Minor Project Report

“ANALYSIS OF MARKETING STRATEGY OF

Amul Chocolate”
Submitted in Partial fulfilment of the Requirement
for the award of the Degree of BBA

Submitted To: Submitted by:

Mrs. Manisha Grover Hardik Chauhan
Assistant Professor Class: BBA
Enrolment No.70618001723

BATCH 2023-2026
28/1, Knowledge Park -111, Greater Noida -201306
(U.P)
ACKNOWLEDGEMENT

The present work is an effort to throw some light on

“Analysis of Marketing Strategy of Amul Chocolate”. The
work would not have been possible to come to the present
shape without the able guidance, supervision and help to me
by number of people.
I convey my heartfelt affection to all those people who helped and
supported me during the course for completion of my Project Report.
And special thanks to Our Head of Department CA DR. Anupama
Sharma Ma’am and Our Mentor Mrs. Manisha Grover.
HARDIK CHAUHAN
CERTIFICATE

This is to certify that the project titled “An Analysis on marketing

strategy of Amul Chocolate” is an academic work done by “ HARDIK
CHAUHAN” submitted in the partial fulfillment of the requirement for
the reward of the degree of Bachelors of Business Administration
from Delhi Technical Campus, Knowledge Park-3, Greater Noida, Uttar
Pradesh, under my guidance and direction.

Mrs. MANISHA GROVER

Assistant Professor

DTC
 Chapter1: Introduction

1824–1900: Early history

John Cadbury started selling tea, coffee, and chocolate in Birmingham,
England, in 1824 and began producing cocoa in 1831. The company,
named Cadbury Brothers after John partnered with his brother
Benjamin in 1847, received a Royal Warrant in 1854 but struggled until
John's sons, Richard and George, took over in 1861. They refocused on
chocolate, improving the quality and production processes, including
the introduction of an innovative cocoa press in 1866.

By the 1870s, Cadbury began exporting and by the 1880s started

producing chocolate confectioneries. In 1878, the Cadbury brothers
moved operations to a new site in Bournville, creating a model village
for workers by 1900. This development featured homes without pubs
due to the Cadbury family's Quaker beliefs. In 1897, Cadbury
introduced milk chocolate bars, and in 1899, the company became a
private limited company.
 Cadbury was established in 1824 by John Cadbury (far left). Two
advertisements for Cadbury's cocoa in British media: (middle)
piece published in The Graphic, 1885; (right): 1900 illustration
by Cecil Aldin for The Illustrated London News.

1900–1969
In 1905, Cadbury introduced its Dairy Milk bar, the first mass-produced
milk chocolate in Britain. It quickly became a bestseller with its
distinctive purple wrapper. By 1914, it was Cadbury's top-selling
product. The stronger Bournville Cocoa line followed in 1906,
supporting the company's expansion.

During World War I, Cadbury supported the war effort by providing

essentials to soldiers. After the war, Cadbury merged with J. S. Fry &
Sons in 1919, integrating popular brands like Fry's Chocolate Cream.

In the inter-war period, Cadbury continued its innovation with products

like Fruit and Nut (1928) and Whole Nut (1933), solidifying its position
as a UK leader in chocolate. By 1930, Cadbury was a major British
manufacturer, with Dairy Milk dominating the milk chocolate market.

World War II saw Cadbury's Bournville factory repurposed for war

production, reflecting chocolate's importance as a wartime ration. Post-
war, Cadbury invested in new factories and expanded internationally,
acquiring Australian confectioner MacRobertson's in 1967, boosting its
presence in the Australian market.

Schweppes merger and demerger (1969–2007)

In 1969, Cadbury merged with Schweppes to form Cadbury Schweppes,
changing its management philosophy to a more capitalist approach.

Throughout the 1970s, Cadbury launched several new chocolate bars,

but faced challenges like declining market share due to competitors like
Rowntree Yorkie. To counter this, they reduced product lines and
invested in technology.

In the 1980s, Cadbury expanded globally, acquiring Peter Paul in the US

and making strategic moves in the soft drinks market, including
alliances with Coca-Cola and acquisitions like Canada Dry.

By 2003, the company rebranded to Cadbury. In 2007, it announced

plans to split its business, focusing separately on chocolate and
confectionery, and its US drinks business. The demerger occurred in
2008.

Cadbury sold its Australian beverage unit in 2008 and made acquisitions
like DANDY chewing gum in 2002.

2007–2010
In October 2007, Cadbury announced the closure of the Somerdale
Factory in Keynsham, impacting 500 to 700 jobs. Production moved to
other plants in England and Poland.
In 2008, Monk hill Confectionery, a division of Cadbury Trebor Bassett,
was sold to Tangerine Confectionery for £58 million. This sale included
factories and a distribution center, affecting around 800 employees.

In mid-2009, Cadbury replaced some cocoa butter with palm oil in their
non-UK chocolate products, citing consumer demand for improved
taste and texture. However, this sparked backlash from
environmentalists and chocolate lovers. Cadbury later reverted to using
cocoa butter in New Zealand and committed to sourcing cocoa beans
through Fair Trade channels. Prospective buyer Kraft pledged to honor
Cadbury's commitment in January 2010.

Acquisition by Kraft Foods

In September 2009, Kraft made a bid to buy Cadbury, but it was initially
rejected. However, by January 2010, they reached a deal valued at
£11.5bn. Despite interest from Hershey, Kraft secured over 71% of
Cadbury's shares and finalized the acquisition in February 2010.

The takeover faced criticism, especially for potential job losses. Kraft
later announced the closure of Cadbury's Somerdale Factory in
Keynsham, affecting 400 jobs. In June 2010, the Polish division of
Cadbury was sold to Lotte of Korea, following a condition set by the
European Commission as part of the Kraft takeover.
In 2012, Kraft split into two companies, with the confectionery business
becoming Mondelēz International, under which Cadbury operates as a
subsidiary.

2024: 200th anniversary

Mondelez International, the parent company of Cadbury, has big plans
to celebrate Cadbury's 200th anniversary in 2024. They'll have
promotions, celebrations, and announcements all year long. Plus,
they're releasing seven retro packaging designs for Cadbury Dairy Milk
bars to mark the occasion.

Chapter 2 : Company`s Profile

Vision of Cadbury Dairy Milk

“Working together to create brands people love” A vision statement
reveals the ideal image of the organization in the future. Vision is an
important point in corporate strategic plan and is bound to be on time.
It communicates both the value and purpose of organization. Vision is
intended to give directions to employees about how they should
behave and inspires them to give their best. A vision when shared with
customers can help shape a customer’s understanding of why they
should work with the organization.

Mission
Cadbury Dairy Milk mission statement “Says simply, ‘Cadbury means
quality’; this is our promise. Our reputation is to build upon quality; our
commitment to continuous improvement will ensure that our promise”
Mission statement defines an organization primary objective and its key
purpose. Its prime function is internal – to define the key measure or
measures of the organization’s success – and its prime listeners are the
leadership team and stockholders. Mission statements are the starting
points of an organization’s strategic planning and goal setting process.
They try to assure and focus the attention on both the external and
internal stakeholders to understand and know what organization is
trying to accomplish.

Strategy
Cadbury's manufacturing strategy is built on efficiency, quality control,
and innovation. They invest in state-of-the-art manufacturing facilities
to ensure their chocolates are produced consistently and at scale.
Quality control measures are implemented at every stage of the
production process to maintain the highest standards. Additionally,
Cadbury embraces innovation in manufacturing technologies to
improve efficiency and reduce environmental impact. By optimizing
their manufacturing processes, Cadbury can meet consumer demand
while delivering delicious chocolates with precision and care.

Manufacturing
Cadbury's manufacturing process begins with sourcing quality
ingredients like cocoa beans, milk, and sugar. These ingredients are
mixed, heated, and stirred until smooth. The mixture is then poured
into molds, cooled, and hardened. Afterward, the chocolate is removed
from the molds, wrapped in packaging, and sent to stores. This
meticulous process ensures the consistent quality and taste of Cadbury
chocolates.

Technology
Cadbury uses sophisticated technologies like conching and tempering
to create their delicious chocolates. Conching involves grinding and
mixing ingredients to achieve a smooth texture, while tempering
ensures the chocolate maintains its shiny appearance and satisfying
snap. Additionally, enrobing machines coat various ingredients evenly
with chocolate. These technologies ensure Cadbury chocolates are not
only tasty but also visually appealing, delighting chocolate lovers
worldwide.

Distribution
Cadbury's distribution works like this: instead of selling directly to
individuals, they use middlemen called distributors. These distributors
buy chocolates in bulk from Cadbury and then sell them to smaller
stores like grocery shops and convenience stores. These smaller stores
are where most people buy Cadbury chocolates. So, Cadbury's
chocolates reach customers through this network of distributors and
smaller stores, ensuring they can be found in many places worldwide.

SWOT ANALYSIS OF CADBURY LIMITED

SWOT: A SWOT analysis allows managers to focus clearly on the

meaningful strengths (S) and weaknesses (W) in the firm’s internal
environment and opportunities (O) and threats coming from outside
the firm, the external environment. A SWOT analysis enables a firm to
develop strategies that make use of what the firm does best in seizing
opportunities for growth while at the same time avoiding external
threats that might hurt the firm’s sales and profits. So below I have
done I SWOT analysis of Cadbury (Solomon, Marshall, Stuart, Barnes,
Mitchell Marketing Real people, Real decisions, First European Edition
Page 66).

Strengths:

 Cadbury is world’s top most chocolate provider which has

international reputation.

 Cadbury is well known and easily identifiable brand among.

 Cadbury is well known force in marketing and distribution strategies

that is one of the reasons for it being the world leaders of chocolate
industry.

 Users are assured about the qualities of the brand.

 The strength of Cadbury lies in Dairy milk which is the most sold
chocolate in India.

 Cadbury has adjusted itself to all the custom around the world
according to the market.

 Cadbury is a leader in innovation and has established brand name,

and has strong competence in manufacturing.
  Cadbury has a advantage as it has understanding of consumer in the
segment of chocolate, candy and chewing gum.

 With 9.9% of global market share Cadbury is the largest

confectionery in the world.

Weaknesses:

 The competitors of Cadbury e.g. Nestle have a very diverse product

portfolio, where as it only depends on the confectionery and beverage
market, where as its competitors can use profits from other areas of
the business.

 Cadbury doesn’t have great international experience like its other

competitors; it has traditionally been strong in United Kingdom Europe
only. New to America, it possibly lacks the understanding of the new
emerging markets compared to competitors.

Opportunities:

 The opportunities lie in new markets, i.e. developing countries and

emerging markets like China, Russia, India and other Asian countries
where populations are growing, the wealth of consumer is increasing
and there is a high demand for confectionery products.

 The market of confectionery highly characterized by a degree of

acquisition and merger activity in recent past. There are opportunities
to increase the share through specific acquisitions.

 The main key for survival in the Fast-Moving Consumer Goods (FMCG)
market is increasing efficiency and cost reduction. Cadbury’s Fuel in
growth and cost efficiency of programs.
Threats:

 Worldwide there has been an increase in demand for cost

environment, particularly for energy, packaging, sugar and transport.
Global supply chain in low cost locations.

 There is competitive pressure from other brands in the market,

nationally and globally. Over aggressive promotion and price activity by
its competitors – there is a possible price war in all developed markets.

 Social concerns, rise in obesity and consumer’s obsession with calorie

count. Nutritional and healthier lifestyles is very much affecting
demand for core products of Cadbury.

CHAPTER 3
RESEARCH OBJECTIVE AND METHODOLOGY

RESEARCH OBJECTIVE:
1. Understanding Consumer Preferences: To identify what flavors,
textures, and types of products consumers prefer. This helps in
developing products that meet or exceed customer expectations.

2. Evaluating Product Performance: To assess how well existing

products are performing in the market. This includes
understanding levels of consumer satisfaction and areas where
improvements are needed.

3. Innovating New Products: To explore possibilities for new

products that can meet emerging consumer needs or fill market
gaps. Innovation is crucial for staying competitive in the fast-
moving consumer goods (FMCG) industry.

4. Brand Perception: To gauge how consumers perceive the Cadbury

brand, including brand attributes, loyalty, and trust. This helps in
managing the brand’s image and ensuring its alignment with
consumer values.

5. Market Segmentation: To identify and analyze different segments

of the market. Understanding the specific needs and preferences
of different groups can enable Cadbury to tailor its products and
marketing efforts more effectively.

6. Impact of Marketing Campaigns: To determine the effectiveness

of marketing strategies and campaigns. This objective involves
measuring recall, engagement, and conversion rates resulting
from specific advertising or promotional activities.

7. Competitive Analysis: To keep track of competitors' strategies

and performance. This helps Cadbury to benchmark its products
and practices, ensuring they maintain a competitive edge.
 8. Consumer Trends: To stay ahead of industry trends, such as
increasing interest in health and wellness, ethical sourcing, or
premiumization. Recognizing and responding to these trends
keeps Cadbury relevant and innovative.

9. Global Market Opportunities: To evaluate the potential for

existing products in new markets and identify localization
strategies. This is especially important for a global brand looking
to expand its footprint.

10. Sustainability and Ethical Sourcing: To understand consumer

attitudes toward sustainability and ethical practices. This helps
Cadbury align its operations with consumer expectations on social
and environmental issues.

RESEARCH METHODOLOGY:

1. Consumer Surveys: Cadbury frequently uses surveys to gather

feedback on existing products and insights on potential new
products. These surveys help understand consumer preferences
and satisfaction levels.

2. Focus Groups: By conducting focus groups, Cadbury gains

qualitative insights into the consumer's mind, exploring deeper
emotional responses and perceptions about their products.

3. Taste Tests: Critical for a confectionery company, Cadbury

conducts taste tests to refine flavors, textures, and product
concepts before they hit the market.
4. Market Analysis: This involves studying market trends,
competitor analysis, and identifying gaps in the market to position
their products effectively or introduce new ones.

5. Ethnographic Research: Observing consumers in their natural

environment, such as how they shop for chocolates or consume
them, helps Cadbury in understanding real-world usage and the
social context of their products.

6. Product Trials: Before a full market launch, products often go

through controlled product trials to gauge consumer response
and make any necessary adjustments.

7. Data Analytics: Utilizing data from sales, customer feedback, and

market research to predict trends, make decisions on product
lines, and customize marketing strategies.

8. Sensory Evaluation: Specialized panels or consumer groups help

evaluate the sensory aspects of chocolate, like aroma, taste, and
texture, ensuring product quality and consistency.

9. Segmentation Research: Identifying different demographic,

psychographic, and behavioral segments to tailor products and
marketing campaigns that best suit each segment's needs.

10. Innovation Workshops: Encouraging a collaborative

environment for new ideas, where cross-functional teams come
together to brainstorm new product ideas or improvements to
existing ones
 CHAPTER 4
MILESTONES ACHIEVED BY CADBURY

Milestones of Cadbury Company:

1. 1824: John Cadbury opens his first grocery shop in Birmingham,

England. Initially selling cocoa beverages, this lays the foundation
for the future chocolate empire.
2. 1861: John's sons, Richard and George, take over the struggling
family business. They invest in innovative machinery to improve
chocolate quality, setting them apart from competitors.

3. 1879: The Cadbury brothers establish their famous Bournville

factory, known as "the factory in a garden" for its focus on
 workers well-being and community development.

4. 1900: Dairy Milk, Cadbury's most iconic chocolate bar, is

launched. This creamy milk chocolate becomes a global favorite.
5. Early 20th Century: Cadbury expands its product line with iconic
treats like Flake (1920), Creme Egg (1923), Fruit and Nut (1928),
and Crunchie (1929).

6. 1930s: Cadbury becomes a major British manufacturer, acquiring

Fry's company in 1935 and introducing Dairy Milk Whole Nut
(1933) and tins of Roses chocolates (1938).
7. 1971: The Cadbury Creme Egg is launched, becoming a beloved
Easter season treat known for its unique gooey center and playful
"How do you eat yours?" campaigns.

8. 1983: Wispa, a popular aerated chocolate bar, is launched.

Though discontinued in 2003, a public outcry led to its successful
return in 2008.
9. 1990: Cadbury World opens its doors, offering fans a chance to
experience the magic of chocolate making and learn about the
Cadbury story.

10. 2007: The iconic Cadbury Gorilla advert featuring a drumming

gorilla airs, becoming a viral sensation and propelling Phil Collins'
music back into the spotlight.
11. 2010s: Cadbury is acquired by American food giant Kraft Foods,
forming the world's largest confectionery company, now known as
Mondelez International. (This event can be included depending on
the scope of your project).
 CHAPTER 5
DIFFERENT SLOGANS OVER THE YEARS

1. Tastes like this feels

2. There`s a glass & a half in everyone

3. Pure Happiness Pure Cadburyness

 4. Kuch Acha Hojaye Kuch Meetha Hojaye

5. How Far Will You Go For Love

 CHAPTER-6
DATA ANALYSIS AND INTERPRETATION

1. Do you eat chocolates?

Sometimes
12% No
26%

Yes
62%
2. Which brand of chocolates do you use?

1%

10%
9%

cadbury
nestle
amul
80% others

3. Where do you buy chocolates from?

others
11% super stores
12%

movie halls
24%
retail stores
36%

restaurants
17%
4. Are you aware of any campaign of the above brands?

yes
23%

no
77%

5. Which Cadbury’s product do you usually prefer or use?

perk
10%

fruit & nut

18%

dairy milk
52%

5 star
20%
6. Do you think Cadbury’s chocolate is easily available in the market?

no
4%

yes
96%

7. Do you think standard prices of Cadbury are fair?

may be
6%

no
23%

yes
71%
8. Do you believe that chocolate is a necessity or luxury?

necessity
37%

luxury
63%

9. Which Cadbury slogan/tagline comes to your mind first?

kya swaad hai
khane walo ko
zindagi mein
khane ka
8%
bahana chahiye
shubh aarambh
9%
20%

kuch meetha ho
jaye
63%
10. What according to you is the best feature of any Cadbury
advertisement?
visuals of
chocolates
1%

celebrity
appearance jingle and storyline
43% 37%

emotional appeal
19%

11. What Cadbury advertisements are most appealing?

radio
18% television
27%

hoardings print
36% 19%
 CHAPTER-7

FINDINGS AND CONCLUSIONS

POSITION OF THE VARIOUS BRANDS IN THE MARKET HAS BEEN LISTED BELOW

Cadburys brands Positioning Nestle’s brands Positioning

Cadbury Dairy Milk “The Real Taste of Classic Milk Positioned as an

Life” Chocolate affordable enriched
milk chocolate

Fruit n Nut
Positioned as
Position as adults as Bar One
Creamy bar Trendy, Cool, any
an impulse any time
time snack.
Roast Almond purchase – self
expression values
Crackle
attached
Bournvita

5 Star / Perk/Break Perk – Positioned as KitKat Positioned as a

Snacking snacking
consumption consumption “Have
“Thodisi Pet Pooja” a Break, Have a Kit
Kat”
5 Star Energy bar
Reach for the Stars.
 CONCLUSION

This company project has demonstrated “COMPARISOIN OF CADBURY WITH ITS COMPETITORS” that has
proved to be extensive through, and of great benefit to the company in furthering its competitive
advantage. It also helps the company for building its future planning and targeting the customers for more
satisfaction through its innovative product.

In this project it possible to see the success of Cadbury’s in its indorse its strong potential to continue to
do well and also gives the ways to maintain its market potential.
 CHAPTER-8

SUGGESTIONS AND RECOMMENDATIONS

SUGGESTIONS

In the branded impulse market, the share of chocolate in 6.6% and Cadbury’s share in the impulse
segment is 4.8% factor like changing attitude, higher disposable income, a large youth population, and
low penetration of chocolate (22% of urban population) point towards a big opportunity of increasing
the share of chocolate in the branded impulse among the costly alternative in the branded impulse
market.

It appears that company is likely to play the value game to expand the market encouraged by the recent
success of its low priced ‘value for many packs’.

Various measures are undertaken in all areas of operation to create value for the future.

New channel of marketing such as gifting and child connectivity and low end value for money product
for expanding the consumer base have been identified.

In terms of manufacturing management focus is on optimizing manufacturing efficiencies and creating a

world class manufacturing location for CDM and Éclairs. The company is today the second best
manufacturing location of Cadbury’s Schweppes in the world.

Efficient sourcing of key raw material i.e. coca through forward purchase of imports, higher local
consumption by entering long term contract with farmer and undertaking efforts in expanding local coca
area developing. The initiatives in the terms of development a long term domestic coca a sourcing base
would field maximum gains when commodity prices start moving up.

 Use of it to improve logistic and distribution competitiveness

 `Utilizing mass media to create and maintain brands.
 Expand the consumer base. The company has added 8 million new consumer in the current year
and how has consumer base of 60 million although the growth in absolute numbers is lower
than targeted, the company has been able to increase the width of its consumer base through
launch of low priced products.
 Improving distribution quality by addressing issues of product stability by installation of visi
coolers at several outlets. This would be really effective in maintaining consumption in summer,
when sales usually dip due to the fact that the heat effects product quality and thereby
consumption.
 The above are some steps being taken internally to improve future operation and profitability.
At the same time the management is also aware of external changes taking place in the
competitive environment and is taking steps to remain competitive in the future environment of
free imports, lower
 barrier to trade and the advent of all global players in to the country. The management is not
unduly concerned about the huge deluge of imported chocolate brands in the market place.
 It is of the view that size of this imported premium market is look small to threaten its own
volumes or sales in fact, the company looks at the tree important as an opportunity, where it
could optimally use the global Cadbury Schweppes portfolio. The company would be able to not
only provide greater variety, but it would also be more cost effective to test market new
product as well as improve speed of response to change in consumer preference through
imports. The only concerns that the company has in this regard is the current high level of
duties, which limit the opportunity to launch value for money products.
 RECOMMENDATIONS

 Maintain dominance in chocolate, confectionery and market leadership in blown drinks.

 New channels such as gifting, child connectivity and value for money offering to be the key growth
drives.
 Grow volume sales at least 20% p.a. over the next years.
 Achieve the goal of best manufacturing location in Cadbury Schweppes world for Dairy Milk and
Éclairs.
 One new major product launch every year.

BIBILOGRAPHY AND ANNEXURES

BIBILOGRAPHY

 Advertising and marketing Magazine

 Company Literature

 Market survey and questionnaires

 Web site: www.cadburyindia.com

 Web site: www.google.com

 Business World

 Cadbury -11 milestones: BBC news

 Cadbury and the evolution of its advertising- Storm.co.12.uk

 Marketingweek.com and Wikipedia.org

 ANNEXURES

QUESTIONNAIRE

1. Do you eat chocolates?

Yes  No

2. Which brand of chocolates do you use?

 Cadbury’s
 Nestle
 Amul
 Others

3. Where do you buy chocolates from?

 Super stores
 Retail Stores
 Restaurants
 Movie Halls
 Others

4. Are you aware of any campaign of the above brands?

Yes No

5. Which Cadbury’s product do you usually prefer or use?

Chocolate Beverages
Biscuits Candy
6. Do you think Cadbury’s chocolate is easily available in market?
Yes No

7. Do you think Standard price of Cadbury products are fair?

Yes No May be

8. Do you believe that chocolate is:

Luxury Necessity

9. Which Cadbury slogan/tagline comes to your mind first?

 kya swaad hai zindagi mein
 khane walo ko khane ka bahana chahiye
 kuch meetha ho jaye
 shubh aarambh
 any other

10. What according to you is the best feature of any Cadbury advertisement?
 jingle and storyline

 Emotional appeal

 Celebrity appearance

 Visuals of chocolates
11. What Cadbury advertisements are most appealing?
 Television
 Print
 Hoardings
 Radio