Cadbury y62n

CADBURY INDIA Presented By: Deepti Mangal (MBA 2013-15)

Cadbury •Cadbury is the brain child of John Cadbury, who sold tea, coffee and drinking chocolate in Birmingham. • It is a British confectionery company owned by Mondelēz International. •With annual revenues of approximately $50 billion, the company is the world's second largest confectionery company. •Company employs approximately 140,000 people and have operations in more than 70 countries.

Cadbury India • Cadbury began its operations in India in 1948 by importing chocolates. • Challenge in India – Get people accustomed to chocolates- primarily seen as a western taste. – Do so by reaching out to the masses in a land where mindsets and preferences are as diverse as the country itself • It is the market leader in the chocolate confectionery business with a market share of over 70%. • Cadbury India operates in four categories viz. Chocolate Confectionery, Milk Food Drinks, Candy and Gum.

Locations in India

Vision Working together to create brands people love. The core purpose captures the spirit of what we are trying to achieve as a business. We collaborate and work as teams to convert products into brands.

Mission A Cadbury in Every Pocket. Cadbury's means quality. Our reputation is built upon quality. Our commitment to continuous improvement will ensure that our promise is delivered.

Timeline Of Cadbury

2008 Cadbury Schweppes demerger took with the drinks business becoming Dr. Pepper Snapple Group Inc. 2009 Acquisition by Kraft Foods: £11.5 billion (US$18.9 billion) indicative takeover bid for Cadbury

1948 Cadbury began its operations in India by importing Chocolates

1824

1905

1897

1969 1948

1905 Dairy Milk brand appears for the first time 1824 John Cadbury began selling tea, coffee, and drinking chocolate

2012-13 Cadbury India profit slows to six year low PAT growth 2.2% under the new parent Mondelez International.

2012

1993 2008

2009

1993 Cadbury opened the world's largest and most advanced chilled warehouse in Minworth, Birmingham

1969 Cadbury buys drink maker Schweppes to become Cadbury-Schweppes

2013 2012 The confectionery business of Kraft became Mondelēz International, of which Cadbury is a subsidiary.

8

1897 The first Cadbury solid chocolate bar is sold.

Key People

C Y Pal Chairman - Non Executive

Atul Bhatia Director, R&D

Chandramouli Venkatesan Director, Chocolates & Strategy

Jaiboy Phillips Director, Operations

Rajesh Ramanathan Director, Human Resources

Rajesh Garg Director, Finance

Product Line

Chocolates Beverages Biscuits Candy

Gum

CHOCOLATES 1. Cadbury Dairy Milk It was launched in 1905 at Bourneville, U.K. The variants Fruit & Nut, Crackle and Roast Almond, combine the classic taste of Cadbury Dairy Milk with a variety of ingredients and are very popular amongst teens & adults.

2. Cadbury Dairy Milk Shots Cadbury launched CDM Shots in 2008.. Positioned as ‘chocolate laddoo’ and priced at Rs. 2 for 2 pieces, the attempt was to introduce the product to consumers as the perfect value-for-money accompaniment for their small celebratory occasions.

3. Cadbury celebrations With Celebrations, Cadbury not only succeeded in positioning chocolates as the modern variant over the traditional Mithai, but also managed to connect to the average Indian for whom festivals hold a special significance.

4. Bournville Hailed as Cadbury’s answer to the emerging market of luxury chocolates, Cadbury unveiled Bournville – the Indian formula for dark chocolate in 2009.

5. Perk Cadbury launched its new offering; Cadbury Perk in 1996. With its light chocolate and wafer construct, Cadbury Perk targeted the casual snacking space that was dominated primarily by chips & wafers. It became the new mini snack in town and its proposition "Thodi si pet pooja" went on to define its role in the category.

6. 5 Star Launched in 1969, 5 Star soon became the star of every refrigerator and pocket. A leading knight in the Cadbury portfolio and the second largest after Cadbury Dairy Milk with a market share of 14%. One of the key properties that Cadbury 5 Star was associated with was its classic Gold color.

7. Gems The saying "Good things come in small packets" has been proven right many a times and it couldn't have been truer for the pretty chocolate buttons called Gems.Little wonder that Cadbury Gems, the brand that came into India in 1968 is still going strong

8. TEMPTATIONS Cadbury Temptations is a range of delicious chocolate in five flavours- Roast Almond Coffee, Honey Apricot, Mint Crunch, Black Forest and Old Jamaica.

9. TOBLERONE Toblerone , the legendary triangular Swiss chocolate, is over a century-old brand and prides itself on being the only triangular chocolate in the world. It is manufactured only in one factory in Switzerland and exported to countries all across the world. It is the most preferred gifting chocolate for globe-trotters and is the No. 1 brand across duty free stores at airports across the world , Toblerone was brought to India in 2012 in the classic ‘Milk Chocolate’ flavour and is now widely available in 5 pack sizes. The launch of Toblerone in India is in line with the business objective of growing and leading the gifting chocolate market with ‘Gift like no one else’ as the brand theme.

BEVERAGES 1. Bournvita Cadbury Bournvita was launched in 1948. The brand has been an enduring symbol of mental and physical health ever since it was launched. It is hardly surprising then, that Bournvita enjoys a major presence in the Malt Food market. Given its market share of 17%, Cadbury Bournvita reaches across hundreds of cities, towns and villages through 3,50,000 outlets in India.

2. Tang Tang, is now available in India with the delicious and refreshing flavors of Orange & Lemon. Launched in March 2011, the combination of yummy taste and micronutrients such as Iron, Vitamin A,B & C makes it a favourite beverage. At an affordable price, mothers are able to make a deliciously refreshing, nutritious and convenient drink for their kids.

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BISCUITS • Oreo Launched in India in March 2011 the delicious combination of dark chocolate biscuit and vanilla cream was first introduced to the world in 1912. That original formula was so perfect that it has hardly been modified since. Each year more than 7.5 billion Oreo Biscuits are eaten, making it the world’s No. 1 biscuit. Paired with a glass of milk, it is the perfect snack. Twist, Lick, Dunk!

CANDY 1. Éclairs Éclairs was first discovered by a local confectionery firm in London, England in the 1960s. The firm then became part of Cadbury in 1971 making Cadbury Éclairs the second largest brand in the company. Éclairs advertising over the years has talked about the mesmerizing taste of Éclairs because of the Cadbury Dairy Milk chocolate it contains at its centre..

2. Halls Halls was first launched in India in 1968 and soon established itself as a ‘therapeutic’ candy competing in the cough lozenge market. Halls came into the Cadbury fold in 2003 as part of a global merger with Adams Confectionery. Over the years Halls has been strongly positioned on the `soothes sore throat’ benefit in the consumers mind.

GUM • Bubbaloo It took its first steps in the international confectionery market in the year 1984. With its launch in the Indian market in 2007, the definition of bubble gum underwent a juicy change! Bubbaloo is synonymous with flavoured fun in bubble gums! Bubbaloo stands out because of its unique flavoured liquid filling.

STRENGTHS

WEAKNESS

-Distribution Network -Market Share -Aggressive Marketing -Rich product mix

- Little penetration in the rural sector. -Dependent on confectionery and beverage market. -Relatively high priced brand.

SWOT OPPORTUNITIES -Diversification. -Expansion of New markets where population is growing.

THREATS -Rise in the cost of chocolate and dairy products. -Entry of many foreign players in the Indian Confectionary market, which are giving higher margins to the retailer.

Competitors • Mars-Wrigley

• Hershey

• Nestle

• Ferrero

• Kraft foods

Indian Chocolate Market • • • • •

India is the world's fastest growing market for chocolates. ing 15% annual growth between 2008 and 2012. The Indian chocolate market is worth around Rs 5,562 crore. 400 Kgs of chocolate consumption in India per minutes. Low priced unit packs, increased distribution reach and new product launches can be said to have fuelled this growth.

Competition

Market share in global confectionery, in percentage (202-brands) Companies

All Confectionery

Chocolate

Gum

Candy

Cadbury

9.9

7.5

25.7

7.2

Mars

9.0

14.8

-

3.0

Nestle

7.8

12.6

0.1

3.2

Wrigley

5.8

-

35.9

2.7

Hershey

5.5

8.2

1.1

2.7

Ferrero

4.8

7.3

-

1.5

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