Cadbury is a confectionery industry and offers wide range of products like
like chocolate bars, bites and rolls, beverages, desserts, ice cream, biscuits, cookies and
spread. Cadbury aims at developing new range of products with better quality by proper
research and development to increase customer base by targeting particular segment of
customers(Armstrong and et.al., 2015).
Nestle also offers large range of products like chocolates and confectioneries, coffee, dairy
products, ready to cook and frozen food. Nestle aim is to increase their nutrition unit in terms of
organic growth by establishing Nestle products in global market. Nestle always focus on quality
and nutritional value to maintain strong product portfolio.
2) PRICE: Cadbury uses strategic pricing method keeping in mind the customer segment.
Cadbury aims to focus on economy pricing method and deliver best quality products at
affordable price. They also offer discount offers on various occasion to attract large
number of customers from across the globe. Cadbury also sell range of product in a
bundle at lower price to target large customer base(Pike, S., 2015).
Nestle determine its price through price skimming. Price of the products are set high to take
advantage by targeting desired customers base. Nestle offer competitive pricing on various
products like maggi, kitkat to gain higher profit.
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3) PLACE: Cadbury products are available throughout the globe to target larger customer
base. It has a strong distribution channel to make their products available all over the
world. Products can be made available to customers by selling goods directly to
customers or through retailers or selling through wholesalers.
Nestle also has strong network to deliver goods to the customers. Nestle has direct as well as
indirect marketing channel where customers can order goods online. Indirect marketing like
making products available on various retail stores, shops, wholesale, etc to cover larger customer
base.
4) PROMOTION: Cadbury aims at marketing their existing or new products through
various promotional and marketing strategies like advertisement in newspaper, radio,
hoardings , television and social media platforms. Various brand ambassadors are there
who promote different products(Baker, M.J., 2016).
Nestle comes with unique marketing strategy by doing extensive advertisement by promoting
each product through advertisement on hoardings, television, online, newspaper, public relations,
personal selling and also on medias like radio to attract larger customer base(Liu and et.al.,
2017). They also limit their promotion to a particular segment of economy to promote new
product.
5) PACKAGING: Cadbury aims at making attracting consumers through its fascinating
packaging strategy. They use biodegradable polymeric material for packaging keeping in
mind environmental factors. It uses its brand logo on packaging to attract large
consumers.
Nestle aims aims at using 100% recyclable packaging keeping in mind environmental factors and
minimize wastage without compromising on quality and safety of product. They attract
customers by providing them with effective packaging which are recyclable and disposable.
6) POSITIONING: Cadbury has a market share of 70%. They aim at position their
products in the heart of customers for increasing profitability and market share. Cadbury
has developed a brand image in the eyes of consumers and further position the market by
targeting different segments through channel differentiation by using innovative methods
to advertise their product to reach its customers.
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Nestle aim at launching different products for different customer segment which helm them to
achieve competitive positioning in the market. Nestle has always focused on good food good
quality motto through brand positioning(Kotler and et.al., 2015).
7) PEOPLE: Customer are of utmost importance. Cadbury aims at training staff how to
effectively communicate with the customers and how to treat them. In case of any
customer grievance necessary remedial solutions are to be taken effectively to resolve the
issue. Cadbury also aims to target at key segments of customers that varies from different
demographics, age and gender.
Nestle main focus is to build customer relationship by making products available to them and
satisfy their need by giving them value for money. They aim at selling products to each segment
of the consumers by providing various range of products. They aim at providing best experience
to customers by providing them with best customer services.
M3
Goal setting approaches, model and principles helps manager to achieve organization
goal in systematic manner and in given period. Cadbury marketing manager uses SMART
framework of objective setting in which, manager get to know is goal is relevant, measure, time
bond, attainable and relevance. This framework also analyzes different sources which are
required to achieve the objective. Company also set small aims in order to achieve the ultimate
goal of organization, Manager tries to encourage self discipline, execute Pareto Principle, open
communication, and develop agreed goals by allowing staff member to make big and small goals
both (Ramli, 2017). Manager also use tactic to increase efforts of employee like offer monetary
and non monetary benefits, celebrate achievement at big level, facilitate training and
development etc.
Nestle manager also uses different approach like chase the frog, render autonomy in
decision making, flexible working hours, path goal leadership, give information to access
essential information to get work done etc. employee are allowed to judge their performance as
well as their peer group to give constructive feedback. Manager promotes healthy competition
where conflict and criticism relation to goals are welcomed. Both companies take help of
different model and technologies to get compete their work on deadline. For instance - Gantt
chart, Microsoft project and Trello. These tools not only create the timeline of different activities
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even they help in make daily, weekly, monthly and yearly objectives, effective manage team and
resources, Project schedules, arrange team meeting, check project status etc (Bailey and
Alexander, 2017)
D3
Marketing plan
Strength
 Sound financial position and old
reputation.
 Strong distribution channel.
Weakness
 Damaged image because of
controversies
 .high sugar tax and fat product.
Opportunity
 Diversification of product into healthy
confectionery.
 Untapped market like Middle East
countries (Zook and Smith, 2016)
Threat
 Increase cost of raw material.
 Health conscious people avoid sweets.
Marketing budget for new organic chocolate for city of London
Particular Amount (£)
Promotion expenses 521
Commission to distributer 391
Salary to marketing staff 260
Other utilizes bills 130
Total 1304
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SMART Objectives
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Specific
Cadbury wants to achieve sale of £1300 in each store
Measurable
Manager will check success of marketing effort via cash
in-inflow generated.
Attainable
Cadbury has well established distribution and sound
marketing team, which make marketing objective attainable.
Relevant
Cadbury possess sound financial position so it is able to
avail essential resources on time
Time bound
Manager makes sales target for weakly and monthly
basis.

STP For chocolate
Segmentation
Company will use p s y c h o g r a p h i c s e g m e n t a t i o n where it will make different
segmentation of people who prefer health lifestyle.
Targeting
Consumer will be targeted on the basis of their lifestyle preference.
Positioning
Advertisement will be made in such a way that will communicate and promote healthy
living (Jovanov, Davcev and Boeva, 2018)
Monitoring and controlling
Manager decided to monitor the product success by getting feedback from buyer and sale
reports ( sale KPI dash board).
CONCLUSION
From the above study it has been concluded that marketing success is highly depends
upon accuracy of marketing research and analyses, so manager should try to gather more
accurate information’s with help of technology. Marketing mix can be made more flexible and
consumer oriented. External factor’s impact on marketing can be only minimising by good
production power of manager and take proactive actions accordingly. Empathically thinking will
help manager to design effect marketing mix its buyers which will defiantly lead to consumer
loyalty.
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REFERENCES
Armstrong and et.al., 2015. Marketing: an introduction.
Baker, M.J., 2016. What is marketing?. In The Marketing Book (pp. 25-42). Routledge.
Kotler and et.al., 2015. Marketing. Pearson Higher Education AU.
Liu and et.al., 2017. The effects of products’ aesthetic design on demand and marketing-mix
effectiveness: The role of segment prototypicality and brand consistency. Journal of
Marketing. 81(1). pp.83-102.
Pike, S., 2015. Destination marketing: essentials. Routledge.
Ramli, N. S., 2017. A review of marketing strategies from the European chocolate
industry. Journal of Global Entrepreneurship Research. 7(1). p.10.
Zook, Z. and Smith, P.R., 2016. Marketing communications: offline and online integration,
engagement and analytics. Kogan Page Publishers.
Jovanov, T., Davcev, L. and Boeva, A., 2018. Market segmentation factors: analysis of the
confectionery industry in Macedonia. Macedonian International Journal of
Marketing. 4(8). pp.79-97.
Bailey, A. R. and Alexander, A., 2017. Cadbury and the rise of the supermarket: innovation in
marketing 1953–1975. Business History. pp.1-22.
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