Marketing Essentials Report: Cadbury and Nestle Strategies Comparison

This report provides a comprehensive overview of Cadbury's marketing strategies, examining the role and responsibilities of the marketing function within the organization. It delves into the marketing mix, analyzing key elements such as product, price, place, promotion, people, physical evidence, and process. The report includes a detailed comparison of Cadbury's marketing mix with that of Nestle, highlighting their respective approaches to product offerings, pricing strategies, promotional techniques, and target audiences. Furthermore, it explores the significance of the interrelation between marketing and other functional units, such as human resources, IT, operations, research and development, and production. The report also presents a marketing plan for Cadbury, designed using the 7Ps framework to outline strategies for product, price, place, promotion, people, process, and physical evidence, aiming to achieve the company's business objectives. The assignment concludes with an analysis of key marketing elements, including research, strategy, planning, and tactics, employed by Cadbury to maintain a strong brand presence and customer satisfaction.

Marketing essentials

Table of Contents
INTRODUCTION...........................................................................................................................3
P1 Responsibilities and role of marketing function....................................................................3
M1 Duties of marketing management.........................................................................................5
P2 Roles and responsibilities in context of organisation............................................................5
M2 Significance of interrelation between marketing and other functional unit.........................7
D1 Key element of marketing function ....................................................................................7
TASK2.............................................................................................................................................8
P3 Comparison of marketing mix applied by different companies.............................................8
M3 Evaluate different tactics chosen by CADBURY in order to achieve business objectives 10
TASK3...........................................................................................................................................10
P4 Marketing plan for CADBURY...........................................................................................10
D2 Design marketing plan with the use of 7Ps.........................................................................16
CONCLUSION..............................................................................................................................17
REFRENCES.................................................................................................................................18

INTRODUCTION
Marketing is a study of exchange relation between company and customers. Marketing is
a process to offer goods and services for full fill consumes needs and demand. Through this
activities, management of an organisation has improve customer's satisfaction and overall
profitability. It is a set of operation those are interconnected and interdependent with other
business activities, with the aim of achieving customer satisfaction and interest. CADBURY is a
British international confectionery firm wholly owned by Mondelez Internation since 2010.
CADBURY is a world second largest confectionery brand. Their headquarter is located in
London, UK. They have large product line thus include Dairy milk, crème egg, roses box,
chocolates and many more. It run their business operations in 50 countries. Cadbury are
introduce by John CADBURY in 1824. This report shows about role and responsibilities of
marketing function with in an organisation. This assignment cover about marketing mix and their
objectives in order to achieve profitability in long period of time. Produce basic marketing plan
which provide necessary information related to company promotion and advertisement
activities(Baker and Magnini ,2016).
P1 Responsibilities and role of marketing function
Marketing: It is a management activities which create positive image of brand at market
place in order to satisfy customer's demand and maintain long term connection with them. It is a
very important tool to run whole business activities in an effective manner. Management of an
organisation develop marketing strategies in order to achieve goals and objectives. It is used by
every company for introducing goods with their customers.
Concept of marketing: It is a effective action through which company has generate
value for their customers and develop strong relationship with them. Through this, manage
motive their employees for full filling needs and requirement of all clients effectively. Some
important concept of marketing are describe below:

(Source: Marketing mix, 2017)
Product: Product is a items which produce by company to full fill customers needs.
Company offer features,quality, performance etc. to customer in order to satisfaction their
needs. Cadbury have large product line and brand, so that they provide lot of option to their
customers to take purchase decision effectively.
Price: Customers are always price sensitive in nature. It is a very important for an
organisation to fix accurate pricing of their product and services as per customer's needs and
market demand. Cadbury used low cost marketing strategy to gain high marketing share and
large number of customer. Thus create strong brand at market.
Place: Place mean where buyer are look of company product and services. It may be
store, supermarket, boutique, online and many more. Sales are done through direct or via a
catalogues. Cadbury is a international company which sale their product around 50 countries.
Promotion: It is a activities by which company spread their message across target
customer and market. Through this, company provide necessary information about their product
Illustration 1: Marketing concept

and services to potential clients. Some important promotion activities are online advertisement,
TV, Radio, billboards and social media marketing etc. Cadbury used newspapers, television
advertisement series, print media and social sites or internet for promoting their product.
People: Company want to identify their target market for selling their product effectively.
An organisation are reliant on person who represent them in front of clients. So, it is the
responsibility of HR manage to recruit right candidates because lot of part of business activities
is offering goods.
Physical evidence: It means, the surrounding environment which saw by buyer in
duration of purchasing activities like infrastructure, furniture, product arrangement and so on.
Almost all service provider company have some physical evidence which help to create positive
purchasing experience for customers. Cadbury sale their most of the product at supermarket and
store and provide them supporting material as physical element.
Process: Tow type of process manufacturing and delivery are used by company. Both
have are very important for an organisation. Cadbury have both kind of process their work place.
But as marketing point of view delivering process are very important in order to satisfy
customers(Brassington and Pettitt , 2013).
M1 Duties of marketing management
Marketing management is define as a process of planing, implementation and designing
of all marketing strategies and plan in order to achieve an organisation goals and objectives. The
duties of marketing management in context of their environment are as follows:
Marketing research: Marketing manager conducting research activities in order to
understand customers needs and wants. Thus help to produce product accordingly. Through this,
manager increase basic knowledge of competitors product, price and customer preferences etc.
Market segmentation: Marketing manager of Cadbury are classified market in order to
provide services according to customer needs. Each and every segment have different demand,
so that company develop strategies to sell their product effectively.
P2 Roles and responsibilities in context of organisation
In every organisation there are different types of department who plays an significant role
in achieving the goals of organisation. On the other hand marketing functions and other tools of
management are consider value-able for organisation in order to develop the innovative
technology in their goods and services. Marketing functions and other department of

management in organisation are interrelated with each other. Therefore, it is clearly said that
marketing tools are the ways from the basis of which each department can take utmost
advantages in order to create long lasting impression with target audiences. There are several
divisions of CADBURY which stated below:- Relation between human resource department and marketing function of
CADBURY:- Role of Human resource department is essential is every organisation in
order to recruit talented employees for fulfilling the needs of vacant job position. In
order to filling position company uses various source of marketing which includes
transportation, communication, advertisement and internet sites in order to invite the
pool of candidates. Cad-bury is big organisation which take the support of both
department in order to complete business operation in effective way. Interrelation with information technology and marketing function:- In today
competitive in order to manage the business activity IT department plays an important
role in managing the operation of business for success and growth. For example
CADBURY running his business at international level where data related to salary,
employee information, inventory sales are maintain by IT department only. On the other
hand marketing plays an significant role for IT manager to adopt advanced technology in
order to reach with maximum numbers of customer which enhance their sales and
productivity. Operational department and marketing function of firm:- Operational department plays
an essential role in conducting the overall operation of business. Whole success and
development of association depend upon various sector but the most important is
operation and marketing department who both coordinate with each other in order to
accomplish the vision of organisation. Thus, both division set the designed framework
for further implementation of future projects. Without marketing operation department
does not work well or vice-versa. Research development department and marketing function of enterprise:- in order to
sustain in competitive environment it is vital for all the business player to incur
expenditure on research-and-development department so they develop new innovative
techniques in order to create value addition in existing product and create new features in
products which organisation planning to launch in market. Research department

investigator investigate in external market and collect both primary and secondary data
with the help of marketing team in order to understand recent demand of customers. For
example Cad-bury research department research about the latest trend liked by audiences
on the basis flavours in chocolates coming in market and marketing team do all
promotional activity for inducing target audience over it.
 Production department and marketing function:- production is fully depend on the
marketing of any particular production because they manufacture goods and provide
services on the basis of information giving by marketing team related to demand and
trends of their products. Therefore these two department maintain balance between other
functions of organisations(Desai, 2013).
M2 Significance of interrelation between marketing and other functional unit
According to the current market position it is well known to every organisation that
marketing is essential part who support all other functions of business. CADBURY is biggest
multinational company of chocolates and beverages who manufactures varieties of chocolates
with different brands and all consist of some unique features in them which attract customer
toward this company. Whole marketing department plays important in overall operation of
business which include human resource, research development, technological changes and other
operational department for enhancing the success and growth of business. Along with that
company need to establish long term relationship with target audience for better outcomes in
future.
D1 Key element of marketing function
Mainly Cadbury used four types of key marketing element those are explain as follows: Research: Through this activities, company known their customer's opinion about
product and services and able to develop or improve existing goods according to clients
needs and wants. Strategy: Management of an organisation develop strategies in order to increase market
share and overall profitability. Through this activity, Cadbury build strong brand image in
customer's mind. Planing: Cadbury marketing department are involve in distribution of communication
channels, sales forecasting and financial plan etc.

 Tactics: Through this, firm are able to achieve long term objectives in given time frame.
In this function, Cadbury provide various facility to their customers(Brooks and Simkin ,
2012).
TASK2
P3 Comparison of marketing mix applied by different companies
Marketing mix:- This term described as process in which all the elements of marketing
are utilised in order to promote the goods and services among customers so that both sales and
productivity will enhance. It refers to the use of different tactics, strategic policies and set of
actions that organisation apply in order to advertise and promote brand in the eye of customers. It
is used as process in which appropriate planning has been made for achieving company
objectives and targets. This consider as best techniques which used to introduce the product in
market. Under 7P's following things are included I.e. price, place, promotion, people, process
and physical evidences which used as set program in operation of business.
Under this two companies are selected i.e. CADBURY and Nestle which consider as
famous competitors and 7P'S is apply in both organisation in order to promote goods and
services in market place. In order to maintain sustainability growth of company is essential.
Elements of marketing mix can be prescribed by differentiating between both companies which
stated below:-
Marketing Mix CADBURY NESTLE
Product Cadbury daily milk made up of
real choclates and include
cocoa butter and includes bars,
cakes, biscuit, drinks and ice
cream.
Milk products, beverages and
chocolates confectionery after
that milk product I.e nestle
everyday dairy winter, ghee
and fresh natural dahi.
Price Adopted competitive pricing
strategy and charge premium
prices on other variants,
although company cut down
weight but not increase cost.
Company using stable price
policy in which they charge
high prices on those product
which are very famous among
people.
Promotion Company uses promotional It is generally done in order to

techniques by giving
advertisement in form of
celebration and dairy milk
Subh Arambh and the big
factor in their promotion has
pushed CDM sales through
campaign.
communicate with target
audiences and uses slogan like
using same symbol, think
globally and act globally.
Further they reduce price and
develop smaller packages for
good to make it more
affordable.
Place Basically it produced mainly at
their chocolate factory in
Bonneville in Birmingham and
then transported to their
stockrooms and they sell their
chocolates in shops, stores.
Nestle company diversified
their business at different place
by dividing it into sales,
marketing who sale it to
wholesaler then retailer after
that customers.
People The main target of company is
youth which act basic target
audience of company which
help in maximise sales of
company.
Their target customers are
include child, youngsters and
old generation in order to
increase profits.
Process CADBURY maintain high
quality in their product line
and use affordable price
structure in order to increase
the sale and profitability of
business. In other word
business need to adopt such
usual procedures which reduce
cost and increase productivity.
Nestle company use different
types of strategy in order to
carry the whole procedure of
company in order maximise
sales and efficiency and this
leads to minimum wastage,
loss in business operations.
Physical evidence It is consider as an effective
activity which is important for
It is generally based on the
concept good health good life

company to maintain quality
of goods which are sell
globally.
and develop such products
which are healthier,
ecofriendly and taster.
M3 Evaluate different tactics chosen by CADBURY in order to achieve business objectives
In order to sustain in competitive dynamic environment Cad-bury need to formulate
various strategic policies and most important will be use of 7p's in marketing mix. These P's act
as significant element in order to generate innovative techniques in marketing strategy of
company. Company likely to use these elements like price, people, promotion, place, process and
physical evidence , so that they create awareness among customers regarding all the products
company likely to introduce in market along with their latest features and speciality add on in
product. All these efforts help in increasing the sales and market share of
organisation(Durmaz ,2011) )
TASK3
P4 Marketing plan for CADBURY
Marketing plan described as term which is properly framed by strategic level and
consider as business document that highlighted all the marketing strategies and plan of action for
accomplishing goals of organisation. It mainly prepared for specific time period which is usually
12 months and include varieties of marketing related details such as feasibility factor, targets and
action plan. Apart from it various things are included under this I.e. vision, mission, objectives
and overall background of company. Further it define SWOT analysis, budget and competitors
strategy in order to enhance growth of company. Following things are described below:-
Overview of the CADBURY:-
Cadbury is a British multinational company of confectionery which is wholly owned and
controlled by Mondelez International since 2010. This company is second largest brand in
chocolate industry and operate their business in more than 50 countries worldwide. It comprises
of 71,657 employees and it is known for its famous products like dairy milk chocolates, cream
egg and roses and other confectionery products. It is founded by John Cadbury having different
subsidiaries like Green and black, Cadbury Adams. The company expanded their branches at
various places and famous with the product like dairy milk, perk, five star . The main aim of

organisation is to attract target audiences with different types of goods offered at beverages
sector in order to enhance profit and sales.
Mission and Vision Statement:
The vision of company is to reveal real image of company in the future. It is important
point in corporate strategic plan and do it on time. Company wants to communicate both the
value and purpose and intended to give direction to workforce so they behave and inspires them
to give best result.
Mission statement means define the prime objectives and goals of company in order to achieve
organisation success. These are consider as prime points of whole organisation plan and goal
setting process. Because of dynamic changes in external environment company management
team need to under both internal and external factors so that organisation objective easily
accomplished.
Mission statement of cad-bury says simply cad-bury means quality this is their promise to their
target audience to provide good standard in their price, quality and maintain eco-friendly
environment in protect the environment from hazardous quality.
Key objectives of CADBURY company:-
Objective define the task and targets that particular organisation need to be accomplish in
specified time period which stated below:-
CADBURY daily milk objectives is to become best and biggest confectionery company in order
to perform better than their competitors. It is leading company and objective are consider as end
result whose main aimed to get end results. Managerial objective are goals, aim and purpose that
organisation wishes to achieve at specific peroid of time. Apart from it some are the smart
objectives of company they need to follow are:-
 In product sale achieved particular amount.
 It is very vital for organisation to achieve performance and profitability at particular
period of time.
 Except high rate of growth for success of business organisation.
 The most important goal is to maintain standard quality in their chocolates and produce
according to the needs and requirement of target audience.
 Company need to formulate such strategic policies and procedures in their organisation
structure which enhance the performance of internal employees(Hsu , 2011).

 Incur expenditure on the research development department in order to come with
innovative techniques and tools which help in gaining competitive advantages over
competitors.
 It is essential that whatever the goals and objectives organisation made must be time
bound so better decision making has been taken.
 Cad-bury apart from profit objectives also establish cad-bury purple goes green project in
which vision are set in order to deal with climate environment. The main objective is to
reduce excess packaging and managing water use.
 Company focuses on contribution in CSR activity in order to contribute in social welfare
that help in increasing goodwill and create brand image for enhancing market share and
profitability.
 CADBURY also use various marketing promotional tools like advertising, social
networking, publicity and sponsorship in order to create awareness among customer
regarding the product available in all countries and give social message through various
ways.
STP Approach:
In marketing STP provides broader framework that simplify the whole process of
segmentation and targeting is the process of identifying those customer who attract from the
product most in external market and positioning can be achieved by producing such products in
market which distinguish themselves from the items of others. It is important because it allow the
business to reach to target audiences with their specific needs and wants in order to establish the
long term relationship and trust of customers.
Segmentation It is generally seen that large number of the
individuals buy product from retail stores at
cheap and affordable prices.
Targeting They mainaly target children and young
generation by offering discount, special offers
at festive seasons in order to enchance sales
and profitability.
Positioning They produce their products and services in all

over the world and located in United kingdom.
SWOT Analysis:-
CADBURY is considered as topmost company in FMCG sector which establish their reputed
position in the mind of customers as compare to their competitors. But every company having
their own strengths, weaknesses, opportunities and threats which stated below:-
Strengths
 CADBURY has many strong brands in
their product portfolio which consist of
dairy milk, Bournvita, Oreo, perk and
five stars that consist of high quality
products and come under cash cows of
BCG matrix.
 It also enjoy strong brand image and
establish good customer loyalty
because of which charge high premium
prices for products which customer
ready to pay.
 The most strategic tactic used by
company is to convey the message to
consider their product as gift and
establish that fixed position.
 Cad-bury uses strong promotional
techniques in fmcg sector and in
advertisement uses such strong slogan
which give deeper message to
company. If consider in case of placement and
distribution company distributed its
Weakness
 its main weakness that company not
reach at every rural areas of countries
in order to provide information
regarding their products.
 It has been rumoured that in their
chocolate product cockroaches and
other rodents are found because of such
infection company loose the position
related to standard quality.
 Company is also fail to establish their
position in the sector other than
chocolates and beverages that enhance
their capital.

product in 200 countries and uses the
strategy of braking the bulk.
Opportunities
 Company cannot focus on rural area so
its an opportunity to concentrate on
such sector.
 It has been researched that developing
in rural areas apart from foreign
countries boost up the turnover and
sales of company. In country like India people like to eat
small bars and chocolates so
organisation also come with new
flavours and tastes consider as big
opportunity.
Threats
 Due to continuous increase in cost of
transportation and distribution which
create threats in price of goods and
services.
 Health consciousness is one the
common factor which create in
costumers so they prefer to use juices
and fruits insist of chocolates. Apart
from it newspaper and articles are
publish to boycott the use of chocolates
and stay healthy.
 For example if person gift chocolate to
kid then they demand toys, bicycle
which act as threats.
PESTEL Analysis
Political factor
The political factor include type of
government, policies, procedures which affect
the working operation of company if any
restriction arises on them.
Economic factors:
It is essential for FMCG sector in order to
maintain the stability in economic factor like
maintain balance with BEP policy, forgien
exchange rate.
Social factors:
Their are different types of factors which
consider has ethical practices which need to be
followed in organisation. The organisation
need to respect on all belief, likes and dislikes
of society.
Technological factors: Cadbury need to
develop innovatice techniques in their products
so that they attract customers with their unique
speciality as compare to competitors.

Environmental factors
increase in transportation and logistics cost
will also impact on pricing policy of
companies which have negative impact also.
Legal factors:-
UK government enforce various legal laws and
compliances which require to follow by
organisation other heavy penalty imposed on
them.
Target market:-
The organisation is require to establish good relation with all those clients who provide
raw materials and essential things at the time of convey the product to end user. This all is done
in order to achieve high profitability for organisation.
Market Budget:
Marketing budget
Income 1st year 2nd year 3rd year 4th year 5th year
Initial money 540000 150000 150000 260000 208000
Investment 150000 200000 150000 160000
Total 540000 300000 350000 410000 368000
Marketing
expenditures
Advertisement 100000 72000 68000 65000 62000
Sales promotion 22000 20000 50000 30000 91000
Direct marketing 77000 60000 30000 70000 30000
Total 199000 152000 148000 165000 183000
Available balance 341000 148000 202000 245000 185000

Monitoring and controlling
The most important responsibility of marketing manager is to handle all business
operations in order to increase profitability and market share of company which leads to enhance
in efficiency in operations.
BOSTON BOX:-
This approach is generally used in order expand the strategic policies and manage the
portfolio for effective decision making. It is developed in the era of 70's. They assist organisation
in what manner they have to invest in future in respect of products. This model explained as
follows1. Relative market share:- It is come on horizontal axis of matrix in which higher the share
then more to the left product is positioned. In other word it show current value.
2. Market Growth:- It shows vertical axis on matrix in which growth rate is high then
higher the need for cash(Jones and Rowley , 2011)
The Boxes Stars:- it is that phase of company which show high market share and market growth.
Under this scenario market shows attractive and excellent position as compare to
competitors. Question mark:- under this situation it shows low market share and high market growth.
Although company having higher growth but the position for growth is weak. Cash cows:- It implies high market share and low market growth and help in generating
cash for company and having secure place in market.
 Dogs:- It shows low market share and low growth and shows such position in which
product of company decline and come at end place in product life cycle(Lamb , Hair and
McDaniel , 2011).
D2 Design marketing plan with the use of 7Ps
7P's CADBURY
Product Company produce different varieties of
products like dairy milk, Oreo, perk and five
star which offer to customers.
Price Company uses different pricing policy

according to economic conditions in which
goods are offer to costumer at different price
with distinct features.
Place Generally they sell their products at grocery
store, malls and various shops in which
customer easily reach conveniently.
Promotion CADBURY use various promotional
mechanism in order to build trust among target
audiences and create awareness about cad-bury
world.
Process Process and ways of working are continuously
examined in order to maintain high level of
service and ensure smooth running of
operations.
Physical evidence This is physically evidence from the
continuous feedback and high score achieved
from shopper surveys.
CONCLUSION
From the above report it is concluded that marketing is a one of the premier components
of business activities in order to being innovative as compare to their competitors. Through this,
marketing manager of CADBURY are able to provide strong delivery, communication and
exchanging offers which create value for customer or society at large. Through this action,
management has promote their product and services which create positive impact of clients
mind. Management of an organisation used seven P'S of marketing for effectively selling and
promoting their product. Through this activities firm are able to provide necessary information
about goods like size, colour, price, availability, segment etc. to their customers.

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