...cadbury Running head: Case Study Cadbury Schweppes: Capturing Confectionery Case Study: Cadbury Schweppes: Capturing Confectionery ORM 680: Capstone in Strategic Management Spring Arbor University Jaspreet Kaur (Jas) Terry A. O’Connor, Ph.D. September 6, 2010 Abstract Cadbury Schweppes formed its joint venture in 1969. The company went through several mergers and acquisitions from 1969 to 2008, but the company was able to survive and became the global leader in confectionery and soft drink business. In the early stage, the company had to struggle but by the late 1900’s Cadbury Schweppes started to expand its business worldwide. The company had franchises in United States and Europe and acquired various businesses in other parts of the world. By the early 2000’s the company decided to demerger. In 2008, the beverage site of the business (Schweppes) became Dr Pepper Snapple Group and confectionery (Cadbury) was bought by Kraft Foods the very next year. Cadbury Schweppes: Capturing Confectionery Introduction The purpose of this document is to analyze the existence of Cadbury Schweppes. This paper will describe the history and background of the company. In addition, the document will identify and discuss the global initiatives of Cadbury Schweppes. And finally, the document will discuss the recommendations for the corporation. History and Background Cadbury Schweppes began its journey in 1969 with the merger of a beverage...
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...Cadbury is a British multinational confectionery company owned by Mondelēz International. It is the second largest confectionery brand in the world after Wrigley's.[2] Cadbury is headquartered in Uxbridge, London, and operates in more than fifty countries worldwide. Cadbury is best known for its confectionery products including the Dairy Milk chocolate, the Creme Egg, and the Roses selection box. Cadbury was established in Birmingham 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 merged with J. S. Fry & Sons in 1919, and Schweppes in 1969. Cadbury was a constant constituent of the FTSE 100 from the index's 1984 inception until the company was bought by Kraft Foods in 2010.[3][4] In 1905, Cadbury launched its Dairy Milk bar, a production of exceptional quality with a higher proportion of milk than previous chocolate bars.[6] Developed by George Cadbury Jr, it was the first time a British company had been able to mass-produce milk chocolate.[7] From the beginning, it had the distinctive purple wrapper.[7] It was a great sales success, and...
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...To: CEO and Senior Leader for the Kraft/Cadbury Merger From: Lihui Chen and Kristin Spivey, LK Consulting Date: [ 3/3/2010 ] Re: Recommendations for Potential Issues that can arise after a Merger INTRODUCTION Congratulations on your recent merger of Kraft and Cadbury. We have analyzed the merger and have found three issues that need to be addressed in order to achieve the best results for both your companies. The three main areas we have analyzed are leadership, cultural perceptions and operation difficulties. LEADERSHIP ISSUE The most important thing to consider when consolidating two companies is appointing the right managers and manager team to work cross-functionally between the two companies The appointment is so critical because: 1) it is a strong clue that about new company’s direction and structure. The employees will interpret their future from the appointment. For example, if the top manager team is consist half Kraft and half Cadbury, the Cadbury’s resourses will be allocated equally. If the team is consist mostly “Cadbury”, the employee’s worries about losing job will greatly disappear. 2) Kraft didn’t have candy product line before merger. And Cadbury has entered countries where Kraft lacks market share, such as India. A main object for the team is that Cadbury can increase its presence in the market of countries where Kraft has a much larger presence while Kraft can gain customers in the market where Cadbury owns a big presence. This objective...
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...2.2 Cadburys 2.2.1 How did Cadburys get started? Cadbury limited was set up by one man in 1824 called John Cadbury from Birmingham. In 1824 Cadbury was set up to be a grocery shop. This changed in 1831 when John Cadbury went into manufacturing drinking chocolate and cocoa. In 1847 a large factory was rented in Bridge Street Birmingham. Around the same time John Cadbury was joined by his brother Benjamin and the name of the business became Cadbury Brothers of Birmingham. The turning point of the business was in 1866 when the brothers introduced the process of pressing the cocoa butter out of the cocoa beans. The benefits for the Cadbury brothers was that they could use the butter to make different types of eating chocolate the first of which was the Cadburys dairy milk. After this time the brothers moved to the now famous Bournville site where Cadbury world is situated today. The Cadbury brothers changed the employer to employee relations for the better by having the Bournville site as a 'factory in a garden'. Also the brothers introduced better employee welfare with joint consultation and other innovations in this area. 2.2.2 Where are Cadburys today? Today Cadburys are the UK's market leader and are one of the largest chocolate producers in the world and have opened new business opportunities by producing chocolate within other countries like Ireland, India and Pakistan. Cadburys is the confectionery division of Cadbury...
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...PROJECT REPORT ON CADBURY INDIA LTD. SCOPE OF THE PROJECT This project was undertaken to show Cadbury’s marketing mix and actually how they employ the 4P strategies- Product, Place, Price and Promotion in real world scenario. Thisproject provides us with exposure to Chocolate confectionery, Beverages, Biscuits, Gum and Candy in India which is one of the most promising segments in India today. We studied the strategies employed by Cadbury India Limited that makes it the market leader and suggested few recommendations of our own. INTRODUCTION Cadbury India Ltd. is now a part of Kraft Foods.Chicago-headquartered Kraft Foods acquired Cadbury last January for $18.9 billion. Cadbury India operates in five categories – Chocolate confectionery, Beverages, Biscuits, Gum and Candy. In the Chocolate Confectionery business, Cadbury has maintained its undisputed leadership over the years. Some of the key brands are Cadbury Dairy Milk, Bournvita, 5 Star, Perk, Bournville, Celebrations, Gems, Halls, Éclairs, Bubbaloo, Tang and Oreo. Their core purpose "make today delicious" captures the spirit of what they are trying to achieve as a business. In India, Cadbury began its operations in 1948 by importing chocolates. After over 60 years of existence, it today has six company-owned manufacturing facilities at Thane, Induri (Pune) and Malanpur (Gwalior), Bangalore and Baddi (Himachal Pradesh), Hyderabad and 4 sales offices (New...
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...Cadbury India Background Cadbury Schweppes is the No.1 confectionery and third largest soft drinks company in the world. The origin of the group goes back to over two centuries. Some of the popular international brands of the company are Cadbury Dairy Milk, Dr Pepper, Flake, Trebor Basset, Snapple and Motts. The company also has Halls, Clorets, Trident, Dentyne and Bubbas bubble gum range in its portfolio with acquisition of Adams in December 2002. Since 1969, Cadbury Schweppes’ has focused on confectionery and non-alcoholic beverages. In 2004, 60 per cent of the Group’s net sales came from confectionery and 40 per cent from beverages. The company employees around 55,000 people in over 200 countries around the world. in this category are Cadbury’s Dairy Milk, Fruit & Nut, Crackle, Temptations, 5 Star, Perk & Celebrations Gift boxes. • Sugar Confectionery – Cadbury Dairy Milk Eclairs is one of the leading brands in this category. It is amongst the largest éclair brands in the market in terms of value share. Cadbury also owns Halls (which was acquired as a part of the global acquisition of the Adams business from Pfizer in 2003). Halls is amongst the largest brands in its segment of Minty/ Breath freshness brands in India. • Food Drinks – Cadbury’s Bournvita is a leading brand in the brown drinks segment of milk/ malted food products. Cadbury’s other products include Drinking Chocolate and Cocoa powder. Overall share in the malted food drinks market is estimated to be around 19...
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...CADBURY-GLOBAL FACE As we have seen Cadbury is a leading global confectionery company with an outstanding portfolio of chocolate, gum and candy brands. Cadbury employs around 50,000 people and have direct operations in over 60 countries, selling their products in almost every country around the world. Cadbury’s Global Journey In 1824 John Cadbury opened his shop on Birmingham's exclusive Bull Street and served tea, coffee, and, fatefully, cocoa and drinking chocolate. In 1854 the Cadburys open a London office and receive a Royal Warrant as manufacturers of chocolate and cocoa to Queen Victoria. In 1921 cadbury opened its first overseas factory in Tasmania, Australia. In 1969 Cadbury merged with Schweppes (an Australian based drink company). In 2003, the humble Birmingham chocolate becomes the world's number one confectionery company with the acquisition of US chewing gum giant Adams. In 2008, Cadbury launched the Cadbury Cocoa Partnership. £45 million was put aside to put into cocoa farms in Ghana, India, Indonesia and the Caribbean over a decade. In 2010, Cadbury was bought by American food behemoth Kraft Foods in an £11.5bn deal. In 2012, a new global research and devlopment centre opened in Bourneville as part of a £17 million investment in R&D in the UK. CADBURY WORLDWIDE Cadbury enjoys a value market share of over 70% - the highest Cadbury brand share in the world. Cadbury is the largest confectionary company in the world and has its presence in Beverages in Australia...
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...Cadbury is a chocolate confectionary market that was started in 1824 by John Cadbury in Birmingham. He started with a shop selling coffee, tea, drinking chocolate and cocoa. This was started because he believed that alcohol was the main cause of poverty in the society. Therefore he thought chocolate drinks could be an alternative for alcohol. John was already selling 11 kinds of cocoa and 16 kinds of chocolate drinks by 1842. Benjamin, John’s brother also joined him in his company to form Cadbury Brothers of Birmingham. From there, their sons George and Richard carried out the business, expanding it and making lots of profits. The business was run by many generations till now by the Cadbury family. Now Roger Cadbury runs Cadbury since 1996.Currently Cadbury has operations in more than 50 countries around the world, including the United Kingdom, Ireland, Unites States, Australia, New Zealand and India. Cadbury has also involved itself in commitments such as the Cocoa sourcing commitments, Environmental commitments and The Cadbury Foundation. In 1905, Cadbury launched its Dairy Milk bar, with a higher proportion of milk than previous chocolate bars, and it became the company's best selling product by 1913. Fruit and Nut was introduced as part of the Dairy Milk line in 1928, soon followed by Whole Nut in 1933. By this point, Cadbury was the brand leader in the United Kingdom. Several other products accompanied these: Flake, Cream-filled eggs, Crunchie and Roses. Cadbury's Milk...
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...PERCEPTION ANALYSIS BETWEEN COMPETING CONFECTIONERY (FMCG) BRANDS 3 Votes Chocolate consumption is gaining popularity in India due to increasing income and lifestyle. Chocolate market in India is valued at Rs 2,000 crore and is growing at the rate of 18 – 20 per cent per annum. The Indian chocolate market is seen growing at a compounded annual growth rate of 15-20%. Over 70% of chocolate consumption takes place in the urban areas. Chocolate consumption in the rural areas is negligible in India. Chocolate market is a highly concentrated market, with Cadbury having 70per cent and Nestle around 20 per cent. These two companies have been instrumental in building up the chocolate market in India with huge investments in product development, advertising and brand building. Modern trade constitutes about 10% of the overall chocolate category, or roughly Rs 320 crore, according to Nielsen. Of this, brand Cadbury Dairy Milk has a share of 35%, while Bournville and Silk together account for 18%. Cadbury’s India Ltd, has been in India since 1948. In all the segments i.e.moulded chocolates, count chocolates and panned chocolates, it is undoubtedly the market leader. The world’s largest marketer of chocolates (became world number one when it acquired Rowntree Macintosh of the UK) – Nestle, made its foray in the Indian chocolate Industry in November 1990. In the eighties, Cadbury’s decided to focus its efforts on making chocolates a distinct category with an identity of its...
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...PRODUCT AND BRAND MANAGEMENT CADBURY Rationale of CBBE model: Basic premise: The power of a brand resides in the minds of the customers. The challenge is to ensure that the customers have the right kind of experiences with the products and services and their marketing program to create the right brand knowledge structures i.e. Thoughts Feelings Images Perception & Attitudes Building a strong brand involves a series of steps as part of a “branding ladder”. It is characterized by a logically constructed set of brand “building blocks”. We need to identify the areas of strength and weakness and to provide guidance to marketing activities. BRAND SALIENCE Brand Salience measures awareness of the brand, how often and how easily the brand is evoked under various situations or circumstances. It is the same as brand identity i.e. Who are you? DEPTH OF AWARENESS It measures how likely it is for a brand element to come in mind i.e. ease of recognition and the ease with which it does so i.e. recall value. The Cadbury brand is associated with best tasting chocolate which includes from everything from solid blocks to chocolate filled bars and novelties. For many people , chocolate is Cadbury and no other brand will do. The core values of quality, taste and emotion supports the Cadbury brand. Consumers know that they can trust a chocolate bar that carries Cadbury branding. The swirling chocolate and „glass and a half‟ are powerful images. They both portray a desire for chocolate...
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...other products. Examples of this is Coca-Cola, McDonalds, Apple. Relationship marketing is a key aspect of marketing and helps make a good customer connection. Companies that mostly use relationship marketing are Sky, Orange, Vodafone- mobile network companies. Growth strategies are used to make the company expand and the way in which companies do this is by using the Anoff’s Matrix, in which this report will explain in more depth further in. Image one- Cadbury’s Slogan. Image one- Cadbury’s Slogan. Cadburys is a worldwide business and can be recognise by its brand image. Its logo is a purple background with white swirly writing. The purple colour that is used is bold and stands out so all customers and consumers recognise this brand. Cadburys also used to have their slogan ‘a glass and half’ and this used to refer to the amount of milk used in each pound of chocolate that they made. However they do not use this well-known slogan now. The Dairy Milk product is one of Cadburys most popular products and it is a brand made of another brand. Dairy milk has the same bold purple background with the white swirly writing. It also display’s a piece of the chocolate on the front of the packaging. Image 1-...
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...COMMUNICATION PRACTICE 1.0 Introduction The Cadbury story is a fascinating study of industrial and social development, covering well over a century and a half. It shows how a small family business developed into an international company combining the most sophisticated technology with the highest standards of quality, technical skills and innovation. (http://www.studymode.com/essays/Cadbury-527696.html) 2.0 Company Overview The Cadbury's company began life in a modest grocer's in the UK in the 1820s by Quaker, John Cadbury. The most popular item that he sold was cocoa, which made Mr Cadbury make chocolate. The success of this enterprise led John Cadbury and brother, called Benjamin, to form the Cadbury Brothers business, and in the 1850s they were awarded a Royal Warrant as producers for Queen Victoria, an accolade that the company still holds for the monarchy today. John Cadbury's sons Richard and George took over the company in the 1860s, and five years later introduced a new way of pressing cocoa butter to form the essence of cocoa. They introduced a variety of different chocolates and began, for the first time to sell assortments in boxes that had attractive designs and pictures depicted on them. In 1905, the now iconic Cadbury's Dairy Milk was launched, which is now the company's flagship product. (http://www.blurtit.com/q4118850.html) 3.0 Mission and vision statement (http://www.studymode.com/essays/Cadbury-Schweppes-Versus-Coke-1151857.html) Company...
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...Product: Cadburys Bournvita History: Cadbury Bournvita is among the oldest brands in the Malt Food category with a rich heritage and has always been known to provide the best nutrition to aid growth and all round development. Launched in 1948, throughout its history, Cadbury Bournvita has continuously re-invented itself in terms of product, packaging, promotion & distribution. The Cadbury lineage and rich brand heritage has helped the brand maintain its leadership position and image over the last 60 years. The brand has been an enduring symbol of mental and physical health ever since it was launched. This layered with the great Cadbury chocolate taste has made the brand distinct from other offerings. It is hardly surprising then, that Bournvita enjoys a major presence in the Malt Food market. It is a universal truth that mothers attach a lot of emotional importance to nourishment while bringing up their children. However, children always look out for the tastiest option to make their daily dose of milk more enjoyable. Cadbury offers two options to capture this appeal: Cadbury Bournvita, with its popular chocolate taste, and its latest offering, Cadbury Bournvita 5 Star Magic, leveraging the rich chocolate and caramel flavour of Cadbury 5 Star. Ad Agency: Ogilvy & Mather Tag Line 2013: Tayyari jeet ki Ad Details: The film starts with a mother and son racing in the woods. She is shown pitting herself against the boy in regular sprints. The mother tells the story through...
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...Study of Consumer Behaviour for Cadbury Dairy Milk By, Group 1 Contents 1. Introduction 3 2. Methodologies 4 3. Objectives 5 4 Emergence of chocolate industry in India 6 4.1 Cadbury Company’s profile 8 4.2 Range of Products 11 4.3 Major Competitors 13 4.4 Cadbury Dairy Milk 15 4.5 Pre Purchase behaviour analysis 17 4.5.1 Factors influencing Purchase Decision 17 4.5.2 Age group of people 17 4.5.3 Product Purchased for 18 4.5.4 Preference for Brands 19 4.5.5 Consumption Pattern/Frequency of Purchase 19 4.5.6 Access to Product Information 20 4.5.7 Preference across Cadbury brands 20 4.5.8 Place of Purchase 21 4.5.9 What is preferred? Bar or Isolated Chocolates 21 4.5.10 What do you prefer? Dairy Milk or Traditional Sweets 22 4.6 Major Findings and Recommendations 23 4.7 Conclusion 23 5 References 23 1. Introduction The primary objective of the study is to understand the consumer behaviour and consumer preferences for consuming Dairy Milk chocolates costing Rs 5/-. A pre purchase questionnaire was prepared for the same and 20 consumers were surveyed. The respondents were interviewed at Mahabalipuram and Chennai market. Cadbury is the market leader in India with a 68% market share and this was evident when 83% of the respondents cited that Dairy Milk was their favourite chocolate. Our analysis revealed that Cadbury advertisements play a major role in influencing consumption of the product. Cadbury also has very high brand equity and this is one...
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...Cadbury Dairy Milk as a brand has evolved from just another chocolate to an array of products. When the brand was initially launched it was meant to be for children. Their main target group was always children who would pester their parents to have a bar of dairy milk. But as time evolved they wanted to tap other segments in the market. Hence their famous ad ‘Kuch Khaas hain Zindagi’ which targeted the youth segment. It had right ingredients: a fun loving girl and cricket the religion of India. The ad was extremely successful and tapped the youth brigade of the country to get them hooked to chocolates. Indians have a sweet tooth inherently and we like to have sweets as companion at every celebration big or small. Though it’s a huge industry, it is a highly unorganized one. Hence, the Cyrus Broacha ad ‘Khaane wale ko khaane ka bahaana chahiye’ which showed a wedding scene and traditional sweets were replaced smartly by Cadbury Dairy Milk. It was done to seed in the minds of consumers that a CDM can be a good replacement for our ladoos and pedas. Cadbury has a vision that CDM being seen as a right replacement for the Sweets. To continue this they signed Amitabh Bachchan and the ‘Pappu Pass Ho gaya’ again giving a similar message. They also launched a premium version of CDM i.e Cadbury Silk to target the metros. And finally now they are targeting the entire family and hence we can see CDM on dinner table with the tagline ‘Kuch Meetha Ho...
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