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EVERYTHING U SHOULD KNOW ABOUT CHOCLATE

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PRESENTED BY:ABHISHEK KUMARNEHA SINGHSUBODH KUMARVISHAL GAUTAM



CHOCOLATES

• Chocolate is the object of our affection. It's a sensory adventure not only to eat chocolate, but also to smell it and look at it - even unwrapping is exciting.

• The Mayans first brewed the cacao bean, and the Aztecs perfected its practice by adding flavorings and maize to break down its unpleasant qualities.

• The Aztecs were not stubborn by consuming a awful drink. They were faithful to the divine qualities of the fruit, as well as the health benefits that it provides: energy, increased attention, and temperature.



CHOCOLATE VARIANTS

• MOULDED BARS: Such as dairy milk, crunch, Bourneville etc.

• COUNTLINE BARS: Such as barone, snickers and 5star etc

• SUGAR PANNED: Such as gems, marbles etc.



MARKET FOR CHOCOLATE

• Size of Rs 8 billion in value and around 33,000 tonnes in volume.

• Low per capita consumption of around 160gm as compared to 8 kg in UK.

• Very low penetration level.



MAJOR PLAYER AND SHARE

• The major players in the Indian Chocolate Industry are:

1. Cadbury’s India Limited

2. Nestle India

3. The Gujarat Co-operative Milk Marketing Federation (GCMMF) – AMUL

4. Cocoa Manufactures and Processors Co-operative (CAMPCO)



External Factors affecting Growth of Chocolate Industry in INDIA

• Good monsoon ensures adequate availability of raw materials, which are mainly agricultural in nature.

• Raw material prices have significant influence on

margins.

• Government policies in terms of licensing, duties, movement of agricultural commodities etc. also affect the introduction of products, time lag for a product launches, taxes, excise, etc all influence the business.



• Market growth driven by overall economic growth and urbanization also contributes. An overall booming economy will consume tonnes of chocolates because consumer spending increases.

• Also, the absolute number of consumers in middle class & upper middle class increases. Rupee depreciation improves export realizations, however it also makes import of raw material(esp. cocoa) expensive



BUYING BEHAVIOR

• Chocolates are consumed as indulgence and not as snack food, as prevalent in western countries.

• Almost 75% chocolates are impulse purchases. Chocolates are bought predominantly by adults and gifted to children.

• Behavior is also influenced by sales promotion offers during festive seasons.



Advertisement influence:

• Indian chocolate market is almost totally depended on purchases of kids.

• In recent times, the chocolate majors, Cadburys and Nestle took major initiatives to bring in grown-ups into this market.

• While Cadbury is trying to sell indulgence to adults, Kit Kat is selling 'ritualistic' break to teenagers/ young adults.

This is reflected in the changing advertising patterns across different channels.



Changing Attitudes & Consumption pattern:

• In the past, chocolate consumption had been restricted by low purchasing power in the market.

• Chocolates and other cocoa-based snack foods were looked upon as food suitable only for elitist consumption till recently

• .• But with the launch of lower-priced, smaller bars of

chocolate in the last two years and positioning of chocolate as a substitute to traditional sweets during festivals, have boosted consumption.



• Chocolates which were considered to be an elitist food hit the fancy of masses looking for a change in life style at affordable cost.



Company Profile

• Cadbury began its operations in 1948 by importing chocolates and then re-packing them before distribution in the Indian market.

• After 59 years of existence, it today has five company-owned manufacturing facilities at Thane, Induri (Pune) and Malanpur (Gwalior), Bangalore and Baddi (Himachal Pradesh) .



• Some of the key brands are Cadbury Dairy Milk, 5 Star, Perk, Éclairs and Celebrations



Nestle

• Nestle’ India is a subsidiary of Nestle’ S.A. of Switzerland.

• The company insists on honesty, integrity and fairness in all aspects of its business and expects the same in its relationships.

• Nestlé is dedicated to bringing the joy of ‘Good Food, Good Life’ to people throughout their lives, throughout the world.



• Nestle’ Brands

Milk Products & Nutrition

Beverages

Prepared Dishes and Cooking Aids

Chocolates & Confectionary



COMPETITIVE STRATEGIES

CADBURY Product packaging and brand logo

Chocolates for everyone

Rich tapestry for human relation(celebrations)

Star celebrities

Employee satisfaction



NESTLEDiversified, not predominantly into

chocolates

set up of milk collection centres

Long relationship with India.

Leaders in Rs. 5 segment(munch)

Effective stocking in stores

Specific targeting of rural customers.



FINDINGS

• People prefer to consume branded chocolates.

• They should give stress on children & teenager segment to increase market share.

• Bars and wafers are the most preferred kind of chocolates.



• Brand Ambassador generally effects people’s perception towards a product and create an image in their mind.

• Cadbury is on the top slot with covering high market share and dominates the chocolate market, nestle comes next.



FUTURE GROWTH DRIVERS

• Increasing in the market depth including rural area’s coverage.

• Better product quality and packaging

• Launching sugar free product lines for the health conscious.

• New major product to be launched every year.



REFRENCES

www.cadburyindia.com

www.nestle.com

www.google.com


http://www.cadburyindia.com/

http://www.nestle.com/

http://www.google.com/

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