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A Project Study Report On Training Undertaken at

Titled Marketing Strategy of Cadbury Cadbury India ltd. Jaipur In Partial fulfillment for the Award of Degree of Bachelor of Business Administration

Submitted byDhola Ram B.B.A- 3rd Year

Submitted toMr.Kailash Yadav

BEHROR COLLEGE, BEHROR (ALWAR)


(2011-12)

PREFACE
This project is on Marketing strategy of Cadbury Cadbury India ltd. Taken by Cadbury in pursuit of TQM Phase- III certification for the Jaipur. In the I phase of the project I collected various samples from the Distributors and Retailers and surveyed the warehouses along various quality parameters with the help of questionnaires and observation method. In the second phase I analyzed the data generated in the I phase, generated report on its basis and presented the same to the quality department officials with the help of bar graphs, pie-charts and histograms.

ACKNOWLEDGEMENT
I express my sincere thanks to my project guide, Mr. Pranav Bhatt (Quality Assurance Manager), for guiding me right from the inception till the successful completion of the project. I sincerely acknowledge her for extending their valuable guidance, support for literature, critical reviews of project and the report and above all the moral support she had provided to me with all stages of this project. I would also like to thank the supporting staff R. S. Rawat (Senior Executive, Quality Assurance), for his help and cooperation throughout our project. I would also like to thank the supporting my college faculty Mr.Kailash Yadav , for his help and cooperation throughout our project.

Dhola Ram B.B.A- 3rd Year

EXECUTIVE SUMMARY
This project entitled marketing strategy of Cadbury was undertaken in Jaipur Trade has always been part of civilized society from time immortal. From barter system to plastic cards, trade has slowly but steadily graduated to a very sophisticated set up. Marketing strategy of Cadbury are yet another addition to the modern set up in our project we studied the market potential of the marketing strategy of cadbury. We surveyed hotels, bakeries, hospitals, theaters, clubs and ice-cream companies as a part of new channel. We also covered the major departmental stores in the city under the modern trade. We analyzed the potential of each of the institution and also made some of them Cadburys potential clients. We also did a comparative study of all the new channels and ranked them as according to their evaluated contribution to sales In our study we also did a comparative study with competitors, found their market reach and market penetration in the new channels. This study was made by interviewing concerned persons in the new channels through defined set of questions. After collecting the data it was analyzed where Cadbury India Ltd. is ahead of its competitors and where exactly it is lagging behind and who all are interested in placing Cadbury in their premises and who arent. The reasons for showing their disinterest were also noted down. A SWOT analysis was done to measure the same.

TABLE OF CONTENTS

S. NO. 1. 2. 3.

Descriptions Introduction to the industry Introduction to the Organization Research Methodology 1. Title of the Study 2. Duration of the Project 3. Objective of the Study 4. Types of Research 5. Collection Method and Sample Size 6. Scope of Study 4. 5. 6. 7. 8. 9. 1 0. 7. Limitation of Study Facts and Findings Data Analysis and Interpretation Swot Analysis Conclusion Recommendation and Suggestion Appendix Bibliography

Page no. 3-6 7-26 27-32

33 34-45 46-47 48 49-54 55-57 58

1. INTRODUCTION TO THE INDUSTRY


Cadbury India's five factories in India churn out close to 8,000 tones of chocolate and the company sells a million bars every day.

But Bharat Puri, managing director of Cadbury India will never forget the batch of Dairy Milk chocolates numbered 28F311 manufactured last year at the company's plant in Thane, near Mumbai. That was the worm-infested batch that triggered a crisis for the company that had always prided itself on its squeaky clean image. The timing of the controversy couldn't have been worse. Festival season sales (Cadbury sells almost 1,000 tonnes of chocolates during Diwali) plummeted 30 per cent. Until then, in the country's FMCG sector plagued by slow, low single digit top line and bottom-line growth, Cadbury was a sweet exception. But its net profit in 2003 dipped 37 per cent to Rs 45.6 crore (Rs 456 million) as compared to a 21 per cent increase the previous year. Now, a year later, Cadbury says that consumers have long forgotten the controversy and are back to their merry chocolate-chomping ways. "Sales are back to the pre-controversy levels. Consumer confidence in the product is back and there has been a steady progression in sales," says Sanjay Purohit, head (marketing) Cadbury India. The company expects to close the year with a high double digit sales growth.

Industry Profile

Chocolate & Confectionery Industry: The size of the Indian chocolate & Confectionery industry is estimated to be Rs.2, 500 million, which is totally dominated by MNCs accounting for more than 95%. The industry has been growing at a compounded annual growth rate (CAGR) of 5% over the last decade out of this more than 100% growth came in the last two years. It is expected that the industry will grow at a rate of 15-20% per annum. The penetration of chocolates amongst urban Indians is 19% as compared to 34% for soft drinks. Consumption of chocolate confectionery is around 21 gms, per person per year in India as compared to 8kgs in the US, UK, and Switzerland and around 5kgs in most of Continental Europe. Even if 5%, of the Indian populace were to consume 1kg of chocolate per person per year, the consumption of chocolate in India would more than double up overnight. Chocolate consumption in India pales in comparison with estimated sweet sales of Rs.80-100 billion per year and sugar consumption of about 15 million tonnes per annum. The total production of chocolates and confectioneries in the world is valued at about $ 20 bn and India accounts for less than 0.01% of it. This is despite the fact that India boasts of 17% (990 million) of the total population in the world. Low investment in this sector is the main cause for this dismal picture. Malted food drinks category consists of white drinks and brown drinks. White drinks account for almost two-thirds of the 90,000 ton market. South and East are large markets for food drinks, accounting for the largest proportion of all India sales. Cadburys Bournvita is the leader in the brown drink (cocoa based) segment. In the white drink segment, Smithklines Horlicks is the leader. Other significant players are Heinz (Complan), Nestle (Milo) and GCMMF (Nutramul). Market leader Smithkline also owns other brands such as Boost, Maltova and Viva.Cadbury's Bournvita has 18% market share, after Horlicks 43.1% and Complan 18.9%, in this segment and witnessed a growth of 50% during the last year. 5

Indian chocolate and confectionery sector has grown at a CAGR of 5% during the last ten years and at present the size of the chocolate and confectionery market is Rs.2, 500 million. It is expected that the industry will grow at the rate of 15-20%. Market leader in the chocolate & confectionery segment, dominates the industry with whopping 70% market share, Nestle is the nearest competitor with 20% market share. In malt health beverage segment Cadbury is ranked number three with a market share of 18% after Horlicks 43.1% and Complan 18.9%.

FOOD DRINKS
Market Statistics - Food Drinks Market Size (Volume) Growth rate (last 3 years) Share of white drinks Share of Brown drinks Cadbury's share 73,500 tpa 8.5% p.a. 68% 32% 14.2%

Branded Impulse Market includes: Chocolates, Biscuits, Ice Creams, Salted Snacks and Soft Drinks

There are over 1.5 million retail outlets for FMCG in India. Over two-third of these stock branded impulse products, but fewer than 25% sell chocolate.

Branded Impulse Market

Current chocolate value share of total impulse category is 6.1% (CIL 4.4%). Though this is relatively small, changing tastes and lifestyles of consumer offer tremendous scope for growth.

Chocolate confectionery is sold at premium in India compared to other branded impulse products.

The market for confectionery in India increased between 1998s-2008, growing at an average annual rate of 10.8%. The leading company in the market was Cadbury Schweppes plc. The secondlargest player was Campco, with Dabur India Limited in third place.

CADBURY SCHWEPPES
Cadbury Schweppes is the No.1 confectionery and third largest soft drinks company in the world. We manufacture, market and distribute branded chocolates, confectionery and beverages that bring smiles to millions of consumers across 180 countries. The origin of the group goes back over two centuries. Some of the most loved international brands are from the stable of Cadbury Schweppes Cadbury Dairy Milk, Dr Pepper, Flake, Trebor Basset, Snapple, Motts and with the acquisition of Adams, brands like - Halls, Clorets, Trident, Dentyne and Bubbas bubble gum range will now be part of the Groups portfolio. 55,000 people populate the humming offices of Cadbury Schweppes across the globe. The Core purpose of Cadbury Schweppes is Working better together to create brands people love. We are respectful of the social and natural environment in which we operate; supportive of our consumers, customers and colleagues; proud of our heritage, and passionate about success.

2. INTRODUCTION TO THE ORGANIZATION

Organizational structure

Managing Director

General Manager

Vice President

Marketin g

Manufacturin g

Sales

Finance

Distribution

Company profile
Cadbury was originally incorporated as a wholly owned subsidiary of Cadbury Schweppes Overseas Ltd (CSOL) in 1948. The companys original name was Cadbury Fry (India) Ltd. In 1978, CSOL diluted its equity stake to 40% to comply with FERA guidelines. In 1982, the name was changed to Hindustan Cocoa Products. CSOLs shareholding was increased to 51% in Jan 83 through a preferential rights issue of Rs700mm. The current name was restored in Dec 89. In 2001, Cadbury Schweppes made an open offer to acquire the 49% public

holding in the company. The parent holds over 90% of the equity capital after the first open offer. A second open offer has been made to buyback the balance shareholding, after which the company would operate as a 100% subsidiary of Cadbury Schweppes Plc Over the years, the company attempted several diversifications in food category, albeit with little success. In 1986, Cadbury forayed into biscuits with Cadbury Butter, Glucose and Bournvita brands. The business however, could not take off and was discontinued 3-4 years later. In 1989, Cadbury diversified into ice creams with Dollops and Lopstop brands, which were sold off to Brooke Bond in 1994. Cadbury began its operations in 1948 by importing chocolates and then re-packing them before distribution in the Indian market. After 59 years of existence, it today has five company-owned manufacturing facilities at Thane, Induri (Pune) and Malanpur (Gwalior), Bangalore and Baddi (Himachal Pradesh) and 4 sales offices (New Delhi, Mumbai, Kolkata and Chennai). The corporate office is in Mumbai.

Our core purpose "Working together to create brands people love" captures the spirit of what we are trying to achieve as a business. We collaborate and work as teams to convert products into brands. Simply put, we spread happiness! Currently Cadbury India operates in three sectors viz. Chocolate Confectionery, Milk Food Drinks and in the Candy category. In the Chocolate Confectionery business, Cadbury has maintained its undisputed leadership over the years. Some of the key brands are Cadbury Dairy Milk, 5 Star, Perk, clairs and Celebrations. Cadbury enjoys a value market share of over 70% - the highest Cadbury brand share in the world! Our flagship brand

Cadbury Dairy Milk is considered the "gold standard" for chocolates in India. The pure taste of CDM defines the chocolate taste for the Indian consumer. In the Milk Food drinks segment our main product is Bourn vita - the leading Malted Food Drink (MFD) in the country. Similarly in the medicated candy category Halls is the undisputed leader. We recently entered the gums category with the launch of our worldwide dominant bubble gum brand Bubbaloo. Bubbaloo is sold in 25 countries worldwide. The Cadbury India Brand Strategy has received consistent support through simple but imaginative extensions to product categories and distribution. A good example of this is the development of Bytes. Crispy wafers filled with coca cream in the form of a bagged snack, Bytes is positioned as "The new concept of sweet snacking". It delivers the taste of chocolate in the form of a light snack, and thus heralds the entry of Cadbury India into the growing bagged Snack Market, which has been dominated until now by Salted Bagged Snack Brands. Byte was first launched in South India in 2003. Since 1965 Cadbury has also pioneered the development of cocoa cultivation in India. For over two decades, we have worked with the Kerala Agriculture University to undertake cocoa research and released clones, hybrids that improve the cocoa yield. Our Cocoa team visits farmers and advises them on the cultivation aspects from planting to harvesting. We also conduct farmers meetings & seminars to educate them on Cocoa cultivation aspects. Our efforts have increased cocoa productivity and touched the lives of thousands of farmers.

Product Range (Plant-wise12% percent Interest will be charged on deposit


amount. The same will be debited in CTC. Rent would be exempted from income tax. 10% Perquisite Tax would be charged to the employee on his taxable income.

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COMPANY OWNED ACCOMODATION No deposit no interest. Rent would be calculated @ 11 rupees per Square feet. Monthly rental would be charged to CTC Rental Amount will be exempted from tax 10% perquisite tax would be charged on employee. Security Deposit HRA House Rental Allowance HRA can be maximum 40% of Basic Salary. Deposit and rent has to be paid by employee by self To get the tax exemption the employee has to produce the rental agreements and rental receipts of the house. The employee cant claim this benefit if He/She has his own house.

OFFICE WEAR ALLOWANCE An amount of Rs.18, 000 P.A. is exempted for income tax. To get the exemption original bills to be submitted. Items covered under this head are as follows: Attire (2) Ties (3) Shoes (4) Socks (5) Tailoring charges

LTA - LEAVE TRAVEL ALLOWANCE An Employee can block two months of Basic Salary as Leave Travel Allowance. He/She should take a minimum of 5 days leave (PL). In case of air travel-economy class fare is exempted and in case of rail travel second class AC fare is exempted. He/She can travel within India only. He/She has to produce the original travel tickets. 11

CAR Company will arrange a car through a car lease agency. Employee can choose any make/model. The EMI that will be charged would be Rs. 2095/- per Lac per month. The EMI amount per Annum would be exempted from Income Tax.

MAINTENANCE & RUNNING COST


Maintenance and Fuel Cost will be exempted as follows. Maintenance cant exceed Rs. 25, 000 per annum. If CC of the car is less than 1000 Rs. 1, 11,000 per annum. If CC of the car is more than 1000 Rs. 1, 50,000 per annum. The perquisite Tax charged would be Rs. 1200 irrespective of the cc of the car The above exemption would be provided on submission of original bills. There would be no tax exemption against if the employee has his own car.

Plant locations
Cadburys manufacturing operations started in Mumbai in 1946, which was subsequently transferred to Thane. In 1964, Induri Farm at Talegaon, near Pune was set up with a view to promote modern methods as well as improve milk yield. In 1981-82, a new chocolate manufacturing unit was set up at the same location in Talegaon. The company, way back in 1964, pioneered cocoa farming in India to reduce dependence on imported cocoa beans. The parent company provided cocoa seeds and clonal materials free of cost for the first 8 years of operations. Cocoa farming is done in Karnataka, Kerala and Tamil Nadu. In 1977, the company also took steps to promote higher production of milk by setting up a subsidiary Induri Farms Ltd near Pune. In 1989, the company set up a new plant at Malanpur, MP, to derive benefits available to the backward area. In 1995, Cadbury 12

expanded Malanpur plant in a major way. The Malanpur plant has modernized facilities for Gems, Eclairs, Perk etc. Cadbury also operates third party operations at Phalton, Warana and Nashik in Maharashtra.] Cadbury dominates the Indian chocolate market with a 65% market share. Besides, it has a 4% market share in the organized sugar confectionery market and a 15% market share in milk/ malted foods segment. Changing product mix Contribution Chocolate Sugar Confectionery Food Drinks 1994 59% 9% 32% to turnover Contribution 2001 65% 10% 24% to turnover

Chocolates and confectionery products (75% of turnover) For more than five decades now, Cadbury has enjoyed leadership position in the Indian chocolate market to the extent that 'Cadbury has become a generic name for chocolate products. Cadbury has leading brands in all the segments viz bars (Dairy Milk, Crackle, Temptations), count lines (5 star, Milk Treat), panned confectionery (Gems) and wafer chocolates (Perk), clairs (Cadburys' clairs), toffees (English Toffee). During 2001, Cadburys chocolate sales (65% turnover) registered a 9% value growth, aided primarily by growth in the flagship brand Dairy Milk. Dairy Milk contributes an estimated 30% to Cadburys sales. Gems and Five Star were relaunched during the year to stem their degrowth. Perk registered a degrowth during 2001 despite launch of new variants. New brand initiatives included the 13

launch of Temptations in the premium segment and Chocki a low priced chocolate confectionery targeted at children. Cadbury entered the hard-boiled sugar confectionery market with the launch of Googly in 1996. In 1997, the company launched a coffee based sugar confectionery product Mocka. Cadbury has a 4% market share in the confectionery segment, largely contributed by Eclairs. Other confectionery brands such as Gollum, Frutus, Nice Cream, etc launched in the last two years did not receive a good market response and the company has decided to minimize focus on those brands. clair was relaunched with unique packaging in cartons during 2001. Food drinks (25% of turnover) Cadburys Bournvita is the leading brand in the brown drinks segment of milk/ malted food products. Overall share in the malted food drinks market is estimated at 15%. Brown drinks earlier positioned as taste enhancers were losing market to white drinks during the last few years. Cadbury relaunched Bournvita with a new formulation and advertising campaign positioning it on the health benefit platform to compete with white drinks. The brand was relaunched in the South the largest food drink market in the country, during 2001. Bournvita sales registered a 12% growth in value terms in 2001 to Rs, contributing 24% to total turnover. Cadburys other products include Cadburys Drinking Chocolate and Cadburys Cocoa powder. These account for only 1% of Cadburys turnover.

Strategy
Increasing the consumer base by focusing on the twin proposition of affordability and availability is being followed to drive future growth. Small affordable priced packs have been launched, which have helped improve penetration. Also advertising for chocolates is aimed at changing consumer perception and eating habits by creating new reasons for consumption.

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OVERALL FUTURE STRATEGY


Focus on maintaining dominance on Chocolate Comfy market and leadership in Brown Drinks. New growth drivers in new Choc consumer segments like Gifting, Child connectivity, low end VFM and new channels. Grow sales volume around 10% p.a. (avg) over next 3 years. Best in class TMC in CSplc for CDM and clairs. Launch of one new major product every year.

Creating Value in Future Effectively managing growth drivers 1. Gifting Child Connectivity and low end VFM. 2. New channels.

Optimizing manufacturing efficiencies. Aiming for best in class TMC in Cadbury Schweppes plc. (CS) for CDM and clairs.

Competitiveness in logistics and distribution using IT. Exploiting mass media to create / maintain large brands. 10+% Advertising / Sales.

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Cocoa Beans About half of requirements bought locally. "Forward" purchases in case of imports. "Cash on delivery" purchases locally 1. Purchase Price declared by CIL, giving fair price to farmer. 2. Long term relationship

Local cocoa area development in progress 1. Expansion 2. Better yields

Chocolate Imports

Greater presence of imported products Low volume high trade margin segment Reducing restrictions and duties Threat as well as opportunity. CS International portfolio being evaluated.

Our Vision

Cadbury in every pocket Superior shareholder value.

This Requires

Broadening our consumer appeal and extending our reach to newer markets.

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Sustained growth of our market share through aggressive product development. Striving for international quality in our products and processes. Focusing on cost competitiveness, productivity and innovative utilization of assets. Energizing and developing our people.

CIL in relation to Competition


Stronger brands in Chocolates Defining Chocolate taste Dominant Chocolate market shares First mover advantage Established distribution network. Aggressive market development Sugar Brand portfolio one among many 1. though dominant in clairs category 2. very strong price led competition

Only one player (Nestle) who competes across all categories. Concentrated advertising campaign to ensure positioning and recall.

Increasing market share through

Broadening consumer appeal 1. 4,50,000 outlets 2. 2,100 + distributors. 3. Strategy aimed at fostering new users 17

4. 8 million new consumers added in 2000.


Total now above 60 million Aggressive product development.

Earnings sensitivity factors Cocoa bean prices: Domestic as well as international prices of key raw material - cocoa have significant impact on margins. Excise duties : Changes in excise levied on malt and chocolate influences end product prices and thereby volume growth as well as margins. Changes in custom duties and foreign exchange fluctuations, as 20% of raw material is imported. Competition from MNCs like Nestle as well as imported brands. Increasing competition puts pressure on advertisement budget and margins. However on the positive side, it helps in expanding the market. Focus areas for growth

Impulse snacking Child connectivity Gifting New channels & Institutional sales

SUGAR CONFECTIONERY
Growing market share

Optimum utilization of distribution network and reach Introduce technologically differentiated value added sugar products Focus on quality and packaging Regular introduction of variants.

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Current scenario

No. 2 in food drinks market. Positioned on platform of 'taste and energy'. Associated with children through programs such as 'Bournvita Quiz Contest'.

Reaching one step up


Extend positioning of 'taste and energy' to adults. Continue programs for associations with kids. Increase association with kids through website 'bournvita.com' 1. Games 2. Education and information.

Plans for near term future Increase share in impulse category Introduce new product offerings to grow overall business. Enhance Chocolate Confectionery products offer to drive growths in wider consumer segments. Introduce differentiated value added Sugar Confectionery products. Enhance share in Food Drinks market. High focus on Economic Profit

The Diagnosis
Today, The Real Taste of Life campaign, which served Up chocolate in general, and COM in particular, into the consciousness of adult, has already become a classic of advertising and marketing. By 1993, Cadbury was desperately seeking growth for the brand With a market share of 70%, trying to win away customers from competitors in this stagnant market wouldnt help. They had to find new customers, people whod never bought chocolate before. Or, they 19

had to increase consumption levels. The obvious solution, in a peculiar predicament. Despite low penetration, both the brand and the category were displaying symptoms of age: faltering growth, high recognition, and lack of excitement. The market research revealed the cause of the graying: chocolate wasnt a snack in India. In mature markets, chocolate straddle a continuum, from boutique product packaged raw indulgence to a casual food. So, Cadbury whipped up a growth solution that involved associating the brand with snacking and functionally, which inevitably go together with high consumption rates in the Western markets. The next step: identify the barriers preventing consumers from chocolate as a snack. Battery of test, quantitative and qualitative, comparing chocolate consumption to a basket of competitive products revealed an unmistakable answer. Cadburys Was Caught In Its Own Trap How? The company had, over decades, created a context of chocolate consumption that was now chocking growth possibilities. The baggage of the past was so overpowering that people didnt get influenced by minor shifts in the message. In fact, the behavioral and attitudinal patterns conveyed by the communication to build the brand were proving restrictive. For, Cadbury had, using the traditional demographic variables of age, socio-economic groups, and usage intensity, positioned COM as a product that elders typically, parents bought for children typically, their own. But admittedly enduring values of love and sharing, parental affection, and reward that Cadbury had labored to associate with the brand, which had helped it forge a relationship with customers, had relegated it to being a special occasion item, ruling out increased individual consumption. After all, special occasion item, ruling out increased individual consumption. After all, special occasion were meant to be a rare.

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A typical Ad would show parents bringing home chocolate for their child. It would never, ever, show the child, or the parent, buying it for himself or herself. The punch line Sometimes Cadburys Can Say It Better than Words, and Nothing But The Best Will Do reinforced the notion, with an unwelcome side effect: adults, as research showed, felt distinctly guilty and embarrassed about eating chocolate, whether alone or socially. Not only were adults not indulging in chocolates, but they were also actively curtailing child consumption solution? Forget children as the core consumer. Universalize the product, targeting the parents.

The Tests Despite the Need to Clear the residual memory of CDMs former association, caution prevented a big break with the past, forcing Cadbury to experiment with a combination of continuity and change. The process entailed understanding the foundation of the brand, since it was these that would support the new structure. Out went the caring - and - sharing element, but the family context stayed. Cadbury had two pillars, so it made sense to change one. Chocolate should be eaten whenever you feel like. It was an impulse item, so why shouldnt it be sold as one? The first of the two commercial focused on functionality, purging the emotional element. Is the storyline, the father watches TV, engrossed, gnawing away at a bar of CDM. The children enter, followed by the mother-but, by that time, the father has completed the distinctly UN paternal act of devouring the entire bar. The children are shocked, where upon the produces another bar for them-only to eat that up too. Finally, the mother brings another bar out of her bag. The last shot more CDM bars strew around casually. The second commercial conveyed the same message, depicting four member of a family doing their own thing on a Sunday afternoon, and each casually munching away on chocolates. The less than subtle message: eating chocolates just an 21

everyday affair, without special occasion or relationship coming into play. Despite their strategic intent, both ads failed on pre airing tests. Why for stators, children were outraged at the idea of a parent consuming chocolate, while adults were down right angry at the notion of the father depriving his children of chocolate bar. Just as important, consumer rejected the idea that chocolate-eating could be equated with mechanical activities like combing ones hair. After all, chocolates were about feelings. There had to be magic, romance, love and emotion. These elements had been ripped away from the advertising. It was sans emotion. Parent Are Different From Adults Even as the ad failed, however, they generated a valuable byproduct, in the form of a new insight, into adult behavior. Using transactional analysis on response, Cadburys found that adult as parents behave very differently from adults as adults. People forbid their children from having chips, but gorge themselves. The implication:The moment the adult was shown in the context of his role as a parent, all his cognitive preconception about the product would come to the fore. Hed think about the reasons why, and the block would automatically come up. Tap child-ego state within the adult, stimulating desire, spontaneity, and the craving for instant gratification. The Prescription The crucial question that Cadbury was confronted with: what strategy should it deploy to rejuvenate COM in a way that would appeal to the child lurking within the adult? To inject a modern flavor into COM, they chose to create a new brand identity, borrowing a leaf from marketing guru David Aaker, who decrees that brand identity should establish a relationship between the brand and the customer by generating value proposition involving functional, emotional, or self-expressive benefits.

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The Ads Had To Be Linkable The consumer will always tell what his current belief system is, not what it should be Cadburys job to mould has habits and behavior in a way that would increase consumption for product and brand. Impulse Drives Chocolate Sales The Elixir Having decided to barter the distinctly use selfish values of sharing and caring for the suspiciously self-centered one of self-expression, Cadburys people insisted that the rejuvenate be enriched with compensation and equally enduring positive values: universal truths, enduring human values, and universal moment of joy. To translate the brief into the commercial, they decide to simply portray occasion of childlike-but not childish-behavior from adults, without explicitly identifying adults as the target customer. They left the connection to be made by the customer In the process they were able to get viewer involvement and high levels of empathy. Nowhere did they actually say, youre an adult, you can eat it. Because nobody wants to be told. Thus it was that, the montage of the child in the man-the old man kicking the football; the pregnant woman carving a chocolate; young girl breaking into a spirit; the young man tossing a bar of chocolate at his sweet-heart departing in a buswas created. That the consumption had to be liked before it could penetrate the cultural resistance to chocolate consumption by adults was obvious. Taking a contrition stance, Cadbury decided to test the commercial being devised by O&Ms creative team not for the tire battery of likeability, comprehension, credibility and behavior modification but only for the first two. If asked upfront, the consumer was hardly likely to consider the dramatically-different idea credible. Nor was there much chance of her announcing an immediate change in behavior. But why likeability and comprehension? Simple: the first was meant to be the vehicle on which the

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daring idea-that adults should enjoy chocolate-would ride into the consumers psyche. In other words, the commercial was meant to make him smile at first-and only then realize the import once of the message, which is where the comprehension had to be tested. What was clear in this case was that likeability would have to include identification and feeling warmth.

The Real Taste of Life Campaign


The very first ad in the campaign in 94 was block Buster. It depicted the essence of one and a half glass of milk pouring in to a boy Dairy Milk unique glass and half in to a chunk icon shows the glass and a half of full cream milk flowing in to the chunk of dairy milk conveying the deliciousness and taste appeal of the gooey, creamy, smooth chocolate inside the pack that children like. The mnemonic of 1 glass reached to consumer through every magazines, poster, T.V, newspaper. The second ad was montage of vignettes from every day lives of young and old which focused on showing a series of emotions. The ad created a being out the child in the man created to bring out the child in the. The old man kicking the football, the pregnant women craving chocolate, young girls breaking into a spirit, the young man tossing a bar chocolate at his sweet heart departing into a bus. The common refrain linking them was the adult in a free child mode spottiness, impulsive and carefree. The ad was protested among adults trough focus groups. The ad received an overwhelming response. It was high on likeability, evoked a great degree of empathy and identification consumers response were those me Feel like that.. Every feels like this.. Brand usage was perceived to cut across all age groups and accessions. Consumers described dairy milk as of all ages Eat, when ever you feel like ityou do not have to wait for an occasion.

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Dairy Milk had successfully enabled the free child in the consumer subsequent adverting used the same communication strategy.

The next ad featured an on going match in the field. Think of a match India batting against Pakistan. The score, 6 runs to win with 1 ball left and India wins the match. The ad shows a girl dancing with jubilation on the cricket field when her hubby hits the winning stroke. The award winning campaign, designed by Ogilvy and matter, were intended to rid the Indian chocolates eater of that guilt complex. The advertisement suggested, through not in so many words, that it was ok to be seen including in a chocolate in public. You could relate the sweetness of success of chocolate. The ad draws attention to the actual eats experience. The fourth in this series was the girl with on her hands. The ad focused on showing how the girl relishes the Dairy Milk when she has Mahanadi on her hands. The idea behind this advertisement was to show the nature of chocolate as an impulse driven product. Post campaign saw a great turn around. Dairy Milk transformed in to a young full brand full of zest. It came to be recognized as an expression of spontaneity and in pulse. The campaign succeeded I softening attitude towards chocolate and lifting then out of the ream of kiddies / special occasion only. It embraced a wide range emotion all build around them that chocolate means different things to different people at different times, but most importantly chocolate is Cadbury. The New Campaign And finally, with the launch of the new colloquial advertising campaign Khaannein Wallon Khaannein Ka Bahana Chahiya featuring MTV VJ Cyrus Broacha, Cadbury India aimed to substantially increase penetration level of the chocolate category in the next few years. The new campaign is worth noting as it clearly differs from the earlier one in terms of rectifying the consumer perception about chocolate being an up market impulse

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driven product. The attempt now is to change the image, to make chocolate eating a regular habit. The current estimated penetration level of the chocolate category is 19% in the urban market. The objective behind the new communication on Cadbury Dairy Milk is to make the chocolate category more socially and culturally relevant and drive penetration in the process. The new campaign has been launched in tandem with the old ar@@ Winning Kuch Khass Hai campaign and the media strategy is to let the two co exist towards a common vision providing a Cadbury in every pocket. The second ad was montage of vignettes from every day lives of young and old which focused on showing a series of emotions. The ad created a being out the child in the man created to bring out the child in the. The old man kicking the football, the pregnant women craving chocolate, young girls breaking into a spirit, the young man tossing a bar chocolate at his sweet heart departing into a bus. The common refrain linking them was the adult in a free child mode spottiness, impulsive and carefree. The ad was protested among adults trough focus groups. The ad received an overwhelming response. It was high on likeability, evoked a great degree of empathy and identification consumers response were those me Feel like that.. Every feels like this.. Brand usage was perceived to cut across all age groups and accessions. Consumers described dairy milk as of all ages Eat, when ever you feel like ityou do not have to wait for an occasion. Dairy Milk had successfully enabled the free child in the consumer subsequent adverting used the same communication strategy

Competitors profile
Competition: Cadbury has been losing market share, but continues to dominate the chocolate market with about 65% market share. Nestle has emerged as a 26

significant competitor with about 24% market share. Other national players in segment include co-operative owned Amul and Campco, besides a host of unorganized sector players. The sugar confectionery segment is largely dominated by the unorganized players. Leading national players in this category include Nutrine, Parry's, Ravalgaon, Candico, Parles, Joyco India and Perfetti. The MNCs such as Joyco and Perfetti have aggressively expanded their presence in the country in the last few years. but the major competitor of CIL is Nestle with its brand of chocolates, kit Kat and Munch. Nestle India Ltd,

Nestle India Ltd, 51% subsidiary of Nestle SA, is among the leading branded food player in the country. It has a broad based presence in the foods sector with leading market shares in instant coffee, infant foods, milk products and noodles. It has also strengthened its presence in chocolates, confectioneries and other semi processed food products during the last few years. The company has launched Dairy Products like UHT Milk, Butter and Curd and also ventured into the mineral water segment in 2001. Nestles leading brands include Cerelac, Nestum, Nescafe, Maggie, Kitkat, Munch and Pure Life. CIL in relation to Competition

Stronger brands in Chocolates Defining Chocolate taste Dominant Chocolate market shares First mover advantage Established distribution network. Aggressive market development

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3. RESEARCH METHODOLOGY
The research includes both primary and secondary data. The information from the respondents is collected through questionnaire. The primary data was collected form employees of the CADBURY INDIA LIMITED and secondary data is collected from the books. The sample size is 60 and samples are selected on the basis of convenient from every department of the company. Questions are framed in such a way that the answers reflect the ideas and thoughts of the respondents with regard to level of satisfaction. For job related factors like scale (five rating scale) is used in which respondents are required to show their level of satisfaction from 1 to 5 (1= Strongly Agree, 2= Agree, 3= Neutral, 4= Disagree, 5=Strongly Disagree) and for personal factor simple category scale is used and respondents are required to tick at the appropriate box. Some facts revealed in the study are bases on personal observations also.

3.1Title of the Project


Marketing strategy of Cadbury

3.2Duration of the Project


For 45 days.

3.3 Objectives of the study


The objective of conducting such research is to know the level of satisfaction among the employees of CADBURY INDIA LIMITED. Further it will also help to know the various job related and personal factors and their extent to which they affect the satisfaction level of employees, so that meaningful conclusions and suggestions could be made in order to make the human resource policies and practices of the company more effective and efficient.

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Research objective

To find out new channels. To analyze the potential of these channels. To find Cadburys competitors and there share in the channels. To find out interest rate of keeping/using Cadbury products and reasons for disinterest.

Importance of the project


The project holds a special place for Cadbury India ltd. keeping in mind the population profile of Jaipur, there is a huge potential for targeting the people except those visiting normal retail shops.

Methodology
To meet the research objective and finally the project objective, the whole research was divided into phases. Each phase had a particular objective and a particular time frame. To meet the project objective, it was divided in 5 phases which are discussed below. It was felt that the adoption of Descriptive research would be more appropriate. Descriptive research includes surveys and fact finding enquires of different kinds.

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Phase 1: Objective:
To study the existing new channels and modern trade outlets. To know the market, the product rates and margins provided to the intermediaries.

Time taken: 9 days (including data collection)

Phase 2 Objective:
To find out the opportunity for NCD in 3, 4,5 star hotels. To find out the acceptability of Cadbury products there. To find out Cadburys competitors and their share.

3.5 Sample design:


Census method was followed while surveying.

Sample size:
There are 33 hotels of 3, 4 and 5 star category and we surveyed them all.

Time taken: 1 week

Phase 3 Objective:
To find out the opportunity for NCD in bakeries To find out the acceptability of Cadbury products there. To find out Cadburys competitors and their share.

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Sample design:
Simple random sampling method was followed while covering the bakeries.

Sample size:
A sample size of 25 bakeries was taken.

Time taken: 1 week

Phase 4 Objective:
To find out the opportunity for NCD in Theaters and clubs To find out the acceptability of Cadbury products there. To find out Cadburys competitors and their share.

Sample design:
Simple random sampling method was followed while covering the theaters and census method was followed while covering the best clubs.

Data collection method Primary data


Primary data are those data which are collected afresh and for the first time, and thus happens to be original in character. The primary data was collected through administering schedule, observations and interviews.

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Secondary data
Secondary data are those which have already been collected by someone else and which have already been passed through the statistical processes. The secondary data were collected from websites and magazines.

3.6 Scope of the study


The scope of the study extends from lower hierarchical level (workers), middle hierarchical level (supervisors) to upper hierarchical level (Managers) of the company, so it is a comprehensive study. the Chocolate Confectionery business, Cadbury has maintained its undisputed leadership over the years. Some of the key brands are Cadbury Dairy Milk, 5 Star, Perk, clairs and Celebrations. Cadbury enjoys a value market share of over 70% - the highest Cadbury brand share in the world! Our flagship brand Cadbury Dairy Milk is considered the "gold standard" for chocolates in India. The pure taste of CDM defines the chocolate taste for the Indian consumer. In the Milk Food drinks segment our main product is Bourn vita - the leading Malted Food Drink (MFD) in the country. Similarly in the medicated candy category Halls is the undisputed leader. We recently entered the gums category with the launch of our worldwide dominant bubble gum brand Bubbaloo. Bubbaloo is sold in 25 countries worldwide. The Cadbury India Brand Strategy has received consistent support through simple but imaginative extensions to product categories and distribution. A good example of this is the development of Bytes. Crispy wafers filled with coca cream in the form of a bagged snack, Bytes is positioned as "The new concept of sweet snacking". It delivers the taste of chocolate in the form of a light snack, and thus heralds the entry of Cadbury India into the growing bagged Snack Market, which has been dominated until now by Salted Bagged Snack Brands. Byte was first launched in South India in 2003. 32

Since 1965 Cadbury has also pioneered the development of cocoa cultivation in India. For over two decades, we have worked with the Kerala Agriculture University to undertake cocoa research and released clones, hybrids that improve the cocoa yield. Our Cocoa team visits farmers and advises them on the cultivation aspects from planting to harvesting. We also conduct farmers meetings & seminars to educate them on Cocoa cultivation aspects. Our efforts have increased cocoa productivity and touched the lives of thousands of farmers

3.7 Limitations of the study


) The sample was confined to 60 respondents. So this study cannot be regarded as full -proof one. ) Some respondents hesitated to give the actual situation; they feared that management would take any action against them. ) There was a fear of reprisal among the employees to reveal their personal feelings and the result may not reflect the actual satisfactions.
) The findings and conclusions are based on knowledge and experience of

the respondents sometime may subject to bias.

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4. FACTS AND FINDING

The findings are as follows: 1. It was observed that few years back Cadbury was present in many hotels like Trident Hilton, Hotel Neelam, and Holiday Inn etc. but was discontinued because of improper service provided by the distributor. 2. Credit pay period of many hotels range from 30-45 days where as the distributors maximum credit days are 15 days, this makes the distributors reluctant in supplying to these hotels. 3. The hotels have a policy to withdraw the chocolates from the mini bars before one month of expiry {Rajputana Sheraton}, while the company generally takes it back after expiry. 4. Cadbury products are available in the market below NCD rates. 5. Half kilo. Slab of covering chocolate is inconvenient for use as said in bakeries. 6. Most of the canteens of cinema halls are on lease and 40%of the sale has to be given to the owner. So it leaves a very less margin for the canteen owners. 7. Visi coolers were present were average monthly sale was below Rs. 1500 where as outlets with more potential are lacking Visi coolers. For ex. Hotels like Maya intercontinental and Umaid bhawan asked for visi coolers to place in antique product shop and reception counter respectively.

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5. DATA ANALYSIS AND INTERPRETATION


Cadbury has already entered this market and is a huge success. The major departmental stores to which Cadbury is catering are: 1. BIG SHOPPERS 2. SHOP N SAVE 3. GRAH SANGRAH 4. NATIONAL HANDLOOM

Consumption of Cadbury products

160000 140000 120000 In Rs. 100000 80000 60000 40000 20000 0


Big Shopper Shop 'N' Save Grah Sangrah National Handloom

FIG: Shows the consumption of Cadbury products in departmental stores

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We covered all the major departmental stores in the city. Cadbury was already present in Big Shoppers, Shop N Save, Grah Sangrah and National Handloom where as Vishal Mega Mart and Shoppers Stop showed interest and negotiations are going on. Among the departmental stores that are being covered, Big Shopper has the maximum consumption with Rs.1, 50,000 monthly in its 2 outlets as seen from the fig 23. National handloom comes second with an average monthly consumption of Rs. 95,000 in its 2 outlets. Shop N Save and Grah Sangrah both have an average monthly consumption of Rs.30, 000. * {the average monthly consumption was calculated on past 4 months data}

HOTELS
Jaipur being a major tourist attraction is always flooded with tourists. Needless to mention that because of the tourists there are large no. of hotels. Our aim was to reach to these tourists through the hotels. We mainly concentrated our work on the 3 star, 4star and 5 star hotels because of the presence of mini bars and bakery there. We surveyed all 33 hotels, which were 3 stars, 4stars and 5 stars.

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division of hotels

( 5 Star ) 38%

( 3 Star ) 46%

( 3 Star ) ( 4 Star ) ( 5 Star )

( 4 Star ) 16%

Out of these 33 hotels, 15 were 3 stars, 5 were 4 star and 14 were 5 star.

Fig. : Chart showing presence of mini bars and bakery in hotels

Out of all hotels covered 10 hotels had only mini bars, 15 had both mini bars and bakery and 8 had neither mini bars nor bakery. Out of these only 6 mini bars contain chocolates.

percentage of hotels using covering

others 14%

nestle 29%

nestle Cadbury morday others

morday 43%

Cadbury 14%

Fig: chart showing percentage of hotels using different brands 37

The figure shows the percentage of hotels using different brands of covering. It was seen that the main competitors were Morday and Nestle with 43% and 29% respectively.

PHASE 3 BAKERIES Bakery

The market of bakery is well settled and running successfully. A bakery is a place which is visited by people of all age group. May be it a birthday party, a marriage anniversary or a farewell party, bakery is a place where we find people. People travel miles for getting the taste of good cakes and pastries. Jaipur is no exception; it is flooded with bakeries which are well known for their cakes and pastries. Among the cakes and pastries chocolate pastries and cakes hold a special position. We surveyed 25 bakeries through which we wanted to reach the whole city.

BASE CHOCOLATE OF CADBURY IN BAKERIES

IT WAS FOUND THAT NEARLY ALL BAKERIES HAD CADBURYS BASE CHOCOLATE IN THERE RETAIL COUNTERS.

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Nearly all bakeries were keeping chocolates of Cadbury in their retail counter. They were taking it from different distributors at normal margin. Average monthly sale of chocolates were around Rs 5000.

covering chocolate used in bakeries

others 29% Cadbury Cadbury 57% nestle 14% nestle others

Fig: shows percentage of bakeries using different brands of covering Among the 25 bakeries covered there were 3 bakeries which were not using covering chocolate. Out of the 22 bakeries that were using covering chocolate 57% of the bakeries were using Cadbury. Nestle was being used by 14% of the bakeries while the rest 29% of the bakeries were using other brands. Maximum bakeries were using Cadbury only.

This is very clear from fig.


consumpution of covering in bakeries

others 24% Cadbury nestle 12% nestle Cadbury 64% others

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Fig: shows the consumption of different brands of covering

Fig. shows the consumption of different brands used in bakeries. It was calculated according to the average monthly consumption of coverings in kilo. It was seen that Consumption wise also Cadbury was the leader. Cadbury was used maximum in bakeries with 64%consumption, Nestle with 12% and others with 24%consumption. Others consisted Wakefield, macro, and other local brands. Others also includes Bake hut which did no reveal which brand it was using.

response of cadbury in bakery

not interested 28% using 48% using interested not interested interested 24%

Fig: shows the response of Cadbury covering in bakeries

Out of the 25 bakeries 12 bakeries were using Cadbury covering that is 48%. 24% that is 6 bakeries were interested in using Cadbury while 28% i.e., 7 bakeries were not interested in using Cadbury. The reasons for not using Cadbury covering in bakeries are as follows:

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Covering chocolate of Cadbury comes in 500 gm slab which is not convenient to use as compared to other brands of covering which comes in 1 kg slab.

According to few bakeries the width of covering of Cadbury is less compared to others, and it makes the job easier if the width is at least 1 inch.

Bakeries using local brands are not ready to switch to Cadbury as the local coverings are cheaper than branded ones.

PHASE 4 THEATERS & CLUBS THEATERS


Theaters are major crowd puller, huge mass of people visit theaters daily and frequently. Its a place where crowd of all age group come together. Theater being a major source of entertainment is a roaring business now days as people come to enjoy themselves. People coming here for entertainment are ready to spend. Our aim was to cover the cinema halls and through them reach to the innumerous people visiting the theaters. We surveyed 10 theatres, which includes 5 multiplexes and 5 cinema halls.

Seria

Name

Seats Chocolate Interested consumption


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l no.
1. 2. 3. 4. 5. Moti mahal 6. Raj mandir 7. Gem 8. Space 9. Vaibhav 10. Cine star 1400 1500 1600 1120 1000 Galaxy Golcha Ankur 2000 1000 1000

presence
N Y N N Y N N N Y Y

in cad. or not
Y Rs 2000 Y Y Rs 500 N N Y Rs 2000 Rs 2000

Entertainment 2500 paradise 1200

se atin g cap acity o f d iffe re n t cin e ma h alls


3000 2500 2000 1500 Fig: shows the seating capacity of different theaters 1000 500 0 vaibhav Ankur Gem Golcha Galaxy Space Entertainment paradise Moti mahal Raj mandir Cine star

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From the above figure it can be seen that Entertainment Paradise has the largest seating capacity with 2500 seats, as it has got 3 screens. Galaxy follows next with 2000 seats and has 2 screens .Space; Vaibhav and Cinestar have 2 screens each and have 1600, 1500 and 1400 seats respectively. Other cinema halls have more or less 1000 seats. Entertainment Paradise, Galaxy, Rajmandir, Space, Vaibhav and Cinestar have the largest number of footfalls as according to order.

CLUBS
Clubs is a union of people where they come to share their views, but now a day people come here only for relaxation and enjoyment with their family. Our objective was to reach these families. These families are generally from upper middle class and upper class of income group with adequate income so that they can spend lavishly.

Serial no. Name 1. Grass 2. 3. 4. 5. 6

Members Daily visit Interested or not field 300 50 Yes 950 800 1000 1200 1500 200 100 100 50 total members 150 Yes Yes Yes No Yes

club Jai club Ashoka club Jaipur club Rotary club Rajasthan club
1600 1400 No. of members 1200 1000 800 600 400 200 0 Grass field club

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Jai club Ashoka club Jaipur club Rotary club Rajasthan club

Fig: shows the total no. of members in each clu

We covered 6 clubs of Jaipur namely Grass field club, Jai club, Ashoka club, Jaipur club, Rotary club and Rajasthan club. The average members of all the clubs taken together was around 960.
Daily visit of members
250 200 No. of members 150 100 50 0 Grass field club Jai club Ashoka club Jaipur club Rotary club Rajasthan club

Fig: shows the daily footfalls of members in each club

From the above graph we can see that Jai club and Rajasthan club has maximum no. of members visiting daily with 200 visitors and 150 members respectively. Jaipur club and Ashoka club have 100 members visiting them daily. Grass field club and rotary club is being visited by 50 members each day. 44

This shows a huge potential lying untapped in the clubs.

PHASE 5 HOSPITALS & ICE CREAM COMPANIES Hospitals


We covered 10 hospitals major and average ones in the whole city of Jaipur . Placing of chocolates in the hospital premises was thought about as people of age group visit hospitals not as patients but as visitors.

Seria l no. 1 2 3 4 5 6 7 8 9 10

Name

Presence

of Consumption Interested Rs.3000 Rs.1500 No No Rs 2000 Yes No or not Yes No

chocolate Durlabh ji Yes Sawai man singh No Mahavir cancer Yes hospital Soni hospital Kailgiri Apex hospital Apolloclinic Manu hospital Saket hospital Curewell hospital No No canteen No Yes No No No canteen
presence of canteen

not present 20% present not present

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present 80%

Fig: shows the presence of canteen in hospitals

Of the 10 hospitals covered 7 hospitals had canteen , 2 hospitals didnt have canteen and 1 hospital i.e. Apollo clinic had a medical store cum retail shop which we have included as canteen.

ICE CREAM COMPANIES


We covered 2 ice-cream companies that were present in Jaipur .The major requirement of ice-cream companies are of chocopaste. The other requirement of these ice-cream companies is covering chocolate which they are using of Cadbury only.

Serial no. 1 2

Name Frozen fun OMNI

Consumption of covering 10 kg/mth. 15kg/mth

Brand Cadbury Cadbury

Consumption of chocopaste 15lit/mth 60lit/mth

It must be noted that Saras Jaipur Dairy also sells ice-creams but they do not produce on their own. Saras markets the ice-creams of OMNI by its name. Both the ice-cream companies were interested in using chocopaste of Cadbury.

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6. SWOT Analysis
Strength
Stronger brands in Chocolates Defining Chocolate taste Dominant Chocolate market shares First mover advantage Established distribution network. Aggressive market development Only one player (Nestle) who competes across all categories.

Weaknesses
Bakeries and hotels do not appreciate the policy of price difference between wholesalers and distributors. It doesnt have tie ups with big hotel chains { like Oberoi and Taj } The company does not distribute samples to potential users. Service provided by the distributor is not up to the mark. Visi coolers provided by the company are not adequate in number. Because of which many outlets refuse to keep chocolates.

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Opportunities
Impulse snacking is an Indian habit. Attitude and disposable income changes are favourable to impulse foods. Large youth population, 47% of urban India is growing dominant chocolate consuming segment. Child and gifting segments expected to grow at faster rate. Great opportunity lies in the untapped new channels (school, colleges, clubs, hotels etc.)

Threats
Competitors like Nestle and Morday are making tie ups with hotels; this is making Cadburys market smaller and smaller day by day. Aggressive marketing by competitors in hotels. Foreign chocolates have entered the market, and are eating up the market share of Cadbury. Foreign chocolates have already found a place in Cadburys visi coolers.

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7. CONCLUSION
In the last few pages, one could clearly see how satisfied employees are with the implementation of the new safely management system and would like to have more such System implemented. A total culture of safety in the organization and even in their personal lives has been developed in the organization and each and everyone is happy to follow it.

How does an organization achieve all this?


An implementation of any new system is not welcomed enthusiastically because every human being by nature, fear change and resistance to change ought to be there. Knowing this fact, anyone of us can appreciate that skill if something was implemented so smoothly and perfectly, we can conclude that a lot of effort has been made for its success. There are two points that explain from here; All the safety rules and norms were being followed at the entire complex prior to adopt this initiative. The second point is that whatever little adjustment had to be made they couldnt be made without the entire organizations co-operation. A good amount of seriousness had been displayed by one and all, each and

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everyone had put in his\her best to practice safety and achieve the stokes whole heatedly.

8. Suggestions and Recommendation


1. Tie ups in hotels for covering as well as base chocolates should be done. This will help the company expand its market coverage. It will also prevent the entry of the competitors. 2. Company should make yearly contracts with the big outlets. It will make the outlet loyal towards the company. The contract should be revised yearly .the contract should contain the price and yearly consumption. 3. The width of covering chocolate should be increased to at least 1 inch as many bakeries complained of inconvenience in using the slab of covering chocolate of Cadbury. 4. Sample of covering chocolate should be provided to the new potential outlets. Base chocolates of Cadbury are well recognized and they dont need sampling but covering chocolate of Cadbury is not well known. 5. Cadbury should participate in local festivals organized in Jaipur like Rajasthan diwas and other fests. These festivals are major crowd pullers. 6. Visi coolers should be provided to more and more outlets and take away the Visi coolers from unproductive outlets.Visi coolers were present were

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average monthly sale was below Rs. 1500 where as outlets with more potential are lacking Visi coolers. 7. Schemes in modern trade should be small attractive gifts for children on purchase of certain amount of Cadbury product instead of providing chocolates on the same. The retailer doesnt show the scheme and sells the chocolates individually. 8. Hotels with less consumption should also be catered as this will help in building relationship with them, and help the company in the long run, as consumption rises in the seasons and festivals hotels}. 9. People visiting the hospitals may or may not visit the canteen but its sure they will visit the medical store. Many hospitals do not have a canteen so it would be more appropriate to target the medical store of the hospital than the canteens. 10. Chocolates should also be placed in amusement parks, clubs and restaurants. 11. Training department should be their in the company, if not possible then this responsibility should be assigned to the Pilot Plant. So that when ever required training should be imparted to the employees under the simulated conditions. It will enhance performance of the employee and overall profitability of the company. By doing so the company can avert miss happenings, as it has faced in the month of April. 12. Most of the workers are school level. Since they have to work in a very risky environment with dangerous chemicals, so their education level should be a little bit high. For this company should tie up with some trust or school to 51 {winters in the case of

provide part time education to the employees. This will enhance their analytical ability, level of understanding and so on. This will help the employees in doing their work efficiently and effectively and thus ultimately enhance the growth of the company. 13. Job rotation may be introduced to give the employees a diverse background. Company should extend its scope of selection from reference of employees to other like campus placement, advertisements, e-recruitment etc. Rest rooms should be maintained and cleaned properly. 14. Some employees are not satisfied with the promotion policy. They complained against the diplomatic behavior of their seniors. Thus they suggest that promotions should be given only in genuine and fair cases and not on the basis of references of the respective heads or on the basis of liking towards any specific employee.
15. Another way through which the HR can become more effective is by engaging

the department into other activities other than housekeeping, salary making or other admin work. Sessions like readers Session and meditational sessions. Such activities will not only help the HR department to come up with a change in its day to day activities but the employees too will get a change to get a kind of stable state of mind, peace of mind and would like to share their knowledge with each other. The employees will come to know facts that they didnt knew earlier.

16. Not only this but a Gathering Sessions can be conducted where the

employees can come with their families and this will help to create a sense of close bonding with each other and ultimately a sense of belongingness.

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MODEL FOR RETAINING AND MAKING NEW CHANNEL BASE

NEW CHANNELS DEVELOPED BY CADBURY

Database of NEW CHANNEL CUSTOMER

Keep updating the customers profile

Making quarterly phone calls to the potential customer and keeps updating them for the new product launch

Retained customer becoming the new customer as well as creates new customers for the new product line.

NEW CHANNEL customer base for CADBURY

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The model below explains the process of retaining customers and making new customers base. This effort will help the company to develop the goodwill

Distribution network

MANUFACTURING PLANT

C AND F AGENT

DISTRIBUTOR

DISTRIBUTOR

DISTRIBUTOR

WHOLE SALER

WHOLE SALER

WHOLE SALER

RETAILER

RETAILER

RETAILER

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There are many distributors under 1 C and F agent i.e. carrying and forwarding agent of Rajasthan. From the distributor the goods move to the wholesalers and retailers, and also from the wholesalers to retailers. From the retailers the goods reaches to the final consumers. The distributor has salesmen who take the order and reaches the goods to the concerned person. The distributor has to take the goods from the CnF agent on presenting a D.D. to the CnF agent. The distributor gets a margin of 5% on all the products. The retailers get a margin of: 13% on bytes 12% on chocolates of above Rs.16 10% on chocolates of Rs 16 and below 9% on Bournvita and Delight 7.5% on cocoa powder and drinking chocolate. N C D {new channel development} Under this the company is giving extra 5% margin to the retailers. The distributor gets his 5% margin only. All N C Ds in Jaipur get 5% extra margin except Big Shopper which gets 10% extra discount seeing its visuality and stock availability.

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9. ANNEXURE
Name: - _______________________________________________ Contact No: - ___________________________________________ Occupation: -___________________________________________

Tick as applicable:

Q.1 HOW DO YOU PERCEIVE THE BUSINESS OF HIRE PURCHASE AND LEASING? Highly competitive Growing Declining

Q.2 WHAT DO YOU PRESUME WITH RESPECT TO LIQUIDITY OF THE COMPANY? Q.3 Sound Better Improving WHAT IS YOUR MATERIAL MANAGEMENT FUNDA?

As per division Family wise

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Q.4

Separately OVERALL, HOW SATISFIED ARE YOU WITH CADBURY PRODUCTS AS A COMPANY?

Highly satisfied Satisfied Not Satisfied

Q.5

IN WHICH AREA CADBURY PRODUCTS REQUIRED MOST?

Hotels Cinema Halls Bakeries All of the above

Q.6 WHICH CADBURY PRODUCT SATISFIES YOU THE MOST? Dairy Milk Five Star Bar-One Other Product

Q.7 Which of the following brand do you provide? (a) Cadbury Q8. (b) Five Star

How do you contact with the Cadvary distributor? (a)Telephone (b) Personal visit of Employee

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(c)Email Q.9. Does Cadvary distributor supply exact quantity as per order? (a) Yes Q10. (b) No

What is the speed of receiving the products after placing Cadvary order (a) Very fast (c) Medium (b) Fast (d) Slow

by you?

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10. BIBLIOGRAPHY
Books:
1. Kotler Philip , Marketing Management (2009), 2. Marketing Management, The McGraw.Hill Edition) 3. Berman, Berry and Joel r Evans (Oct- 1997) Retail Management: A strategic (Thirteenth Edition) Company Rajan Saxena (Third

approach 8th edition Englewood cliffs NJ printcehall 4. Country analysis 1997 A framework to identify and evaluate the business environment national

5. KOTHARI C.R.: Research Methodology Management, 3rd Edition

MAGAZINE
A) OUTLOOK BUSINESS (FEB, 2009) B) BUSINESS STANDARD (April-July 2009) C) 4PS OF BUSINESS AND MARKETING (June 2009)

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D) BUSINESS TODAY - Pick and Choose

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