Brand Audit of Cadbury

BRAND AUDIT OF CADBURY DAIRY MILK

Submitted To:

Dr. Bhavesh Vanparia

Submitted By:

Group 1:

Sonia Dadlani (10022)

Leena Chellani (11015)

Pallavi Vats (10116)

Chandan Pahelwani (11047)

Nikunj Gajara (11046)

Atirek Sharma (11074)

Neeraj Parihar (11052)

Yashwant Vaishnav (11093)

Tolani Institute of Management Studies

TABLE OF CONTENTS


Chapter

No.

Title Page No.

1. Objectives, Scope & Approach of Brand Audit 4

2. Brand History of Cadbury Dairy Milk 6

3. Introduction to Confectionary Industry 8

4. Consumer Analysis 9

5. Brand Inventory

5.1 Brand Elements, POP & POD, Marketing

Programs

11

5.2 Branding Strategies 16

5.3 Brand Portfolio 18

5.4 Competitor’s brand inventory 19

6. Brand Exploratory

6.1 Customer Knowledge, Sources of Brand

Equity, Mental map

20

6.2 Brand Positioning 24

7. Summary of Competitor Analysis 25

8. SWOT Analysis 26

9. Brand Equity Evaluation 28

10. Recommendations & Conclusion 35

Appendix (Questionnaire) 36

ABSTRACT

The journey of Cadbury started way back in the year 1905 from Bourneville, UK.

But it came to Indian market in 1948. From the time it was introduced in India,

Dairy Milk has been the market leader in the confectionery segment. It has

average daily sales of 1 Million bars.

The reason that our group chose Cadbury Dairy Milk for the Brand Audit is that it

provides us with ample scope to study the various aspects of Branding like

Communication Strategies, Innovative Ad Campaigns, and Emotional Connect

with Consumers, Brand Repositioning, and Rebranding etc.

We will study the evolution of Cadbury Dairy Milk by focusing on following

Aspects:


Redefining of chocolate segment

Its journey from "meant for kids” to “meant for everyone”

Its all time association with Milk

Its innovative & interesting Ad campaigns

CHAPTER 1

OBJECTIVES OF BRAND AUDIT


To analyze the strength of Cadbury in the chocolate segment.

To understand different branding and marketing aspects of Dairy Milk

To have an detail analyses of customer’s loyalty towards Dairy Milk

SCOPE & APPROACH OF BRAND AUDIT

Scope & approach of Brand Audit of Cadbury Dairy Milk is to understand:


Communication Strategies

Innovative Ad Campaigns

Emotional Connect with Customers

Brand Positioning

CHAPTER 2

BRAND HISTORY

In 1824, John Cadbury opened a shop in Birmingham. This one-man business,

trading mainly in Tea & Coffee was to be the foundation of Cadbury Limited. For

over 100 years Cadbury was a family business. In 1943 non family directors were

appointed. In 1847, the enterprise had prospered to a large factory in Bridge Street,

Birmingham. John Cadbury took his brother Benjamin into partnership and the

family business became Cadbury Brothers Birmingham.

The business moved to Bourneville after outgrowing the Bridge Street Factory.

The Workforce had risen up to 200 after 32 years at Bridge Street. After the death

of two brothers in 1899, the company was privatized. It entered the era of scientific

management; it introduced new ideas for their department like:


Analytical Laboratories

Advertisement & Cost Offices Sales Department

Works Committee

Medical Department

Education & Training for employees

On 2nd February, 2010 Kraft Foods took over 71% shares of Cadbury. They

acquired it totally. But still Cadbury was on top in the market. This acquisition did

not changed people’s mind and their craze for Cadbury Dairy Milk.

OPERATIONS

Cadbury’s operations are carried out in many countries. Few of them are:


United Kingdom

Canada

Ireland

United States

Australia

New Zealand

India

CHAPTER 3

INTRODUCTION TO CONFECTIONARY INDUSTRY

• Sugar confectionery (candies and toffees) has the largest share (50%),

followed by chocolate, (16%), and bubble gum, (10%).

• The chocolate segment is the fastest growing in value terms (9.8% average

annual growth rate)

• Cadbury India, Ltd. is by far the market leader, followed by Perfetti Van

Melle India, Ltd. and Nestle India, Ltd.

• The confectionary industry contains the following products:


Chocolates

Hard Candies

Mint ToffeesToffees

Bubble GumsChewing Gums

Lollipops

CHAPTER 4

CONSUMER ANALYSIS

Market Segmentation:

Demographic:

Age and Life Cycle: Buyers who mostly prefer Cadbury’s Dairy Milk come under

the age group of 4-50 years. Cadbury dairy milk is not affected by the generation

differences. All types of peoples like to purchase the Cadbury dairy milk when

they want to buy it.

Gender: Gender doesn’t matter. Cadbury Dairy Milk is for all types of persons

whether male or female.

Income: The price of Cadbury dairy milk is reasonable and affordable. So a person

does not need to think much before purchasing it. They can easily buy it any time

when they want to buy. The income of a person does not play an important role in

it except for Silk.

Behavioral:

Decision Roles: The decision role is played by the children and youngsters. They

play an important role in taking the decision of when to buy the Cadbury Dairy

Milk.


Occasions: For purchasing the Cadbury Dairy Milk no special occasions are

required. People can easily purchase it on regular basis also if they need it. Also

occasions such as Diwali, Rakshabandhan has witnessed increase in sales of dairy

milk.

User Status: There are mainly the regular users found in the user status of Cadbury

Dairy Milk.

Usage Rate: The user rate is heavy in the behavioral segmentation of Cadbury

Dairy Milk.

Attitude: There is an enthusiastic type of attitude of the buyers.


CHAPTER 5

BRAND INVENTORY

BRAND ELEMENTS:

Brand Name

Brand Ambassador

Jingle

Logo `


Cadbury

Amitabh Bachchan

Kuch Meetha Ho Jaye

Dairy Milk has been meticulously built around the world by Cadbury. It has been

able to sustain a strong position in the market. There are many branding elements

which have resulted into consistent result of its success. Few more Branding

Elements are as given below:

MARKETING PROGRAMS OVER THE YEARS

70% of market share is held by Cadbury alone in chocolate industry till 2002 (Out

of which 30% is held by Dairy milk alone). It has maintained this by constantly re-

inventing the brand and bombarding communication towards the consumer

consistently to maintain top of mind recall in the confectionery segment. Dairy

Milk has emerged as the No.1 most trusted brand in Mumbai for the 2005 edition

of Brand Equity's Most Trusted Brands survey. Here are some of the Innovative

Ad campaigns of Cadbury Dairy Milk:


Color

In India and across the world, the only choclate wrapped in Purple with the logo of Cadbury written on it.All other products of Cadbury like Gems which is also so colorful.

Insignia

Packaging which introduces slight of milk splash shows the relation of milk with Cadbury.

Logo

Logo which comes on the packaging in bold vintage Dairy font in white which also shows the relatio of milk with the product.

Real Taste of Life Campaign

Promotion in the early 90's, chocolates were seen as 'meant for kids‘. In the Mid

90's the category was re-defined by the very popular `Real Taste of Life' campaign,

shifting the focus from `just for kids' to the `kid in all of us'. It appealed to the child

in every adult. And Cadbury Dairy Milk became the perfect expression of

'spontaneity' and 'shared good feelings'. The 'Real Taste of Life' campaign which

people still fondly remember was that of a girl dancing on the cricket field which

remained etched in everyone's memory, as the most spontaneous & un-inhibited

expression of happiness. This campaign went on to be awarded 'The Campaign of

the Century', in India at the Abby (Ad Club, Mumbai) awards.

Khanewalon Ko Khane Ka Bahana Chahiye Campaign

In the late 90's, to further expand the category, the focus shifted towards widening

chocolate consumption amongst the masses, through the 'Khanewalon Ko Khane

Ka Bahana Chahiye' campaign. This campaign built social acceptance for

chocolate consumption amongst adults, by showcasing collective and shared

moments.

Pappu Pass Ho Gaya & Miss Palampur Campaign:

Here, the campaign associated Cadbury Dairy Milk with celebratory occasions and

the phrase "Pappu Pass Ho Gaya" became part of street language help to hold the

market share by segmenting the kids as well as Younger people despite the bitter

moments, hoping that the future will be much sweeter. Similar thoughts went into

the Miss Palampur campaign aligned to ‘Pappu’ wherein Dairy Milk becomes a

part of the big celebrations in life even with strangers.


Payday Campaign

PayDay campaign was a rather narrow interpretation of the occasion based

positioning; Cadbury India unveiled a new campaign that continued with the

brand's 'Kucch Meetha Ho Jaye' positioning. The campaign revolved around the

theme of 'Pay Day', which is associated with happiness by most people. This new

campaign takes the concept of celebrations to yet another level. The commercial

kept the core promise of happiness while introducing another 'moment of joy' in

one’s life. Cadbury highlights the celebratory occasion of pay day, which is an

important event in the life of every middle class Indian.

Shubh Aarambh Campaign (meaning Auspicious Beginning)

Cadbury's Dairy Milk has recently launched this campaign which is the refined

version of the earlier Payday campaign which evoked mixed response from the Ad

analysts and consumers. The Shubh Aarambh campaign reinforces the occasion

based positioning of Dairy Milk. The brand has been trying to position itself as a

symbol of enjoyment and celebrations.

Indians have the tradition of sharing sweets on auspicious occasions and also when

one initiates a venture/activity. Whether the activity is small like writing an exam

or huge like starting a company, sharing of sweets is an integral part of the event.

The belief is that good things happen when one starts a venture on a positive note

(like sharing sweets). Dairy Milk very cleverly captured this tradition and

incorporated into its brand story. The new campaign takes the brand to the center

of this tradition linking Dairy Milk to Sweet and Auspicious Beginnings. Shubh

Aarambh has given the brand a broad playing ground.


POP AND POD:

POD:

Goodwill/ emotional connect with Indian consumers

Generic name in the Indian chocolate segment

Campaigns are directed at kids as much as at adults

Excellent distribution system, in India specifically

3 layer packaging

POP:

Good quality product

Chocolate manufacturing legacy

Variants such as dark chocolate, fruit and nut etc.

Constant innovation in marketing campaigns


BRANDING STRATEGIES

Distribution strategy:

Cadbury Dairy Milk’s journey with chocolate lovers in India began in 1948.

Today, Cadbury Dairy Milk alone holds 30% value share of chocolate market 50%

of molded chocolate segment. One of the largest chocolate brands in the country

Indian market & specifically urban areas where the penetration of chocolates is

increasing, brings a need for efficiency in logistics & distribution. Cadbury Dairy

Milk is easily available anywhere when we need it. Still, the supply chain of

Cadbury Dairy Milk is very good. Also it is quality conscious. So the two main

types of benefits given by Cadbury Dairy Milk are supply and quality.

Pricing strategy:

Since Dairy Milk is positioned towards a very large audience from ages 4 – 50

years, the pricing strategy is extremely affordable and easily accessible to all

categories. Hence prices range from Rs.5 to a Maximum of Rs.20 in different sizes.

The only exception being Silk (its newest variant) which is a premium offering and

is thus priced at Rs.50.


Targeting:

The prospective customers of Cadburys’ Dairy Milk have changed from Kids to

Adults – including every family member to celebrate any occasion with Dairy

Milk.


BRAND PORTFOLIO

The Dairy Milk Brand alone accounts for approximately 30% of total Cadbury’s

sales. It has made Cadbury the number one confectionery brand in the market.

Currently in India, Dairy Milk has many sub-brands under its name. They are;


COMPETITOR’S BRAND INVENTORY

1) Perfetti Van Melle India

Brand portfolio- Mentos, Fruitella, Alpenliebe, Chocoliebe,

Happydent, Big Babol, Chlormint, Center Fresh

Notable marketing campaign- Happydent “City lighting up” campaign

2) ITC

Brand portfolio- Minto and Candyman

Notable marketing campaign- www.mycandymanclub.com, a website

with games, quizzes, downloads and other fun activities targeted at

young children

3) Nestle India

Brand portfolio- Kit kat, Munch, Milky bar, Bar one, Polo, Eclairs

Notable marketing campaign – Rani mukherjee is the brand

ambassador for Munch.

4) Parle

Brand Portfolio- Melody, mango bite, poppins, kismi toffee, mazelo,

xhale, éclair, golgappa, parle lites, orange candy

Notable marketing campaign- Mango bite “kache aam ka copy”


CHAPTER 6

BRAND EXPLORATORY

Customer Knowledge

Cadbury dairy Milk has been trying to get out of the image of” Just another

chocolate” and become something special in the minds of the people. They have

also been trying to position themselves as chocolates for all age groups and not just

kids. The campaign has successfully created a picture in the mind of the customers

that Cadbury is not just a chocolate but means of celebrations.

Sources of Brand Equity:


BrandImage

Consumer

’s Taste and

Preferenc

eBrand

Awareness

EmotionalConnect

The main sources of Brand Equity are Brand Awareness and Brand Image.

Cadburys’ Dairy Milk not only enjoys high levels of Brand Awareness but

Unaided Brand Recall. This level of recall is generated when Dairy Milk enjoys

the Top of the Mind effect. The brand image of Cadburys’ Dairy Milk plays an

important role in building the Brand Equity of Dairy Milk through the medium if

unique brand associations.

These associations based on the Brand Perception segment in the analysis, are

favourable as consumers relate to it as a chocolate for every occasion/ celebration.

Right from the Kuch Meetha Ho Jaaye campaign to the recent Shubh Aarambh,

Cadburys’ Dairy Milk has managed to create strong, unique, favourable brand

associations in the minds of the consumers which is commendable.

To assist its brand recall and brand image are strong supports that Dairy Milk

receives from the robust distribution system (availability) and memorable

packaging which only adds to the brand associations for Dairy Milk and help build

its brand equity. This product has built such a brand image that it has attracted the

consumers so they will not like to switch over to other brands especially since they

are competitively priced which aids consumer preference even more.

Other sources of Brand Equity for Dairy Milk are:

1. Emotional Connect

2. Consumer’s taste and preferences


Brand Ambassadors

As we know that previously Dairy Milk was only considered as Chocolate, but

their new campaign has changed this perception of consumers. As discussed above

now Dairy Milk is considered as Traditional sweet of Indian culture (Mithai)

which people give to their near and dear ones on the occasions and now they use

Dairy Milk as sweet (Mithai). Brand Ambassador chosen for Dairy Milk is none

other than Megastar Amitabh Bacchhan. He endorsed the brand so successfully

that everyone loved the brand much more than they did. The endorsement has

successfully captured the Indian festivals like Rakshabandhan, Diwali, Wedding,

Birthdays etc. Now people give Dairy Milk as token of love, care and affection to

their friends and family.


Mental Map


Cadbury Dairy Milk

Performance:

Tasty

Consistent

Quality

Healthy

Image:

Means of Celebration

People:

For all age groups

BRAND POSITIONING

Cadbury Dairy Milk positioned nationwide as the perfect expression of love –

family, friends, etc. Across the various campaigns Cadbury Dairy Milk is

positioned as a spontaneous brand that is carefree, for special as well as real

moments in life. There is no over the top exaggeration but the positioning has

always been to connect with consumer. In fact Cadbury is synonymous world over

with chocolates and hence the marketing program always focuses on the

positioning in order to be a part of the consumers regular consumption at any given

point in time to include as many occasions as possible.

Cadbury Dairy Milk has smartly positioned itself keeping in mind all 4 P’s of

marketing:

• Product

• Price

• Place

• Promotion

Constituents of Brand positioning of Cadbury Dairy Milk:

Means of celebration

Consistent taste

Consistent quality

Healthy

Sharing happiness with the dear ones

Occasional product


CHAPTER 7

SUMMARY OF COMPETITOR ANALYSIS

COMPANY FOUNDED IN BRAND PORTFOLIO

(confectionery products)

Nestle 1860s Kit Kat, Smarties, Wonka

Ferrero 1940s Rocher, Raffaello, Kinder, Tic

Tac, Mon Cheri, Nutella

Mars 1911 Bounty, Galaxy, Mars, Snickers,

Milky Way, Wrigley’s, M&M’s

etc

Amul 1945 Milk chocolate, Fruit & Nut

chocolate

Hershey’s 1894 Hershey’s milk chocolate,

Kisses, Pot of gold, Milk duds,

Reese’s, Icebreakers etc

Perfetti

Van Melle

2001, when

Perfetti and

Van melle

merged

Alpenliebe, Chlormint,

Centerfresh, Happydent,

Mentos

ITC 2002(confectio

nery segment)

Minto and Candyman

Parle 1929 Melody, mango bite, poppins,

kismi toffee, mazelo, xhale,

éclair, golgappa, parle lites,


orange candy


Chapter 8

SWOT ANALYSIS

Strength Weakness

Dairy milk is owned by

Cadbury which is a globally

established brand name known

for its manufacturing

competency and leadership in

innovation.

Certain segment feel that price

of Dairy Milk is high and

compared to that Amul Milk

chocolate is preferred.

Dairy Milk has been able to

establish a clear and consistent

Brand Image over the years.

Dairy Milk is somewhat

lacking in other emerging

markets. It has strong

command over its brand image

in India and Europe But other

places it is lacking.

It offers quality product with

innovations with innovative

communication campaign

Dairy Milk has huge command

over its distribution network

spanning across India.

-

Dairy Milk also enjoys a great

Brand Recall value when

comes to chocolates with

Milk.

-


Threats Opportunities

Increasing competition from

international brands is biggest

threat to Dairy Milk

To introduce sugar free category is

biggest opportunity for Dairy Milk.

Highly price sensitive nature of the

industry.

Dairy Milk can innovate more by

bringing international flavors so

that is also gets an opportunity to

compete with this threat as well.


CHAPTER 9

BRAND EQUITY EVALUATION

CBBE pyramid:


BRAND MANTRA OF DAIRY MILK


Adding Sweetness to your life

Data Analysis

1) Aware of Cadbury?

2) Source of awareness?


3) Which Cadbury chocolate do you purchase the most?

4) Other than Cadbury?


Consumption

Dairy milk (56%) 5 Star (18%)Gems (8%) Perk (6%)Bournville (4%) Dairy milk silk

(4%)Temptations (2%) Celebrations (2%)

5) Which pack size?

6) How frequently do you purchase Cadbury chocolates?


7) Availability?

8) Which of the factors affect your purchase?


9) Impulse purchase?

10) Will you stop buying Cadbury, if new brand appears in Market?


Response

No, not at all (60%)

I may consider (24%)

Cant's say (16%)

CHAPTER 10

RECOMMENDATIONS

Cadbury should seriously consider focussing on the energy/ health bar

segment for the Indian market. It should also innovate to cater to the calorie

conscious.

Attractive displays at the payment counter will induce impulse buying. They

can also consider coming up with their exclusive ‘Chocolate Boutiques’.

For festivals like Christmas Dairy milk can introduce special chocolates like

rum and champagne flavoured chocolates.

CONCLUSION

Cadbury Dairy Milk even though a foreign brand, has wonderfully understood the

Indian Chocolate Industry as a unique mix with extreme consumption patterns,

attitudes, beliefs, income level and spending of the money. Understanding

consumer preferences and need is the key to growth in this industry. Economic

distribution using proper supply chain is necessary and so is maintaining a high

brand loyalty. Cadbury Dairy Milk has scored on all these parameters and therefore

has maintained its position on Global Market as No 1 Chocolate


Appendix

Questionnaire

1) Are you aware of Cadbury?

a. Yes

b. No

2) What is the source of awareness?

a. Ads

b. Word of Mouth

c. Saw in shops

3) Which Cadbury chocolate do you purchase the most?

a. Dairy Milk

b. 5-star

c. Gems

d. Perk

e. Bournville

f. Dairy milk Silk

g. Temptations

h. Celebrations


4) Other than Cadbury which brands are you aware of?

a. Nestle

b. International Brands

c. Home-Made

d. AMUL

5) Which Pack Size do you purchase?

a. Medium

b. Small

c. Family Pack

6) How frequently do you purchase Cadbury chocolates?

a. Weekly

b. Daily

c. Monthly

d. Once in a fortnight

7) Are Cadbury chocolates easily available?

a. Very Much

b. Quite

c. Hardly


8) Which of the factors affect your purchase?

a. Ads

b. Attractive Display

c. Occasion

d. Suggestion from friends

e. Brand Ambassadors

f. Ingredients

9) Impulse Purchase?

a. Yes

b. No

10) Will you stop buying Cadbury Dairy Milk, if similar brand appears in

the market?

a. No, not at all

b. I may consider

c. Can’t say


Brand Audit of Cadbury

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