Lindt vs Cadbury: A Marketing Mix and STP Model Comparison

This report provides a comparative analysis of the marketing mix strategies employed by Lindt Excellence Milk Chocolate Bar and Cadbury Dairy Milk Bar. It utilizes the STP model (Segmentation, Targeting, and Positioning) to analyze their target markets, highlighting differences in demographic, psychographic, and behavioral segmentation. The report also applies Levitt's model to compare their product/brand strategies, focusing on structure, task, people, and technology. Furthermore, it examines their pricing, placement, and promotional activities, revealing how Cadbury uses skimming pricing and mass market distribution, while Lindt employs premium pricing and targets high-end consumers. The conclusion emphasizes the importance of targeted marketing and acknowledges Cadbury's broader market reach due to its diverse product offerings and wider distribution network. Desklib offers a wealth of similar marketing assignments and study resources for students.

Principle of Marketing

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK1.............................................................................................................................................3
Target Market..............................................................................................................................3
Product/Brand.............................................................................................................................4
Price:...........................................................................................................................................6
Place............................................................................................................................................6
Promotion:- ................................................................................................................................6
CONCLUSION ...............................................................................................................................7
REFERENCES:...............................................................................................................................8
Books and Journals:....................................................................................................................8

INTRODUCTION
The term marketing mix may be define as a different set of actions or tactics which are
used by the organisation in order to promote their brand and products in the competitive market.
With the help of this tool the company is able to offer their goods and services to the consumer at
the right place and at the right time(Azhar and et .al., 2019). By focusing on marketing mix, this
not only help in increasing the marketing area but also help the company to stand in the market
for a long period of time. The following report is based on the comparison between the
marketing mix techniques of the Lindt Excellence Milk chocolate Bar and Cadbury Dairy milk
Bar. Both the companies operate their business all over the globe. This report also cover the STP
model and Levitt's model in order to compare their target market and product.
MAIN BODY
TASK1
Target Market
It is classified on the basis of age, lifestyle location and income.
STP model:- this model is divide into three step which is segmentation, targetting and
positioning. This model is use by the different types of organisation in order to examine their
goods and services. With the help of this, company can easily communicate the advantage of
their goods and services to the different class or group of consumer (Blut, Teller and Floh, 2018).
 Segmentation:- market segmentation may be considered as the first step of the STP
model. In this step the target market is divide on the basis of four main specific criteria.
◦ Geographic segmentation:- in this segmentation classification of the consumer is
done on the basis of country, region, state and many more.
◦ Behavioural segmentation:- In this, company divide their audience on the basis of
their behaviour and preferences i.e. what they prefer, how they purchase, how they
consume etc.
◦ Demographic segmentation:- company divide their consumer on the basis of their
age, education qualification, occupation level etc.
◦ Psycho-graphic segmentation:- dividing of the consumer is done on the basis of their
lifestyle, values, belief, hobbies and many more. This is basically done by focusing
on who are the potential consumer.

The target market is divide by the Cadbury Dairy Milk bar on the basis of demographic and
psycho-graphic segmentation. The main aim of the company is to offer their product to all age
group and all class of people. On the other hand Lindt ‘Excellence’ Milk Chocolate Bar
segment their market on the basis of behavioural segmentation. The company mostly target the
women and the high class people.
 Targetting:- This step is being considered as the most important step of this model. It
helps the organisation not only in increase the sale of the company but also help them
to stand in the market for a long period of time.
In relation to the Cadbury Dairy Milk bar, the company mainly target the consumer between
the age group of 18-35 year old. Women of this age group all over the globe are the main
customer of the company. On the other hand, Lindt ‘Excellence’ Milk Chocolate Bar, mainly
target the high class people because the company deals in premium products which usually have
high rates.
 Positioning:- is done by the organisation, so that consumer can differentiate and compare
their product from the other company. This refers that, where the goods and services of
the company stand in the market in comparison to other company as well as in the heart
and minds of the consumer(Hanssens and et .al., 2018).
In context to the Cadbury Dairy Milk bar, as the company offers their products to all class of
people they relates their products with happiness and satisfaction. They do different types of ad
campaigns with different tag line like “Real taste of life” or “Mum's Birthday”. The company
recently launch the ad campaign with a new tag line i.e. “Taste like this Feels”. Whereas, the
Lindt ‘Excellence’ Milk Chocolate Bar, position itself in the market as a “ luxury chocolate
maker”. The company offer and position their product to only high class of people because they
prefer the quality over quantity and they really don't really think of money before buying
premium goods(Wu and Li, 2018).
Product/Brand
This may be define as the goods and services in which company deals. Different products
of the company are offered according to the need and demand of the consumer.
Levitt's model:- The model was introduced in 1960 by professor Harlod J. levitt. This model
basically include the four major points which not only represent the organisational changes but

also represent that how these elements are interrelated with each other. The four elements has
been discussed below:-
 Structure :- This element of the Levitt;s model is being considered as the foundation of
an organisation. This represent that how the staff, different areas and layer of hierarchies
are interconnected with each other.
 Task:- This mainly comprises the different activities which are performed by the
employees of a company. This element represent what is to be done and by whom.
Workforce of the organisation have to perform their different activities in order to
achieve the organisation goals in a very effective manner(Mahmoud, 2018) .
 People:- this comprises the employees of the company. The different objectives of the
company is totally depend on the skill and knowledge of the employees as they are
considered as a backbone of the different functions of business. This affect the whole
working of the company if change has been done in this.
 Technology:- This comprises the latest machinery, technology, updated software and
many more things. With the help of this the productivity of the employees has been
improved and they can perform their task in a very proper manner.
In relation to the Cadbury Dairy Milk bar, the company focus on the mass market area
because the most of the product are low priced and generally used by all class of people. On the
other hand Lindt ‘Excellence’ Milk Chocolate Bar deals in exotic and premium products
which are generally consumed by high class people.
Akaers personality brand framework -
This framework may be define as a blueprint which are develop by the marketing
department of the company. This frame work not only help the company in identifying the
unique solutions of the problem but also help them in constructing a god image in the heart and
mind of the consumer(Verma and Singh, 2017) . It basically comprises five dimensions which
are sincerity, excitement, competence, ruggedness and sophistication.
In relation to the Cadbury Dairy Milk bar, company deals in basic product range which state
that which means that company has a good image all over the globe. Whereas, Lindt
‘Excellence’ Milk Chocolate Bar, deals in premium range of product, which state that they
offer their product to those people who have high income.

Price:
Pricing is being considered as the most important element of the marketing mix. In this process
the organisation determine the value of their product which are offered to the consumer(Mehraj
and Qureshi, 2020) . In determining the price of the goods the company have to focus on the
different elements like nature and user of the product, price and cost of the goods etc.
In case of Cadbury Dairy Milk bar, the pricing strategy which are followed by the company is
skimming pricing method. In this method the company first set the high prices to introduce the
product in the market and reduce the price as good image of the has been develop. Whereas
Lindt ‘Excellence’ Milk Chocolate Bar use the premium pricing method. This strategy is used
by the firm in order to prove them as a brand in the market.
Place
This may be define as the area where the company sell their products. This process has to be
done by the company in a very proper manner. The main aim of this marketing mix is that the
product are in the reach of every consumer. Sale of the company is directly being affected if the
placing of the is not done properly.
According to the mass market strategy followed by the Cadbury Dairy Milk bar, they place
their product in big malls as well as in the the small stores so that every class of people consume
the product. Whereas Lindt ‘Excellence’ Milk Chocolate Bar, place their product in the big
malls or in the premium and limited stores.
Promotion:-
In this process the organisation do different activities to promote their product in the market.
This not only help in attracting the new consumer base but also help them in developing a good
image in the heart and mind of the consumer(Pomering, 2017). Organisations use various
methods like television, radio, newspaper, online platform, social media in order to promote their
product.
In case of Cadbury Dairy Milk bar, the company mainly use the television, poster and social
media method to promote the product. Whereas Lindt ‘Excellence’ Milk Chocolate Bar, digital
and printing like ( big hoardings ) to promote the product in the market.

CONCLUSION
It has been concluded that, to grow in the market organisation must have to focus on targeting
the different set of customer. Both the firms use different types of marketing strategies to
promote their product and brand in the market. This report also concluded that large market area
is covered by the dairy milk in comparison to the lindt chocolates because the dairy milk offer
their product to every class and all over the globe.

REFERENCES:
Books and Journals:
Azhar, M.E and et .al., 2019. The role of marketing mix and service quality on tourist
satisfaction and loyalty at Samosir. Independent Journal of Management &
Production. 10(5). pp.1662-1678.
Blut, M., Teller, C. and Floh, A., 2018. Testing retail marketing-mix effects on patronage: A
meta-analysis. Journal of retailing. 94(2). pp.113-135.
Hanssens, D.M and et .al., 2018. Consumer attitude metrics for guiding marketing mix
decisions. In LONG-TERM IMPACT OF MARKETING: A Compendium (pp. 557-600).
Mahmoud, T.O., 2018. Impact of green marketing mix on purchase intention. International
Journal of Advanced and applied sciences. 5(2). pp.127-135.
Mehraj, D. and Qureshi, I.H., 2020. Determinants of green marketing mix in developing
economies: Conceptualisation and scale validation approach. Business Strategy &
Development. 3(4). pp.522-530.
Pomering, A., 2017. Marketing for sustainability: Extending the conceptualisation of the
marketing mix to drive value for individuals and society at large. Australasian
Marketing Journal. 25(2). pp.157-165.
Verma, Y. and Singh, M.R., 2017. Marketing mix, customer satisfaction and loyalty: an
empirical study of telecom sector in Bhutan. Indian Journal of Commerce and
Management Studies. 8(2). p.121.
Wu, Y.L. and Li, E.Y., 2018. Marketing mix, customer value, and customer loyalty in social
commerce: A stimulus-organism-response perspective. Internet Research.