Marketing Strategies of Cadbury: A Comprehensive Analysis

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MARKETING ESSENTIALS
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Table of Contents
Introduction......................................................................................................................................3
LO 1.................................................................................................................................................4
LO2..................................................................................................................................................8
LO3................................................................................................................................................12
Conclusion.....................................................................................................................................18
Reference List................................................................................................................................19
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Introduction
The Marketing is a management process through which products flow to customers from
organization end. It aims in recognizing, predicting, and delivering the requirements to
customers with ultimate satisfaction. It is a interchange process between organization and
customers in the form of product and sum. In this way, a relationship is maintained which is
beneficial for organization and its associates. The process includes thorough research of market
place, products and its customer followed by the development of product, methods of
distribution strategies and sales is done.
This study focussed on marketing strategies of CADBURY and how it is related to the other units
of organization such as technical, research and development, finance, commercial, human
resource .This business unit also highlights marketing plan, responsibilities and how marketing
mix works to attain the goals of the organization. It also compares the marketing plans and mix
from other organization. It explains how a company develops its own campaign and advertising
technique to reach secured and limited target. CADBURY explains that as a renowned brand in
confectionary field how it holds its own place in market. With time, they produce their product
along with marketing concepts to be the leading manufacturing confectionary brands all over the
world (Ghazali et al., 2019).
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LO 1
P1 Responsibilities and Roles of Marketing
The Marketing department is one of the special departments of any organization. It aims in
successful understanding of marketing environment, customers, maintaining proper relation,
successful implementation of strategy and providing quality product to customers. Customer
relationship plays a major role so the business unit has realised innovations of products and plans
are required on certain period basis. More marketing strategy helps in multiplying customer base
along with profit or successful implementation of business, every company follows certain
functions and strategies in a secure way. Marketing functions include following functions:
 Market Research
 Promotion
 Pricing
 Distribution
Market research: One of the major steps of marketing for promoting business or products is
market research. This helps in acquiring information from every market place and thus
forwarding it to the marketing people. It is done by applying various processes like survey,
recording previous data, field study and providing questionnaire online for interviewing and
acquiring data. Based on the data a proposal for forming business strategy is made. It also helps
to know the position of the company in market place along with the size of market, customer
satisfaction and their demands. Before launching any strategy or product these background
verification of data and queries is utmost important for successful launching of marketing
product or policy (Armstrong et al., 2015).
Promotion: Without promotion, it is not possible to make marketing a grand success in market.
Promotion has to be done as attractive as possible to achieve targets. It could be done through
various ways like advertisement, posters, banners, distribution of leaflets, company authorised
stalls. In this 21st century, promotion is the ultimate concept of introducing a new product to
customer with the help of market place. Through promotion seller tries to convince customers to
buy that product. Promotion helps to aware people regarding service, company, and pricing.
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Pricing: Pricing plays an important role in marketing strategy of a particular product. Its needs
lot of study and concentration before finalising a particular price for a particular product. The
price must be fixed according to the demand and interest of customers. This is done through
proper study and researches by the selling department of an organization. Every company selects
its own pricing strategy. It could be skimming price, cost price or Maximum Retail price. Before
finalising any strategy, it is very essential to consider each ground reality related to marketing.
Distribution: : The final steps before a product reaches customer is distribution through
transportation .This is a vital step as it ensures the delivery of right product at right place with
absolute accuracy. Every company has its own retailer and distributor. Distributors and retailers
plays very important role in marketing. They are the backbone of business strategy of any
company. The feedback and customer related issues also come back to them before reaching
manufacturers (Abdul Rahim et al., 2017)
P2 Explain the responsibility and roles of marketing relating to wide organisational
context.
It defines as a craft of selling product to customers in an attractive and elegant way. Marketing
holds a huge responsibility for the growth of a business organization in terms of customer base
and popularity along with profit. For creating a brand and fame in market environment, each
company is focussed much more on marketing and other department, which is functionally
associated with that organization. The division of CADBURY company’s products depends on
various measures commonly known as psychographic, demographics and behavioural factors,
which depends on geographical conditions, income and age group. As a renowned company in
confectionery manufacturing field it gives more importance on packaging, brand ambassador for
promoting their products, pricing of particular components. Due to its marketing strategy, quality
and business policy they are unique from many product from customer point of view. They are
also focused in innovating products and launching new products to hold place in market
The coordination of each department in Cadbury is so well balanced which make them different
from others. Marketing department works in a synchronised way with all other department in
order to achieve a higher outcome. It is the reason behind their success and they are expanding
their brand in market place more smoothly and smartly. The marketing team and other
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departments are well organised and they are well coordinated to each other. (Resnick et al.,
2016).
Following ways through which marketing team coordinates with other department are discussed
below:
 Research and development department: This department is responsible for
providing new, quality and innovative product to its customers. Through this
approach, the business organization can easily get to know the condition and
preferences of any specific market. Still the company can choose any marketing
strategy if they find it necessary and effective. They are responsible to segment and
target the existing market through proper strategy. It is not possible to sell,
manufacture new product without the authorization of research and development
department.
 Finance department: The function of finance department is to allocate funds to
marketing department for any type of expenditure related to marketing. They are also
responsible to handle budget, fixing price strategy after confirming the production
requirement. In order to fix a price they consult marketing department team, as
finance department manages is responsible for purchasing of raw materials in
required quantity for manufacturing of products. This is done under strict supervision
of account managers. They are the sole unit to allocate funds to any department in a
business unit (Woods et al., 2016).
 Production department: Each company has a production unit to manufacture
finished and final products from raw materials. They should have coordination with
both marketing and finance department as marketing unit is the only body to confirm
quantity of that required product. Every production unit runs for a certain time. it
could be long time production or short time production and responsible to decide the
shut down and beginning of production (Beverland et al., 2016).
 Selling department: Selling department is related and interlinked with marketing
department in many ways. Selling departments depends upon marketing department
to construct strategy for selling once marketing department delivers plans and
proposals to them. This is the only department in a business unit who is responsible
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for acquiring and generating sales through retailer selling, wholesale selling, direct
selling or door to door selling
 Promotion department: Every product and plans needs promotion to stand different
amongst other. Promotion department with the help of advertisement, leaflets,
banners, campaign or through social media does this concept. Promotion is very
essential from selling and customer point of view. Through this a customer is
accustomed with the products and gets to know the inside and outside features of the
product. As a result, business unit is generating more revenues and selling of more
and more products. Marketing teams also plays a important role here by delivering
brief so that promotion department can follow the basics and objectives.
 Human resource department: This department is responsible for recruiting
manpower of the organisation to carry out functions of each and every department.
They hire staffs through proper selection method based on their eligibility,
educational qualification, and skills. They mainly focus on finding right candidate for
the right job, they also evaluate whether the candidate is eligible or suitable for that
particular position or not. Human resource department along with HR manager is also
responsible to provide proper knowledge based training to newly appointed
candidates so that candidates is accustomed with the working and idea of that
organization. Human resource team is also responsible for selecting right candidate in
marketing department also to make marketing team more powerful and strategically
sounded. (McDonald et al., 2016).
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LO2
P3 Explain the ways of marketing mix of different organisation to achieve business
objectives through market planning process.
The growth and success of the organisation affects the elements of marketing. The concept of
marketing mix is a base type, which gives the essential service to the company. A business is a
mixture of strategies of marketing and its process by which a company runs with a profit. So one
this strategy is name as Marketing Mix. It has four parameters such as place, price, product and
process. With the changing process of business nature, it extends to three more parameters that
are physical environment, people and promotion. This all type parameters together summed up to
call 7P’s. This P is denoted that what a marketer offering a customers. Is it a good deal or not?
The marketing strategies depend upon the promotion, price, product launch and physical
evidences, which are most important things, need to look after the market. The distribution
strategy is mostly through the online medium. Direct sale force that directly sold to the buyers
through the company website by a distributor or partner. The concept of market placing refers to
a physical address, that accounts the broad range of distributors and distribution channel, which
targets a customer to buy (Kotler et al., 2015). The correct marketing mix is rectifying through
the plans and dramatic changes to expand the company goals. Marketing mix of each variable
must linked with each other elements in the program of marketing that impact decisions by
targeting consumers. The features and ingredients are highlighting through the products, which
are listed while manufacturing. The centre idea of the marketing strategy is to targeting a
customer. These are used for service in marketing. 7P’s are followed widely due to the critical
logic in the marketing environment.
There are some merits using marketing mix that it simplifies different concepts of marketing into
one solution for manage. According to resources and market conditions, and customer needs a
company’s marketing plan varies in terms of activities. It allows separation of marketing strategy
from other companies and marketing tasks delegation to specialists. Coming about the demerits,
it is oriented internally and considers the clients behaviour as passive and interactions are not
allowed which cannot cope the relationships. The products are single indicated. It provides an
opportunity to cost benefit analysis. It allocates the responsibilities and facilitates communication
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process. The resources depend on the nature of marketing mix that not only helps to grown
customer satisfaction but also put profit to the firm. It has really depicted the individuals and
group responsibilities because meeting any perfect mix a good deal of practise are depends on
the logic and findings. The sellers sell the products or brands, which are interconnected in the
mind of consumer. It does not build any relationships with the customers that is the major
drawback and does not take count of the unique elements of marketing services. The ability to
understand the marketing mix by the marketers to change in social media communications and
update the selling places which a marketer can sell products in constant change of commercial
environment (Jain et al., 2017).
The marketing mix planning process of CADBURY and NESTLE.
Contents CADBURY NESTLE
Products
Cadbury is the company with wide
range of products and tend to use
market development. The current
product Brunchbar which they have
introduced in the market other than
Oreo biscuits, Gems and Diary milk
Nestle is the company with wide range
of products. Many essential and
demanding products are Maggie,
Munch, Kitkat, Heath drinks, Nescafe
coffee etc (Dent, 2016).
Place
Cadbury mostly distribute their
products on urban areas like
Category A, B like cities.
Cadbury products are quite high
demanding and the time of festival
and occasions the product sale
increases. (Abdul et al., 2017).
Thought it has a wide range of products
than CADBURY, their distribution
strategy is different as they follow
FMCG marketing strategy (Commander,
2018).
Cadbury follows cost plus strategy
of pricing in which they sell their
products in the market as a
visualizing theme. Their chocolate
Nestle follow the skimming strategy of
pricing for their products. Their some
products are higher pricing such as
Maggie and Coffee because of their
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Price products are very essential. Their
pricing are sometimes higher but
reasonable most of the time.
quality and popularity.
Promotion
The promotional strategies for
Cadbury products are different in
forms. The chocolate of different
designs looks attractive. It prefers
Push and Pull strategies for sales
promotion through the distribution
channels. They often offer coupon
discounts, contests and sweepstakes
to sell their products (Sharland et
al., 2019).
Nestle promotion plans are through the
tunes of Nescafe by which peoples are
attracted very much and get satisfied a
lot (Yoo et al., 2014). It is one of the
best campaigning systems, which helps
them a lot.
People
Cadbury mainly targets young
generations mostly because of most
of the products are preferred by
them especially chocolates. They
create hype among them.
Nestle products are famous for the
young and old generations. They
provide coffees, which are most popular
in both the eras. The chocolates though
are in line category in this company
Physical
Evidence Cadbury products are mostly
available in shops, supermalls,
airports, groceries etc. Its existence
is in almost everywhere (Kerzner et
al., 2019).
Lid stone and MacLennan in 2017 are
Coffee machines which are being setup
in almost all organisations and this way
they shows a part of physical existence
Process
Cadbury products are highly
available, liked by the peoples for
their taste, and designs which
processes more outcomes of
products and incoming profits
Nestle always try to give the optimum
quality products through their
distribution systems.
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(Sherland et al., 2016).
Table 1: Marketing mix comparison of two companies
Source: (Bharucha et al., 2016)
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LO3
P4 Explain the basic marketing plan for an organisation
Summary: British industry’s one of the biggest icon is Cadbury since 1824. Cadbury company
expands its business through worldwide. Over 60 countries, it is operating its business and has an
outstanding portfolio on chocolates, candy and gums. It expands through both acquisition and
organic growth. About 10.5% of market share in global with revenue of 5.4 billion dollars
according to Forbes. The company have about 50000 employees and 30000 direct and indirect
global suppliers. Every day it gives the pleasure to the millions of people around the world by
selling unique brands (Patassini et al., 2017).
Vision: The vision plan of the company is to be the world biggest confectionery company by
delivering superior return shareowner. Its aim is to expand its customer base and trade in the
market. Cadbury’s values are” Performance, quality, integrity, respect, and responsibility to
economic and social environment and commits to high standard of ethics and conduct of
business.
Objectives:
 To increase the need of customers and making maximum profit out of it
 To grow profit share about 20% at the end of the year
SWOT: Cadbury
 Cadbury is the top most chocolate provider in the world and has international reputation
 Cadbury is an easy identifiable brand and well known by world.
 Consumers are ensured of its premium quality
 It is well known about the distribution and market-planning strategies for which is the
reason that is the number one in chocolate industry.
 Cadbury is an innovation leader and has strong marketing competencies.
 Cadbury has an advantage of understanding between the customers in sector of
chocolates, chewing gum and candy’s.
 It has a global rate of about 9.9% in the global market.
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