HND Business Unit 2: Cadbury's Marketing Essentials Report

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This report analyzes Cadbury's marketing strategies, processes, and their interrelation with other departments. It begins by defining the role of marketing as a function and department, highlighting its evolution from sales and promotion to customer satisfaction and relationship management. The report then examines Cadbury's marketing department structure, including the roles of the Chief Marketing Manager, Marketing Manager, and Social Media Manager. The core of the report delves into the marketing process, including situational analysis, target audience identification, segmentation, and the application of the 7Ps marketing mix. It also addresses implementation challenges and the use of the McKenzie's 7S framework. Furthermore, the report explores the influence of the marketing function on other departments, particularly production, finance, and human resources. The conclusion emphasizes the importance of product diversification, alignment of marketing objectives with organizational vision, and the use of accurate information in strategic analyses like PESTLE and SWOT.
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Marketing Essentials
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TABLE OF CONTENTS
INTRODUCTION......................................................................................................................3
TASK 1......................................................................................................................................3
1 Role of marketing as function and department....................................................................3
2. Marketing department Structure of Cadbury......................................................................4
3. Marketing process and importance of marketing environment..........................................5
4. Marketing function influence and interrelation with other departments............................6
CONCLUSION..........................................................................................................................7
REFERENCES...........................................................................................................................8
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INTRODUCTION
Marketing plays a circuital role in increase the sale and growth of organisation. Main
objective of marketing efforts is now changed from selling and promotion to customer
satisfaction. They are now mainly emphasizing on increasing satisfaction level of customers
and maintain good relations with them. This study describes the marketing effort, process and
strategies of Cadbury. Study also shows SMART objective set by Cadbury which contribute
to its huge success. Cad bury is multinational confectionery established in 1824, with having
71,657+ employee across the world.
TASK 1
1 Role of marketing as function and department
Marketing department is not only popular for making its sales and promotion effort, but the
role and function of marketing department has been changed with time. Now marketing
department not only deals with selling the product, but it does some proactive efforts like
market research, customer need and preference recognisance. Cadbury’s marketing
department get success in building emotional attachment with its customer by its marketing
efforts which gives it higher brand loyalty and customer retention (Schindehutte. and
Kuratko, 2015). The marketing function plays various roles in a business which are defined
below:
Information provider-
Cadbury's marketing department provide information to its production department
about customer's quality, taste and health preference in chocolate and innovation in
packaging so that it can give higher satisfaction and competitor advantage to organisation.
Finance department arrange and allot the budget on the basis of marketing department report.
Researcher-
In researcher role Cadbury’s marketing team seek to get customer's preference.
Research department conduct online survey, direct communication with customers to know
about their expectations. Marketing team maintain and analyse the sale data for each product
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in charts and statistical table. These data further used by higher authority in making decision
regarding product and service (Kono, 2015).
Acquire marketing promotion material- marketing department is responsible to make
Brochures for advertisement. for instance, Cadbury's marketing team now use E- brochure for
their new product launch. Marketing department set the sales target, receive customer
feedback and manage website and newsletters. Marketing team insure that advertisement and
promotional video get success in grab the attention of customer.
2. Marketing department Structure of Cadbury
Marketing department has been changed with time. Marketing department is responsible to
generate cash inflow and increase the profitability of Cadbury by its marketing efforts.
Cadbury's marketing department help company to achievement the brand image it has today.
Chief marketing manager-
Chief marketing officer comes direct under chief executive offer of Cadbury. CMO is
responsible to make strategic marketing plan. He decides the product pricing according to
customer segmentation like low price dairy milk chocolate for student and high price
Bourneville luxury for chocolate lovers. He insures the supply of Cadbury product in every
country with making contact with manufacturer, whole seller and super markets . CMO is
responsible to implement innovative marketing idea like discount price strategy , Internet
marketing effort, and other promotional strategy to attract the customers. He must have deep
customer behaviour understanding and team management skill because he has to give
motivation to sale manager for achieve the target. Ultimate aim of CMO is to increase sale
for Cadbury.( Olson, Slater. and Hult, 2005)
Marketing manager-
Marketing manager is responsible to implement the marketing strategy decide by
CMO. Marketing manager of Cadbury make weekly and monthly target for different product
offered by company and manages the sale team by assign them duties and responsibilities.
Any customer complaint regarding product and service is directly entertained by marketing
manager. Marketing manager give report to customer behaviour and demand of the customer
to its higher authority. for instance diversification decision in candy and health drink are
suggested by marketing manager after receive the information by his sale team about
competitor policy.
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Social media manager-
social media manager of Cadbury responsible to promotion though Internet social
media. For instance if a customer search for Cadbury bourville once, he will get frequent pop
for all products. Cadbury social media manager reads the review given by customer and give
answer to them. He uses his understanding for advertising on internet. for instance: candies
and chocolate frequently display on websites related to institutions and high price chocolate
gift pack are advertise on online shopping sites.( Chhabra. and Kiran, 2015).
3. Marketing process and importance of marketing environment
Marketing process- marketing process comprises of efforts to achieve ultimate goal of any
organisation which is “increase the customer satisfaction”. In marketing process Cadbury try
to identify the opportunity and accordingly it adopt marketing strategy, it also take corrective
action for marketing plan. Marketing process of Cadbury is given below-
Cadbury’s is committed to establish itself as best confectionery company in the
industry. It uses vision into action plan (VIA) which help Cadbury to implement it
vision into reality by action. These actions comprises making more innovative efforts,
use Cadbury’s market position and strength for further growth..
Situational analysis conduct by Cadbury to know external and internal factor that can
affect its product so that it make marketing plan accordingly. Cadbury use PESTLE
analysis for external environment and porter’s five force for competition audit. For
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instance Cadbury chocolate and candy affect by health awareness which force
Cadbury to launch sugar free products, product packaging become more
environmental friendly. Cadbury has high threat from new entrance, rivalry and threat
of substitute.( Chhabra. and Kiran, 2015)
Cadbury’s target audience is children, youngsters and medium income level group.
Cadbury also research about taste preference and eating habit of customer.
It offer chocolate with egg cream and eggless cream as per customer choice.
psychographic segment of Cadbury so based upon customer impact of lifestyle,
attitude in selection of confectionery products.
Cadbury’s marketing mix comprises with traditional 7 p’s. Cadbury use no artificial
colour in its product, and use its original rich creamy texture for audience. it use
differentiated pricing policy to set prices for different products. Cadbury places its
product according to product image among customer, promotion strategies are
chooses based upon target customer education and access to media like internet, TV,
radio etc.( Morgan. And.et.al, 2018).
Cadbury ‘s has some issue in implementation of marketing plan like lack of
information about product ingredients provide to customer, economic condition of
UK, opposition from health awareness groups etc.
Cadbury use McKenzie’s 7S frame to measure effectiveness of its marketing plan.
4. Marketing function influence and interrelation with other departments.
Marketing function of Cadbury include product designing, opt suitable distribution
channel for its confectionery products, customer behaviour research, demand forecast for
different product like candy and snakes for differ occasions and customer segment, selling
and promotion activities, customer satisfaction efforts etc.
Production and Marketing department:
Marketing function gather information about demand of chocolate, candies on different
season and festival and convey it to production department which helps them in maintaining
its inventory accordingly. Production department makes value addition on the basis of
customer preferences research done by marketing team like sugar free candies, chocolate
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made of organic ingredients etc. Logistic and warehousing practices for different product also
suggested by marketing team .
Finance and Marketing department:
Finance department and marketing department both depend on each other for instance
marketing team gives idea to finance department about expenses on marketing, demand and
alteration in product so that budget allotment can be done efficiently. Finance department set
standard in form of profitability ratio, return on expense made, maintain marketing reports,
and result by which marketing department can evaluate its performance. Cadburys marketing
department help finance department to set different price of the product based upon product
brand image in market and income of customer for instance Cadbury use skimming pricing
for high income level, cost plus pricing, positioning, demand based pricing. Finance
department control and suggest expense on advertisement and promotion which help market
team to do efficient use of its allotted budget. Finance department do cost analyse and
feasibility analysis of the product. (Hempelmann. and Engelen, 2015).
Human resource and Marketing department:
Human resources department help Cadbury's marketing function by giving training and
development programme aligned with marketing function requirement for instance, H.R hire
personnel who have nice soft communication skill, market analysing skill and customer
handling skill for marketing department. HR department is responsible to value addition in
human capital. Cadbury’s marketing function provide information to HR about job skill,
experience, qualification and behavioural requirement while doing recruitment and selection
which eventually help in less HR research for candidate skill requirement.
CONCLUSION
From the above study it has been concluded that an organisation must not depend on one
product for its success. Product diversification always must be there because it reduces the
overall risk of organisation. Marketing Objective always align with vision and mission of
organisation. PESTLE and SWOT must be based on true information, otherwise it leads to
major fault in whole marketing process.
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REFERENCES
Books and journals
Chelladurai, P. and Kerwin, S., 2017. Human resource management in sport and recreation.
Human Kinetics.
Chhabra, S. and Kiran, R., 2015. An Empirical Analysis of Total Factor Productivity in Food
and Beverage Sector. Productivity. 56(2).
Godey, B. and et.al., 2016. Social media marketing efforts of luxury brands: Influence on
brand equity and consumer behavior. Journal of business research. 69(12). pp.5833-
5841.
Godey, B. and.et.al., 2016. Social media marketing efforts of luxury brands: Influence on
brand equity and consumer behavior. Journal of business research.69(12).pp.5833-
5841.
Habibi, M. R., Laroche, M. and Richard, M. O., 2016. Testing an extended model of
consumer behavior in the context of social media-based brand communities.
Computers in Human Behavior.62. pp.292-302.
Hempelmann, F. and Engelen, A., 2015. Integration of finance with marketing and R & D in
new product development: The role of project stage. Journal of Product Innovation
Management.32(4). pp.636-654.
Iqbal, A., 2015. Understanding global product launch process: Stages, standardization and
influencing factors.
Khan, M. T., 2014. The concept of'marketing mix'and its elements (a conceptual review
paper). International journal of information, business and management.6(2). p.95.
Kono, K., 2015. The Changing Role of Marketing Function at Business Unit Level within
Manufacturing Companies. In Assessing the Different Roles of Marketing Theory and
Practice in the Jaws of Economic Uncertainty (pp. 7-12). Springer, Cham.
Morgan, N. A. And.et.al., 2018. Research in marketing strategy. Journal of the Academy of
Marketing Science. pp.1-26.
Olson, E. M., Slater, S. F. and Hult, G.T.M., 2005. The performance implications of fit
among business strategy, marketing organization structure, and strategic behavior.
Journal of marketing. 69(3). pp.49-65.
Schindehutte, M. and Kuratko, D. F., 2015. The Role of Marketing in Initiating
Entrepreneurial Activity in Established Companies. In Proceedings of the 2000
Academy of Marketing Science (AMS) Annual Conference (pp. 291-295). Springer,
Cham
Schlegelmilch, B. B., 2016. Segmenting Targeting and Positioning in Global Markets. In
Global Marketing Strategy (pp. 63-82). Springer, Cham.
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Shabanova, L. B. and et.al., 2015. PEST-Analysis and SWOT-Analysis as the most important
tools to strengthen the competitive advantages of commercial enterprises.
Mediterranean Journal of Social Sciences.6(3). p.705.
Solomon, M. R. and et.al., 2014. Consumer behavior: Buying, having, and being (Vol. 10).
London: Pearson.
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