CADBURY

About Cadbury
Cadbury is a British multinational confectionery company wholly owned by American
company Mondelez International (originally Kraft Foods) since 2010. It is the second largest
confectionery brand in the world after Wrigley's. Cadbury is headquartered
in Uxbridge, Greater London and operates in more than fifty countries worldwide. It is
famous for its Dairy Milk chocolate, the Creme Egg and Roses selection box, and many
other confectionery products. One of the best known British brands, in 2013 The
Telegraph named Cadbury among Britain's most successful exports.[3]
Cadbury was established in Birmingham, England in 1824, by John Cadbury who sold tea,
coffee and drinking chocolate. Cadbury developed the business with his brother Benjamin,
followed by his sons Richard and George. George developed the Bournville estate, a model
village designed to give the company's workers improved living conditions. Dairy Milk
chocolate, introduced in 1905, used a higher proportion of milk within the recipe compared
with rival products. By 1914, the chocolate was the company's best-selling product. Cadbury,
alongside Rowntree's and Fry, were the big three British confectionery manufacturers
throughout much of the nineteenth and twentieth centuries.[4]

Products in the Marketing mix of Cadbury Cadbury has a power house lineup of
products. In fact, several of our readers will be surprised when they read the different
varieties and markets where Cadbury is present. A company might have 1 or 2 cash cows, but
Cadbury has several with the lions share of the market. Some in the chocolate business are
Dairy milk, Bournville, Five star, Perk, Cadbury eclairs. In the biscuits segment is the
premium Oreo. In beverages there is bournvita which again is one of the leaders in milk
addittives. Halls as a mouth freshener as well as a remedy during cold is used across India.
Thus, with such a strong line of products, cadbury is bound to lead the chocolates industry.
Due to its products, Cadbury is the leading name of chocolates across the world and has
presence in all 7 continents.
Price in the Marketing mix of Cadbury With quality comes price. As the quality of
the products is high, and the beverages and Oreo requires constant marketing to be on top,
the price of Cadbury products is also high in some cases, whereas in others it is very much
reasonable. Products like perk, five star and eclairs give the taste of Cadbury even at lower
price. Dairy milk is considered to be a premium brand of chocolates due to this positioning,
but because of lower priced chocolates, it is also accepted across various target segments.

Cadbury has many varieties of products in the chocolate segment and the pricing of each
chocolate is different based on the type of customer who is going to buy it. However, in all
these, the Dairy milk brand is the clear winner. Priced in high as well as low variants, the
cadbury dairy milk has a position of gifting and hence is selling high volumes even at higher
prices. The cadbury celebrations pack in fact, sells in millions on any festival or on
celebrations.
Place or Distribution in the Marketing mix of Cadbury The distribution of
Cadbury is fantastic and widespread. It is present strongly in all urban areas as well as A,B
and C category towns. The rural marketing of Cadbury is known to be weak but that is
because demand there is also weak. Cadbury follows the same mantra of FMCG marketing
which is breaking the bulk. The cadbury chocolate is manufactured in Bournville, England.
Recently there was an advertisement which promoted that Cadbury buys only the best cocoa
beans from Ghana for its chocolates. These chocolates are then distributed across the world.
Cadbury is present in 200 or more countries. Once the chocolate reaches in bulk, it is broken
down as follows.
Company >> C&F agent >> Distributors >> Retailers >> Consumers

Promotions in the Marketing mix of Cadbury Indians love sweets. From Bengalis to
Punjabis to South Indians, each of us want sweets. Youngsters love sweet, and old people
want a nibble from time to time. Thus it is no surprise, that a smart marketer like Cadbury
has a tag line Kuch meetha ho jaye which means that lets have something sweet. It is no
surprise that people always have some cadburys stocked at home. Or they gift a Cadbury
dairy milk or celebrations to their loved ones.
Poor packaging of Cadbury
Three years back, Cadbury's found itself in the eye of a storm, when a few instances of worms
in its Dairy Milk bars were reported in Maharashtra. In less than two weeks, the company
launched a PR campaign for the trade. And three months later, came an ad campaign
featuring Big B and a revamped poly-flow packaging.
Marketing and communications experts brought together by AICAR and the Subhash
Ghoshal Foundation say that Cadbury moved quickly to bear the cost of damage.
And thanks to its equity with the consumers, Cadbury's won back consumer confidence, with
hit on sales notwithstanding.
In October 2003, just a month before Diwali, customers in Mumbai complained about
finding worms in Cadbury Dairy Milk chocolates. Quick to respond, the Maharashtra Food
and Drug Administration seized the chocolate stocks manufactured at Cadbury's Pune plant.

In defense, Cadbury issued a statement that the infestation was not possible at the
manufacturing stage and poor storage at the retailers was the most likely cause of the
reported case of worms.
But the FDA didn't buy that. FDA commisioner, Uttam Khobragade told CNBC-TV18, "It was
presumed that worms got into it at the storage level, but then what about the packing packaging was not proper or airtight, either ways it's a manufacturing defect with unhygienic
conditions or improper packaging."
This made Cadbury chage its packaging.