• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

Cadbury s marketing objectives for the development of Fuse.

Extracts from this document...


Introduction Established markets generate intense competition during which new and innovative marketing strategies are required and new and existing products are developed. As a market develops, consumers become more experienced and discerning and look for more benefits from the products they choose. Although some organisations' products may appear unchanged at this developed stage of a market, the more successful businesses re-work existing brands and continue to develop new ones to meet changing consumer needs. The development of strong brands has always been a feature of the confectionery market. Cadbury set out two objectives for the development of Fuse: 1. To grow the market for chocolate confectionery 2. To increase Cadbury's share of the snacking sector The 'Fuse' concept was developed after market research identified the growth of snacking and a definite gap in the market for a more chocolatey snack. A number of ingredients were devised and tested following a survey which questioned consumers about their snacking habits and preferences. A research and development team was then asked to develop a number of product recipes which addressed the needs expressed by consumers. Not all products successfully emerge from the product development phase. Research and development involves combining various ingredients to develop potential new products. Considerable development time was spent on Fuse, carefully engineering the ingredients in order to deliver the right balance of chocolate, food elements and texture. More than 250 ingredients were tried and tested in various combinations before the recipe was finalised. ...read more.


Market research is a process designed to link managers to consumers through information. It is used to identify opportunities and make better informed decisions about products which have future market potential. Market research has revealed that snacks play more of a functional role than one of pure indulgence. Research also shows that successful snack brands in the confectionery category tend to have more 'foody' values and often contain ingredients such as cereal, wafer, biscuits, peanuts and fruit to break up the chocolate delivery. Cadbury's philosophy is to continue as a driving force in the confectionery market, and thus constantly analyse its offerings for consumers. The core objective of Cadbury's innovation programme is to generate incremental volume for the company and achieve the vision of market leadership in every segment in which it operates. The role of innovation is critical as it allows Cadbury to develop ahead of its competitors in those areas of the market which are new or growing Brand name Like packaging, brand names play a critical role in the success of a product, by helping to create a product's 'personality'. The new product aimed to have broad appeal to 16-34 year olds, although it was primarily targeted at 16-24 year olds. The name Fuse was chosen to communicate the fusion of snacking ingredients. The logo was bright and fiery with a mock fuse - alight in several places - which aimed to give the new bar the quirky and humorous style which Cadbury sought to appeal to this younger target market. ...read more.


One way of evaluating the effectiveness of advertising and promotional campaigns is to ask market research volunteers to identify advertisements using prompts in a recall test. The Fuse launch had created massive awareness of the new brand, achieving greater prompted awareness than the celebrated Wispa launch. Within just one week of the launch, a record 40 million Fuse bars were sold into the trade and within eight weeks of sale, Cadbury Fuse was the UK's favourite confectionery line, outselling both Mars Bar and Kit Kat by 20% and capturing an astonishing 6.5% of hand-held confectionery product sales. It had also contributed significantly to Cadbury's growth in 1996. The launch had exceeded expectations, with consumers buying 70 million Fuse bars within the first three months of its launch. Cadbury's competitors reacted to the success of Fuse by increasing their own new product activity. Conclusion This case study has examined Cadbury's ability to use innovation in a developed and crowded market-place. There were three clear elements in this process: 1. the use of consumer research to identify a significant market opportunity; 2. product research and development combined with extensive consumer testing; 3. Massive trade and consumer hype generated by a national launch. Snacking remains the big opportunity to expand the chocolate market even further. As Fuse moves through the growth phases of its product life-cycle, the next stage is to move it into the 'super brand' league. As it does so, the key requirement will be to maintain the product's momentum by continuing to develop innovative approaches to marketing it to consumers. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our University Degree Marketing section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related University Degree Marketing essays

  1. A PEST analysis for Cadbury Dairy Milk.

    Warranties and guaranties should be indicated clearly and carefully in the advert to avoid any confusion by the customers. Any advert must be prepared with a sense of responsibility to society and to the customer. Fear Adverts should not play on fear without a justified reason.

  2. History and current position of Cadbury.

    In addition to this, they should take active steps to reformulate foods to reduce their energy density, and to introduce healthy pricing strategies to make healthy choices affordable for all.

  1. Marketing Environments - Chocolate Confectionary Market

    Rising demand in developing countries, especially new EU countries and heavily populated countries such as China * Strong brand loyalty to established manufacturers * Chocolate is the biggest confectionary market and the most popular out of all the confectionary markets * Chocolate market is a global business operating in most

  2. Kit Kat Case Study - 'Kit Kat: Have a break…'

    Introduction: Snacking is a common occurrence in today's society. With a large range of products being offered with different marketing strategies behind each one, competition is fierce in a continually rising market. Nestle Kit Kat that has been around since 1935 and has been Nestle Rowntree's biggest brand since the 1950's with other Rowntree brands being Polo, Rowntree's Fruit Pastilles and many others.

  1. Chapter Notes on Marketing Management by Philip Kotler 10th Edition

    effectively or overpriced * Development costs are higher than expected * Competitors fight back harder than expected Several other factors that hinder new-product development: * Shortage of important ideas in certain areas: There may be ways left to improve some basic products (such as steel, detergents).

  2. Cadburys has many famous chocolate products which it has a variety of advertising campaigns ...

    With this merger Cadbury got a huge amount of assets from Schweppes increasing the business size and wealth. Cadbury gained many successful products from Schweppes such as Schweppes lemonade and ginger ale and later dr. pepper and 7 up which they acquired.

  1. Marketing a new snack in Vietnam.

    Demographic: 1. Age: Poca snack can be consumed by all age groups who are interested in snacks. Nevertheless, as can be seen in the figure 2 (page 7) about the population in 2005, the age group of 13-22 has a high proportion in comparison with the others.

  2. United Cereal: Lora Brills Eurobrand Challenge

    In this way, resources (R&D supports, budget, etc.) could be most efficiently used. However, there could be a fair problem if the resource distribution is more liable to the more effective brand teams. Prudent attitude for every big or small decision keeps an ideally low level of the risk for

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work