4P Marketing Mix Comparison: Cadbury Dairy Milk & Divine Chocolate

This report provides a comparative analysis of Cadbury Dairy Milk and Divine Chocolate, focusing on their marketing strategies through the lens of the STP (Segmentation, Targeting, and Positioning) approach and the 4Ps (Product, Price, Promotion, and Place) of the marketing mix. It examines how each company segments its market, targets potential buyers, and positions its products, highlighting the differences in their approaches. The report also delves into the product characteristics based on Levitt’s model and Aaker’s brand personality, pricing strategies (economy vs. premium), promotional methods (traditional vs. digital), and placement strategies (mass market vs. luxury). The analysis concludes that while Cadbury focuses on mass-market reach with affordable pricing and widespread distribution, Divine Chocolate emphasizes a premium brand image with higher prices and selective placement, ultimately impacting their respective market positions and customer bases. Desklib offers a wealth of similar documents and study resources for students.

4 P’s Report

Table of Contents
INTRODUCTION...........................................................................................................................1
Approaches used by company through STP analysis:............................................................1STP Analysis..........................................................................................................................1
4. Discoveries through this analysis:......................................................................................2
Product.............................................................................................................................................3Levitt’s model.........................................................................................................................3Aaker’s brand personality.......................................................................................................3
Price.................................................................................................................................................4
Promotion.........................................................................................................................................4Communication methods of Cadbury:-..................................................................................5Communication methods of divine chocolate:-......................................................................5
Place.................................................................................................................................................5Placing strategy of Cadbury:-.................................................................................................5Placing strategy of divine chocolate:-....................................................................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
It studies the prospective opportunities and variations in the business market that may affect
the industry and its products through internal impacts or external impacts. Through studying
these analysis methods a company can identify its targeted customers, area of marketing, use of
best promotion techniques and accordingly imply prices to cover a huge market area. For the
present report Cadbury Dairy Milk, entrenched in the year 1824 and headquartered in Uxbridge,
United Kingdom and another company Divine Chocolates, established in year 1998, with its
head office in UK are taken into attention. In this report we will make clear about STP approach
to demonstrate perspectives in the market, moreover comparative of target market is explained
along with pricing, placing, product definition and promotions used by the company to conclude
with how the company uses this to rise sales.
Approaches used by company through STP analysis:
STP Analysis
It is a merger of scanning tools used to inspect the available opportunities in the market to
attract distinct customers toward their products. STP consists of three particulars that follow
segmenting, targeting and positioning of the article produced in company (Abo‐Zaid, Chen, and
Kamara, 2021). In order to survey the availability of at-hand customers, area of market and price
of products, STP analysis of is detailed as under:Segmenting Product's Market:
It is a blend of saleable attributes that embrace factors such as psychological behaviour,
geographical region and population statistics that affects the behaviour of people towards a
particular product. Through this analysis the company is able to carry information about buyer’s
needs, choices, preferences and product usage. This helps to reveal the lacks and fill differences
in between the customers and products. The Dairy milk segment its product in various ranges
whereas Dive chocolate products have a little segmenting of its products.Targeting of Potential Buyers:
In order to more specifically choose the most worthy purchasers through various analyses of
population reports, geographic area and consumer behaviour targeting is done. The company
does so in prospects of improving merchandise and audience occurrence to develop brand
cognizance, loyalty, betterment of products and services (Asadabadi, Asadi and Kalantari, 2020).
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Along-with it help the company to cover audiences in a more accurate, meaningful and authentic
ways possible. Both the companies’ targeting is based on unique marketing and deep market
research which help it to reach and attract more customers who add-on to their profit.Positioning the produce:
In this attribute the main focus is relied upon his a company cold place its product in market to
attract maximum prospects. Product arrangement at a particular area is dominant equipment for
providing support to marketing and sales of a product. In order to carefully place these products
in the market, the companies’ campaigns positioning in market divisions where it can reach to
maximum buyers (Edmeades and et. al., 2019). The technique of exact positioning could create
ace image of companies in heart of its lovers. In comparison Dairy Milk positions its products all
around the world, on the other hand Divine chocolates market coverage is in European market.
Comparison of the markets targeting strategies used by the companies:
Both the companies endeavour to achieve more customers, therefore they both uses various
techniques to target their customers.
Cadbury's Dairy Milk Divine Chocolates
It uses many factors to distribute its products
for all generations, including chocolate for kids
and low-in-sugar chocolate products for aged
people. Its products have quality based range
of pricing for all income groups of people.
Dairy milk chocolates are made for everyone
without gender biases of male or female. The
company also used innovative method to
eliminate traditional old style packaging in the
local market through presenting its unique
packed product to segregate it among
traditional chocolates.
This brand doesn't assure health factor in terms
of its sugar use.
This Chocolate Brand is focused towards
selling its product to young adults who are
willing to pay any amount for its products.
In the other hand its products were 20-40%
more costly than 'mainstream' chocolate bars.
This company also aims to empower women in
the sense of gender equality by involving
females in chocolate producing business.
When it comes to Divine chocolates its
products are of new generation but it's packing
resembles an image of past.
IT also highlighted most important benefits of
the products in preserving health this could
visibly distinguish them in the market.
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Product
It is something from which a consumer wants to satisfy their needs, consumers derive some
amount of utility from various goods and services.
Levitt’s model
This model is centred on idea of product as satisfaction level. Following are the
differentiation of products as per Levitt’s model.
 Core needs: - this try to satisfy basic needs of consumers for which they are selecting
product. For Cadbury and divine chocolate, a core need of consumers is their desire
to consume chocolaty sweet.
 Actual product:- marketers in this try to connect core needs with basic product. In
this Cadbury have edge as it mostly produce milk chocolate which are more sweeter
than what mostly Divine chocolate produce i.e. dark chocolate.
 Expected product:- producers try to meet expectations of its customers, Cadbury
attain this by providing high quality milk chocolate and divine chocolate by
providing rich dark chocolate.
 Augmented product:- marketers tries to excel consumers expectation, Cadbury does
this by making milk chocolate more smooth where-as divine chocolate does this by
adding more coco contain in it.
 Potential product:- marketers looks for some additional transformation a product can
go through. Cadbury does this more often by adding bubbles etc. to its milk
chocolate on-the-other-hand divine as such do not try this.
Cadbury is more efficient at functional and emotional level than divine chocolate as they are
good at making consumer satisfy and also connect well with them. Cadbury is trying to
portray performance, integrity and responsibility values while divine chocolate portray to
explore cocoa industry.
Aaker’s brand personality
It helps in describing brand’s personality in words of how human can be described, there are
five dimensions of it which are:-
 Sincerity – down-to-earth, honest, wholesome are some traits of this type. Cadbury
as a brand possess all this characteristics.
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 Excitement – brands with traits of daring, unique and contemporary comes under
this.
 Competence – companies which are reliable, technical and confident falls under this.
 Sophistication – brands which are charming and upper-class comes under this,
Divine chocolates is best example.
 Ruggedness – western and rugged type of brands personality comes under this.
Price
It reflect much about product and because of this marketers before setting price of product
consider various aspects of it like discount, cost of production, price of competitor etc.
(Hamidizadeh and Jamalieh Bastami, 2018). Various price strategies which company
follows are:-
 Price skimming – means setting high price when products are introduced and then
gradually decreasing it.
 Market penetration pricing – this let firm enter at lower price in market and then
gradually increasing it.
 Premium pricing – this strategy keeps high-price for high-quality products.
 Economy pricing – this let company target customer who are saving more when they
are purchasing.
 Bundle pricing – when company combine more product and sell them at less money
comparatively.
BRANDS PRODUCT PRICE
CADBURY Dairy milk bar 1.99 euro(approx.)
Bournville (dark chocolate) 3.99 euro(approx..)
DIVINE CHOCOLATE Milk chocolate 14.99 euro(approx.)
Dark chocolate 14.99 euro(approx.)
Through above discussion of price strategy and table we can conclude that Cadbury is
using economy pricing and divine chocolate is using premium pricing.
Promotion
It is very important aspect of marketing as it let marketers build a brand image in minds of
customers by communicating their thoughts to them. There are various ways which let brands
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communicate with customers which are television advertisement, posters, hoardings, social
media marketing, own website etc. (Liang and Gao, 2018).
Communication methods of Cadbury:-
Cadbury in past was using orthodox methods of advertisement such as posters, through
radio, cinema etc. by just simply describing about products. But now as technology got advanced
they adopted various other ways such as social media advertisement, promotion through
influencers, own website etc. Cadbury mostly use digital advertisement with social message to
build their brand, they position their products as affordable-yet-quality product.
Communication methods of divine chocolate:-
They in past used newspaper advertisement, loud speakers announcement etc. but as
technological advancement happened they shifted to modern-day methods such as website, social
media handles, etc. (Rajendran, 2021). Divine chocolate mostly use their website to reach
customers which also build their brands they position themselves as premium and luxury brand.
Place
It is important element of marketing as it helps marketers to place product at perfect market
where its customers can easily find it without much hustle.
Placing strategy of Cadbury:-
Cadbury always try to place its product especially dairy milk bar to each store such as
bakery, general store, stationary, tea stall etc. so that it can reach maximum customers (Wang,
2017). Cadbury dairy milk bar being low-cost-high-quality product always tried to reach more
people as it is mass product. it mainly opens its store in middle-income areas.
Placing strategy of divine chocolate:-
As it is a luxury brand they have less number of stores in which their products are available
not even at small shops because of its comparative high price and they are mainly available in
luxury bakeries, at their own outlet or website. Thus it lack behind in this element of marketing
mix.
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CONCLUSION
From the above discussion, it has been concluded that marketing mix is a tool which help
an organization to reach its target market and attain objects within set time period. In addition to
this, STP analysis allows an organization to target the right market and position its brand, which
further leads to increase in profitability and revenue level of an organization. Moreover, it is
important for a company to make use of effective pricing strategy so that they can attract large
number of customers and attain competitive advantage at marketplace. It is determined that there
are various tools used by organization in order to promote their brands such as online marketing,
social media and many more. All this help to increase customer base level and high profitability
in an effective manner.
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REFERENCES
Books and Journals
Abo‐Zaid, S., Chen, H. and Kamara, A., 2021. A fiscal perspective on nominal GDP
targeting.
Economic Inquiry, 59(4). pp.1641-1660.
Asadabadi, E., Asadi, A. and Kalantari, K., 2020. Choosing water Allocation Strategy in
Hamedan–Bahar Aquifer Based on SWOT and Multi-Criteria Decision Making.
Iranian
Agricultural Extension and Education Journal. 16(2), pp.39-62.
Edmeades, S. and et. al.., 2019.
Sector Diagnostic and Analysis of Public Spending in
Agriculture and Rural Development (No. IKEEBOOK-2020-621). The World Bank.
Hamidizadeh, M. R. and Jamalieh Bastami, B., 2018. Design and Explanation of the Model of
Dynamic Segmentation through the International Petroleum Product Market of Iran (Case
Study: International Gasoline Market).
Journal of Business Management, 10(1). pp.73-
96.
Liang, Y. and Gao, Z., 2018. Marketing strategy analysis of commercial real estate Project Park I
of Kaili city. In
ICCREM 2018: Analysis of Real Estate and the Construction
Industry (pp. 85-90). Reston, VA: American Society of Civil Engineers.
Rajendran, S., 2021. Improving the performance of global courier & delivery services industry
by analyzing the voice of customers and employees using text analytics.
International
Journal of Logistics Research and Applications, 24(5). pp.473-493.
Wang, H. J., 2017. A brand-based perspective on differentiation of green brand positioning: A
network analysis approach.
Management Decision.
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