Cadbury Brand Extension: Analysis of Growth Strategy & Market

This report provides a comprehensive analysis of Cadbury's brand extension strategy, focusing on its current brand values, existing campaigns, and growth strategies. It examines the potential target market for a new organic chocolate product, conducting a PESTLE analysis to understand the external factors influencing the market. The report also compares Cadbury's strategies with those of its competitors, such as Divine, highlighting the strengths and weaknesses of each approach. The analysis concludes that product development and brand extension are beneficial strategies for organizations seeking to increase market share and profitability, leveraging established brand values to introduce new products effectively. Desklib offers a wealth of similar solved assignments and study resources for students.

Brand Extension

Table of Contents
• Introduction
• Current values of the brand being extended
• Existing brand values, campaign and sponsorship of the company
• Growth strategy of the brand
• Potential target market of the brand extension
• PESTLE analysis
• Comparison with other competitors.
• Conclusion
• References

Introduction
• Marketing is a dynamic process that
encompass all activities that an
organisation undertake in order to
promote and sell its products and
services in the market. Its main goals is
to enhance sales by building a loyal
customer base.

Current value of brand
Cadbury is the second biggest confectionery
brand after the Mars. Cadbury in the world. This
company is known for the milk chocolates, rose
selection box, crème egg and other
confectionery products. It is a famous brand and
renowned for high quality products with a
reasonable price. It regularly updates their
product's packing with new wrappers in
different size or colours (Knoche and et. al.,
2020).

Existing brand values, campaign and
sponsorship of the company
Cadbury has launched many market campaign for thier chocolates . One of them is the
Real Taste of life campaign. It ha a very well functioning and an engaging websites
which attract more traffic and the sales on internet. They run its competition through
the Twitter to win their products over other brands. They also sponsored many events
such as global youth festival, Windmill festival, Enthusia and other etc

Growth strategy
The Ansoff Matrix contain four growth strategy such as market penetration, product
development, market development and diversification. Cadbury adopt its growth
strategy as product development, it is introducing a new product that is organic
chocolates in the existing market in order to increase their customer base and earn
more revenue. By adopting this growth strategy Cadbury will get a high market share
and can compete with other competitors.

Potential target market of new brand
STP analysis contain three components which
are given below:
Segmentation- For the organic chocolates
Cadbury segment their market on the basis of
behavioural as some peoples are like the
chocolates but they avoid it because of high
sugar, so these organic chocolates are very
beneficial for them.

Key trends or Pestle factor
Social factor- It include the buying pattern and
behaviour of the customers. Cadbury introduce
this new product with the impact social
component because the lifestyles of individuals
changing continuously so due to their changing
behaviour the company launch its new product
that is organic chocolates.

Comparison with competitor
Cadbury Divine
Its price are very affordable and it I capable to
compete with it competitors with the changing
market environment.
In this, there is inability of price as it pay a fair
share of its revenue, it can be a serious problem in
changing market environment.
It focus moire than one promotional strategy due
to which it is a good bran that is known in world
wide
For its promotional strategy it focus only social
network due to which outside UK it is not as widely
known.
It available every shops, supermarkets and other
stores, so it is able to target a large market area
of customers.
It available only in supermarkets, so, it can target
only a limited number of customers.

Conclusion
Form the above report is is concluded that in marketing, the product development
or brand extension is a beneficial strategy for an organisation as it will helps the
company to generate more profit with high market share. To introduce a new
product in market the values of an organisation is very helpful because of their
brand value and other facilities.

References
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heteropolyacid catalysts by transient response methods. Catalysis Science &
Technology. 10(15). pp.5231-5244.
• MahilaVasanthiThangam, R.B.M.D.D., 2020. Brand Management: Analysis of
Cadbury. Journal of Critical Reviews. 7(14). pp.4288-4295.
• Pravdová, M. and et. al., 2021. Associations between pharmaceutical
contaminants, parasite load and health status in brown trout exposed to sewage
effluent in a small stream. Ecohydrology & Hydrobiology. 21(2). pp.233-243.