Plc: Cadbury

In: Business and Management

Submitted By Hunny
Words 354
Pages 2
The Product Life Cycle concept: Cadbury

The product life cycle model helps marketers identify the different stages that the sales and profits of a product go through during the course of its lifetime. There are five stages to the product life cycle: introduction, growth, maturity, saturation and decline.
1. Introduction: Sales are slow as the product is not yet known. Costs are high due to heavy marketing spend to create awareness. Emphasis is on advertising and distribution. The recently launched Cadbury Snaps range is an example of a brand at the introduction stage.
2. Growth: This stage shows growing market acceptance and increasing profits. Competitors begin to enter the marketplace. The business concentrates on optimizing product availability. The Natural Confectionery Company is an example of brand at growth stage.

3. Maturity: The rate of sales growth slows down as the product has been widely distributed and sold. The company now focuses on creating brand extensions and promotion offers to boost sales. New product research is critical to ensure future sales. The Cadbury Snack range is an example of a brand at the maturity stage.
4. Saturation: Sales slow down as the market becomes saturated. Profits level off and may even decline due to increased investment in marketing to defend against competitors. McDonald’s is an example of a brand that has reached saturation stage.
5. Decline: Sales slow down dramatically and profits fall off. The product may be dropped to make way for new products and the cycle recommences. MG Rover is an example of a brand that has reached the decline stage. The product life cycle is very useful for managers as it can act as a guide for changes in strategy at different stages in the product’s life. However, the concept runs the danger of becoming a selffulfilling prophecy. In reality, not all products (or brands)…...

Similar Documents


...strategies should align exactly and fit customers’ perceptions as well. Cadbury is one of the oldest and largest confectionery companies in a global market. The company’s chocolate business is built more by capturing strong market positions in the UK, Ireland, Australia, New Zealand, South Africa and India. In spite of well-known Cadbury brands and great quality products, the company had difficulties to sell its chocolate in New Zealand in 2009, where consumers have took Fairtrade further into mainstream. The company was blamed in unethical marketing actions when substituted only certified sustainable palm oil for cocoa butter in its chocolate (that could, for example, cause to the potential loss of Orangutan forest habitat to palm oil plantations). This action caused to criticism and created damage to the company’s worldwide ethical brand building efforts. There are four major problems that company had at that time that caused the case: * There were differences and gaps between Cadbury’s statements and its products farming practices * Cadbury probably did not have enough research about customers’ values and attitudes in NZ or there were communication problems between marketing and product development departments. * The advertisement of the product didn’t include the explanation that Cadbury used only certified sustainable palm oil in its production process. * Cadbury did not promote enough in ad campaigns its social and environmental......

Words: 497 - Pages: 2


...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...

Words: 362 - Pages: 2


...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......

Words: 1152 - Pages: 5


...Branding Challenge: Some of the branding challenges that were faced by Cadbury while launching their Premium Brand Silk are: "When we started work on Silk, we trawled the marketing and socio-cultural worlds to understand how mainstream brands can give birth to strong sub-brands that hit above them. And there aren't too many such examples." - Kawal Shoor, head of planning, Ogilvy India * How to create a sub-brand of CDM that sells at 11 times that of the CDM price. "Silk, the way it has been positioned, has the ability to stand alone today, basically due to the very different product delivery it offers. While Silk is smooth and 'melty' CDM is hard and chunky. However, at the same time, CDM and its base equity remains." - Brand consultant Harish Bijoor * A major challenge that such a sub-brand of an existing successful brand has to tackle is how not to alienate lovers of the base product, who have a palate memory that is as old as their childhood. "CDM extended chocolate consumption to firstly, the adult segment, and secondly, to all the different occasions for which meetha (sweets) used to be consumed in the Indian context, in a sense "repositioning" chocolate in the mind of the consumer." -Tanuka Ghoshal, assistant professor - marketing, ISB Hyderabad * With such a successful core brand, it is indeed a challenge to sufficiently differentiate an extension in the same category, price it at a premium point, and make it a success. Defining Premiumness:......

Words: 1075 - Pages: 5

Cadbury Case

...James Floyd 9/17/13 Mk: 4900 Cadbury Beverages, Inc: Crush Brand Case Analysis I will be doing a market analysis for crush by analyzing the company (Part 1), identifying the industry and competition (Part 2), and conclusions and recommendations (Part 3). Part 1: Company Analysis - Important Company Information To Note: - Cadbury Beverage, Inc. is the beverage division of Cadbury Schweppes PLC. (a major soft drink and confectioner marketer) - Sales of $4.6 billion in more than 110 countries - Cadbury Schweepes PLC is one of the world’s first soft drink maker - In 1989, Beverages accounted for 60% of company world wide sales and 53% of operating income. o Confectionery items accounted for 40% of worldwide sales and produced 47% of operating income. - Overall goal for managers on Crush brand: o Rejuvenate the bottling network for the brand, o Develop a base positioning, o Create a new advertising and promotion program. Part 2: Industry Analysis - Cadbury Schweppes 3rd largest soft drink marketer. - Cadbury Schweppes had some key acquisitions of companies. - In 1989, Proctor & Gamble bought Crush for $220 million. - Cadbury Schweppes has a 3.4% market share of the carbonated soft drink market. - 3 leaders o Coca-Cola o PepsiCo o Dr. Pepper/7Up - Americans consumed an estimated $43 billion in retail sales in 1989 - 3 Major......

Words: 969 - Pages: 4


...Marketing Strategy of Cadbury Cadbury India is a food product company dealing in Chocolate Confectionery, Beverages, Candy and Snacks. Cadbury is the market leader in Chocolate Industry with a market share of 70%. Some of their favorite products are Cadbury Dairy Milk, Perk, 5 Star, Celebrations, Eclairs, Gems and Temptations, Bournvita. John Cadbury, the founder of the Cadbury business was born on 12th August 1801. Cadbury was founded 200 years ago when John Cadbury has opened his shop in Birmingham selling chocolate and cocoa with other glossary. Cadbury started its operation in India in 1948 by importing chocolates and distributing in the Indian Market. This project shows some research on current marketing strategy used by Cadbury in Indian market. I have also try to find some of Strength, Weakness, Opportunity and Threats of the Cadbury for Indian chocolate industry. Table of Contents 3 1. About Cadbury 4 2. Cadbury in India 4 3. Aim & Objective of the Project 6 4. Comparative Analysis 7 5. Marketing Mix of Cadbury 9 10 6. Current Marketing Strategies used by Cadbury and Market Segments 14 7. SWOT Analysis of Cadbury 16 8.Conclusion 17 9. Reference List 18 About Cadbury Cadbury was founded 200 years ago. Cadbury is a food product company producing Chocolate products. They are the market leader of this industry holding 70% of the total market share. Some of the well-known products of Cadbury are Dairy Milk, Perk, 5 Star, Eclairs, Celebrations, Temptations...

Words: 2475 - Pages: 10


...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......

Words: 1801 - Pages: 8


...Milk Marketing Federation Limited (GCMMF), which is the biggest organization in the domain of food product marketing in India. The company procures 13 million liters of milk on a daily basis in the peak period and has 16,117 milk cooperative societies that are based in villages, 3.18 million members who produce milk, and 17 member unions that cover 24 districts. In 2011-12 its aggregate turnover was 2.5 billion US dollars. Amul chocolates are available in various forms such as the following: * Amul Fruit ‘n’ Nut Chocolate * Amul Bindass * Amul Chocozoo * Amul Fundoo * Amul Milk Chocolate These are available in several flavors like orange, milk, and chocolate. Cadbury Cadbury was established originally in UK during 1824 by John Cadbury. The company is presently owned by Mondelez International. It is among the two biggest global chocolate brands along with Mars and its head offices are at Uxbridge, London. Right now it operates in more than 50 countries across the world. Mondelez International is one of the biggest brands in the world when it comes to chocolates, candies, and biscuits. It is also one of the top two manufacturers of gums in the world. The company has many billion dollar brands like the following: * Jacobs * Oreo * LU * Tang * Milka * Trident * Nabisco It operates in more than 80 countries with staff strength of 100,000. In 2011 the company earned estimated revenue......

Words: 2147 - Pages: 9

Cadbury’s first soft drink maker. In 1880s Schweppes expanded worldwide and in 1960s the company diversified into food products. In 1969 Schweppes merged with Cadbury which was a cocoa making business started in England in the 1830s. Year | Acquisition | 1986 | Canada Dry soft drink brands | 1989 | Certain soft drink brands and purchased Gini brand of Belgium. | 1989 | Crush brand from Procter & Gamble for $220 million. | Cadbury Beverages, Inc., a beverage division of Cadbury Schweppes PLC acquired the Procter & Gamble brands namely Crush, Hires and Sun-drop in the year 1989. They had to re launch those brands into the market because those products were paced out by their competitors. This case especially deals with the Crush brand(an orange drink). Kim Feil who joined the division in 1989 as a Senior Product Manager for managing the re launch of Crush soft drink brand. There had been a lot of discussions regarding the crush brand. After making a thorough industry review, competitors positioning and the image which Crush has on its customers mind the senior marketing executives at Cadbury Beverages, Inc decided to focus initial attention on the Crush Brand(fruit flavoured carbonated beverage). PROBLEM DEFINITION: After acquiring the soft drink brands from Procter & Gamble in October 1989 Cadbury beverages Inc. was not able to compete with its competitors Pepsi and Coke. So it had to relaunch its Crush brand. The brands positioning was not good......

Words: 2621 - Pages: 11


...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,......

Words: 659 - Pages: 3


...1. Is Cadbury a marketing-oriented firm? -I believe that Cadbury is more a selling-oriented firm than a marketing-oriented one. Still we can see some market-oriented factors in their procedures. I believe that Cadbury is a selling-oriented company since they follow the concept that holds that consumers and businesses, if left alone, will ordinarily not buy enough of the organization¡¦s products. The organization must, therefore, undertake an aggressive selling and promotion effort. Cadbury is part of an industry in which competitors are involved in which all the competitors are involved in extensive advertising and promotional activities. Consumers are bombarded with TV commercials, newspapers, ads, direct mail, and other activities.         Also we can see the pattern of the selling concept, which is: Factory "žÂ± Products "žÂ± Selling & Promotion "žÂ± Profits through sales volume We can see how Cadbury follows this pattern. They first manufacture a product. Then they use intensive selling and promotion in order to generate profits throughout sales volume. Selling is preoccupied with the seller¡¦s needs to convert his product into cash. Marketing focuses in the idea of satisfying the needs of the customer by means of the product and the whole cluster of things associated with creating, delivering, and finally consuming it. Cadbury is not primarily focused in the consumer. They are focused in sales. In the soft drink business all of the competitors are focused in the......

Words: 1813 - Pages: 8


...DEMAND FORECASTING IN CADBURY PREFACE All praises to ALLAH Almighty who has blessed me with knowledge to accomplish the task of completing this project. This project has given us a chance to observe the practical work of an organization closely and the demanding techniques used by a company to make Forecasts effectively.. Finally this project has enhanced my analyzing power and sense of observation. I am very thankful to our respected course instructor who had assigned me this valuable project. It is her worthy kindness that I am at this level of knowledge. Rabi’aa Naushad BB-A hons * Cadbury Dairy MILK: * INTRODUCTION: Dairy Milk is a brand of milk chocolate currently manufactured by Cadbury, except in the United States where it is made by Mondelēz International. It was introduced in the United Kingdom in 1905 by and now consists of a number of products. Every product in the Dairy Milk line is made with exclusively milk chocolate. In June 1905 in England, Cadbury made its first Dairy Milk bar, with a higher proportion of milk than previous chocolate bars, and it became the company's best selling product by 1914. George Cadbury Junior, responsible for the development of the bar, has said "All sorts of names were suggested: Highland Milk, Jersey and Dairy Maid. But when a customer’s daughter suggested Dairy Milk, the name stuck." Fruit and Nut was introduced as part of the Dairy Milk line in 1928, soon followed by Whole Nut in 1933. By this point...

Words: 4841 - Pages: 20


...| Brand Audit | Cadbury’s Dairy Milk | | | GROUP MEMBERS | Trisha Parekh (131) Gaurav Mehta (124) Rishi R Mehta (035) Priyam Modi (036) Hetal Gutka (159) | BRAND AUDIT CADBURY - A LEADER IN THE GLOBAL CONFECTIONERY MARKET A BRIEF HISTORY Cadbury India Ltd. is a part of the Kraft Foods Group and was formed on 1905. 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 60 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, Kolkota and Chennai). The corporate office is in Mumbai. Cadbury enjoys a value market share of over 70% - the highest Cadbury brand share in the world! Their billion-dollar 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 their main product is Bournvita -......

Words: 600 - Pages: 3


...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......

Words: 1579 - Pages: 7


...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......

Words: 3503 - Pages: 15

Elektronische Zigarette Batterien | Zona Mods | Descargar APK