Cadbury's Marketing Strategies: A Comprehensive Analysis

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Marketing essentials
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Table of Contents
Introduction:...............................................................................................................................3
Activity 1:...................................................................................................................................4
Activity 2:...................................................................................................................................8
Activity 3:.................................................................................................................................13
Conclusion................................................................................................................................18
Reference List..........................................................................................................................19
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Introduction:
The roles and the responsibilities of the marketing essentials are indispensible for the growth
and success of business across the world. The practice of the elements of the marketing and
boost the business radically as it helps them to promote their product to large set of
individuals encouraging their revenue generation program. The functions of marketing are of
massive significant for the business organization in the contemporary environment as it
enables them to build a strong reputation amongst their customer base and develops the
aspects of sustainability in the competitive environment (Lovelock and Patterson, 2015).
In this following article a comprehensive study on the marketing essentials has been carried
out and the leading chocolate manufacturer Cadbury, based in UK has been taken as an
example. The report is comprehended in to three different parts where the first part deals with
the studies of the roles, responsibilities of marketing along with it interrelation with other
departments. The second part showcases the application of the 7 P’s of marketing along with
a comparative analysis with other brands. In the final part of the report, a plan for marketing
have been showcased with efficacy.
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Activity 1:
LO1. Explain the role of marketing and how it interrelates with other functional units
of an organization
P1.Explain the key roles and responsibilities of the marketing function
The market for the developments of the business in the contemporary environment has great
competition. In the present day scenario of business advancements there are lots of
advantages as well as challenges for the business of the organization to develop to a in a large
scale. Every organization has been looking to gain competitive edge in the market with the
implementation of different methods of marketing in the scene. Abiding to the principle of
the marketing the business organizations are aided towards sustainability, which leads them
in achieving results from their business. The implementation and the execution of the
marketing elements by the business organization supplement the organization in gathering
knowledge about the specific requirements of the products of the customers in the current
market. This help the organization in adapting to the changes of the market and make
appropriate adjustments for the development of the products. The aspect of marketing is a
key element for the development of the products and subsequently for the organization as a
whole. It boost high level of engagements form the customers as a result of which, the
number of sales also gets increased. Greater amount of sales for Cadbury results in increased
revenue generation. The promotion and the effective endorsement of the products is the most
significant role of marketing (Blythe and Martin, 2019). Apart from that, there are important
roles and responsibilities of the elements of marketing which have been discussed below in
details.
Marketing Roles:
Demand Recognition: This is one of the most pivotal roles of the function of marketing
which facilitates the growth and the developments of the business to a greater extent. The
customers are the primary stakeholders for Cadbury and meeting their demands in accordance
depicts success of the organization. The need of the customers can keep on changing with
regularity and vary from one market to another. With the execution of the elements of
marketing in place the demands and the need orientation of their customers are duly
recognized (Hill, 2017). The R&D program of the business helps in the gathering the
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information about the needs which subsequently helps in the strategic planning of the
business in the near future.
Development of strategies: With the aid of the marketing elements the hierarchy of the
business of facilitated towards effective decision making for the boosting the process of the
business operations. Highest order of decision making capabilities are generated with the
practice of proper marketing in the organization which eventually helps in meeting the
business goals in time.
Continuous improvement and standardization: It is important for organization to adhere
to the idea of constant upgrading of the products with regularity to satisfy their customers.
This is one of the most important roles of marketing functions as the business of Cadbury is
enhanced for greater sustainability by the means of continuous up gradation. The feedback of
the consumers is accumulated by the marketing team to make adjustments and developments
on their products. This process of feedback enriches the communication with the
stakeholders. The maintenance of the quality standards of the products with the aid of
marketing helps in creating a strong image and reputation of the brand in the market which
attracts greater number of target audience.
Effective pricing: The pricing is another important role served by the marketing department
of the Cadbury. The suitable and the right amount of prices of the products of the brand are
set out by the marketing department after doing the market research of the target market
(Blythe and Martin, 2019). The economic stability of the target market is adhered and the
pricing of the products. The aspect of suitable pricing encourages the customers to purchase
the products on a large scale.
Promotion: This is the key and the most general role of the marketing function. This
function helps Cadbury to reach out to their customers and attract them towards their diverse
range of products. Various innovative and creative approaches are highly regarded by the
marketing team to carry out promotional campaigns of the brand and instigate the buying
behaviour of the customers. Various platforms for promotion are taken into the account t by
the marketing team of Cadbury for the endorsement of their products.
Marketing Responsibilities:
Steady Relationships: Effective and strong communicative establishments with the
customers helps in the developments of the brand as involvement of the customers are
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radically increased. The contact with the customers on a regular basis forges a strong
relationship with the brand and increases their loyalty towards the brand leading to higher
sales (Lovelock and Patterson, 2015).
Brand image: The strong campaigns and the continuous advertising of the products by the
virtue of effective marketing helps the organization in development of a strong brand image
within the current market. The character and the quality of their products also create a strong
reputation of Cadbury as a brand in the market.
Higher profit margins: Reaching out to more targeted audience helps the rise of the sales of
their products in the current market. The promotions through marketing strategies encourage
the engagement of the consumers in the products with eventually leads to increased turnover
for the brand.
P2.Explain how roles and responsibilities of marketing relate to the wider
organisational context
The values and the strengths of the business organization are escalated with the execution the
marketing elements in the contemporary business environment. The department of marketing
facilitates the growth of the organization by serving numerous functions. The business plans
developed with the help of the strategies elevate their operational program and thereby assist
the business for greater sales (Pride and Ferrell, 2016). The goals set of the business are
made by the marketing teams and by the virtue of functions they meet the goals within the
stipulated timeframe. The significant functions of the department are highlighted below:
Planning: One of the key functions of the department of marketing is to effective plan for the
future business propositions of the organization with the utmost regard. The diverse ranges
of activities related to the marketing activities are incorporated for meticulous market
panning including the production qualities and the promotional campaigns (Homburg et al.,
2017).
Product Distribution: In order to reach out to their customers the aspect of distribution of the
products is important. The loyal and the trustworthy channel of distribution are considered by
the marketing teams for the locomotion of the goods to different markets across the planet.
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Design and Development of Products: Marketing function helps in the development of the
aesthetic values of their manufactured products by means of which customers are started
towards the brand on large scale (Kenny and Dyson, 2016).
Exchange function: Another important function which is served by the marketing team is the
emphasizing on adequate developments of the products. The production of the organization
must be in line with the demands of the customers and is maintained by marketing function.
The process of purchase and sales are regarded as the functions of enhance of products.
The interrelation of marketing department of Cadbury with its other functional department
In order to boost the growth of the Cadbury the department of marketing has a significant
relationship with other departments which are of greater functionality within the organization.
The interrelation has been showcased in the following:
Department of Finance: The aid of money or capitals from the finance department is
mandatory of the marketing department to necessary to carry out its operation in a smoother
manner. The department of finance allocates monetary resources to the marketing team for
conduction advertisements and campaigns. Thus a healthy relationship is always on the cards
(Gagliardi, 2017).
Department of production: The marketing department holds a strong binding with the
production department of the organization. The information of the rise of the needs of the
customers are adhered by the management of the marketing team which is transferred to the
production team so that their demands can be fulfilled with ample amount of production of
the goods. The growth in the demand of particular products in the target market is also
conveyed to the production department. Obligation to the information from the marketing
department results in greater good of the organization.
Department of Human Resource: In order to drive their advertisements and the products
promotional campaigns the marketing department of Cadbury seeks individual with greater
skills and competency which are supplied by the human resource team (Krush et al., 2015).
Thus the marketing team has a strong relationship structure with HRM team within the
organizational structure.
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Activity 2:
LO2 Compare ways in which different organisations use elements of marketing mix
(7Ps) to achieve overall business objectives
While thriving in competitive business environment across the globe marketing mix is
considered as an important marketing insight. With the enforcement of this innovative
strategy, Companies all over the world are capable to cooperatively applying relevant
strategies for the alignment of their product, price, people, promotion, place, physical
existence and operational processes (Saxena, 2018). These are strategically incorporated by
companies to meet customer wants and desires. For making a comparison, there is the
necessity of two companies, which will provide a clear overview of the strategies that has
been adopted by both the concerned companies. The two companies that have been
considered are Cadbury and Nestle. Both the companies are sellers of chocolates and other
FMCG edibles product and are extremely operated in the United Kingdom. The strategies
that have been applied by the two companies has been analysed in the following section for
checking the efficiency level of their marketing strategies in a proper manner.
Elements of
marketing mix
Cadbury Nestle
Product The organisation is said to have a
wide product range, which is large
and projection of their organisational
deliverables through standard
products. The organisation is said to
produce not only unique chocolates
but there are other products as well
like desserts and beverages in their
product line for male, female,
children as well as old-aged people
(Sirajuddin and Kumar, 2018).
Cadbury prefer to customize their
product line following their
demographic areas. The brand has
ventured into biscuits and ice-cream
Nestle also operates within the
FMCG industry and thereby
ensuring intensified competition to
the other brands within the same
segment. The appreciable factor that
has been identified in case of Nestle
brand is that their quality
maintenance of products that has
been up to the mark and there have
been hardly any complaints heard
about Nestles products in the
contemporary market scenario. This
can be considered as a significant
achievement for the company,
which undeniably relies acutely on
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segments as well. Cadbury products
have made immense impact on the
industry and are extending to grow at
a rapid phase.
food products. Furthermore, the
brand has been delivering variety
along with quality to its customers.
Few of the Nestle’s top rated brands
are Nescafe, Kit-Kat, Nestea, Maggi
and others.
Price The pricing strategy of Cadbury in
marketing mix significantly depends
on demand, packages and
competition level. The products are
priced according to the quality of
them as well. The prices are high for
some products such as Bournville
and there are other products, which
are priced low such as Perk, Five
Star, Eclairs and other for catering
the necessities of other segments
(Balmer, 2017). The brand has
strategically structured the price of
their products to meet all the target
segments with profitability.
The pricing strategy of Nestle is
significantly dependent on the
market demand of every product.
For instance, Nescafe as well as
Maggi are obviously the clear
leaders and have been priced with
maintaining higher margins for the
company in comparison to the
competition in UK marketplaces
(Ruane, 2019). The underlying
principle of strategizing affordable
price range for their premium
products is that the brand is to
provide all customer groups with
high quality of edible products
irrespective of income groups as
well as sophisticated behaviours.
Place The organisation has been found to
market their products through offline
retail stores and through online mode
of marketing. The main innovative
way Cadbury is making a huge
impact over the world market is just
strategizing their distribution channel
proficiently (Peyne and Chan, 2017).
The company has made ascertain that
their products are easily available in
all countries and thereby has been
Nestle follows two different forms
of distribution. Although it is typical
to any FMCG company, the
Nestle channel is well known to be
strong having extensive marketing
and sales network for carrying out
channel distribution. Nestle
frequently improvises trade
discounts and different tactics for
keeping the channel motivated. The
challenge is distribution of Maggi,
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successful to carter to a vast
customer base. The products have
been availed both in urban as well as
in rural areas. It has been found that
this strategy has been helpful in a
way for the company.
which has been the most on-
demand product alongside Nescafe.
Thus, while purchasing one weak
product, the distributor may get a
discount on other stronger product
or vice versa.
Nestle is facing significant
challenge in the chocolate segment
where it has to confront stiff
competition from Cadbury and
hence selling chocolates has become
difficult. Kit-Kat have its own brand
positioning, however, it is not as
better as Dairy Milk. Therefore,
converting store retailers for selling
Nestle in place of Cadbury is
becoming the toughest task for
Nestle. This has been converted
chiefly through promotions.
Promotion With the enforcement of social
media presence as well as other
advanced promotional activities,
Cadbury is said to have effectively
increased their brand value while
marketing for their premium
products. Other promotional
strategies adopted by the
organisation include branding
through newspapers, flyers, and
hoardings at busiest streets of UK.
The organisation has been seemed
not to pursue numerous promotional
campaigns. However, the brand
prefers to promote through word of
mouth and proficiently through
social media technology (Canedo,
2016). Online advertisements has
convincingly allowed the
organisation in increasing their
brand image among all the
generations that are more adhered
into technological stuffs as well as
provisions. One of the convincing
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promotional strategies of Nestle is
fascinated store decoration that is
allowing more customers to
experience premium retailing
compared to other top FMCG
brands.
Process It has been found that TQM and JIT
are the significant operational
strategies that have been
incorporated within the
organisation’s business operations.
This has convincingly allowed
Cadbury in shaping the quality of
their products and services, which
further allowed the brand in the
attainment of higher possibility of
effectiveness within their particular
commercial implications. Supply
chain as well as inventory
management of the organisation are
stringently supervised by Cadbury’s
business professionals, so that there
are minimum compliances within the
organisational operations at the
bottom-end of product delivery.
Sustainable supervision of waste
followed by timely disposal of the
same from the production
departments has promisingly
allowed the organisation in marking
its brand repertoire through
enforcement of sustainable
organisational operations. Quality of
Chocolates and other FMCG
products are managed through the
strategic incorporation of TQM
within their manufacturing
department and within their
inventory as well.
People Cadbury has strategically appointed
highly trained as well as market-
experienced professionals for
proficiently carrying out their
business operations, so that the brand
faces least compliances in relevance
to incorporation of effective sets of
capabilities and skills (Shkurkin et
al., 2016). Functionalities performed
The hiring of human resources
within the premises of the particular
organisation considers selection of
candidates from various regions of
its operations. This has significantly
allowed the brand in reduction of
the employee turnover costs, which
eventually benefited them in making
huge contribution towards the
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by the employees, managers as well
as other supervisors are all according
to the needs and preferences of
departmental necessities.
national economy of UK. In
addition, fresh candidates are highly
preferred in the organisational
premises however equivalent
opportunities are being provided to
all the business professionals
working in Nestle.
Physical
evidence
The organisation has promisingly
marked their presence within the
FMCG retail market through their
logo. This has considerably increased
its brand value among its consumers
all over the globe (Gupta, 2015).
Furthermore, the discounts and offers
that have been provided by the
organisation also increase their
market presence accompanied by
domination within the international
markets.
The word “Nestle” embarks the
charisma of competing organisation
while pursuing business operations
in the premium FMCG industry.
This has allowed the brand towards
approaching the customers in
various unique ways in comparison
to that of other Chocolate and other
FMCG products retailers all over
the world. Furthermore, decoration
of stores as well as exclusive
amenities has provided the
customers within the same also play
a key role in the creation of physical
evidence for the organisation while
thriving in the competitive markets.
Table 1: Comparison of 7p’s Marketing Mix
(Source: Created by the learner)
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