Comparative Marketing Report: Cadbury and Lindt Strategies

This report provides a comparative analysis of Cadbury and Lindt chocolate brands, focusing on their marketing principles and strategies. It examines their target markets, utilizing elements such as age, gender, income, social class, education, family life cycle, and lifestyles to highlight the differences in customer segmentation. The analysis extends to the 4Ps of the marketing mix—product, price, place, and promotion—comparing the brands' approaches to product development, pricing strategies (skimming, premium, economy, bundle), distribution channels, and promotional methods (cinema, TV, outdoor, social media, and own websites). The report concludes that both companies effectively use the marketing mix to cater to customer preferences, with Cadbury excelling in affordability and widespread availability, while Lindt focuses on premium quality and luxury branding. The report recommends that Lindt explore cost-reduction strategies to potentially lower product prices.

Principles of Marketing

Table of Contents
INTRODUCTION...........................................................................................................................1
FINDINGS.......................................................................................................................................1
1) Comparison of Target Market............................................................................................1
2) Product...............................................................................................................................2
3) Price....................................................................................................................................4
4) Place...................................................................................................................................4
5) Promotion...........................................................................................................................5
CONCLUSION AND RECOMMENDATION...............................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Marketing principles or principles of marketing are undertaken as the ideas which are
utilised through firms for using effectual marketing strategy. Moreover, they are considered as
principles that have to be applied through ventures for promoting its goods or services (Akbar,
French and Lawson, 2019). In addition to this, it incorporates 4P’s of marketing mix like
product, place, price and promotion. Additionally, for accomplishing this report to different
companies have been chosen that are Cadbury as well as Lindt chocolate. In this, Cadbury was
developed into year 1824 at England, UK and it deals in confectionary goods. The respective
firm market share is around 40% of their revenues that enhances upto 14.4% (Cadbury eats up
market share, 2017). There is maximisation into international sales by 5.5% to $ 6.8 billion.
While on other side, Lindt was formed in year 1845 at Switzerland that deals into ice-cream,
confectionary and chocolates. Its market share is about 5.1% in which they have sold 5.6%
within Europe market (Lindt: growing faster than the overall chocolate market, 2020). Also,
there are trends into market share growth by 2.8% and enhancement into their chocolate item
sales because of higher customers demand. The key objective of this report is to explain
regarding targeted market as well as comparison of 4P’s among both companies at market area.
FINDINGS
1) Comparison of Target Market.
Target market is undertaken as the described way where firms target specific category of
its clients for rendering products or services (Allan, 2020). Moreover, it has to be divided based
upon distinct prospects of both entity that are discussed into below presented table:
Element of Target
Market
Cadbury Chocolate Lindt Chocolate
Age They mainly targeted the age
group in between 5 – 10 years of
children who like to consume
more chocolates.
They targeted 5-25 age group.
Gender They concentrated upon both
gender category that are female as
They also targeted both male
and female.
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well as male. Mainly children are
key concern.
Personal Disposable
Income
Also, respective firm has targeted
higher, middle income groups.
Respective company targeted
both upper and middle class
individuals.
Social Class It concentrates upon A1, A2, B1
and B2.
It has focus on B1 and B2.
Level of Education All kinds of educated individuals. All individuals either educated
or not educated may purchase
items.
Family Life Cycle The product that is offering by
Cadbury is preferred through all
family sizes.
All individuals like to have
chocolates for its family so not
any special category is
concentrated.
Lifestyles Whole kinds of individual’s
lifestyle like to have chocolates
(Atwong, 2015).
Individuals who belong from
several category have its own
lifestyle as well as culture to
have chocolates.
2) Product
The product is the initial component of marketing mix that is tangible into nature (Allan,
2020). Moreover, fore describing regarding products of both firm that are Cadbury as well as
Lindt, Levitt’s model of brand is utilised that is discussed into below provide table:
Levitt's Model
Element
Cadbury Chocolate Lindt Chocolate
Core Benefit In respect of core benefit, respective
firm facilitates effective taste to its
clients.
Respective entity concentrates
upon facilitating high quality
value for its clients.
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Generic Product Cadbury carry the scheme of shot
pack colour. Also, this is usually
packed into boxed selection tray or
twisted wrapped and generally round
and square in shape.
Respective company comes into
various flavours such as
caramel, sea salt and others.
Moreover, the colour utilised by
Lindt for its packaging that
incorporates light blue, gold and
white and others. Also, this is
generally comes into heart
shaped.
Expected Product When customers purchase items that
they concentrate upon its shape,
packaging and colour (Room, 2019).
The loyal customers have many
expectations in respect of their
packaging; colour utilised as
well as shape during purchasing
chocolates.
In respect of both emotional as well as functional level, Cadbury has utilised innovative
tactics as well as formulate its goods upon frequent basis in order to attach with their clients
emotionally. While on other side, Lindt Chocolate has applied differentiation tactics for
becoming distinct from its various rivals as well as rendering chocolate into heart shape for
connecting in emotional way with its consumers. Apart from this, the Cadbury’s brand value has
developed by positioning its brand at market areas through facilitating 3D experiences along
with premium discounts and offers. Also, they obeyed proficiency as kinds of personality in
which they are the most successful known brand with market area (Asqarova and et. al., 2021).
Additionally, Lindt has utilised both innovative as well as unique tactics in order to develop their
value of brand at greater extent to formulate premium chocolates for audiences. it have obeyed
sophistication as personality form in which they represent themselves at charming as well as
upper class at marketplace.
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3) Price
This is undertaken as the cost implied through ventures for its goods or services.
Moreover, it is crucial for brands for setting its commodities (Berkowitz, 2021). So, the pricing
strategies of both entity are discussed below:
Cadbury Chocolate Lindt Chocolate
Skimming Pricing- Respective pricing strategy is
opted by firm in order to undertake benefits from new
goods or services. Such as Oreo, Cadbury silk and
others.
Economy Pricing- The Cadbury develops various
variants for items for its clients. This incorporates
Eclairs, five star and others.
Bundle Pricing- Within respective pricing strategy,
Cadbury sell several products at lower costs mainly
during festival through rendering offers, discounts
and many more.
So, Cadbury are following whole above three pricing
strategies in order to sell its products to customers
(McDermot and et. al., 2021).
Premium Pricing- The Lindt
concentrates upon facilitating premium
quality of goods or services to its clients.
Moreover, they have also adapted
premium pricing strategy for audiences
because of higher quality product nature.
Therefore, it follows premium pricing
strategy for their goods and services to
sell high quality products.
So, they use premium pricing strategy
for its products or services for selling
higher quality items.
4) Place
This is undertaken as the manner by that ventures sell its goods to customers. In respect of
Cadbury, its channel incorporates non retain chain which aids in reaching at huge number of
clients or facilitating opportunities to audiences for purchasing the respective brand area in
which they do not expect regarding this (DeLong, 2021). Additionally, the particular firm store
its goods at huge freezers as well as at retail store. In addition to this, they utilises mass concept
of market as this explore its distribution store within greater number of areas for reaching at
more number of customers.
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In respect of Lindt, they are utilising distinct streams that employed through entity for
selling their goods and services. Moreover, it performs upon luxury brand distribution as its
target market is individuals who like to purchase expensive goods.
5) Promotion
Promoting is undertaken as the manner through forming awareness within clients related to
goods and services (Dimitrakaki, 2019). Additionally, there are various kinds of promotion
methods that is utilised through both firms are described below:
Methods of
Communication
Cadbury Chocolate Lindt Chocolate
Cinema Within previous period,
individuals are having the habit to
watch movies at theatre that
assists respective firm for
developing awareness within
customers.
This is undertaken as the one
of the well known brand at
marketplace that rarely utilised
respective communication
method to develop promotion.
TV Within it, respective firm
promote their items with
assistance of TV in which they
sponsors celebrity.
This is also utilised by
respective firm for grabbing
the attention of huge
individuals in much efficient
way.
Outdoor While performing meeting with
staff, respective company utilise
this communication method such
as it uses various kinds of product
image at road side for creating
awareness.
Outdoor communication
method is not utilises more by
Lindt.
Social Media It is utilised mainly for new and
existent arrival of new products.
This also utilises social media
for its goods or services.
Own Website It does not have its own websites Respective firm utilises its
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to purchase items. own websites for creating
awareness within audiences.
Both entities utilises social media in order to develop their brand into its customer minds.
For instance, it facilitates innovative as well as eye-catching advertisement for its commodities
and services (Hajjat, 2021). Also, they are positioning in respect of reasonable, luxury, effective
ad others.
CONCLUSION AND RECOMMENDATION
As per the above report, it has been concluded that both company utilise marketing mix as this
facilitates detailed explanation of its customer’s preferences as well as tastes. Moreover, through
understanding the client’s tastes firm may formulate its goods based upon its disposable incomes
as well as may become competent to select one of its effective promotional techniques like sales
promotion, advertisement and others. Additionally, Cadbury has been one of the most effective
into usages of marketing 4P’s as this is the renowned brand as well as their products is available
at all area into much affordable cost so that it would become competent to render its goods in
much convenient way. In respect of Lindt, it through performing investigation as well as by
purchasing raw materials into stock may minimise its products price.
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REFERENCES
Books & Journals
Akbar, M.B., French, J. and Lawson, A., 2019. Critical review on social marketing planning
approaches. Social Business, 9(4), pp.361-393.
Allan, D., 2020. Integrating Audio Branding into the Marketing Curriculum: A Model.
Asqarova, A.M., and et. al., 2021. Theories Of Marketing Strategies To Increase The
Competitiveness Of Light Industry Enterprises. The American Journal of Management
and Economics Innovations, 3(01), pp.40-42.
Berkowitz, E.N., 2021. Essentials of health care marketing. Jones & Bartlett Learning.
DeLong, D.F., 2021. TEAM ROLE CLARIFICATION: IMPROVING STUDENT GROUP
PERFORMANCE IN PRINCIPLES OF MARKETING.
Dimitrakaki, I., 2019. THE TOURIST MARKETING AND ANALYSIS OF TOURIST
SATISFACTION. Management & Marketing Journal, 17(2).
Hajjat, F.M., 2021. Using marketing for good: An experiential project on cause-related
marketing in a principles course. Journal of Education for Business, 96(7), pp.461-467.
McDermott, M. and et. al., 2021. IMPROVING MASTERY OF PRINCIPLES OF
MARKETING CONCEPTS THROUGH INTERDISCIPLINARY LEARNING AND
INTEGRATED BUSINESS PROJECTS. Marketing Education Review, pp.1-7.
Room, O.S., 2019. Principles of Marketing.
Online
Cadbury eats up market share. 2017. [Online]. Available through:
<https://www.thebusinessdesk.com/westmidlands/news/2017164-cadbury-eats-market-
share-repositioning-brand>.
Lindt: growing faster than the overall chocolate market. 2020. [Online]. Available through:
<https://www.bakenet.eu/lindt-growing-faster-than-the-overall-chocolate-market/>.
Lindt SWOT Analysis, Competitors & USP. 2019. [Online]. Available through:
<https://www.mbaskool.com/brandguide/food-and-beverages/773-lindt.html>.
Marketing Mix of Cadbury | 4Ps of Marketing Mix of Cadbury. 2018. [Online]. Available
through: <http://heartofcodes.com/marketing-mix-of-cadbury/>.
Marketing mix of Lindt. 2019. [Online]. Available through:
<https://www.marketing91.com/marketing-mix-of-lindt/>.
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