Complete Analysis on the Cadbury Marketing Strategy- A Case Study

Be honest – when you think of having something sweet, what’s the first chocolate that comes to mind? We bet it’s Cadbury! And this little fact shows just how powerful Cadbury’s marketing strategy really is.  When Indians think of ‘Kuch meetha ho jaye,’ Cadbury is the first brand that comes to mind.

In fact, for many Indians, the word ‘chocolate’ has been replaced by ‘Cadbury.’ Instead of asking, ‘Would you like some chocolate?’ people often say, ‘Would you like a Cadbury?’ This level of brand influence is a testament to Cadbury’s deep connection with its consumers.

Let’s dive into the Cadbury case study and explore how Cadbury has achieved this remarkable status.

About Cadbury

Source: Google

Founded in 1824 by John Cadbury in Birmingham, England, Cadbury has grown into one of the world’s largest confectionery brands. In this case study of Cadbury, we will understand how the company became the second-largest multinational confectionery company in the world after Mars. Known for its Dairy Milk chocolate, Cadbury’s mission is to spread joy through delicious treats. The brand has a rich heritage and is committed to quality, innovation, and sustainability.

Relevant Updated Statistics

Here are some of the latest statistics covered for better understanding.

• As of 2023, Cadbury’s parent company, Mondelez International, reported annual revenue of $28.7 billion [source: Mondelez International Annual Report 2023]
• Cadbury holds a market share of approximately 33% in the global chocolate confectionery market [source: Statista]
• Cadbury Dairy Milk is the leading chocolate brand in India with a 65% market share [source: Euromonitor]

As you keep reading on, you will understand how the company has set the stage for a deeper exploration in the upcoming case study of Cadbury.

What’s New With Cadbury

Here are the latest updates on Cadbury’s marketing strategy, focusing heavily on the marketing strategy of Dairy Milk to gain deeper insight into the brand.

Business News

Cadbury announced plans to invest £15 million in its UK production facilities to increase efficiency and sustainability.

Product Launch

In early 2023, Cadbury introduced a new line of plant-based chocolate bars, catering to the growing demand for vegan and dairy-free products.

Marketing News

Cadbury launched the ‘Donate Your Words’ campaign, encouraging people to engage in conversations to combat loneliness among the elderly.

Celebrity News

Cadbury partnered with British actor Idris Elba to promote its latest advertising campaign, focusing on spreading joy and kindness.

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Now, let’s move forward with our case study on Cadbury.

Source: Google

The company has evolved over the years in India and has included an array of quality products that have helped the company target loyal customers. So, let us understand its target audience by assessing it further in the coming section.

Buyer Persona

Cadbury uses this buyer persona to create marketing strategies that resonate with their audience’s motivations, interests, and pain points, ensuring their campaigns are both engaging and relevant.

Target Audience of Cadbury

To delve into the target audience details for Cadbury, we’ll focus on understanding their consumer demographics, preferences, and behaviours. Cadbury’s target audience typically includes:

Demographic Categorization

The company likes to experiment a lot when it comes to their packaging and taste. Kids are drawn to Cadbury products due to their colourful and eye-catching packaging. Wowie is such an example of this clever packaging that captivated children and drew them to the brand.

To target teenagers and young adults, Cadbury has trendy flavours and has introduced chocolates like Nutties, Silk, etc to cater for their needs and keep them glued to Cadbury.

Talking about adults and millennials, Cadbury’s exquisite range like Celebrations, Cadbury Temptations, Bournville, etc attracts this segment and satisfies their sweet cravings.

Geographic Categorization

With a stronghold in countries like the UK, Australia, India, South Africa, etc, Cadbury’s marketing strategy is to target now emerging countries like China, Poland and Brazil where the demand is rising for premium chocolates.

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Psychographic Categorisation

A key marketing strategy for Cadbury has been to link its chocolates with significant life events and celebrations, encouraging consumers to use Cadbury chocolates as a part of their festivities.

To make the brand diverse and inclusive to every customer, the brand has successfully included gluten-free and sugar-free chocolates in the marketing strategy of Cadbury like Cadbury Twirl, Bournville Orange, Creme Egg, etc to leave no stone unturned when capturing the market of chocolate lovers.

Let’s now proceed to explore the next aspect of Cadbury’s case study, that is, understanding the diverse marketing strategies employed by Cadbury to attain its profitable global position.

Cadbury’s Marketing Mix

As an iconic chocolate brand around the world, the marketing strategy of Cadbury includes a well-crafted marketing mix that assists the company in maintaining a strong brand identity, levelling up on market share and staying ahead of its competitors. Let’s understand the 4 Ps of Cadbury in detail.

Cadbury Case Study: Product

The product mix of Cadbury covers a diverse range of chocolates and other confectionery products that offer something sweet for every sweet craving. The cash cow of Cadbury, Dairy Milk holds a strong customer base and is famous for its smooth texture and super creamy taste. Let’s understand each aspect of Cadbury’s product mix in detail below:

Wide range of products: From classic to contemporary treats, Cadbury has it all. With a diverse product range, Cadbury has something or the other for each of its customers.

Signature Products: With unique products like Silk Oreo, Dairy Milk Crackle, etc, the company has unique flavours that attract consumers.

Festive and occasional delights: Gone are the days when only traditional sweets were used to celebrate any festival or joyous occasion. With the introduction of premium dry fruit chocolate boxes like the Cadbury Celebrations dry fruit range, the company has created a new category of users who can go for chocolates to celebrate auspicious occasions and milestones.

Source: Google

Continuous innovation: Even after being a prominent market leader with a good market share, the company aims to stay ahead of the game and evolve as the market demands. Cadbury has recently introduced Cadbury White Confetti, a milk chocolate for customers who prefer milk chocolates compared to cocoa chocolate bars.

Cadbury Case Study: Price

With a tempting variety of products, the company has strategically priced its chocolates. Cadbury aims to offer something to every segment of the society. The products are priced competitively and its premium range is slightly expensive to cater to its high-paying customers who are looking for luxury chocolates. Let’s get into the details:

Balanced pricing: Starting from a ₹1 Cadbury Eclairs to a premium bar of Bournville or a box of Celebrations, the company has a balanced price for all of its  products based on its production costs, market competition, and consumer preferences.

Different treats: Apart from delicious chocolates, Cadbury offers a range of cookies and beverages to cater to different segments of their customer base.

Pricing adaptation: The company evaluates its pricing strategy as and when needed. They aim to maintain the market position without making a hole in their consumers pockets.

Cadbury Case Study: Place

With a strong market hold, the company aims to provide delectable products to every nook and corner of the world. With production facilities available in countries like the UK, Poland, Russia, India, and Australia, the company focuses on maintaining the quality of the product and giving a hint of local flavours that keeps the consumers glued to the company.

Retail stops: Hands down, Cadbury has a robust network of supply systems. across retail outlets. One can easily find a bar of Cadbury chocolate in any retail outlet.

Wholesale Network: To ensure that Cadbury’s product reaches every nook and corner of the world, the company has a strong network of wholesalers who are responsible for the retailers in their area.

Direct sales: Apart from the wholesalers and retailers, the company has set up its own establishments and vending machines to serve its customers.

Cadbury Case Study: Promotion

Cadbury leaves no chance on the table when it comes to promoting its brand or being in the limelight. The company’s marketing mix uses various marketing channels like social media, public relations activities, etc, for marketing. Let’s understand each one of them in detail:

Out-of-Home Advertising: With a significant marketing budget, the company aims to be on top of consumer’s minds when they crave chocolate. To follow this, Cadbury has come up with creative ideas for promotion and uses out-of-home advertising heavily to showcase its products. You can refer to the image below for reference:

Source: Google

Use of Social Media: One of the biggest chocolate brands in the world knows how to keep up with the market. They understand the importance of an evolving marketing strategy and to maintain that, Cadbury is present on all the prominent social media platforms like Instagram, “X”, FaceBook, YouTube, etc.

Whether it’s a social media post or a TV commercial, the brand aims to build an emotional connection with its audience. Cadbury strategizes and posts creative stories about family or friends celebrating a moment of joy, festivals, togetherness, etc. Not just this, the brand focuses on UGC content and posts stories of their users. To keep up with the engagements, Cadbury conducts regular competitions on its social media where participants are rewarded with features, Cadbury goodies, discount codes, etc.

Catchy Taglines: Marketing and ad copies play a vital role in setting the tone of the brand and to reach to its target audience in India, the brand has used simple yet emotionally connecting taglines like “Kuch Meetha Hojae”, and “Mann Mein Laddoo Phoota” to trigger the emotions and create top of mind awareness about Cadbury.

Who knew Cadbury would use such an elaborate marketing strategy to solidify themselves in the market? But, this is not the case with just Cadbury. Many other companies use a variety of such strategies to create a buzz about themselves. Want to which of these companies are? Check out the business model of Ikea and the business model of Nike. I know two very different companies, but you will be surprised to know all about its workings.

Marketing Strategies of Cadbury

Cadbury employs various marketing strategies to maintain its market dominance. These include leveraging nostalgia, creating emotional connections, and focusing on seasonal and festive promotions.

Renowned for its innovation and wide varieties, Cadbury possesses everything that a brand needs to stand apart from the rest. The company’s basic marketing and brand principles are timeless yet open to new audiences.

Let’s discuss a few points related to the marketing strategies of Cadbury in detail:

Strong Positioning and Personality

Since Cadbury is one of the oldest players in the market, its iconic purple and white packaging builds a strong brand personality that helps users identify Cadbury products easily. Not just this, the brand has positioned itself as a go-to name when someone is craving sweets or just wants to celebrate some milestone. Cadbury’s marketing strategy has helped the brand imprint itself into its customer’s daily life and routine.

Product Innovation

Despite the success of products like Cadbury Perk, 5-Star, Gems, and Dairy Milk, the brand has continually explored new realms and flavours, never resting on its laurelsSome of its successful innovations include names like Cadbury Orea, Tang, etc.

Source: Google

Emotional Marketing Strategy of Cadbury

Believe it or not, the company doesn’t just sell chocolate. They market the feeling that comes with eating the bar. Here, the marketing strategies of Cadbury involve a lot of emotional connections to persuade its audience. A great example of this can be the TV commercials by the brand. One can always notice a family or a group of friends or couples enjoying and cherishing Cadbury.

Strategic Collaborations

Cadbury fully recognizes that growth requires collaboration and that one cannot achieve everything alone. To grow and capture the market, Cadbury collaborated with Kwality Walls and launched ‘Kwality Walls Oreo’ ice cream. Through this marketing strategy of dairy milk, the company was able to give customers a chance to explore a new taste and allowed both brands to introduce some freshness and form a long-lasting relationship among themselves.

Corporate Social Responsibility (CSR) activities

To enhance credibility and contribute to environmental sustainability, Cadbury’s marketing strategy included constructing reviews at multiple factory locations to conserve rainwater and replenish bore wells. Additionally, Cadbury partnered with Kerala Agricultural University for cocoa research, resulting in hybrids that boosted cocoa yields.

By taking this initiative, the company provided employment opportunities to various communities and touched the lives of thousands of farmers.

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Digital Marketing Strategies

Cadbury’s digital marketing strategy relies on a diversified approach. They excel at creating engaging content, building communities on social media, and utilising various digital tools to reach their target audience effectively.

Search Engine Optimization (SEO) Strategy

This Cadbury case study illustrates how the company strategically enhances its online presence through effective SEO practices. Beyond incorporating relevant keywords, Cadbury meticulously optimizes its website by structuring content to align with user search intents. For instance, pages dedicated to popular products like Dairy Milk or 5-Star are meticulously crafted to include keywords such as “Cadbury Dairy Milk chocolate” or “Cadbury 5-Star bar,” ensuring high visibility in search results.

Moreover, Cadbury leverages high-quality images not only to enhance user experience but also to optimize them with alt tags containing keywords related to their products. This approach not only boosts accessibility but also reinforces SEO efforts by making images searchable and indexable by search engines.

Social Media Marketing Strategy of Cadbury

Cadbury has a strong presence on major platforms like Facebook, Instagram, YouTube, etc. They customize content for every platform, acknowledging the distinct user base and demographics. The brand actively engages with followers on social media platforms by sharing festive recipes, interactive content, and updates about new product launches.
Furthermore, their social media feeds are filled with mouth-watering photos and videos of their chocolates.

They also create interactive campaigns, share behind-the-scenes glimpses, and run UGC initiatives( Content created by users online)to keep followers engaged. Cadbury actively responds to comments and messages, fostering a sense of connection and value for their customers.

E-commerce Strategy

Cadbury’s online store provides a seamless shopping experience, with easy access to a wide range of products, personalised gifts, and exclusive offers.

Mobile App

Another marketing strategy of Cadbury is building its presence with the help of a mobile app. The Cadbury Joy Deliveries app allows users to send personalised chocolate gifts and explore unique recipes, enhancing customer engagement and brand loyalty.

Influencer Marketing Strategy

Collaborating with popular food bloggers and celebrities, Cadbury leverages their reach to promote new products and engage with a broader audience.
Cadbury frequently utilises influencer partnerships for hashtag campaigns. A good example was the #HowDoYouSilk campaign for Cadbury Silk Chocolate. The brand collaborated with influencers to showcase creative ways to enjoy their product, generating user-generated content and brand awareness.

Marketing and Advertising Campaigns

Cadbury’s marketing strategy embraces variety and employs diverse approaches to connect with its audience. One of Cadbury’s most famous campaigns is the ‘Gorilla’ advert, featuring a gorilla playing the drums to Phil Collins’ song ‘In the Air Tonight.’ This campaign not only captivated audiences but also greatly increased sales and brand recognition.

Their recent ‘Donate Your Words’ campaign highlights their commitment to social causes, enhancing brand loyalty and community engagement. The “Donate Your Words” campaign was rolled out through a series of emotionally resonant advertisements and social media activations, encouraging consumers to participate actively in spreading awareness and contributing to the cause of loneliness among the elderly.

Source: Google

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Top Competitors

Cadbury, of course, isn’t the only chocolate company in the world. Naturally, they face competition from several other major players in the chocolate market.  The following case study will explore some of Cadbury’s top competitors:

Mars, Inc.

Source: Google

A powerhouse in the industry, Mars boasts iconic brands like Mars bars (known for their chewy nougat and chocolate coating), Snickers (the world’s best-selling candy bar, famous for its combination of peanuts, caramel, nougat, and milk chocolate), and M&M’s colourful candy buttons with a chocolate centre, offering a variety of flavours and textures). They cater to a broad audience with a focus on fun, energy, and satisfying snacking experiences.

Ferrero

Source: Google

This Italian company is synonymous with luxurious chocolates. Ferrero Rocher, their flagship product, features a whole hazelnut encased in a crisp wafer, coated in milk chocolate and hazelnut pieces. Nutella, their hazelnut spread, is a global phenomenon enjoyed on bread, pastries, and even straight from the jar.

Nestlé

Source: Google

A global food and beverage giant, Nestlé has a strong presence in the chocolate market. KitKat, their most recognisable chocolate, features a wafer biscuit covered in milk chocolate and comes in a variety of flavours.

Hershey’s

Source: Google

This American company is a dominant force in the US chocolate market. Their flagship product, Hershey’s Kisses, are bite-sized milk chocolate drops wrapped in silver foil. They also offer iconic brands like Reese’s (peanut butter cups in milk chocolate), Hershey’s bars (available in a variety of flavours and textures), and Jolly Rancher (hard candies with various fruit flavours).

Lindt & Sprüngli

Source: Google

A Swiss chocolatier known for its premium offerings, Lindt produces high-quality chocolate bars, truffles, and other confections. They are known for their smooth texture and use of high cocoa-content chocolate. Lindt caters to a discerning palate and targets consumers who appreciate luxury chocolate experiences.

Each of these competitors offers unique strengths that challenge Cadbury’s market share. By understanding its competitors’ strategies and target audiences, Cadbury can continue to innovate and adapt its offerings to stay ahead in the ever-evolving chocolate landscape.

Failed Campaigns

Cadbury’s ‘Unity Bar’

Source: Google

Issue

The Unity Bar was a product launched by Cadbury to promote diversity and inclusion. The idea behind the Unity Bar was to celebrate different skin tones by featuring a blend of dark, blended, and white chocolate in a single bar. However, the campaign received criticism for its perceived superficiality in addressing complex social issues. Critics and consumers felt that the campaign was performative and did not genuinely contribute to advancing diversity and inclusion.

Backlash

The backlash against the Unity Bar campaign highlighted concerns about companies using social issues as marketing tactics without substantive actions or commitments behind them. Cadbury faced negative feedback from various quarters, prompting them to acknowledge the criticism. In response, Cadbury refocused its efforts on implementing more meaningful diversity initiatives both within the company and in the broader community. This incident underscored the importance of authenticity and genuine commitment in corporate social responsibility efforts.

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