Marketing Essentials Report: Cadbury, Nestle, and Marketing Strategies

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Marketing
Essentials
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Key roles and responsibilities of the marketing functions................................................3
P2 Roles and Responsibilities of marketing in context of the organisation...........................6
TASK 2............................................................................................................................................7
P3 Marketing mix in order to achieve objective of the business............................................7
TASK 3............................................................................................................................................9
P3 Marketing plan.................................................................................................................9
CONCLUSION..............................................................................................................................12
REFERENCES..............................................................................................................................12
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INTRODUCTION
Marketing is the process used by companies to promote their goods and services in an
effective manner. It is a promotional tool adopted by organisations to sell their products and grab
attention of large number of consumers. It includes various activities such as advertisement,
market research and many other which helps the company in increasing profitability of the
company (Ahmed and Rafiq, 2013). Cadbury is chosen as the base company in this report. It is a
British multinational company founded by John Cadbury in the year 1824 in England. This
report includes detailed information about the key roles and responsibilities of marketing
functions. Along with this, it further describes relationship of marketing department with other
areas included in the organisation . In addition to this, this report includes a comparison between
Cadbury with rivalry company Nestle on the basis of marketing mix process. At last, this report
includes a marketing plan development for the chosen company.
TASK 1
P1 Key roles and responsibilities of the marketing functions
Marketing refers to the set of various activities which is conducted by organisations in
order to exchange their thoughts, ideas and views about products and services offered by them.
Concept of marketing: It focuses on the philosophy which says that company should
evaluate the requirements, demands and needs of customers first and then take decisions
effectively in order to satisfy their requirements.
Current and future trends of marketing: In today's competitive world, marketing
process is continuously changing as the industry is developing on regular basis. According to the
examination, it has been analysed that Cadbury is using print media for marketing activities. It
includes newspaper ads, posters, magazines, pamphlets and many more. With the help of this
company will be able to promote their products and services in attractive manner (Armstrong and
et al, 2015). As well as marketing department of Cadbury adopt social media platform as an
effective marketing tool. With the help of social media company can attract large number of
customers across the world within less period of time. This method of marketing technique
increase the profitability as well as market share of Cadbury.
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Marketing process: In order to influence the interest the interest, demands and
requirements of customers,marketing process is used by Cadbury. It includes 4 major steps
which are as follows: First Step: In the first and foremost step, management team of Cadbury examine all the
external opportunities available at the marketplace. It commonly includes demands, needs
as well as requirement of the customers (Baack, Harris and Baack, 2013). Second Step: After assessing the overall market, Cadbury target only those market place
which generate maximum result for the company. Further, customers are also
categorised according to the type of products offered by them at the marketplace. Third Step: After identifying the target market, marketing team of the company develops
an effective marketing plan which will aid the company in order to promote their
products and services effectively to their targeted customers.
Fourth Step: In the last step, execution of plan and strategies are included which is
formulated by marketing team for the purpose of promoting goods and services in an
effective manner.
Cadbury is a confectionery company based in UK which provides high quality products
to their customers at global level. Company offer chocolates with unique taste and flavour which
is quite popular among customers all over the world. According to the given scenario, it has been
examined that marketing department perform various functions which help them in generating
large amount of profit. In the present context of Cadbury, marketing department plays very
important role for growth and survival of the company. With the help of effective marketing
practices company can attract large number of customers towards their brand. There are various
marketing functions performed by department of marketing which are as follows:
1. Market information: It is the first and foremost function, where marketing team of the
Cadbury examine the overall market for the purpose of identifying requirements and
demands of the consumers (Babin and Zikmund, 2015). It means assessing both external
as well as internal factors which affects the growth of Cadbury. In addition to this,
company also examine whether customers like their products and services or they need to
modify that according to their taste. This information further help the company while
segmenting the market.
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2. Financing: Marketing department also performs different types of activities which is
related to finance. For instance, sometimes marketing manager of Cadbury provide credit
facilities to their regular customers, so that they can retain them for a long period of time.
In addition to this, about the price of products, marketing team of Cadbury negotiates
with the retailers also. By providing credit facilities to the retailers, company can
maintain healthy relationship as well as retain them (Baker and Saren, 2016). With the
help of this, company can increase their profitability and market share at the competitive
marketplace.
3. Market planning: According to this function, main aim of marketing manager is to
prepare effective plan with the motive of achieving targeted objectives with in the given
to prepare an effective market planning whose main motive is to meet targeted marketing
marketing objective. One of the main objective is to improve the brand image as well as
increase the market share of Cadbury.
4. Product designing and development: Under this function of marketing main focus of
marketing team is to develop innovate product which helps them to grab attention of
large number of customers. In reference to marketing department of Cadbury, main focus
of the team is to develop product after evaluating the overall market. For this, they take
effective decisions in order to satisfy the requirements of consumers. Along with this,
marketing team of Cadbury guide the production team about the shape, size, design of the
product, which they offer to their customers.
5. Exchange functions: In the present context of Cadbury, to identify the requirements and
demand of customers marketing team examine the market condition. With the help of
which company can produce products in order to satisfy the customers (Brady, 2014).
This functions includes advertisement, sample distribution, sales promotion and many
other activities. With the help of this function company will be able to increase the sales
which enhance the overall productivity of the company.
6. Distribution channel: Under this function of marketing, transportation and distribution
channels are used by marketing teams in order to supply goods and services effectively to
the end users. In reference to Cadbury, marketing team uses both online and offline
distribution channel in order to grab large customer base. In case of online, company
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provides products through websites, and in case of offline products are available at
supermarkets, departmental stores and etc.
According to the above mentioned, it has been examined that marketing functions plays
very important role in the growth of company. With the help of these marketing functions,
company can increase the overall profitability at the marketplace. It has also been analysed that
marketing function plays effective role within the organisation as well as outside the company.
P2 Roles and Responsibilities of marketing in context of the organisation
For maintaining the growth and sustainability of the company at the marketplace,
marketing department plays very important role. In context of Cadbury, marketing department of
the company is interrelated with different departments of the organisation. Reason behind this is
that marketing department connects with the customers on a regular basis and analyse their
demand and requirements (Clow and James, 2013). Further marketing department guide other
departments about the actual demand and wants of the end user. Interrelationship of marketing
department are as follows:
Marketing and Finance: With the help of marketing department, finance department of
the company increase the profitability at competitive marketplace. Large number of customers
will attract towards Cadbury as they provide unique and creative features in the products. By
increasing range of customers, sales of the company will automatically increases along with
increase in brand image of Cadbury. With this, finance department will be able to allocate funds
in each and every department in order to perform their business functions in an effective manner.
Marketing department of Cadbury is directly related to the finance department, as they provide
funds to the marketing department for promoting their products in creative and innovative
manner. This shows that both the departments are interrelated with each other (Huang and
Sarigöllü, 2014).
Marketing and Human resource: Human resource plays very important role in each
and every organisation. Human resource department is related to the marketing department of
Cadbury. In order to promote products and services marketing department needs potential human
resources in their department. With the help of effective brand image and goodwill of the
company, large number of candidates attracted towards the company who is looking for a job. As
a result, it shows that marketing department of the company are interrelated with the human
resource department and plays very important role in order to attract large number of candidates.
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Marketing and Production: Marketing team of Cadbury is interrelated with the
production team, because with the help of them, company will be able to manufacture products
according to the requirements of customers. Marketing department communicate the needs and
demands of customers with the help of which they can modify their products in order to fulfil the
expectations of customers (Joshi, 2012). In addition to this, at the time of festival production
team of the Cadbury increase their working hours in order to fulfil the demand of customer's
which is quite high as compare to off season. This shows that production and marketing
department are interrelated with each other, as they both work together in order to accomplish
the pre determine goals of the company.
Marketing and research: With the help of research department, company will be able to
collect information which will help them while promoting their products at the marketplace.
With the help of gathered information, Cadbury will be able to find requirements, needs and
current trends. As a result, effective marketing plan is formulated by the marketing department
which is used by them in order to attract or influence the customers towards their brand. This
research will help them marketing team in order to present their product and services in an
attractive manner, so that they can grab attention of large number of customers. This shows that
both department are interrelated with each other.
TASK 2
P3 Marketing mix in order to achieve objective of the business
Marketing Mix (7 P's)
Basis Cadbury Nestle
Price Price of Cadbury products are
reasonable accept some
products which includes Oreo,
Silk and many more
(Lovelock, 2011). These
products require effective
marketing tricks in order to
attract large customer base.
The Nestle coffee and Maggie
are the leaders in the
competitive marketplace in
terms of price. If the company
increase the price of products,
customers remain loyal as they
provide high quality products
in reasonable price.
Product Cadbury was introduced in the Nestle was introduced in the
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year 1905. It provides variety
of products which includes tea,
coffee and chocolates.
Company produce products
with high proportion of milk
which is highly recommended
by customers all over the
world.
year 1905 as FMCG company
at international level.
Company produces chocolates,
milk products and many other
items. One of the most popular
product offer by company is
Maggie which produces large
number of profit to the
company.
Place Distribution strategy of the
company is magnificent as
compared to rival brands.
Company provide its products
to every possible place except
some rural areas as the demand
of product is quite low.
Company adopt good
marketing channel in order to
distribution their products and
services (opolšek and Čurin,
2012). Company introduces
different tactics for marketing
like discount to attract
customers. Most popular
products are Maggie and
Nescafe.
Physical Evidences By adopting proper hygiene in
the stores company will be
able to attract large number of
customers.
With the help of attractive
interior Nestle grab attentions
of large number of consumers
towards their stores.
Promotions Cadbury adopt different
promotional tactics for every
products. For example,
Bourneville company have a
tag line “you don't buy a
Bourneville you earn it”.
Company uses television,
One of the most popular
product of Nestle is Nescafe
coffee (Rossi, Allenby and
McCulloch, 2012). Tune of
Nescafe is one of the known
tune and company use it as a
promotional tool. Company
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newspaper, radio for
promoting their brand.
provide high quality products
which includes Maggie.
Company promote its products
through social media,
television, newspaper etc.
People Cadbury consider its
employees as people and
provide training sessions to
them in order to manufacture
high quality products
(Silberschatz, Galvin and
Gagne, 2014). It also help
them to fill the gap between
top level and lower level
management team of the
company.
For the purpose of sale
promotions, company
organized various campaigns
across the world. Company
recruit people from all over the
world which increase its
productivity and profitability.
Process Cadbury adopts latest
technology in the production
process which helps them in
producing high quality
products.
Nestle focuses on the process
where they minimize the
wastage while manufacturing
products. In addition to this,
company allocates its
resources in an effective
manner.
TASK 3
P4 Marketing plan
It is a blueprint which helps the marketing team of the company about all those activities
which are executed by them in near future. With the help of this plan company will be able to
examine the market condition which might affect the growth in both positive as well as negative
manner (Silver and et al, 2012). In reference to Cadbury, marketing manager of the company
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develop an effective plan which will aid the company in order to achieve the predetermined
goals and objectives. Marketing plan of the company are as follows:
Overview of the company
Cadbury is one of the most popular brand across the world, deals in confectionery.
Company was established in the year 1824 by John Cadbury in England. Cadbury offers
chocolate products which includes dairy milk, silk, gems, Oreo fruit and nuts and many more
(William and Zikmund, 2012). In order to increase the sales of the company, managers provides
attractive offers. Company provides products according to the festive season.
Mission: Cadbury believes that with the help of continuous improvements as well as with
the help of effective marketing strategies, company can deliver high quality products to their end
users.
Vision: The vision statement of Cadbury is to develop an effective brand name which
becomes the highest priority for each and every individual.
Marketing objectives
One of the prime objective of the company is to increase its sale by 20% in next 6
months.
Company launch new product Cadbury Kurkure for increasing its market share by 15%
in next 1 year.
STP approach: It refers to the three approach process used by companies in order to
make effective marketing plan. With the help of this process company first categorise its overall
market on the basis of different sections. After segmenting the market, customer target potential
customers and at last positing the desired products in the marketplace. STP approach in context
of Cadbury are as follws:
Segmentation: Under this process huge marketplace is divided into small group which
helps the company in analysing the requirements of consumers (Huang and Sarigöllü,
2014). On the basis of four different components segmentation is done which includes
geographic, demographic, Psychographic and behaviour of customers.
Targeting: After segmenting the market company start targeting customers on the basis
of their requirements. Marketing manager of Cadbury target its customers according to
their needs.
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Positioning: Under last stage of the STP approach, company positions the product
according to requirements of the targeted customers. It includes the brand image and
reputation of the company in the minds of consumers.
Swot analysis of Cadbury
Strength Weakness
One of the biggest strength of Cadbury
is it has a strong distribution channel
along with effective marketing tactics.
Company offer variety of products to
its customers according to their
requirements.
One of the weakness for Cadbury is
they are unable to hire skilled
employees all the time (Brady, 2014).
People become more aware about their
health, so they consume less chocolates
which reduces the profitability of the
company.
Opportunities Threats
Company have an opportunity to
expand its business by launching new
products according to need of the
market (Babin and Zikmund, 2015).
With the increasing cost of raw
material, profit margin of Cadbury will
be reduced.
One of the threat for Cadbury is the
number of competitor companies
increase at the marketplace. As a result
overall market share of the company
reduces.
Marketing budget
Particulars 1st year 2nd year 3rd year 4th year
Investment 10000 10000 6000 5000
Initial money 10000 5000 5000 5000
Total 20000 15000 11000 10000
Marketing 15000 1000 3000 5000
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outlay
Sales
publicity
2000 2000 1000 1000
Direct selling 4000 3000 1000 1000
Promotion 4000 1000 5000 2000
Total 25000 7000 10000 9000
Monitoring and control
Once marketing budget of the company formulates, it is the duty of marketing manager to
control and monitor each and every activity on regular basis (Ahmed and Rafiq, 2013). The main
motive behind this step is to reduce wasteful activities in order to save money as well as
resources. For this, head of Cadbury should examine and monitor overall activities on a regular
basis. With this, management team of the company will be able to achieve their pre determined
goals and objectives in an effective manner.
Strength and weakness of marketing mix -
Strength Weakness
Strength of marketing mix is that, it will help
in identifying all the important factor of
organisation along with their position within
business environment.
Marketing mix is time consuming as well as
expensive process. Although there is
requirement of hiring professionals for
conducting marketing mix.
Strength of marketing mix outweighs its weakness of time consuming and expensive
process.
Strength and weakness of marketing budget -
Strength Weakness
Budget provide guidance for every employees
for their action in term of monetary. Moreover,
budgets promote essential principle of
communication and coordination.
Budget are bureaucratic and its preparation
take time.
Strength of marketing budget minimise its weakness of bureaucratic and time consuming
process.
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CONCLUSION
From the above specified report, it has been concluded that with the help of effective
marketing strategies company will be able to promote their goods and services at the marketplace
effectively. Along with this, it has been examined that marketing process helps the company in
increasing their sales. In addition to this, this report describes about different marketing
functions, with the help of which company can increase the productivity level. Along with this,
this report examined that with the help of marketing plan company can execute their pre planned
activities in an effective manner. As a result, it will increase the profitability of the company at
competitive marketplace.
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REFERENCES
Books and Journals
Ahmed, P.K. and Rafiq, M., 2013. Internal marketing. Routledge.
Armstrong, G and et al, 2015. Marketing: an in
Baack, D. W., Harris, E. G. and Baack, D., 2013. International marketing (Vol. 3). Sage.
Babin, B. J. and Zikmund, W. G., 2015. Essentials of marketing research. Nelson Education.
Baker, M. J. and Saren, M. eds., 2016. Marketing theory: a student text. Sage.
Brady, D. L., 2014. Essentials of international marketing. Routledge.
Clow, K. E. and James, K. E., 2013. Essentials of marketing research: Putting research into
practice. Sage.
Huang, R. and Sarigöllü, E., 2014. How brand awareness relates to market outcome, brand
equity, and the marketing mix. In Fashion Branding and Consumer Behaviors (pp. 113-
132). Springer, New York, NY.
Joshi, M., 2012. Essentials of marketing. Bookboon.
Lovelock, C., 2011. Services marketing: People, technology, strategy. Pearson Education India.
opolšek, D. and Čurin, A., 2012. The role of employee relations in the level of internal
integration between logistics and marketing functions: the case of Slovenian retail
companies. Organizacija. 45(1). pp. 3-13.
Rossi, P. E., Allenby, G. M. and McCulloch, R., 2012. Bayesian statistics and marketing. John
Wiley & Sons.
Silberschatz, A., Galvin, P. B. and Gagne, G., 2014. Operating system concepts essentials. John
Wiley & Sons, Inc..
Silver, L and et al, 2012. The essentials of marketing research. Routledge.
William, K. and Zikmund, B.J., 2012. Essentials of marketing research. London: Cengage
Learning.
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