promotional objectives- Cadbury's
Cadbury's
Task 1 Report
To: Coraleon Maxwell
From: Adeel Akhtar
Date: 04/10/06
Subject: Cadbury's
Introduction
For my assignment the company I have chosen to investigate is Cadbury's, I am going to talk the aims and objectives of Cadbury's and how they are presently developing with their company. Aims and objectives are long term goals, as Cadbury's has many aims and some important ones. Aiming to provide the best support customers require to successfully planning and managing Cadbury's company. I will also be visiting Cadbury's as part of my assignment to broaden my knowledge on how customers are dealt with and what affect customers have on the business. The specific product that I will be researching on is Cadbury's Dairy Milk.
For my assignment I am going to talk about:
* Promotional Objectives
* Promotion within the marketing mix
* Advertising Agencies
* Promotional campaign
History
Cadbury's was originally owned by one young man Quaker, John Cadbury, which was named after his own very name Cadbury. Cadbury's is known as today's world's leading market from the beginnings in Bull Street, Birmingham. A shop was opened by John Cadbury in 1824. It did not start as a confectionery shop but sold tea and coffee and home made drinking chocolate or cocoa which he made himself for his customers. This is a one man business, for over 100 of years Cadbury's was essentially a family business. Cadbury's Limited has not just shown the growth of highly successful confectionary business but also has shown the development of social and industrial reforms. Cadbury world is the factory where Cadbury's dairy milk is produced. Cadbury's dairy milk was first introduced in the early 1900s it made an immediate impact quickly becoming the market leader. Cadburys Dairy Milk as an international brand carries the same distinctive image all over the world. Cadbury Dairy Milk sells their product nationally and internationally but however the packaging design of Cadbury's product is the same worldwide. Cadbury's will only change their language so it is easier for people that buy the products in different countries to understand the language. Cadbury's dairy milk has a famous slogan a glass and a half of full cream milk in every half pound with the picture of milk pouring into the chocolate bar Cadbury's have had the slogan since they first started the production of Cadbury's dairy milk.
Cadbury is one of the biggest international beverage and confectionary companies in the world. Cadbury have their own plan through objectives in making sales also to create healthy and sustainable where people can enjoy their products like confectionary and beverages. The company is also part of the 'Cadbury Family' that includes the beverages called Cadbury Schweppes that are two brand names that have come together to form one
Aims and Objectives
An aim is what demonstrates the long term intentions of the business. As any other business Cadbury has aims and those aims are to achieve are their goals, in order to achieve their goals they will need to set objectives. The objective is how they are going to achieve their aims. Cadbury's continually set themselves aims to be able to be successful in the future.
An objective is a measurable goal that a business will try to achieve in the short or medium term. Every company in order to reach it aims has to set it self objectives. An objective is a target which contributes towards a main aim or a goal. An example of an objective at Cadbury might be Cadbury wants to reduce its wastage by another 10 percent its objective will state how will they achieve that and in what time frame.
Cadbury's have many aims and objectives but I will be using the ones for the confectionary market.
Cadbury's aims and objectives:
. Make a profit
2. Make Cadbury's chocolate bars more healthier
3. Provide highly competitive services
4. To beat the competitors by cheaper prices and better quality chocolates
5. Improve the quality of product
6. Provide goods and services
Making a profit- Making a profit, Cadbury's earning from selling its good and services should be greater then its running costs. Profit is a difference to what Cadbury's spent and what Cadbury have earned over a period of time. Profit as for any other business is a very important aim as if it was't then it wouldn't survive for very long. Profit can be invested back into the business for expansion, development, and growth. In order for Cadbury's to make a profit they have to break even and they have to sell Cadbury's dairy milk bars internationally and nationally through out different countries. Cadbury's dairy milk sell through whole sale's and they sell Cadbury's dairy milk bars in packs which works out cheaper because they are buying the chocolate bars in packs. They also sell Cadbury's Dairy milk in retail shops which are corner shops or they sell direct from the manufacturers in order for Cadbury's dairy milk to make a profit they sell to a variety of different customers.
Make Cadbury's chocolate bars more healthier- Cadbury's can make their chocolate bars more healthier for example by reducing the amount of sugar or maybe by not adding any sugar at all this could result Cadburys by making a better profit. Because customers which might have problems such as diabetes would not be able to take anything with the ingredients of high levels of sugar init or any other type of ingredient which can result them with bad health problems, so for Cadburys in order to make a better profit would need to reduce the amount of unhealthy ingredients and have it sugar-free so that they make a better profit by gaining different types of customers.
Provide highly competitive services- Customer service is a vital part of Cadbury's. Customers are the most important part of a company. If there were no customers there would be any business. That's why customers must be given high standards of customer service in order for Cadbury's to get their customers to return. Cadbury's main aim is to improve their customer service in order to improve the customer service for the Cadbury's Dairy Milk bar, Cadbury's has to deal with more variety of customers in a appropriate manor because Cadbury's customers need to be satisfied with their service provided. ...
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Provide highly competitive services- Customer service is a vital part of Cadbury's. Customers are the most important part of a company. If there were no customers there would be any business. That's why customers must be given high standards of customer service in order for Cadbury's to get their customers to return. Cadbury's main aim is to improve their customer service in order to improve the customer service for the Cadbury's Dairy Milk bar, Cadbury's has to deal with more variety of customers in a appropriate manor because Cadbury's customers need to be satisfied with their service provided. If customers are not satisfied with the product they will put in a complaint and therefore Cadbury's would have to deal with the complaint effectively and efficiently in order to satisfy their customers. Other ways of satisfying customers would be if Cadbury's do after sales service.
To beat the competitors by cheaper prices and better quality chocolates- Cadbury's aim would be to compete with their competitors with cheaper prices and the quality of the chocolate bars in this case it would be Cadbury's Dairy Milk. For this reason Cadburys would need to be competing with their competitors, their competitors would be Nestle, etc Cadbury's would take away customers from their competitors so they can gain more market share and by making more profit through greater sales. Cadbury's knowing who their competitors are, and what they can offer, this could help Cadbury's make decisions more precisely and make their products stand out. This will enable Cadbury's to make sure that their prices are competitive. This knowledge could make Cadbury's marketing strategies that are an advantage to their business to find out what their competitor's weaknesses are and learning different ways to improve their product idea. If they increase sales and make profits Cadbury's Dairy Milk can think of improving and expanding making new flavours of Dairy Milk. They also need to have competitive prices with their competitors because if Cadburys bars are more expensive than Snickers and Nestle customers will be interested in buying Nestle chocolates rather than buying Cadbury's Dairy Milk.
Improve the quality of product- Cadbury's aim would be to improve on the quality of their product. By the quality of their service and product customers would decide weather they would recommend it or not so therefore Cadbury's would need to provide customers with the best customer satisfaction as possible. This could be done by many ways for example improving on the product Dairy Milk in sizes, shapes and flavours, this could bring many different customers because customers have different likes and therefore Cadbury would have to meet them aims. Cadbury's also don't want to lose their present customers that they already have so they don't improve the product so much that the customers they have gained they do not lose them.
Provide goods and services- One of the world's best confectionary sellers of beverages and shweppers are Cadbury Limited. Cadbury aim to provide customers the best and quality service as possible and as any other company purpose is their main target is to achieve their profits and their revenue. They aim to make good products that customers are happy with and the chocolate that suits their needs.Goods and services beautiful quality products, which provide Cadbury's customers with comfort. Cadbury is a company which produces chocolate. They are a nationwide and worldwide company. Cadbury's also provides chocolate bars nationally and internationally and also provide worldwide services.
Objectives
A goal is something that Cadbury is trying to achieve and in order to do so is through objectives for example by offering best customer service, selling more then their competitors and offering customers value for money. Cadbury's Dairy Milk objectives is to sell chocolate bars. In order to achieve their objective they need to complete all necessary task. Objectives are set to be as challenges and targets, Cadbury's objective may be that to take over there competitors Nestle, Snickers, Kit Kat they cannot take over these companies but they can stay on the same level as them but at the moment Cadbury's are in a higher position than the competitors. In order to achieve big amount of money Cadbury will need to set themselves objectives and carry them out effectively and efficiently as possible. Another objective for Cadbury is to sell more Cadbury's Dairy Milk bars than their previous year, this would be Cadbury main objective to increase sales each year and keeping customers away from their competitors.
In order for Cadbury's dairy Milk to achieve their aims they will need to meet their objectives Cadbury's dairy Milks objectives are:
. Increase sales from previous year
2. Make a more variety of products
3. Stay successful and survive as a business
4. Improve the quality of the product if needed
5. Expand the name of Cadbury's worldwide
6. Chocolate bars which are suitable for people with diabetes.
Cadbury's use SMART objectives to plan their resources:
Specific
Measurable
Achievable
Reliable
Time Constrained
SMART Objectives
Specific- Cadbury would like to achieve higher standards in customer services, increase profits, produce better and unique products of Cadbury, expand world wide and improve their designs and manufacturing of products. The program states a specific outcome, or a precise objective to be accomplished. The outcome is stated in numbers, percentages, frequencies, scientific outcome and etc. Cadburys specific aim is to make sure that they make good quality chocolate bars that customers are happy with.
Measurable- Cadbury would plan on measuring a certain source this means that the objective can be measured and measurement source can be identified. If it cannot be measured the funding non measurable activities will be discussed. All activities are measured at some level. Therefore Cadbury would have to measure whether or not meeting their objectives. Cadburys measurable aim is to increase their sales each year by 10%.
Achievable- Cadbury would plan on whether competition is possible or not e.g. Cadbury can do this profit increase by 8% next year. The objective or expectations of what will be accomplished must be realistic given the market condition, time period, resources allocated, etc. Cadburys achievable aim is to have a success rate of 99%.
Reliable- Cadbury can meet the objective with their current resources. Realistically achieve the objectives with the resources Cadbury's have. It should form part of the business overall aim.
Time Constrained- When Cadbury wants to achieve their objectives example targets must be met by the time next time. Objectives should be achieved in a specified time period. When do Cadbury's want to achieve the set objectives Cadburys time specific aim is to make sure that all their aims are completed in the time they have set themselves e.g. to make 1000 chocolate bars within a week they have to make 1000 chocolate bars.
Promotional objectives
Raising awareness
Raising awareness, Cadbury Dairy Milk use sponsorship to target their customers, they also sponsor Coronation Street as part of their advertisement. Cadbury's Dairy Milk sponsors Coronation Street because it's one of Britain's most famous and watched programmes and they advertise Cadbury Dairy Milk bars straight after the programme has finished or taken a break so that people get to see the advertisement of Cadbury's straight after the programme.
The shows days of Cadbury's advertisement and Coronation street is on Monday, Wednesday, Friday and Sunday on the programme channel of ITV1 and ITV2. On Monday it is shown twice once before and after Eastenders because it is Britain's most favourite programme because Cadbury aim to advertise their Cadbury Dairy Milk bar to as much audience as possible and majority of people watched this programme.
Coronation comes on at 7:30 because people are at work in the day from 9am - 6pm so when they come home they can watch Coronation Street and also they have an Omnibus which comes on at about 11ish for people who work night shifts.
Creating distinctive market presence
Cadbury Dairy Milk logo has been using creative distinctive presence for the their audience and Cadbury Dairy Milk represents its logo by having pictures of two glasses of milk which for one of them is half and the other full this represents Cadbury Dairy Milk bar. Cadbury use bright colours so that it stands out from the rest and also it is eye-catching than any other products. Cadbury's Dairy Milk have a traditional trend in which they only use two specific colours which are purple and white for their plain chocolate for most of Cadbury's dairy Milk products the mainly use the traditional purple because they have used the colours over the years and people from all around the world are familiar with the Cadbury's Dairy Milk bar. Cadbury's use the same design wrapper, colours and the same logo when they sell their products internationally but however they change the language so foreigners can easily understand and read the information provided on the chocolate bars. As Cadbury is nationally and internationally popular seller it is one of the biggest brands sellers through-out the world.
Creating a distinctive market presence, Cadbury must place a distinctive mark on the market for people to recognise that this is a big company that is about to launch another brilliant project this would be in a way so that the whole sector will be know. The new launch for a new Cadbury product is so they make a good impact on the market range.
. Logo: The sizes of the logos are largely printed on each of the products which then is recognized by people and other customers.
2. Colour: the Dairy Milk has distinctive colour on their brands and is bright so it also makes it easier for people to notice from all the rest that it is a Cadbury product
Increasing Market share
Cadbury's market share can be increased by buying more shares of different companies stakeholders. If Cadbury wish to increase their shares they are increasing their profit. Example is if Cadbury bought 25% percent of shares within the business they will receive 25% percent of profit. Cadbury Dairy Milk have a variety of products for all age groups which are:
Dairy Milk- Whole Nut
Dairy Milk- Original
Dairy Milk- Fruit & Nut
Dairy Milk- Bubble
Etc and is targeted at all different age groups. By increasing varieties of different flavours in Cadbury Dairy Milk Cadbury would be able to achieve a more sales and increase profit this also increasing Cadbury's market share. Cadbury's dairy milk advertises and promotes their products so they increase market share by promoting and advertising their products they increase their product awareness and more people are aware of the product the more dairy milk products they will sell. Another way Cadbury could increase their sales is improving on the quality of their packaging and products and if this leads to greater sales this will lead to a greater share in the market. If Cadbury was to sell their products internationally and nationally it will also increase their market share.
Targeting of relevant audience
Cadbury needs to target the best audience for the product or otherwise it will fail. So some of the factor that could be considered when targeting the audience are:
* Age ranges: Cadbury may have an idea of who which certain type of audiences the Dairy Milk would be aiming at, it could be all ages or a certain age range eg. 10 and over.
* Male or Female: would Cadbury be aiming this products a males or females depending on the product itself.
* Types of people (i.e people who can afford it or not): Cadbury would also research on the type of people that they are targeting in status, eg. Business people, normal status people.
Cadbury's have quality products which attract their relevant audience but the attract their audience because the quality of their product matches the price of their product their price for their product is affordable for all their customers. Customers of Cadbury's Dairy Milk will buy Cadbury products because of the quality of the product Cadbury's have a high quality of their product because they are a well-known brand and have to present their company image in a good manor.
Attitudes interest and opinions
Cadbury's would need to find out what customers views and opinions are on Cadbury's Dairy Milk product, therefore Cadbury would need to carry out market research in order to assess areas in which customers views and opinions and conduct market research. Cadbury would also need to carry out primary and secondary research this is done by carrying it out towards customers. Cadbury's carry out primary research, which involves customer's opinions, views about the choice of Cadbury's dairy milk products. customers prefer the actual taste of Cadbury's Dairy Milk bars rather than wanting to know the prices because Cadbury's Dairy Milks bars are usually cheap. Cadbury's knows the profile of existing and potential customer by identifying their products from previous sales. This is called a secondary research it relates to looking up the fact and figures in books and magazines or on a computer database files to find information on how well a product of Cadbury's Dairy Milk is doing.
Attitudes and opinions these two types of objectives are linked together. The customer would have their personal opinion on the chocolate product and may not want to buy it. This challenges of promoting chocolate a lot more interesting and at the same time tense also the attitudes of the person may not be in favour of chocolate so they get persuaded by adverts to try it out at least also on the other hand people also get aspired to the brands are in form and others that are under production and can not wait to taste the new releases. The types of promotions that would be involved there could be a focus group where everyone comes in and as a group tastes the product and hands in their answers. Or they would design up a questionnaire regarding the Dairy Milk. The different types of promotion that can be used here is could be:
* Focusing on groups- where people can get into one group with the Dairy Milk and test taste and observe the whole product with their personal opinions on the whole product.
* Questionnaires could be set from Cadbury regarding different aspects of the Dairy Milk. These comments and queries would be used and develop according to the majority of the comments made by people who had a taste of the product. This would help them within their research of what people what.
Looking at ways in which would interests and attract the audience. Cadbury products must be interesting to look at for the customers to buy if not they will not be doing well and they would be failing to achieve their aims. Many people enjoy the taste of pure chocolate and it the product is set and designed right, the interest of the people for the Dairy Milk will continue to increase. Focusing on groups and questionnaires can also be set to find out how many and can also be set as a percentage of the amount of people who were interested in the whole idea of the Dairy Milk. Cadbury's would be looking at how interested are they when they saw the products appearance? The taste and smell etc of the whole product. From this way Cadbury can find out the outcome of the product.
Demographics
Demographics plays a vital role for Cadbury's Dairy Milk because it includes race, age, income, educational attainment, home ownership, employment status, and location. Another term used for demographics is population characteristics. Demographics locates where Cadbury's Dairy Milk is being presently sold, as Cadbury's sell their products nationally and internationally. Cadbury supply their locals corner shops, supermarkets etc it is also sold all over the UK nationally. I founded that Cadbury Dairy Milk is sold internationally when I searched up on the computer and found that it is also being sold in supermarkets etc from this I found out that this is a world wide product from the suppliers of Cadbury.
Segmentation socio economic grouping
Segmentation at Cadbury would contain information about customers best and favourite chosen product, customers most preferred product. Market segments at Cadbury would allow the marketing team to focus on which type customers that are likely to buy the product. If the marketing team carries this out effectively and efficiently this would help Cadbury in return to achieve the highest level of sales as possible. This may also result Cadbury in lower levels of expenditures costs if the task of the marketing team carry it out successfully. Segmentation would be a crucial part of Cadbury because there are different types of customers with different needs and wants so therefore Cadbury would need to be more effective on what they provide their customers with the best of value for money as well as satisfying their customers. Marketing segmentation teams at Cadbury might look at customers views and opinions on whether they like or not. All customers are different because some customers are heavy spenders and they pay any price and are willing to pay the price for the large Cadbury's Dairy Milk bar others on the other hand they won't spend as much so they might buy a regular Cadbury's Dairy Milk bar.
Cadbury's Dairy Milk market segment they want to know what kind of people will be interested in their products and what different products they want. Cadbury's Dairy Milk to talk about Cadbury's Dairy Milk chocolate bars what bars do people mainly like?.
The methods that are used by Cadbury's Dairy Milk are to ask people socio-economic groups, what the persons age is are they male or female, where are they from and are they located in the local area, what the person's occupation is. Also find out if Cadbury's Dairy Milk chocolate bars are suitable for people of all ages because there are a different variety of products for people to buy. Methods of segmentation are the different socio economic groups the age of customers and the gender size and composition of customer household geographical location. All the socio economic groups are welcome because there are different variety of Cadbury's Dairy Milk chocolate bars that people can buy socio economic groups are A, B, C1, C2, D, E. Cadbury's Dairy Milk carry out market segmentation because it is more successful and also it provides what people want. Market segmentation is also likely to increase sales for Cadbury's Dairy Milk because they will know what products and services do people want. Also they can advertise to target markets and targeting the right people.
Business to Business
Is one business selling their product or service to another business. Cadbury's Dairy Milk sells their products to different businesses they sell to small businesses like corner shops and they also sell to big business such as supermarkets and wholesalers before any business buys Cadbury's Dairy Milks products they have to research the product through tasting and sampling the product within the stores they do this by having posters and samples of the product before customers by the product. Direct sales from Cadbury's are customers that sell to Wholesalers. Wholesalers buy Cadbury's Dairy Milk products in bulk and they sell in bulk to supermarkets and cash and carry's retailers buy their products from wholesalers and supermarkets retailers buy products from wholesalers and supermarkets because they buy products in packaging they might not buy as much products as wholesalers and supermarkets because they might not sell as much as they would sell.
Business to consumers
Cadbury's promote their product by raising awareness to their customers by advertising Cadbury's dairy milk when Coronation street comes on this raises customers awareness because they are aware that Cadbury's have new products because they advertised before the program comes on and between breaks and after the program finishes. By creating distinctive market presence attracts the consumer to the product because if Cadbury's have a majority of the market share they are more popular on the market because they are well known and more consumers will be aware of their products.Business to consumers is Tesco's selling their products to a consumer most businesses promote the product Cadbury's Dairy milk by having special offers e.g. buy one Cadbury's Dairy milk bar and get the second for half price special offers on chocolate bars in shops attracts customers to buying chocolate bars because customers rather buy good quality chocolates at special offers and at cheaper prices. New products in shops and supermarkets depends on how the business presents their products if a business gets the Cadbury's Dairy Milk bar and doesn't presents the product in a good manor the product will not be successful because the customers would not be aware of the product and they would not be able to know what the product is so they would not buy the product. If Cadbury's Dairy Milk bring out a product and at the same time Nestle bring out a product Cadbury's would have competition to avoid their competition they would need to promote and present their product so that the customer is attracted to the product. Most customers are aware of the quality of the products but however they consider the price playing a major part in buying a product.
B-TEC National- Business
Unit 3 Creative Product Promotion
Mrs Coraleon Maxwell
Adeel Akhtar