A Comparative Analysis of Cadbury and Lindt Marketing Strategies

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This report provides a comparative analysis of the marketing strategies employed by Cadbury and Lindt & Sprungli. The introduction outlines the context of the comparison, highlighting the companies' profiles and their positions in the confectionery market. The findings section delves into the target markets of both companies, with Cadbury focusing on a broader consumer base and Lindt targeting a more affluent demographic. The core of the report focuses on the marketing mix (4Ps): product, examining the distinct characteristics of Cadbury's and Lindt's offerings; price, discussing their pricing strategies based on target audience; place (distribution), comparing their distribution channels; and promotion, analyzing their marketing and promotional activities. The report concludes with recommendations for improving marketing actions and emphasizes the importance of the marketing mix for achieving profitability in the target market. References to supporting literature are also included.
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Principles of Marketing
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Table of Contents
INTRODUCTION...........................................................................................................................3
FINDINGS.......................................................................................................................................3
Market Mix..................................................................................................................................4
RECOMMENDATIONS & CONCLUSION..................................................................................6
Recommendations........................................................................................................................6
Conclusion...................................................................................................................................6
REFERENCES................................................................................................................................7
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INTRODUCTION
Marketing is known as activities that are performed by the business organization in order to
promote their products and services in the target market to gain higher benefit in the target
market. This report is based on the comparison of the marketing process which is used by the
different organization in the marketing process (Chaffey and Ellis-Chadwick, 2019). This report
is comparing the marketing process that is used by Cadbury and Lindt & Sprungli in the market
place. Cadbury is an international organization that belongs to food confectionary industry. It
was established in year 1824 in Birmingham, England, United Kingdom. Lindt & Sprungli is a
Swiss chocolate manufacturing company which was founded in year 1845. Both companies are
famous for their products around the world. This report will be providing brief introduction of
marketing mix that is used by both organization for better performance in the promotion of their
product in the market place. Brief information regarding STP that is used by both organization to
get better sales in the market place.
FINDINGS
Target Market
India is one of the largest market opportunity for different organizations. It is considered as one
of the fastest growing and emerging global market at the global platform. Both companies are
looking for developing their profit by making more investments in the marketing process to get
better result with their marginal profit. the market segment that I targeted by Cadbury in India is
consists of different element. People selected as the target customer of the company are between
ages 5 to 10 year old. Bu this criteria is not fixed for organization. people of all age eat
chocolates. So there is no any fixed target for company (Keegan, 2017). All people are targeted
by both companies in target market. As a food product there is no any specific criteria is used by
the company. The business of the Lindt & Sprungli is slightly different from the Cadbury
because there no any criteria is followed by the company but in case of Lindt & Sprungli,
company targets the rich and elite class people as target audience. Lindt & Sprungli id a luxury
chocolate making company that only focuses on the people who do not think for money before
buying something. The marketing process that is used by the Cadbury is much better than the
Lindt & Sprungli because this is important for the Cadbury it is important for the company to
keep their target audience aware of their products. But for Lindt & Sprungli this is not important
to conduct marketing in order to maintain their sales. They only focus on people with lavish
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lifestyle.
Market Mix
Product and Brand
Product is major part of the marketing process this is important for both companies to
attract people with features of their products and packaging. Because the target audience of the
company is not same so the product specifications are also not same (Deepak and Jeyakumar,
2019). There are various things are considered by the companies to get more sales in market.
The products which are produced by Cadbury are simple in shape and mostly the shape
of the chocolate is rectangular and packaging of the product is also simple and easier. The main
target of the company is to attract the customer by the taste of the chocolate. This is important
for the company to make the product more attractive and effective. The colour combination that
is used by the Cadbury for the packaging is also simple but attractive.
The products that are developed by the Lindt & Sprungli is more attractive and packaging
of the product is more effective and lavish than the Cadbury packaging. The packaging of the
Lindt & Sprungli is premium and coms with the percentage of the chocolate used in the bar. This
is how the product of the Lindt & Sprungli is more attractive and informative then Cadbury.
The focus of the Cadbury is more on taste and Lindt & Sprungli is more on the target
people. Specifically chocolates made by Cadbury is made with general taste for all peoplebu the
chocolates made by Lindt & Sprungli is by considering people of high and elite class.
Price
This is most important for the organization to keep their pricing most effective to gain
effective performance in the target market. The pricing of the product is completely based on the
target audience that is selected by the company (Tuten and Solomon, 2017). This is main part of
the company promotion strategy. People mostly get affected with the pricing of the product they
are promoting in the market place. Some of the major aspects that are considered by the
organization in process of deciding pricing of their product. Mainly this is important for the
company to decide pricing of their products based on the different criteria. The factors like
average income of the people and their economical class need to be considered by the
organization to decide their pricing of the product.
People that are targeted by the Cadbury are belongs to not a single class. Entire
population is targeted by the company sale their products. So the pricing standard is decided by
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the organization on the basis of general criteria because the target audience of the organization is
not limited. The price of the Cadbury is cost effective for all class of people and people of all
class can purchase the chocolates of the Cadbury because it si low in budget than other premium
chocolate brands. These how the pricing strategy of the Cadbury is cost effective and economic
for all customers.
The pricing policy and pricing process of Lindt & Sprungli is completely based on the
customer base all the pricing done y company is based on the elite group of people who are rich
and do not care about the price of the product. Because the customer targeted by the company are
of premium class so this is not important for the company to make compromise with the pricing
because the product that is provided to the customer is of very high quality and premium class.
This is how the product pricing strategy is based on the high marginal profit because the
customer of the company are belongs to higher upper class.
Place
Place is also can be consider as the distribution channel used by the organization in the
target market. This is very important for the company to make proper arrangement in order to
maintain the demand and supply as per the market needs (De Mooij, 2018). This is important for
the organization to consider all these factors to maintain their performance and sales high in the
target market.
The distribution channel which is used by the Cadbury is of world class and based on
digital technology. There are only few company outlets of Cadbury and mostly the products of
the company are sold by the company through the retailers. This is how company full fills the
market demands of the product on the basis of specific distribution channel in the retail market.
The distribution channel that is used by the Lindt & Sprungli is slightly different from the
Cadbury. The product of Lindt & Sprungli are produced through 12 different manufacturing
houses of company and these products are provided to the various locations round the world in
120 different countries. By using the store networking company is selling their products.
This is how the place for the marketing used by both company are likely to be similar but
different processes are used by the company to provide their products to the customers.
Promotion
Promotion is one of the most important P of the marketing. It is directly related to the
marketing of the company product in the market place (Shaw, 2016). There are different
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promotion strategies are used by the organization to sole their products in high quantity to gain
high profit in the target market.
Marketing or promotion activities that are performed by the Cadbury are most effective
and consists of various channels of marketing. There are different channels are used by the
company to make effect impact on the target people. For example television advertisement and
social media marketing and digital marketing can be used by the organization to make effective
and positive impact on the customer base.
The marketing activities that are performed by the Lindt & Sprungli are also effective and
based on the customer segment. There are different promotional processes are used by the
organization to gain higher sales in the market place.
RECOMMENDATIONS & CONCLUSION
Recommendations
There are different processes are used by the organization to improve their performance in the
market place . Some of the most common process that are used by the organization to improve
the actions of the marketing department. Technologies like artificial intelligence and other
information systems can be used by the organization to develop their marketing actions . This
technology can help them to provide better services to the customer and improve the profit of
company in target market. This is how different technologies are used by the business in the
target market.
Conclusion
This report is concluding the importance of the marketing for different business organization to
earn high marginal profit in the target market. The market place of Lindt & Strungli and Cad has
been discussed in the report along with 4 p’s of marketing . On the basis of 4 P’s of marketing a
comparison of promotion strategy has been discussed in the report.
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REFERENCES
Books and Journals
Chaffey, D. and Ellis-Chadwick, F., 2019. Digital marketing. Pearson UK.
De Mooij, M., 2018. Global marketing and advertising: Understanding cultural paradoxes.
SAGE Publications Limited.
Deepak, R.K.A. and Jeyakumar, S., 2019. Marketing management. Educreation Publishing.
Keegan, W.J., 2017. Global marketing management. Pearson India.
Shaw, S., 2016. Airline marketing and management. Routledge.
Tuten, T.L. and Solomon, M.R., 2017. Social media marketing. Sage.
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