Marketing Report: Cadbury's Key Strategies and Marketing Plan Analysis

This report provides a comprehensive analysis of Cadbury's marketing strategies. It begins with an introduction to marketing and its importance, followed by a discussion of Cadbury's key marketing functions and their interrelation with other departments. The report then delves into a comparison of the marketing mix of Cadbury and Nestle, highlighting the product, price, place, promotion, process, people, and physical evidence strategies of each company. Furthermore, the report includes a detailed marketing plan for Cadbury, focusing on the launch of a gluten-free chocolate product. The plan covers company overview, vision, mission, strategic objectives, STP (Segmentation, Targeting, Positioning), marketing mix (product, price, place, promotion, people, process), marketing budget, and monitoring & evaluation. The report concludes by emphasizing the crucial role of marketing in brand image and sales growth, and the necessity of collaboration with other departments. The report also includes references to relevant books and journals.

Marketing

Table of Contents
INTRODUCTION...........................................................................................................................1
PART 1 ...........................................................................................................................................1
Covered in ppt........................................................................................................................1
PART 2............................................................................................................................................1
TASK 2............................................................................................................................................1
P3. Comparison between the marketing mix of two organisations........................................1
TASK 4............................................................................................................................................3
P4. Produce and evaluate a basic marketing plan...................................................................3
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
Marketing refers to the process of identifying the target market, promoting the brand or
product and then influencing customers to purchase company's product or services. Marketing
help a company in maintaining a healthy relation with its customers by interacting them through
several promotional activities (Jobber and Ellis-Chadwick, 2012). Cadbury is a British
multinational confectionery company which is headquartered in West London. It deals in
chocolates, deserts, biscuits and milk additives. This report involves a detail description about
the Key roles and responsibilities of marketing function and their interrelation with other
departments. Further it contains a comparison between the marketing mix of two organisation
and a marketing plan of Cadbury.
PART 1
Covered in ppt
PART 2
TASK 2
P3. Comparison between the marketing mix of two organisations
Marketing mix can be defined as set of tactics that an organisation uses in order to
promote its product as well as brand within marketplace (Huang and Sarigöllü, 2014). This
support in increasing the brand awareness among target customers. This will help in increasing
the volume of sales. Following table includes the comparison of two companies on the basis of
their marketing mix:
Bases of comparison Cadbury Nestle
Product Cadbury is a confectionery company
which offer variety of product in
food & beverages. It includes
deserts, chocolate bars, biscuits,
candies, milk additives etc.
Nestle is one of the strongest
FMCG company which offer
variety of product in food &
beverages. It includes Coffee,
flavoured milk, prepare dishes,
cooking aids and chocolates.
Price The price decide by Cadbury on the The prices of its product like
1

basis of their products categories
(Akroush, 2011). The product like
Oreo biscuits, Temptation
chocolates etc. are being offered at
premium price. On the other side
items like Eclaire, Perk, Five star,
Bournvita etc. are offered at
reasonable price.
coffee, flavoured milk is
premium. But apart from this for
its other products like noodles,
cooking aids and chocolate it
uses competitive pricing strategy.
Place Cadbury offer its product in approx
200 countries around the world.
This is just because of its effective
supply chain management system
which ensures that Cadbury's
product are available to both rural as
well as urban areas.
Nestle is most demanding in
European countries and has its
majority of sales from there. It
offer products using breaking in
bulk strategy where products are
kept in warehouses after being
produced in factory and then bulk
are break down into small lots for
its sale.
Promotion Cadbury uses a wide range of
promotional channels in order to
attract its customers and promoting
products in marketplace (Enache,
2011). It includes TV commercials,
posters, social media, newspaper,
magazine etc.
Nestle uses various promotional
medium for promoting its brand
or product such as TV
advertisements, Newspaper,
Social media sites etc. It also
uses Nescafe tune as its
promotional strategy for
maintaining a connection with its
customers.
Process Its process starts from production of
its product in chocolate factory in
Bourneville in Birmingham and
then these products are undergone
The process followed by Nestle
is quite similar with Cadbury as
its products are being
manufactured and transferred to
2

for quality check. After which it is
transferred to stockrooms from their
these products are then delivered to
wholesalers, then retailers for
selling them to customers.
C&F agents, then transfer it to
the distributors and retailers or
its Cafe Coffee Day stores. After
that process is start about
distribution of goods to final
customers.
People Cadbury manage a high skilled and
competent workforces and it provide
them training for using the
machineries effectively so that the
taste will remain same for each lot
of chocolates (Akroush, 2011).
Nestle provide training to its staff
regarding the way which is
needed to be adopted to
communicate with customers and
provide them better services
within their cafe stores.
Physical evidence Cadbury generally provide posters
of their products to retail store
managers for applying them over
their walls to attract the customers
toward it. In addition to this,
company also pay them for
displaying their product in front of
their stores to catch up the eyes of
customers.
In its coffee stores the uniform of
employees, theme colour of
walls, logo hanging over roofs
and sitting arrangements all are
the elements which act as a
physical evidence support in
providing a better environment to
its employees.
TASK 3
P4. Produce and evaluate a basic marketing plan
It refers to a written formal document that outlines the marketing strategy and tactics
along with actions that are required to perform for accomplishing the specific marketing
objective (Westwood, 2013). Marketing plan of Cadbury is given as under:
Company overview: Cadbury is a second largest British multinational confectionery
company which is headquartered in West London and operates its business in more then 200
Countries around the world (Cadbury, 2018). This offer different product categories such as
3

chocolate bars, biscuits, milk additives, candies and many more. But with the increasing
competition and consumer's awareness toward health conscious product which leads to decrease
in chocolate consumption. As a result of which Cadbury has decided to launch a Gluten free
chocolate for health conscious people.
Vision & Mission: The vision of Cadbury is to work together for creating a brand which
people love. Its mission is to provide high quality product by continuously making improvement
over existing one.
Strategic Objective: The main objective of Cadbury is to become number one choice of
customers within the marketplace. But in order to achieve this aim Cadbury is required to adopt
SMART objective which is specific, measurable, attainable, reliable and time bound. So, the
SMART objective of Cadbury for Gluten free chocolate is to achieve 8% profit in UK market by
increasing 15% of market share within 6 months after launching of product.
STP :- This process consists of three major approaches which support company in
aligning their products as well as promotional activities on customers who are willing to use
those product or services (Telang and Deshpande, 2016). Segmentation:- It refers to the process of dividing the whole market into small groups as
per the homogeneity in terms of their need, preferences and spending behaviour which
customers share. Cadbury segments its market on demographical(age) and behavioural
bases(health conscious). Targeting:- It refers to the process of selecting the most profitable group of customers for
targeting them with their product and required promotional activities. Cadbury's target
market is health conscious and millennial people who generally focuses on purchasing
healthy products.
 Positioning:- This step includes set of marketing strategies that are being used by
company in order to set a locus of its product in the mind of targetted customer in more
valuable form. In order to launch its product, Cadbury position itself in a form that
“chocolate is a healthier choice”.
Marketing mix: Cadbury is planning to launch its new Gluten free chocolate for health
conscious people and in order to position it appropriately. In this regard, company is required to
formulate strategy using elements of marketing mix which are as explained below:
4

 Product:- With the increasing trend of healthy food, Cadbury decided to launch a Gluten
free chocolate for fulfilling the demand of health conscious people and maintaining its
market share. Price:- Cadbury has decided to keep the prices for its new Gluten free chocolate low so
that it can be affordable to people and will be able to capture market share i.e. market
penetration pricing strategy. Place:- This Gluten free chocolate will be available to all the stores through which other
chocolates of Cadbury are being sale (Chernev, 2015). Promotion:- For promoting this chocolate, Cadbury has decided to promote it through
TV commercials, Billboards, Pop up ads, Social media sites and by placing posters in
front of Gym or fitness clubs. People:- Cadbury will provide training to its employees regarding the process they
required to follow for achieving a desired taste in their product. Apart from this it will
also provide incentives over exceeding the sales of new chocolates. Physical evidence:- Stores which are going to offer these chocolates will be provided
with posters to apply over their stores which present the health benefit provided by these
Gluten free chocolates (Westwood, 2013).
 Process:- The process will remains same where chocolates are produced at factory and
then sent for quality standard check. After which produced chocolates are kept at stores
and from where they are transferred to retail store for selling them to customers.
Marketing budget:- It refers to the presentation of estimated amount of cost which a
company required for performing its promotional activities for promoting its product or services
in marketplace (Pike, 2015). Following table depict about the marketing budget of Cadbury:
PARTICULARS First Year Second Year Third Year
Fourth
Year Fifth Year
Opening capital 2000 0 1200 1700
START-UP CAPITAL 6000
INVESTMENT 10000 10000 10000 10000 10000
TOTAL 16000 12000 10000 10000 10000
MARKETING
5

OUTLAY:
MARKETING 7000 5000 3600 3200 2800
PUBLICITY 7000 7000 5200 5100 4800
TOTAL 14000 12000 8800 8300 7600
Closing capital 2000 0 1200 1700 2400
From the above given budget plan, it can be depict that Cadbury required to invest
10000£ and 6000£ start up capital in first year. Apart from this it required around 7000£ for
marketing and 7000£ for publicity of its new Gluten free chocolate. Overall, it has been gained
the information from the above budget that Cadbury is able to sustain in market with new Gluten
free chocolate as in fifth year the amount of capital which will be remaining is around £2400.
Monitoring & evaluating:- Under this step, Cadbury focuses on evaluating the outcome
of efforts that are being made in first year and then compare it with the planned outcome. This
will support in identifying the deviation between the performance and reasons behind them so
that effective decisions can be taken for improvement.
CONCLUSION
From the above given report it can be summarised that marketing plays an essential role
in increasing the brand image and sales of a company. Marketing involve set of promotional
activities like advertisement, social media marketing, hosting events etc. which is generally
focused toward integrating with target market and informing them about its product or services.
But marketing function can't be perform in isolation it is required to communicate and coordinate
with other functional units such as HR, IT, R&D, finance etc. for achieving desired outcome.
Apart from this marketing mix also support in developing effective strategy for attracting
customers and maintaining healthy relationship with them. But in addition to this marketing plan
also plays an essential role within the operation performed by a company as it is a blueprint
which provide guidelines regarding the actions to be performed for accomplishing the set targets.
6

REFERENCES
Books & Journals
Akroush, M.N., 2011. The 7Ps Classification of the Services Marketing Mix Revisited: An
Empirical Assessment of their Generalisability, Applicability and Effect on
Performance Evidence from Jordan’s Services Organisations. Jordan Journal of
Business Administration. 153(3141). pp.1-32.
Armstrong, G. and et. al., 2015. Marketing: an introduction.
Chen, Y., Fay, S. and Wang, Q., 2011. The role of marketing in social media: How online
consumer reviews evolve. Journal of Interactive Marketing. 25(2). pp.85-94.
Chernev, A., 2015. The marketing plan handbook. Cerebellum Press.
Enache, I. C., 2011. Marketing higher education using the 7 Ps framework. Bulletin of the
Transilvania University of Brasov. Economic Sciences. Series V. 4(1). p.23.
Huang, R. and Sarigöllü, E., 2014. How brand awareness relates to market outcome, brand
equity, and the marketing mix. In Fashion Branding and Consumer Behaviors (pp. 113-
132). Springer, New York, NY.
Jobber, D. and Ellis-Chadwick, F., 2012. Principles and practice of marketing (No. 7th).
McGraw-Hill Higher Education.
Le Meunier-FitzHugh, K. and Lane, N., 2013. Collaboration between sales and marketing,
market orientation and business performance in business-to-business organisations. In
Strategic Sales and Strategic Marketing (pp. 109-124). Routledge.
Martin, I. M. and et. al., 2013. On the road to addiction: The facilitative and preventive roles of
marketing cues. Journal of Business Research. 66(8). pp.1219-1226.
Raffelt, U., Schmitt, B. and Meyer, A., 2013. Marketing function and form: How functionalist
and experiential architectures affect corporate brand personality. International Journal
of Research in Marketing. 30(3). pp.201-210.
Telang, A. and Deshpande, A., 2016. Keep calm and carry on: A crisis communication study of
Cadbury and McDonalds. Management & Marketing. 11(1). pp.371-379.
Venkatesh, V., Thong, J. Y. and Xu, X., 2012. Consumer acceptance and use of information
technology: extending the unified theory of acceptance and use of technology. MIS
quarterly, pp.157-178.
Vorhies, D. W., Orr, L. M. and Bush, V. D., 2011. Improving customer-focused marketing
capabilities and firm financial performance via marketing exploration and exploitation.
Journal of the Academy of Marketing Science. 39(5). pp.736-756.
Westwood, J., 2013. How to write a marketing plan. Kogan Page Publishers.
Online
Cadbury. 2018. [Online] Available through<https://www.cadbury.co.uk/>./
Upcoming Events. 2018. [Online] Available through<https://www.cadburyworld.co.uk/whats-
on/upcomingevents>./
7