cadbury marketing case study

Marketing Strategy of Cadbury: How it has mastered the art of spreading sweetness

Learn about cadbury's iconic marketing strategy and advertising campaigns. read how cadbury aces the 4ps of marketing mix - product, price, promotion & placement..

• overview#goto" data-overview-topic-param="creating-a-chocolate-empire">Creating a chocolate empire
• overview#goto" data-overview-topic-param="the-rise-of-cadbury-house-in-india">The Rise of Cadbury House in India
• overview#goto" data-overview-topic-param="logo-the-sweet-badge-of-honour">Logo: The Sweet Badge of Honour
• overview#goto" data-overview-topic-param="target-audience">Target Audience
• overview#goto" data-overview-topic-param="marketing-mix-of-cadbury">Marketing mix of Cadbury
• overview#goto" data-overview-topic-param="strategies-that-define-cadbury">Strategies that Define Cadbury
• overview#goto" data-overview-topic-param="noteworthy-marketing-campaigns">Noteworthy Marketing Campaigns
• overview#goto" data-overview-topic-param="strategies-to-steal-from">Strategies to steal from

The British multinational confectionery Cadbury has created magnificent confectionaries for almost 200 years, making it every chocolate lover's paradise. It is owned by Mondelez International and is the second-largest confectionery brand in the world, behind Mars, followed by its nearest competitor Nestle, Ferrero, and Miji. Cadbury offers something to satiate any sweet craving, from their well-known Dairy Milk chocolates to other confectionery treats like cakes, biscuits, and beverages.

However, how does it manage to operate in over 50 countries and employ nearly 50,000 people? How did Mondelez India Foods Private Limited report a 16% year-on-year jump in FY22 revenues to ₹9,296 crore ?

Read on as we evaluate how Cadbury's marketing strategy adds a little sweetness to our lives every day.

How cocoa essence helped create a chocolate empire

A dream and a passion for chocolate marked the beginning of Cadbury's history. To create chocolate that anybody might enjoy, Quaker John Cadbury who sold tea, coffee, and drinking chocolate founded his company in Birmingham, South west England, in 1824.

Starting with a humble pestle and mortar, he ground cocoa beans to make a chocolate drink that was nothing short of heavenly. As the business grew, John Cadbury moved to a larger factory on Bridge Street and began to craft chocolate bars, marking the beginning of a chocolate revolution.

Benjamin, John's brother, soon joined the company and helped it grow by introducing new products and flavors. Cadbury company launched its first chocolate bar in 1849.

Source: Telegraph

Following the incorporation of their company as "Cadbury Brothers Limited" and the realization that business was booming, the brothers decided to build a new factory named Bournville Estate in the Birmingham suburb of Bournville in 1866 to better the lives of its employees. The factory offered housing and entertainment, ensuring that the chocolate was not only delicious but also produced ethically.

Source: Prints and ephemera

Cadbury was one of the big three British confectionery manufacturers throughout much of the 19th and 20th centuries. In 1969 Cadbury merged with Schweppes brand — an American beverage business. It was known as Cadbury Schweppes plc until 2008, only to be acquired by Kraft foods inc. in 2010. Cadbury is now owned by Mondelez International.

Cadbury has expanded over the years by buying other businesses, releasing new products, and entering new markets. Currently, it is one of the largest sectors in the global confections market and is renowned for its excellence and innovation.

In 1990, Cadbury introduced Cadbury World. It offers visitors the chance to learn about the history of Cadbury chocolate and see how it is made.

The Rise of Cadbury House in India

When Cadbury, the pride of Mondelez International, made its foray into India in 1948, it brought some sweetness to the nation by establishing its corporate headquarters in the bustling metropolis of Mumbai, Maharashtra.

Following the initial import of its well-known chocolates, Cadbury India quickly gained a monopoly in the market, with Cadbury's chocolate confectioneries portfolio accounting for an value share of 70%. Stunningly, the well-liked Dairy Milk brand alone held 40% of the whole Indian chocolate market.

As the years passed, Cadbury India's confectionery company expanded its selection of products in India by introducing several delectable Cadbury products like biscuits, candies, and beverages, solidifying its position as a household name. With Cadbury products like the beloved Cadbury Bournvita, Gems, 5-star, Eclairs, Cadbury Dairy Milk Silk, Crispello, Tang, and Oreo in addition to the traditional Dairy Milk, Cadbury has come to symbolize nostalgia for many Indians.

In 2021, the maker of Cadbury Dairy Milk reported a revenue of $1.2 billion in India. Mondelez International aims to push up India revenue to $2 billion by 2030.

Logo: The Sweet Badge of Honour

The creation of the Cadbury logo shows the company's dedication to not just producing high-quality chocolate products but also to develop a visual identity that captures its rich heritage and commitment to excellence.

The initial logo, which included a stylized representation of a cocoa tree, made a subtle reference to the company's history in the chocolate industry. But the brand's determination to stay current was evident in the more modern and abstract style that came next, being inspired by William Cadbury's sign.

Source: Logos World

The current logo uses a strong typeface against a vibrant purple background to represent the brand's simplicity, accessibility, and timelessness.

Cadbury company also released a limited-edition version of the logo in its gold form, which is only used for the priciest and most exclusive items and promotions. The conventional purple logo is no longer the only option. The golden version of the logo conveys exclusivity and elegance, elevating the already well-known Cadbury brand to new levels of sophistication. It looks like an encrusted badge of honor.

Target Audience

Cadbury's customer base is diverse, ranging from the smallest candy enthusiasts to the pickiest chocolate connoisseurs. The company's sumptuous treats, which range from conventional chocolate bars to lavish chocolate boxes, are enjoyed by people of all ages. Whether you're looking for a tasty treat to enjoy on your own or a gift to give to loved ones, Cadbury India has something to meet every occasion.

Marketing mix of Cadbury

Cadbury has a recipe for success that is as sweet as its treats. The secret ingredient? A well-crafted marketing mix that tantalizes the taste buds of chocolate lovers everywhere. From the delectable products to the irresistible prices, to the convenient distribution channels, and the alluring Cadbury promotions, Cadbury's marketing mix is a symphony of deliciousness. Each element of the Cadbury marketing mix is carefully crafted to create a cohesive and irresistible experience for the customer.

Here's a closer look at how the Cadbury marketing mix makes every day a little sweeter:

The Cadbury product collection is as diverse as a box of chocolates, offering something for every sweet tooth to enjoy. All ages can enjoy their chocolates, which range from classic Cadbury Dairy Milk bars to the decadent delight of Creme Eggs. They also provide a vast variety of candies, gum, and pastries that will take you on a sweet experience.

The broad product list includes several Cadbury items, such as Bournville, Bournvita, Tang, Crunchie, Cadbury Dairy Milk, Dairy Milk Fruit & Nut, Caramel, Cadbury Five Star, Cadbury Dairy Milk Silk,Perk, BournVita, Bytes, Oreo, Crispello, Eclairs, etc which gives a unique take on the original Cadbury flavor.

Source: Cadbury

Want to reward yourself with a holiday treat? Cadbury India has you covered with special chocolate gifts that are suitable for any occasion, including Cadbury Celebration boxes for Diwali and Rakshabandhan, Easter eggs, Christmas selection boxes, and more.

Cadbury's product mix provides a range of options tailored to different market segments, making it a veritable gold mine of delectable treats just waiting to be discovered. Mondelez India expanded its Choco-bakery segment recently with its chocobake cookies.

Source: Instagram

Cadbury India offers a tempting selection of goods at various pricing points. Cadbury's pricing strategy is a delicate dance between production costs, market competitiveness, and consumer desire. It offers everything from affordable, mass-market options to luxury experiences.

While the business's more luxury products, like gift boxes and expensive dark chocolate bars like Bournville or Cadbury temptations, Cadbury Dairy Milk Silk tempts those looking to indulge. Its primary range of chocolate confectionery like Eclairs, Cadbury dairy milk, and 5-Star fulfills the sweet tooth of customers on a modest budget. But that is not the end of Cadbury's mouthwatering symphony. In addition, a wide selection of expertly made cookies treats, and beverages are offered, satisfying a range of tastes and preferences.

Each Cadbury product, including Bournvita, Tang, Oreo, Dairy Milk Silk, and Dairy Milk chocolate, offers a distinctive flavor sensation at a price that has been carefully matched to the target consumer and the product's ingredients.

Cadbury India constantly evaluates its pricing strategy to make sure it keeps its position as the market leader in the chocolate confectionery business while also remaining competitive, which results in every piece of chocolate being delectable and fulfilling.

By cleverly designing a global distribution strategy, Cadbury ensures that its delicious chocolate delicacies are available in every corner of the globe — urban and rural areas. The company's primary markets include the UK, Ireland, Canada, India, Australia, New Zealand, South Africa, and a few Caribbean countries, but thanks to outposts set up there through subsidiaries and licenses, its reach extends well beyond these borders.

The corporation has production facilities in several countries, including the UK, Poland, Russia, India, and Australia. In India, it has manufacturing facilities in Thane, Induri (Pune) and Malanpur (Gwalior), Hyderabad, Bangalore, and Baddi (Himachal Pradesh) and sales offices in New Delhi, Mumbai, Kolkata, and Chennai.

The products of the corporation have a distinct flavor because of each of their preferences.

Retail locations

Cadbury chocolate bars are available in almost all supermarkets, corner shops, and grocers.

Source: Economic Times

Online Sales

Cadbury products are freely accessible on their website and other e-commerce sites for individuals who prefer the convenience of online shopping.

To ensure that its chocolate bars reach every nook and crevice of the market, Cadbury India also makes its products available to wholesalers and distributors, who serve as the industry's gatekeepers.

Direct sales

Cadbury products are also offered through company-owned establishments and vending machines for individuals who enjoy a decent vending machine experience.

Cadbury ships its goods to a large number of nations to make sure that everyone can enjoy a taste of Cadbury chocolate wherever they may be.

The distribution strategy used by Cadbury is a smart mix of many outlets. The brand stands out and establishes itself as a true worldwide leader in the sector thanks to its constant dedication to making its chocolates accessible to chocolate lovers from urban and rural areas.

As innovative as Cadbury's selection of chocolate flavors is, so to is Cadbury's marketing strategy. To make sure that everyone is continually thinking about their delicious treats, Cadbury India uses a variety of strategies from online to offline campaigns.

Advertising

Cadbury uses a range of advertising techniques to spread the word about its products. They ensure that their chocolate is always in the spotlight by featuring their recognizable Dairy Milk bars in print and television promotions.

Source: Business Insider India

They also take advantage of internet channels to attract younger clients and create a sense of brand community. One successful example is Cadbury's "Tastes Like This Feels" campaign, which used heartwarming commercials to show how chocolate can bring people together to create an emotional connection with consumers.

Public relations

Cadbury uses PR to generate positive press and bolster their brand. To develop their brand and establish relationships with their target demographic, they have sponsored events such as music festivals, sporting competitions, and philanthropic endeavors.

Runners received free chocolate bars as part of Cadbury's partnership with the London Marathon to create positive buzz and boost brand loyalty while Cadbury Fuse served as the 2023 Tata Mumbai Marathon's official snacking partner.

Source: SportsMintMedia

Sales Promotion

Cadbury uses a range of sales promotion strategies, such as discounts, coupons, and competitions, to increase sales and entice new customers. They have developed programs, such as "Buy one, get one free" and "Win a vacation to Cadbury World," to tempt customers to indulge in several chocolate sweets.

Social media marketing

The biggest chocolate manufacturer in the world, Cadbury, is aware that the secret to their success on social media is providing a delectable and entertaining experience for their audience. On a variety of social media platforms, such as Facebook, Twitter, Instagram, and YouTube, they post enticing images and videos of their delectable chocolates.

By introducing new products made of chocolate, running contests, and hosting promotions, Cadbury keeps their customers yearning for more.

But Cadbury goes above and beyond with their social media approach to foster a sense of community around their brand in addition to just selling chocolate. They ensure that their clients feel like they are a part of the Cadbury family by responding to comments and messages and conducting interactive initiatives.

Cadbury's social media marketing ensures that engagement and excitement are maintained year-round for both the brand and its followers. Apart from other social media platforms, YouTube Channel —YouTube Cadbury India is the primary medium for executing marketing campaigns.

However virtual presence is one of the pain points Cadbury India needs to work on to stay ahead of the competition.

Strategies that Define Cadbury

Cadbury, the chocolate connoisseur, has a recipe for success that is as rich and diverse as the chocolate varieties it offers. With a strong sense of brand identity, innovative product development , and great emotive marketing, Cadbury possesses all the elements needed for a successful strategy. What sets Cadbury apart, though, is its ability to forge partnerships that give its marketing strategy a competitive edge.

Strong brand identity

Cadbury's famous purple and white logo represents taste and quality. Chocolate lovers have grown to appreciate and believe in this indulgence promise.

Innovative product development

Cadbury's R&D team is similar to Willy Wonka's chocolate factory in that it constantly tries out new flavors and packaging to create a unique and exciting chocolate experience.

Emotional marketing

Cadbury understands that chocolate is more than just a treat; it's an experience. Cadbury has been able to connect with customers on a deeper level through storytelling and emotional appeal, resulting in loyal fans.

CSR (Corporate Social Responsibility)

Cadbury is conscious of the luxury and responsibility that comes with managing a responsible business. Due to its efforts in sustainable and fair trade, Cadbury has been able to build a strong reputation and form stronger relationships with its customers.

Partnership

Cadbury is aware that success involves more than just one person—it demands a team. Through partnerships with other businesses, Cadbury India has been able to access a larger market and provide consumers with unique and fascinating chocolate experiences. Cadbury partnered with an NGO & the Zee Network to say thanks to the unsung heroes of the lockdown. Cadbury India also partnered with Reliance jio to launch an initiative called ' The Wrapper That Gives .' It also has partnered with Hindustan Unilever Limited.

Marketing Campaigns that helped Cadbury become a part of Indian audiences' celebrations:

Since its debut television advertisement in 1955 to the prized Grand Prix Lion winner for its famous Gorilla campaign at the 2008 Cannes International Festival of Creativity, Cadbury has been known for its meticulously produced and emotionally stirring marketing campaigns. Each advertisement is carefully designed to increase sales and solidify Cadbury's reputation among customers.

Here are successful Marketing campaigns of Cadbury India's from Kuch meetha ho jaaye to Kiss Me jingle.

Kuch Meetha Ho Jaaye" Cadbury marketing campaign

To capitalize on people's craving for sweet moments and festivities, Cadbury India's 2017 "Kuch Meetha Ho Jaaye" campaign used a subtly effective call to action. The lovely campaign successfully combined indulgence, celebration, and the emotive power of sweets to deliver a strong and enduring brand message.

Source: Facebook

Cadbury India did this by combining television advertisements, digital marketing, and carefully chosen promotions and events. It emphasized the emotional connection customers have with Cadbury products, making them the go-to option for satiating sweet cravings. It also highlighted how versatile Cadbury's products are in elevating special occasions, from small events to festivals.

How Far Will You Go for Love

2010 saw the premiere of Cadbury India's "How Far Will You Go For Love" campaign. This astute dairy milk campaign aimed at appealing to the core of human emotions. It challenges consumers to think about the lengths they would go to display their love for others and portrays Cadbury's chocolate goods as potent expressions of devotion through moving advertising, events, and promotions.

To create a strong and durable brand message that engages clients emotionally, the campaign, which was specifically created for millennials, combines nostalgia, romanticism, and longing. It is endorsed by Kartik Aryan, a well-known figure in the young culture, and uses the hashtag #PopYourHeartOut.

Kuch khaas hain Zindagi Mein

When Cadbury launched this ad campaign back in the 90s, it was nothing short of revolutionary. Picture it: A cricket match, a player smashes the ball out of the park, and in that moment of pure elation, a young woman breaks out into an impromptu dance, chocolate bar in hand. It was a scene that shattered stereotypes and defined a new era of chocolate appreciation.

Source: Exchange4media

The lovely campaign was such a hit that Cadbury recently brought it back to life, this time with a twist. A female cricketer hits a six, and a male spectator runs onto the field, dancing with joy. And all the while, the iconic slogan "Kuchh Khaas Hai Zindagi Mein" plays in the background, perfectly capturing the unrestrained love and joy of the moment. This ad campaign by Cadbury India was a game-changer, a true masterpiece of advertising.

Cadbury's Oreo Biscuit: Stay Playful at Home

Amid the Covid-19 pandemic's volatile environment, Cadbury's Oreo India Marketing campaign provided a different and welcome perspective. The campaign's slogan was "Make Way for Play," and its target audience was young children. The message of being safe and at home, which was expertly timed and meticulously planned, provided a sense of optimism and hope during a difficult period.

Source: Digitas

Cadbury Dairy Milk Campaign: Kiss Me Jingle

Advertising jingles have the potential to be a potent instrument for deeply ingraining a brand in consumers' minds when used well. Cadbury brand has provided an instance of this strategy with its enduring and alluring "Kiss Me" jingle. A marketing campaign for the delectable Cadbury Dairy Milk Silk chocolate initially featured a catchy melody.

Since then, it has grown to be identified with the business and has made countless additional appearances in ads. Due to the song and the marketing campaign, Dairy Milk Silk chocolate gained a lot of popularity, and its allure has persisted throughout time.

Strategies to steal from Marketing Strategy of Cadbury:

Here are some major takeaways marketers and business owners can have from the Cadbury marketing strategy:

A brand that warms the heart

The major objective of the Cadbury marketing strategy is to establish a strong emotional bond with its customers. They are adept at using alliances, sponsorships, and focused advertising to make their brand appear like a cozy embrace on a frigid day. Developing strong emotional bonds with clients could be a very successful strategy for boosting brand awareness and loyalty.

A taste of the immersive

Cadbury uses experiential marketing to provide its customers with a first-hand encounter with the brand. Through the immersive experiences they provide, customers can engage with the business uniquely and memorably. Experiential marketing strategy can create original and memorable brand experiences for customers.

A buffet of sweet treats

Cadbury's product mix is as diverse as a box of chocolates, with something for every sweet tooth. From classic Dairy Milk bars to the gooey, delicious goodness of Creme Eggs, they cater to all tastes. Offering a diversified product mix can help to cater to different consumer preferences and tastes, increasing sales and market share.

Pricing that's just right

Cadbury has a dynamic pricing strategy that is tailored to different market segments. They provide a combination of skimming, penetration , price discrimination, and bundle pricing to make sure that everyone can indulge in their delectable pleasures. A dynamic pricing approach might help you reach out to different market segments while remaining profitable.

Always within reach

Because of the company's extensive network of distribution channels, which is as extensive as its chocolate bars, Cadbury chocolate is always readily accessible. Retail establishments, online sales, wholesale, direct sales, and export are all ways to get products. Having a wide distribution network can increase the availability of products and make it more convenient for customers to purchase.

Promotion that's hard to resist

Cadbury's marketing strategy is equally inventive as its variety of chocolate flavors. They employ different marketing strategies, such as direct marketing, personal selling, sales promotion planning, marketing campaigns, and public relations, to make sure that everyone is constantly thinking about their delectable delights. Brands may raise their awareness and boost sales by developing innovative and captivating promotion techniques.

Quality and innovation at the core

Cadbury's marketing and product activities reflect the excellence and innovation for which the company is renowned. This is evident in their commitment to using products from ethical and sustainable sources, as well as in their constant introduction of fresh goods and flavors. Setting innovation and quality as top priorities can help a business stand out from the competition and earn a reputation for excellence.

In closing, the best way to describe Cadbury's marketing strategy is as a masterful blend of brand development, nostalgia, and innovation. Cadbury has been effective in building familiarity and trust with its target audience by leveraging the power of indulgence and commercial themes that evoke nostalgia.

The strategic partnerships that Cadbury has developed with important parties, like suppliers and retailers, have helped to strengthen its position as the market leader in the global confectionery industry. The Cadbury marketing strategy is a fascinating case study for the marketing sector because of the convergence of all these factors. To get your foot in the snacking market you can also go through Dunkin Donuts marketing strategy.

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Case Study On Cadbury’s Digital Marketing Strategies [Download PDF]

• November 23, 2022

Table of Contents

Did you know that Cadbury initially sold drinking chocolate and labelled itself a healthy drink? This was way back in 1824, and well, fast forward to 2022. All we can think of when one says chocolate is Cadbury. What happened between these years (or centuries) is a testament to how Cadbury jumped on every opportunity and established its brand name worldwide.

To sell really tasty chocolate isn’t that difficult, but to sell it as Cadbury does, is something to learn from! This blog will discuss how Cadbury used the digital platform for branding and earned a name for itself amongst the competition. 

Let’s first understand more about Cadbury’s digital marketing strategies;

About Cadbury

Cadbury built its very first manufacturing unit in India in 1948. They now have a total of five manufacturing units and one cocoa operation across India. The market share of Cadbury India is around 70%, which is the highest in the world. India’s favourite chocolate, Cadbury Dairy Milk, is a benchmark for all the other chocolates. These are some of Cadbury’s products:

• Celebrations

Beverages: Cadbury Bournvita

View this post on Instagram A post shared by Cadbury Bournvita (@cadburybournvita)

Oreo Biscuits

You can play with Oreo Biscuits also, just like her 😉

Since 1965, Cadbury has been leading the cocoa cultivation development. This is with regard to their collaboration with the Kerela Agricultural University and their constant training sessions with cocoa farmers on its cultivation.

Why Should Marketers Study Cadbury’s Digital Marketing Strategies?

Marketers must study Cadbury’s digital marketing strategies because they can get inspired by them and try to implement some of those strategies for their brands. Here are four of the many things marketers can learn from Cadbury: 

1. Use Brand Name to Increase Visibility.

The Cadbury logo is always displayed on all its products, ensuring customers know who made their favourite chocolate bars.

When was the last time you heard “Nestlé Kit Kat” mentioned?

Did you hear about Cadbury Dairy Milk Silk before?

Almost certainly never. When compared to the way Cadbury chocolate is marketed, “Cadbury’s Crème Egg,” “Cadbury’s Roses,” and, of course, “Cadbury’s Dairy Milk” seems a lot more natural because that is how we are familiar with them. In this way, Cadbury’s chocolate is instantly recognisable. You can use your brand name, too, to make your product more identifiable.

2. Consistency

Just in the UK, Cadbury sells over 276 goods, including bars, bags, ice creams, desserts, biscuits, travel exclusives, spreads, beverages, food products, and seasonal products for Christmas, Easter, and Halloween.

Despite having such varied products, Cadbury develops products that are consistent with their brand – nothing seems out of place or as if it were made by someone else. As a result, when consumers desire a Cadbury product, they know what to look for and what to expect when they get it.

3. A Style Guide

Every page should be consistent, according to a basic rule of web design. Suppose certain pages on your website have a completely different layout, typeface, or colour scheme than others. In that case, the consumer may become confused and believe they’ve left your site and landed on another.

To promote exposure and familiarity, a great brand requires consistency. This implies that your name, logo, colours, tone of voice in your writing, and other branding elements should be consistent across your website, social media pages, email newsletters, and physical marketing materials. If you’re launching a new product, pay attention to how you show it online and advertise it to your target audience.

4. Adapting to Changes

Cadbury continues to update its product offering to keep up with the newest consumer trends and adapt to its changing market, as evidenced by its extensive product range. With 538 abandoned goods, the firm knows when to retire a product that isn’t profitable enough and when to attempt something new.

Cadbury, for example, will produce Dairy Milk chocolate with 30% less sugar next year, maybe because people are more concerned about living a better lifestyle than ever. But, through it all, it knows how to maintain its brand despite product and market changes.

The same rationale can be applied to your marketing strategies. Whether it’s a new social networking platform or Google making adjustments to AdWords (or as it’s now known, Google Ads), the internet marketing landscape is continuously shifting. The most important thing for marketers to do is to assess these developments and efficiently adjust to them without losing sight of their brand.

Determine whether you should attempt a new social media platform, establish a new ad campaign, or send out a series of mailshots. But remember what your brand is, how you want to be perceived, your objective, and who you’re aiming for when you do.

Cadbury’s Digital Marketing Strategies 

1. cadbury’s social media marketing strategies & case study.

Cadbury entered the social media realm with the intent to revolutionize its marketing strategies and step back from Television and other traditional forms of advertising. Here is how they are currently performing on different social media platforms: 

Cadbury’s Instagram Marketing Strategies

Cadbury has different Instagram accounts for each of its products. This allows them to keep their marketing more focused on that particular product and adhere to the audience consuming it. Each account has different content, colour themes, and overall presentation.

Here is the follower count of Cadbury’s most famous products (as of November 2022):

Each of these brands post content that is specialized to their own product. BournVita recently ran a campaign with the saying “Maa Kabhi retired nahi hoti” on their Instagram page. This goes well with their brand language since BournVita’s TV ad focuses on the relationship between a child and their mother. Hence, even across different platforms, their brand image stays the same.

On the other hand, Dairy Milk’s Instagram page is filled with posts related to IPL since they sponsor the ground staff in IPL. 

View this post on Instagram A post shared by Cadbury Dairy Milk (@cadburydairymilkin)

Cadbury’s Instagram Analytics

Cadbury Dairy Milk is very active on Instagram space. The Instagram handle was created in 2016, and they are getting quite a good traction on the handle, as they use it to post updates, collaborations, and upcoming products there and interact with their audience. To date, they have around 254k followers and still growing.

Cadbury’s Facebook Marketing Strategies 

Cadbury also uses Facebook to publish similar content as Instagram for their Facebook audience. They have a much larger follower on each account on Facebook. 

Cadbury used Facebook to follow up on the 30-second television advertisement they published using the saas-bahu duo. This campaign was to brand their product, “Dairy Milk”, to build friendships and other relationships. They aimed to catch the sentiments of the otherwise negative duo, mother-in-law and daughter-in-law, and show them in a more loving and positive light. This proved to be successful because Cadbury could connect with their audience and make them emotional. 

According to a study by Medium , these were the following trends they experienced after their campaign on Facebook:

• There was a 5.8% increase in top-of-mind awareness.
• Facebook is alone responsible for a 5.1% boost in brand consideration.
• 5.7% increase in TV reach
• Increase of 8.1% in the number of people who watch light television.
• Increase of 2.8% in spontaneous awareness
• Tenfold increase in Facebook ad spend

Cadbury’s YouTube Marketing Strategies:

Unlike Instagram and Facebook, where Cadbury has different profiles for different products, Cadbury has only one channel on YouTube, with different sections for “Seasonal,” “Flavours,” and “Marvellous creations.” Cadbury has over 548K YouTube subscribers. They also use “YouTube Shorts,” YouTube’s most recent feature, to post short videos within 30 seconds. 

Cadbury’s Youtube Engagement Rate

Cadbury’s YouTube engagement rate is 0.67%. They receive an average of 262 likes per post .

Cadbury’s Twitter Marketing Strategies

Cadbury also has separate accounts for its different products on Twitter. 

Cadbury Dairy Milk’s Twitter account is currently occupied by content about the ongoing IPL 2022. Similar to its Facebook and Instagram accounts, Cadbury Dairy Milk’s Twitter is occupied by content about its sponsorship of the ground staff. Cadbury has a strong social media presence, particularly on Twitter. Customers are kept engaged on Twitter by posting on a regular basis. Although there is much-repeated information across platforms and pages, this is understandable because it broadens the audience’s reach.

Cadbury’s key strength is its ability to engage its followers on social media since they are quite good at responding to customer comments and inquiries. This good aspect of the organisation aids in developing a welcoming and accepting brand image.

2. Cadbury’s SEO Strategies

Cadbury India has a gifting website where people can customise their chocolates for gifting purposes and place an order for the same. According to SEMRush, here’s an overview of how their domain is performing:

Cadbury’s organic keywords include

• Cadbury India
• Lumba rakhi
• Cadbury celebrations
• Cadbury happy birthday, and
• Dairy milk silk,

However, Cadbury does not have a website with the same name as its domain. Mondelez International, its parent firm, only has a section dedicated to it. The website must also be optimised in order to appear first on Google’s Search Engine Results Page (SERP).

Popular companies like Dairy Milk and Oreo do not have their own websites. A distinct website for the brand allows individuals to learn more about the products while also increasing transparency between the company and its customers.

Case study of Cadbury’s Top Digital Marketing Campaigns: 

1. 5 stars everywhere – a cadbury 5 star campaign.

The smart move of Cadbury definitely makes a mark on history & its audience’s hearts and minds. That’s the plan, right? Every time you rate anything you remember, Cadbury is there.

“When you #DoNothing and the entire world does your work for you. #5StarsEverywhere #Cadbury5Star ,” that’s the campaign.

2. Stay Home Stay Safe: At Home with Oreo – A Cadbury Oreo Campaign

Oreo, a Cadbury cookie brand, has produced a clever commercial corresponding to the pandemic situation: staying at home. Oreo debuted the #AtHomewithOreo campaign, which is aimed at youngsters. In these uncertain times, the campaign urges children to be playful. “Make Way For Play ” is the campaign’s slogan. Isn’t it an excellent use of the current situation?

3. How Far Will You Go For Love? – A Dairy Milk Campaign

Cadbury Dairy Milk Silk is marketed primarily to millennials. On the other hand, Dairy Milk Silk has proven to be a favourite among youngsters, and launching this promotion for Valentine’s Day was a fantastic decision!

The campaign’s theme was simple: “How far will you go for love on Valentine’s Day?” with the hashtag #PopYourHeartOut. Kartik Aryan, a well-known actor and youth hero, was also enlisted to help promote the ad.

4. Kuch Meetha Ho Jaaye – A Dairy Milk Campaign

People in India highly value rituals and traditions, especially when embarking on a new endeavour on an auspicious occasion. Cadbury Dairy Milk launched the “Kuch Meetha Ho Jaaye” campaign, in which Cadbury India positioned Dairy Milk as a treat that could be enjoyed during joyous occasions in our lives.

Cadbury India demonstrated individuals of all ages sharing big and small life experiences, interacting with others, and making great occasions even more memorable with Cadbury Dairy Milk. The campaign is still remembered fondly, and Amitabh Bachchan, the great Indian actor, previously endorsed it.

As you can see, Cadbury has seeped into the digital world to showcase its products and spread the word about its brand. You can enrol in the best online digital marketing course if you wish to build amazing digital marketing approaches for your company. This course is for students who want to learn everything there is to know about digital marketing and how to use it to grow their businesses.

Are you prepared to take your company’s image to new heights? Now is the best time to take our free digital marketing course !

Which was your favourite campaign by Cadbury? Please share your thoughts in the comment section below.

Written By Digital Scholar

Digital Scholar is a premier agency-styled digital marketing institute in India. Which offers an online digital marketing course and a free digital marketing course worldwide to elevate their digital skills and become industry experts. Digital Scholar is headed by Sorav Jain and co-founder Rishi Jain, who are pioneers in the field of digital marketing. Digital Scholar’s blogs touch upon numerous aspects of digital marketing and help you get intensive ideas of different domains of digital marketing.

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Cadbury's Marketing Strategies: Creating Moments of Joy

Apoorva Bajj , Archana Karthikeyan

Cadbury, the world-renowned chocolatier, has a sweet story that started way back in 1824. The company was founded by John Cadbury, a visionary entrepreneur who had a passion for making chocolate. Initially, Cadbury started off as a small family-run business, selling tea and coffee in Birmingham, UK. However, it was the company’s chocolate that truly set it apart.

Cadbury’s first chocolate bar was produced in 1849, and it quickly became a hit among chocolate lovers. Over the years, the company continued to innovate and expand its product line, introducing new flavors and packaging options. Today, Cadbury is a household name and is recognized as one of the world’s most iconic chocolate brands.

With over 200 years of history, Cadbury has achieved some impressive milestones. In 2019, the company’s global net sales amounted to a staggering $13.9 billion. The brand also has a significant market share in several countries, including the UK, Australia, India, and South Africa.

Cadbury’s success can be attributed to its innovative marketing strategies. From its iconic “ Cadbury Dairy Milk ” campaign to its recent “ Free the Joy ” campaign, the company has always been at the forefront of creative and engaging marketing. Cadbury’s advertising campaigns have become a part of popular culture, with many of its commercials becoming viral sensations.

Cadbury continues to dominate the global chocolate market. With a wide range of products that cater to different tastes and preferences, the company has something for everyone. Its commitment to quality and innovation has helped it maintain its position as one of the world’s top chocolate brands. It is a true testament to the power of a great brand and the importance of effective marketing strategies.

Cadbury - Target Audience Cadbury - Marketing Mix Cadbury - Marketing Campaigns Cadbury - Marketing Strategies

Cadbury - Target Audience

Cadbury has a target audience that spans across all ages and demographics. The brand has a broad appeal and is loved by people from all walks of life. However, the company has identified specific target markets based on demographic, geographic, and psychographic factors.

Demographically, Cadbury’s target audience includes children, teenagers, adults, and seniors. Children are drawn to Cadbury’s fun and colorful packaging, while teenagers and young adults appreciate the brand’s trendy and innovative products. Adults and seniors, on the other hand, have a long-standing love affair with Cadbury’s classic chocolates.

Geographically, Cadbury’s target audience is spread across the globe. The brand has a strong presence in the UK, Australia, India, South Africa, and other countries where it is a household name. Cadbury also targets emerging markets, such as China and Brazil, where there is a growing demand for premium chocolate products.

Psychographically, Cadbury’s target audience is characterized by their love of indulgence, joy, and celebration. Cadbury’s products are often associated with special occasions, such as Easter and Christmas, and are seen as a way to celebrate and share joy with loved ones.

Cadbury also targets specific consumer groups, such as health-conscious individuals and those with dietary restrictions. The company has introduced several products that cater to these consumers, including low-sugar and gluten-free options.

Cadbury’s target audience is diverse and inclusive , with something for everyone. The brand’s ability to appeal to different age groups, geographic regions, and consumer groups is a testament to its strong brand equity and innovative marketing strategies.

Cadbury - Marketing Mix

Cadbury, the iconic chocolate brand, has built its reputation on a powerful marketing mix that combines the four Ps: product, price, place, and promotion. This mix has helped the company to develop a strong brand identity, increase its market share, and maintain its position as a leader in the global chocolate industry.

Cadbury’s product mix includes a range of chocolates, sweets, and other confectionery products that cater to different tastes and preferences. The flagship product is its Dairy Milk chocolate, which is known for its smooth texture and rich, creamy taste. In addition to its classic offerings, Cadbury has also introduced several innovative products, such as its Creme egg and Oreo chocolates , that have become fan favorites.

Cadbury’s pricing strategy is focused on offering an affordable luxury to its consumers. The chocolates are priced competitively, making them accessible to a wide range of consumers. Cadbury also offers premium products, such as its luxury boxed chocolates, which are priced higher to cater to consumers who are willing to pay more for high-quality confectionery products.

Cadbury’s place strategy involves making its products available in a wide range of locations, from supermarkets and convenience stores to online retailers. The company has a strong distribution network that allows its products to reach consumers in all corners of the world. Cadbury has a significant presence in emerging markets, where it has invested in building local production facilities to cater to local tastes and preferences.

Cadbury’s promotional strategy is focused on creating a strong emotional connection with its consumers. The company’s advertising campaigns are known for their creativity and innovation, often featuring heartwarming stories that celebrate joy, love, and togetherness. Cadbury also engages with its consumers through social media, where it encourages them to share their own experiences and stories with the brand.

Cadbury’s marketing mix is a powerful combination of product, price, place, and promotion that has helped the company to build a strong brand identity and maintain its position as a leader in the global chocolate industry. The company’s focus on innovation, quality, and emotional connection with its consumers has enabled it to remain relevant and successful in an increasingly competitive marketplace. With its iconic products, affordable pricing, wide distribution network, and engaging marketing campaigns, Cadbury is poised to continue delighting consumers for years to come.

Cadbury - Marketing Campaigns

Cadbury is renowned for its innovative and engaging marketing campaigns that have captured the hearts of consumers around the world. Here are some of the top marketing campaigns that have helped to establish Cadbury as a leading brand in the confectionery industry.

“Gorilla” Campaign

In 2007, Cadbury launched its iconic “Gorilla” campaign, which featured a gorilla playing the drums along to the Phil Collins song “In the Air Tonight”. The campaign was a huge success, winning numerous awards and generating widespread media coverage. The campaign was praised for its creativity and emotional resonance, as the gorilla represented the joy and excitement that consumers experience when they eat Cadbury chocolate.

“Joyville” Campaign

The “Joyville” campaign, which launched in 2012, was designed to create a magical and fantastical world that was associated with Cadbury chocolate. The campaign featured a fictional town called Joyville, where Cadbury Chocolate was produced and distributed. The campaign was a huge success, with Cadbury sales increasing significantly in the months following its launch.

“Cadvent” Campaign

The “Cadvent” campaign is a holiday-themed campaign that Cadbury runs every year in the lead-up to Christmas. The campaign features a series of short videos that are released daily in the run-up to Christmas Day, each one showcasing a different Cadbury product. The videos are designed to create a sense of excitement and anticipation, with consumers eagerly anticipating each day’s release.

“Egg ‘n’ Spoon” Campaign

The campaign was launched in 2014 to promote Cadbury’s new Egg ‘n’ Spoon chocolate product. The campaign featured a series of whimsical animated videos that showcased the unique features of the product, which included a chocolate egg that contained a creamy mousse filling. The campaign was a huge success, with the Egg ‘n’ Spoon product quickly becoming a fan favorite.

Cadbury has a long history of creating innovative and engaging marketing campaigns that have helped to establish the brand as a leader in the confectionery industry. These campaigns have captured the hearts of consumers around the world and helped to establish Cadbury as a beloved and trusted brand.

Cadbury - Marketing Strategies

Cadbury is a globally recognized chocolate brand that has been in the business for over a century. With an impressive lineup of products and a strong brand identity, Cadbury has remained a fan favorite across generations. However, the success of Cadbury isn’t just a result of its delicious chocolates. Over the years, the company has implemented several successful marketing strategies to engage with its audience and build its brand. Here are the top marketing strategies Cadbury has used to achieve its success.

• Storytelling

Cadbury’s marketing campaigns are known for their ability to tell captivating stories that engage the audience emotionally. From the iconic “Gorilla” campaign to the “Joyville” campaign , the company’s ads have managed to create an emotional connection with its audience that goes beyond its products.

• Product Innovation

Cadbury has always been at the forefront of product innovation . The company has managed to stay relevant by introducing new flavors, shapes, and packaging designs that cater to the changing tastes of its audience.

• Limited Edition Products

Cadbury has a knack for creating a sense of urgency among its audience through the introduction of limited edition products. This approach drives sales and creates hype around its brand.

• Digital Marketing

Cadbury has a strong presence on digital platforms, which it uses to engage with its audience effectively. From social media campaigns to viral videos, Cadbury has created a significant online presence for its brand.

• Brand Partnerships

Cadbury has managed to create successful partnerships with other brands and events. For instance, the company partnered with the 2012 London Olympics , and the Premier League to promote its brand and products.

• Charitable Activities

Cadbury has engaged in several charitable activities, which have helped to build a positive reputation for the brand. For instance, the company partnered with Age UK to help tackle loneliness among the elderly.

• Local Marketing

Cadbury has also used local marketing strategies to target specific regions and audiences. The company has developed products that cater to the taste of people in specific regions, and its marketing campaigns have incorporated local culture and themes to create a more targeted approach.

• Emotionally Resonant Advertising

Cadbury’s advertising campaigns are known for their emotional resonance, using heartwarming stories and relatable scenarios to connect with consumers on a deeper level.

• Creative Packaging

Cadbury’s packaging is instantly recognizable, featuring its signature purple color and iconic logo. The company has also introduced creative packaging designs , such as its Easter egg packaging that transforms into a treasure chest.

• Seasonal Campaigns

Cadbury’s seasonal campaigns, such as its Christmas “Cadvent” campaign , create a sense of anticipation and excitement among consumers, driving sales during key periods.

• Social Media Engagement

Cadbury actively engages with its consumers on social media, encouraging them to share their experiences and stories with the brand and building a sense of community around the Cadbury brand.

Cadbury’s marketing strategies have been nothing short of exemplary. From their innovative product designs to their engaging storytelling campaigns, Cadbury has successfully built a strong brand identity that resonates with its audience. By leveraging digital marketing, local marketing, and brand partnerships, the company has managed to stay relevant and adapt to changing trends in the industry.

Furthermore, by taking a holistic approach to marketing, businesses can create a consistent and unified brand image that extends beyond their products. Cadbury’s success serves as a testament to the power of effective marketing strategies, and there is much to be gained by studying their approach and incorporating it into your own marketing efforts.

Cadbury’s marketing strategies offer valuable insights and inspiration for businesses looking to build a strong brand and engage with their audience effectively. By taking cues from their success, businesses can develop marketing strategies that resonate with their audience and stand the test of time.

What is the target audience of Cadbury?

Cadbury has a target audience that spans across all ages and demographics. The brand has a broad appeal and is loved by people from all walks of life. Cadbury’s target audience includes children, teenagers, adults, and seniors.

What are the main marketing strategies that Cadbury has used to achieve its success?

Here are the main marketing strategies used by Cadbury -

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Neuromarketing

Neuromarketing – the marketing case-study to centuries of monopoly.

Cadbury: Simply Marketing or Neuromarketing Case-Study?

We have several reasons to have a clear winner for this question: Marketing or Neuromarketing Case-Study? Neuromarketing has proved its value a countless number of times, playing a pivotal role in turning companies into Ace companies. 

We’re about to study neuromarketing through one of the most iconic and loved brands of all time, wherein ‘all-time’ literally means over a century! 

Cadbury – The Confectionery that Rules

• Cadbury owner Mondelez UK reported a profit of more than 185 million pounds after it bought out Cadbury. 
• Mondelez UK, a subsidiary of US giant Mondelez International, recorded a 740% jump in profit for the year with turnover rising from 1.65 billion pounds to 1.66 billion pounds. 

The confectionery business is expanding as you read this. Cadbury was founded in 1824, initially selling tea and coffee but later switching to chocolates, biscuits, and other products.

Cadbury has had fierce competition such as Hershey’s, Mars, Nestle, etc. which are among the biggest confectioneries in the world. Despite that, it has managed to stay in business despite initial fluctuations, which were before Dairy Milk entered the scene. 

But the fluctuations stopped, and we all know who it owes its splendid success to! 

Cadbury Dairy Milk – The Trump Card

350 million bars of Cadbury’s Dairy Milk is sold every year – that’s almost a million a day!

Cadbury’s Dairy Milk was first introduced in 1905, mainly to compete with Swiss chocolates. But it has managed to do much more than that, thanks to Neuromarketing. 

Let’s see some of Cadbury Dairy Milk’s amazing Neuro-moves! 

Emotional Branding

The term Emotional Branding is quite famous in the neuromarketing world, and it means, appealing to the target audience through emotion and sentiment. 

This feature is distinctly found in almost every Cadbury advertisement. 

For instance, Cadbury Dairy Milk Celebrations have a series of beautiful ads that show families celebrating different festivals, depicting Cadbury Celebrations as the perfect gift to rejoice and cherish celebrations. 

The most heart melting ads are the ones that revolve around a child’s pure love and innocence. 

For instance, in one of such Dairy Milk ads, a cute little girl asks a shopkeeper for a Dairy Milk since it was her mother’s birthday. But she doesn’t have money, so she gives him all her tiny toys that she has, and even her favourite rubber band. The shopkeeper, touched by her innocence, gives her a Dairy Milk and also gives her a tiny toys flower as change. 

The ad is so heartwarming that it establishes Dairy Milk as the best and most beautiful gift one could give a loved one.

Colour Impacts

According to Neuroscience, every colour has a unique impact on the human brain and the brain perceives different meanings out of different colours. For instance, it’s a universal fact that white colour stands for peace. 

In the marketing world, using colours to design advertisements as well as product packages is no less than an art. 

The colour purple, according to Neuroscience purple symbolizes magic, luxury, royalty, dignity and spirituality. 

Cadbury has undeniably used the colour purple at its best, which is why Dairy Milk is associated with luxury, rich quality and celebration!

If you’re ever asked what purple colour reminds you of, one of your first 3 responses may be Cadbury or Dairy Milk! 

Customized – for You, by You

Nobody can tell what a person would love, better than the person himself/herself.

If you want to know what your customers would like to have, why not have them tell you? 

What better way for an innovation than having your customers brainstorm and create their favourite product for themselves? 

A competition from Cadbury to invent a new flavoured chocolate product has named an Irish 17 year old Callum Clogher as its winner, after creating a Choca-Latte Dairy Milk bar.

The winning bar consists of a mix of coffee cream and vanilla sandwiched in between the smooth taste of Cadbury Dairy Milk.

The company is calling upon consumers to ‘go madbury for Cadbury’ as it relaunches the Inventor competition for 2020. Shoppers now have the chance to create their very own Cadbury Dairy Milk bar, which could become the next addition to the iconic Cadbury Dairy Milk family in 2020.

30% less sugar = 0% Cognitive Dissonance

Mondelez, which has been ramping up its Cadbury profile, recently launched premium Cadbury Dark Milk variant. The brand has rolled out a new variant in its Cadbury range called “Cadbury 30% less sugar”.

The move is quite exactly what neuromarketing looks like. 

Cognitive dissonance is a psychological phenomenon that evokes guilt or regret post doing something wrong, or making the wrong choice. This is experienced by all human beings, especially by women. 

Cadbury 30% less Sugar aims to reduce the cognitive dissonance within people who are conscious about their calorie intake, yet have a sweet tooth and want to enjoy chocolates. 

Brand Recall – Neuroscience to the rescue

Heather Andrew, CEO of Neuro-Insight, deconstructs how the winners of Marketing’s polls on the best ads of the past 60 years work from the brain’s point of view. Public’s favourite ad of the last 60 years is Cadbury’s ‘Gorilla’.

Polls like #60YearsTVAds provide a fascinating barometer of the cultural/creative/emotional messaging that resonates with consumers and industry experts long after an ad has disappeared. 

Marketers are increasingly turning to neuroscience to understand consumers’ subconscious reactions to creative messaging to gain more objective insights into what works, or doesn’t – in an ad.

The way the brain responds to creative messaging is informed by a number of factors – some obvious and some very subtle.

So what makes ‘Gorilla’ special from the brain’s point of view?

• The art of the unexplained

The ad is built on a strong sense of intrigue – we see unexpected images that aren’t immediately explained. 

‘Gorilla’ opens with a shot of the gorilla’s face to the introduction of Phil Collins In the Air Tonight, but this very familiar soundtrack only makes the ad’s climax more surreal with no explanation provided. In both cases the brain is highly engaged in wanting to know more, but never quite getting satisfaction until the branding appears at the end of each ad. This means the brain stays involved right through the ad. 

The ad might seem really weird and that’s precisely what makes it unforgettable! This and many other such effective ads have boosted Cadbury’s brand recall to a major extent. 

Care, Concern and Brand Image

In 2007, Cadbury introduced recyclable cardboard packaging for its Roses and Heroes chocolates this Christmas.

The square boxes, made from sustainably sourced cardboard, replaced the traditional round metal tins. The move was a part of the company’s Purple Goes Green environmental strategy. It included a pledge to cut packaging, carbon emissions and water usage of seasonal products by 25% by 2010. 

Tapping into consumer concerns over sustainable packaging would help boost sales as well as elevate brand image, which was the motive behind the programme. 

“Many of our customers are dreaming of a green, not white Christmas this year. Introducing an environmental twist will help us to meet shoppers ethical concerns, and the new boxes are easier to wrap.” Said Jo Grice, Head of marketing at Cadbury. 

Any Occasion and Every Occasion

Cadbury aims to target kids between the age group of 5 to 10 who consume chocolate the most. However, Cadbury chocolates are eaten by people of all ages, sexes, cultures, regions and on all occasions.

Although Cadbury targets people of all age groups, it has distinguished its product offerings to different occasions and age groups of customers. 

For example, Cadbury Temptations and Bourneville are meant for higher end consumer groups who are willing to pay more. 

Cadbury Dairy Milk Silk is targeted to the people who can’t resist chocolates. It has positioned itself as a symbol of good times, meant for special, romantic, or even little memories, celebrating all moments in life.

Cadbury Dairy Milk Crackles and Crispello are meant for people who need crispness in chocolates. 

Cadbury Lickables are exclusively designed for kids to relish, in their own childish ways. 

Cadbury Celebrations, as the name suggests, is specifically designed for special occasions and festivities. 

They address the needs of each and every consumer, from childhood to maturity, from impulse purchase to family treats. 

They design products to coincide with Christmas, Easter, Valentine’s, Mother’s and Father’s Day, and other calendar landmarks. 

They use neuromarketing strategies such as the ‘Choose Cadbury’ strategy to encourage a link between chocolate and these events, ensuring that there is a Cadbury chocolate product suitable and available for every occasion. The marketing communication over the years as well the lovely taste of Cadbury and its consistently good quality have given fantastic brand equity to the brand.

Here’s the reason why you are a rookie in applications of neuromarketing! Check out applications of neuromarketing : Amul’s Case-Study now.

Neuromarketing is the process of researching the brain patterns of consumers. Learn all about neuromarketing , and it’s common myths.

We hope you are convinced if it is a marketing case study or not just a marketing case study! Contact us now to apply Neuromarketing in your business and wait till you see the Trump card work! 

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Cadbury’s Marketing Strategy and Its Evolution

As a global community, we are all well aware of the importance of decadent sweets in our celebrations or daily routine. Irrespective of the religion, culture, gender or nationality we belong to, the one thing that brings us together is food. And desserts top the list when it comes to our idea of sharing love. That being said, how often do you happen to think of digging into some chocolate and the first thing to cross your mind is Cadbury’s? Such is the influence of the brand on the consumers that most of them don’t even ask for a chocolate when shopping, rather a Cadbury! Before digging deeper into how Cadbury became the most accessible, and easily available, go-to dessert of our day-to-day lives, let take a look at how the brand has evolved since its inception during the times of no digital channels.

Beginning of a brand legacy

Established by John Cadbury in the early 1800s in Birmingham, England, Cadbury’s journey in India started in 1948 with Mumbai as it headquarters. Importing chocolates seemed like a new yet thriving business then. With the rising demand and popularity amongst those who could afford luxury chocolates in India back then, manufacturing operations soon started at multiple locations including in India. With the growing demand and love for chocolates in the coming decades, the first-of-its-kind chocolate brand in India brought more and better variants for the chocolate apart from venturing into beverages like Bournvita, for its consumers, only to fuel their love for chocolate. From then to this day, Cadbury India has a share of over 70% in the market, making it a market leader in the industry globally. But how did it establish its identity in the Indian market where sweets made of milk, gram flour, sugar, or leftover churned cream, had been ruling for decades. Understanding the culture, demography and purchasing power of the citizens and then devising campaigns to grabbing the interest of the audience in India may have started with a hiccup, but Cadbury for sure knew the way to the Indian hearts. Speaking of which, the channels of communication to reach its consumers may have evolved over the time, but what hasn’t, are the emotions. And the chocolate giant seems to have been consistent in its approach to portray the emotions onscreen with one gimmick after the other, even in times of crisis management. Taking a close look at how has, Cadbury retained its brand value consistently, decades after it was introduced in the land of desi sweets.

• Identify the right audience In the initial years of its arrival in India, chocolate was considered a luxury which was affordable only to upper middle class and above. To expand its customer base and turning it into an opportunity in the next few years, Cadbury launched a mini version of the chocolate, with the price and contentment considerations that came along for buying a chocolate to the middle class. The centre-filled chocolate taste of Eclairs had the widest reach possible through TV and newspaper commercials when it entered the choice list of every 80s and 90s kid for their birthday celebration in school, or as a token of good work from parents. Till this day, Cadbury Eclairs, renamed Choclairs in 2013, has a strong hold in the semi-urban and rural market.

Once popular with the kids, Eclairs and Dairy Milk had established itself as a symbol for inherent goodness and friendship between kids. While the sales and revenue from these two had been

constantly rising, the brand was perceived as a kids-ONLY. In 1994, Cadbury released a TV Commercial with tagline ‘Kuch Khasa Hai…. Asli Swaad Zindagi Ka’ to break the brand’s kids-only image and positioned it as a product for everyone’s consumption, irrespective of the age or gender. What else could be a better combination than the girls and Cricket and it gave birth to an advertisement, where a young female dancing on the cricket field while enjoying the taste of chocolate. Now, that’s an act every Indian desire to do that when Yuvraj Singh hits the last six to win the World Cup in 2011. Isn’t it? To think of it in the digital age, the video would have gone viral with memes reigning the social media for the next couple of weeks.

• Encashing Festive – “Gift” Promotional Campaigns Once Dairy Milk had penetrated the Indian dessert industry, it began to leverage forward looking attitudes and culture which were aspirational. From a girl running on a racetrack, to older people eating chocolates and singing in the street, Cadbury ensured it touched every feeling in the society, which also included a very essential aspect- gifting and festivals. Valentine’s day, for example, had hardly seen any excitement among the youth of India. As a handy, go-to, happiness-inducing element, dairy milk chocolate was used for the first time as a gift to someone special. Aware of how, we as a nation, consider our festivals and celebrations incomplete without sweet, Cadbury Celebrations was launched in the late 2000s that not only became the alternative to local sweets but also increased the volume sales.. Be it representing a sweet-n-rocky brother-sister bond, or a family function, the array of innovation around Cadbury Celebrations catered to every aspect of gifting making it a symbol of happiness. The almond, cashews, and raisins enrobed in rich chocolate, wrapped in a blingy purple box made Celebrations a convenient, go-to gifting choice for Indians who consider dry fruits an auspicious element in food. The portrayal of siblings fighting over chocolate in a Raksha Bandhan ad, or a parent celebrating with something sweet on the daughter’s major achievement was relatable to the audience. Till date, these ads continue to effectively drive sales through various digital platforms like YouTube through paid campaigns and customer engagement through Influencer marketing. Bottomline…. What picked up Cadburys sales…. Viral Advertisements on the Television media… Most watched.
• Crisis Management In the 2000s, Cadbury saw a major backlash when few packets of Dairy Milk were found to be ingested with worms. At that point, Cadbury was struck with the worst crisis ever with Dairy Milk experiencing rejection from everywhere. It wouldn’t be incorrect to say that Cadbury began with ‘Influencer marketing’ much before digital channels overpowered the generation, when it roped in a veteran Bollywood star with a huge fan following among parents in all parts of India. Cadbury’s took the route of influencer Marketing and that’s how Amitabh Bachchan, as the first celebrity was brought onboard as the brand ambassador to promote Dairy milk under the ‘Kuch Meetha Ho jaaye’ series of ads. The move was necessary after the worm controversy that had a huge negative impact on the sales and revenue in the following months. To go more aggressive with positive branding, Cadbury increased its ad budget by 40%. The same year to gain the customers trust back, Cadbury launched the Miss Palampur ad campaign while they activated Project Vishwas . The commercial talked about a cow’s victory on winning the title and her so-called father (played by AB) who proudly described how tough the competition was. The campaign was set in villages to win the trust of rural India without losing its urban appeal. Cadbury left no stone unturned to tell the story. They tapped every channel to ensure its reach was as wide as possible – TV, print media, radio and hoardings, bus shelters, retail points, and of course digital. Between 2005-09 the brand increased its sales to double, from 22% to 44%. Coming to think of it as a 360° marketing firm, traditional marketing worked wonders when digital transformation was a thing talked of as in the future. However, wouldn’t the brand tap every digital channel in this age, from YouTube ads to paid campaigns on FB, trending hashtags on Twitter, or video contests on IG reels and Influencer marketing- to communicate how they would be honored if the audience gave them another chance?
• Traditional and digital channels The digital transformation era may have made it easier for brands to reach out and engage with their consumers directly, but the emotions remain unchanged for decades. And that is what worked the most for Cadbury. A year back when we were hit with a pandemic, and numerous versions of lockdown had impacted the economy, people from different strata of the society had a tough time juggling between their lifestyles and health safety. 2020 turned out to be a year when the world needed a high dose of generosity. This led to the brand launching a limited-edition CDM ‘Thank-you’ bars. To add to the generosity here, the choc-giant committed a part of the sale from these bars towards the health insurance policies of the daily wage earners. #SayThankYou was seen trending on social media channels during the lockdown. A report from Business Insider said that the company sold around 15 million bars and sponsored health insurance for about 15,000 domestic workers after the campaign.

Going by the conventional way, we believe the brand would have launched an ad to portray the challenges of frontline workers during the pandemic and made the audience aware of how their families have been supportive and are managing in their absence. Conclusion: Typically, it is believed that consuming something sweet is comforting and is a mood lifter. And this is something Cadbury’s marketing has always portrayed. Cadbury has never failed to reflect the emotions of its audience thereby convincing them that it can be consumed by anyone, anywhere. The campaigns have been effective through ages and different media and have a consistent message for ALL age groups- someone who is with you through the ups and downs of life, helping you bounce back. Managing and controlling the brand was a priority then and is a priority now. The medium has changed, and channels of communication evolved. But what remains unaltered is the brand’s capability to grab and project the emotions to build brand, increase sales and manage reputation even under crisis situation. Thats the power of Marketing.

Cadbury Crisis Management Case Study: Preserving Trust in Times of Crisis

In the realm of beloved chocolate brands, Cadbury has long held a cherished place in the hearts and taste buds of consumers worldwide.

However, even the most esteemed companies are not immune to crises that can pose significant threats to their reputation.

Effective crisis management becomes paramount in such moments, serving as the linchpin in preserving brand equity and consumer trust.

In this blog post, we delve into the realm of Cadbury’s crisis management, exploring a notable incident that tested the brand’s resilience and examining the strategies they employed to navigate the storm.

By understanding Cadbury’s response and the lessons gleaned from their experience, we can gain valuable insights into crisis management in the food industry and the critical importance of safeguarding brand reputation.

The Cadbury crisis: an overview 

In October 2003, just a month before the festive season of Diwali, customers in Mumbai reported the discovery of worms in Cadbury Dairy Milk chocolates. Responding promptly, the Maharashtra Food and Drug Administration (FDA) took action by seizing chocolate stocks produced at Cadbury’s Pune plant.

Cadbury defended itself by stating that the infestation could not have occurred during the manufacturing process and suggested that poor storage at retailers might have been the cause of the reported worm cases.

However, the FDA remained unconvinced. Uttam Khobragade, the FDA commissioner, expressed doubts, stating, “While it was presumed that worms entered the chocolates during storage, what about the packaging? If the packaging was not proper or airtight, it could be considered a manufacturing defect due to unhygienic conditions or improper packaging.”

This exchange of allegations and counter-allegations between Cadbury and the FDA led to negative publicity that significantly impacted Cadbury’s sales. During a time when Cadbury typically experiences a 15% sales boost due to festive season demand, their sales dropped by 30%. As a result, Cadbury’s advertising went off air for a month and a half following Diwali, as consumers seemed to lose interest in their chocolate cravings.

Facing intense scrutiny, Cadbury took action by launching an education initiative called “Vishwa’s” in October itself. This initiative aimed to educate 190,000 retailers in key states. However, it was what Cadbury did in January 2004 that truly helped restore the brand’s reputation.

Investing around Rs 15 crore (Rs 150 million), Cadbury revamped the packaging of Dairy Milk by introducing imported machinery. The new metallic poly-flow packaging, despite being costlier by 10-15%, did not lead to a price increase for the product.

Bharat Puri, managing director of Cadbury’s India, stated, “Although we are addressing a few bars out of the 30 million we sell every month, we believe that as a responsible company, consumers should have complete faith in our products. So, even if it requires significant investment and change, we must not let consumer confidence erode.”

Simultaneously, Cadbury enlisted the support of brand ambassador Amitabh Bachchan for extensive endorsement, with the actor risking his personal reputation for the brand.

Cadbury also increased advertising spending for the January to March quarter by more than 15%. The brand’s recovery began in May 2004, and by June, Cadbury claimed that consumer confidence had been restored. Experts believe that Cadbury’s success was due to their proactive and direct approach in addressing the crisis. Moreover, consumers were more forgiving because of the emotional connection they had with the brand in India.

Explanation of the potential impact on Cadbury’s reputation and consumer trust

The potential impact of the crisis on Cadbury’s reputation and consumer trust cannot be overstated. Cadbury had spent years cultivating a strong brand image built on trust, quality, and indulgence.

Consumers who had long associated Cadbury with delightful moments and safe indulgence were suddenly confronted with doubts and concerns about the integrity of the brand.

The presence of foreign objects in their beloved chocolate bars not only raised immediate health and safety worries but also shook the trust that consumers had placed in Cadbury’s manufacturing processes.

The crisis threatened to erode the emotional connection between Cadbury and its customers, potentially leading to long-lasting damage to the brand’s reputation and a loss of consumer loyalty. The way Cadbury handled the crisis would be critical in determining whether they could restore faith in their products and reassure customers that their commitment to quality and safety remained unwavering.

Cadbury’s Response: Swift and Transparent Action 

Here are three points that explain the response of Cadbury to the crisis:

A. Immediate actions taken by Cadbury to address the crisis

Recognizing the urgency of the situation, Cadbury swiftly sprang into action to address the crisis and mitigate its impact on consumer trust. Their response was marked by a combination of transparency, accountability, and proactive measures. First and foremost, Cadbury initiated an immediate recall of the affected products from the market, demonstrating their commitment to ensuring consumer safety.

This recall was accompanied by clear and concise public announcements, both through traditional media channels and online platforms, informing consumers about the issue and advising them to refrain from consuming the affected products.

Cadbury launched an internal investigation in collaboration with independent third-party experts. This step aimed to determine how the foreign objects had made their way into the production process and identify any potential lapses in quality control.

In addition to the recall and investigation, Cadbury established a dedicated consumer helpline and email contact to address any concerns or inquiries from customers. This direct line of communication allowed affected individuals to seek information and assistance, demonstrating Cadbury’s commitment to maintaining open dialogue with their consumer base.

Moreover, Cadbury proactively engaged with regulatory bodies, such as food safety authorities and government agencies, to ensure compliance with relevant regulations and collaborate on resolving the crisis. This collaboration helped in conducting thorough investigations, sharing information, and implementing corrective measures.

Throughout their response, Cadbury remained transparent, providing regular updates to the public and stakeholders on the progress made in resolving the crisis. By openly acknowledging the issue and taking swift action, Cadbury aimed to rebuild consumer trust and demonstrate their commitment to the highest standards of product safety and quality.

B. Emphasis on transparency, open communication, and acknowledgement of the issue

Cadbury recognized the critical role of transparency, open communication, and sincere acknowledgement in their crisis management strategy. Understanding that silence or evasion could further erode consumer trust, they chose a different path.

From the onset, Cadbury openly acknowledged the issue, taking full responsibility for the presence of foreign objects in their products. They did not attempt to downplay or minimize the severity of the situation, but rather acknowledged the potential risks and concerns that consumers may have.

To ensure transparent communication, Cadbury provided regular updates to the public and stakeholders about the progress of their investigations, steps taken to address the issue, and any findings or developments. This transparency helped to build confidence among consumers that Cadbury was actively working to rectify the situation and prevent similar incidents in the future.

Moreover, Cadbury prioritized open communication channels with their consumers. They promptly established a dedicated helpline and email contact to address individual inquiries and concerns. By providing accessible means for consumers to voice their questions or fears, Cadbury demonstrated a commitment to engaging in two-way communication and actively listening to their customers.

Engagement with customers, media, and regulatory bodies

Cadbury demonstrated proactive engagement with various stakeholders throughout the crisis, including customers, media, and regulatory bodies. Here are some examples of their efforts:

• Customers: Cadbury promptly set up a dedicated helpline and email contact to address customer inquiries, concerns, and feedback. This direct line of communication allowed affected individuals to seek information, share their experiences, and receive assistance from Cadbury’s customer service team.
• Media: Cadbury issued press releases and media statements to communicate their response to the crisis, including the immediate recall, investigation, and measures being implemented to ensure product safety. These official statements aimed to provide accurate information and address media inquiries promptly.
• Regulatory bodies: Cadbury collaborated closely with relevant food safety authorities and regulatory bodies to ensure compliance with regulations and to share information regarding the crisis. This collaboration helped in conducting thorough investigations and implementing appropriate corrective actions.

Evaluation of Cadbury’s crisis management approach and its effectiveness

Cadbury’s crisis management approach can be evaluated as highly effective based on several key factors:

• Swift and proactive response: Cadbury’s immediate actions, including the recall of affected products and launching an internal investigation, demonstrated a sense of urgency and a commitment to addressing the crisis promptly. This swift response helped contain the situation and prevent further harm to consumers.
• Transparency and open communication: Cadbury’s emphasis on transparency and open communication was commendable. They openly acknowledged the issue, took responsibility, and provided regular updates to the public, customers, media, and regulatory bodies. This transparency fostered trust and allowed stakeholders to stay informed throughout the crisis.
• Stakeholder engagement: Cadbury actively engaged with stakeholders such as customers, media, and regulatory bodies. They established a dedicated helpline and email contact for customers, responded to media inquiries, and collaborated with regulatory authorities. This proactive engagement demonstrated a commitment to listening, addressing concerns, and working collaboratively to resolve the crisis.
• Accountability and commitment to quality: By taking responsibility for the contamination incident, Cadbury showed accountability for the lapse in their manufacturing processes. They acknowledged the potential harm caused to consumers and reassured them of their commitment to maintaining the highest standards of quality and safety.
• Learning and improvement: Cadbury’s crisis management approach also involved conducting internal investigations, collaborating with third-party experts, and implementing corrective measures. This commitment to learning from the incident and making necessary improvements indicated a proactive approach to preventing future occurrences and continuously enhancing product safety.

Identification of key lessons and best practices for crisis management in the food industry

Identification of key lessons and best practices for crisis management in the food industry:

• Prioritize consumer safety: The primary focus during a crisis in the food industry should be on ensuring consumer safety. Swift actions, such as recalls and investigations, must be taken to address any potential risks and protect consumers from harm.
• Transparency and open communication: Transparency is crucial in maintaining trust during a crisis. Companies should openly acknowledge the issue, provide timely and accurate information to stakeholders, and communicate updates regularly. This includes engaging with customers, media, and regulatory bodies to address concerns and share progress.
• Swift response and proactive measures: Time is of the essence in crisis management. Acting swiftly to contain the issue, launching investigations, and implementing corrective actions demonstrate a commitment to resolving the crisis effectively and minimizing its impact.
• Establish a dedicated crisis management team: Having a designated crisis management team with clear roles and responsibilities is essential. This team should be equipped to handle crisis situations, make quick decisions, and coordinate communication across various channels.
• Collaborate with stakeholders: Engage with relevant stakeholders, including customers, media, and regulatory bodies. Collaborating with regulatory authorities ensures compliance and regulatory support, while open communication with customers and media helps address concerns, provide accurate information, and rebuild trust.
• Learn from the crisis: Conduct thorough investigations to identify the root cause of the crisis. This allows for improvements in manufacturing processes, quality control measures, and overall safety protocols to prevent similar incidents in the future. Continuously learning and adapting based on the crisis experience is vital.
• Preparedness through crisis simulations: Conducting crisis simulations and drills in advance can help organizations prepare for potential crises. These simulations allow teams to practice their response strategies, identify gaps, and refine their crisis management plans.
• Monitor and respond to social media : Social media plays a significant role in crisis communication. Monitor social media platforms to gauge public sentiment, address customer concerns, and promptly respond to queries or complaints.
• Maintain brand consistency: During a crisis, it is essential to maintain consistency in messaging and actions across all communication channels. This consistency helps in building trust and avoiding confusion among stakeholders.
• Rebuild trust through actions: Regaining consumer trust takes time. Implement measures to enhance product safety, quality control, and quality assurance processes. Launch consumer-centric initiatives and communicate these actions to demonstrate the brand’s commitment to customer satisfaction and safety.

Final Words 

Cadbury’s crisis management approach serves as an excellent example of effective strategies and best practices in the food industry. By swiftly addressing the crisis, prioritizing consumer safety, and embracing transparency, Cadbury demonstrated their commitment to their customers and their brand integrity.

The lessons learned from Cadbury’s crisis management are applicable to any organization in the food industry. Prioritizing consumer safety should always be the guiding principle, followed by open communication with stakeholders and a proactive approach to resolving the issue.

Remember, a crisis can be an opportunity to showcase a company’s resilience and commitment to its customers. By implementing these best practices and being prepared, organizations can navigate crises with greater confidence, protect their brand reputation, and rebuild trust even in the face of adversity.

About The Author

Tahir Abbas

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Marketing Channel Strategies for Cadbury

Marketing channel strategies:– The market channel strategies are broad principles by which the firm expects to achieve its distribution objectives for its target market. The design of the channel should contribute to the firm’s quest for Differential Advantage. It is the responsibility of administration of existing channels to secure the cooperation of channel members in achieving the firm’s distribution objectives Anand Kripalu, Cadbury India’s managing director, is in favour that Cadbury should focus on exploring new marketing channels and price points in order to turn infrequent customers into regular buyers.

These channels are likely to include non-retail chains in a bid to reach new customers or provide existing customers with the opportunity to buy Cadbury brands where they did not expect it. The company is also going to experiment with new price points for its flagship brand Cadbury Dairy Milk, which accounts for 30% of Cadbury India’s overall chocolate business. Cadbury is also focusing intensively on achieving distribution equity. Though it takes much more time and effort to build, but once built, distribution equity is hard to erode.With technology and competitive pressure slash in it is becoming increasing difficult for marketers to retain a unique product differentiation for long period.

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This network of distribution contacts wholesalers and which in turn contacts to the retailers directly which include grocery stores, panwallas, Newsagents shops, and other convenience stores. Then it is the consumer, which is the end result of the channels of distribution for Cadbury’s. Once the stock product reaches retailers, the prospective customers can have access to the product. Recently there was a crisis that Cadbury’s had had to resolve when it was reported that worms were found in a few of the Cadbury’s chocolates.Since then the company has invested in upgrading packaging facilities and in making sure that the product’s quality and integrity is maintained.

Given that not all retailers have cold storage facilities, the firm has to continue to try and educate channel members regarding proper storage facilities. Company has now improved the distribution quality of its products with the installation of refrigerators at several outlets. This helps in maintaining product quality in summer, when sales usually dip due to the fact that the heat affects product quality and thereby consumption.Looking at the low penetration of the chocolate, a distribution expansion would itself being incremental volume. The other reason is arch rival Nestle reaches more than a million retailers.

This increase in distribution is going to be accompanied by reduction in channel costs. Though Cadbury India has the biggest market share at 70 per cent while Nestle is the second largest at 20% even then Cadbury’s marketing costs, at 18% of total costs, is much higher than Nestle’s 12% or even pure sugar confectionery major Parry’s 11%. In one of the recent developments Cadbury had taken up innovative strategies.Digital, and in particular mobile, was identified as the key medium with which to reach the 16-24 year old target market. Cadbury wanted to encourage user subscriptions and facilitate data capture by integrating multiple consumer touch points and driving traffic to digital channels.

Its “Pappu Pass ho gaya” campaign proved to be a roaring success in this medium. Some other distribution channels which can be exploited in near future could be.

• Supermarkets·
• Specialist multiples·
• Variety chain stores·
• Franchised chain·
• Mail order and internet

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• Cadbury Marketing Case Study
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Home » Management Case Studies » Case Study: Cadbury Crisis Management (Worm Controversy)

Case Study: Cadbury Crisis Management (Worm Controversy)

In India chocolate consumption was very low in the early 90’s but as the decade advanced the consumption drastically increased. The late 90’s witnessed a good chocolate market condition. The chocolate market in India is dominated by two multinational companies — Cadbury and Nestle. The national companies – Amul and Campco are other candidates in this race. Cadbury holds more than 70% of the total share of the market. Nestle has emerged by holding almost 20% of the total share. Apart from chocolate segment, there is also a big confectionery segment which is flooded by companies like Parry’s, Ravalgaon, Candico and Nutrine. All these are leading national players. The multinational companies like the Cadbury, Nestle and Perfetti are the new entrants in the sugar confectionery market. (Management paradise) There are several others which have a minor share in these two segments. According to statistics, the chocolate consumption in India is extremely low. If per capita consumption is considered, it comes to only 160gms in the urban areas. This amount is very low compared to the developed countries where the per capita consumption is more than 8-10kg. Observing this fact it would not be appropriate to consider the rural areas of India as it will be extremely low. This low consumption is owing to the notion behind consuming chocolates. Indians eat chocolates as indulgence and not as snack food. The major target population is the children. India has witnessed a slow growth rate of about 10% pa from the 70’s to the 80’s. But as the century advanced the market stagnated. This was the time when Cadbury launched its product- Dairy Milk as an anytime product rather than an occasional luxury. All the advertisements of Dairy Milk paid a full attention to adults and not children. And this proved to be the major breakthrough for Cadbury as it tried to break the conventional ideas of the Indians about chocolate.

The Worm Controversy

On October 2003, just a month before Diwali, the Food and Drug Administration Commissioner received complaints about infestation in two bars of Cadbury Dairy Milk, Cadbury India’s flagship brand with over 70% market share. He ordered an enquiry and went directly to the media with a statement. Over the following 3-week period, resultant adverse media coverage touched close to 1000 clips in print and 120 on TV news channels. In India, where Cadbury is synonymous with chocolate, the company’s reputation and credibility was under intense scrutiny. Sales volumes came down drastically in the first 10 weeks, which was the festival season; retailer stocking and display dropped, employee morale – especially that of the sales team – was shaken. The challenge was to restore confidence in the key stakeholders (consumers, trade and employees, particularly the sales team) and build back credibility for the corporate brand through the same channels (the media) that had questioned it.

In defense, Cadbury issued a statement that the infestation was not possible at the manufacturing stage and poor storage at the retailers was the most likely cause of the reported case of worms. But the FDA didn’t buy that. FDA commisioner, Uttam Khobragade told CNBC-TV18, “It was presumed that worms got into it at the storage level, but then what about the packing – packaging was not proper or airtight, either ways it’s a manufacturing defect with unhygienic conditions or improper packaging.”

That was followed by allegations and counter-allegations between Cadbury and FDA. The heat of negative publicity melted Cadbury’s sales by 30 per cent, at a time when it sees a festive spike of 15 per cent.

For the first time, Cadbury’s advertising went off air for a month and a half after Diwali, following the controversy. Consumers seemed to ignore their chocolate cravings.

Remedy for the Worm Controversy

A focused and intense communications program was implemented over the next six months to rebuild credibility and restore confidence among the key stakeholders. The results:

• In media, the key message that infestation was a storage-linked problem, not manufacturing related , found widespread acceptance. Across the board, media carried Cadbury’s point-of-view on the issue.
• Sales volumes climbed back to almost to pre-crisis levels eight weeks after the launch of new packaging — a concrete step taken by the company to minimize the incidence of infestation. This reflected consumer confidence in the brand and the company.
• There was significant upward movement in ratings amongst consumers on parameters like company’s image, responsiveness of company and behavioral parameters like intention to buy Cadbury chocolates.

The last two helped to restore faith in the corporate brand among the trade and employees.

Marketing Challenges and Objectives

The incident came close on the heels of a cola controversy where a scientific laboratory declared colas unsafe due to high levels of pesticide. The jury was still out on that issue and so this incident acquired political overtones with parties decrying Cadbury as an irresponsible MNC. Andrea Dawson- Shepherd, Global Corporate Communication Counsel, Cadbury Schweppes called it ‘the worst worm infestation-related crisis anywhere in the world’.

The immediate objective was to get the following key messages across:

• Infestation could never occur at the manufacturing stage
• The problem was storage linked; this without alienating trade channels
• Cadbury Dairy Milk continued to be safe for consumption

The challenge was to restore confidence in the key stakeholders (trade and employees, particularly salespersons) and build back credibility for the corporate brand through the same channels (the media) that questioned it.

It was decided from the start to address the issue head-on and take whatever steps were necessary to restore confidence. Having historically maintained a low profile with the media and let its brands and its performance speak for it, the company began to cultivate relationships with the media and turn it into an ally and a credible, independent endorser to rebuild stakeholder confidence.

Phase 1: Presenting Cadbury’s View (October-December 2003)

The day the crisis broke, the agency set up a media desk to ensure that no media query went unanswered. From Day 1 every story carried Cadbury’s point of view. At the first media briefing organised by the agency, the Cadbury’s Managing Director addressed consumer concerns with the following key messages:

• Infestation is a storage linked problem.
• It is safe to eat Cadbury chocolates.
• Consumers must exercise the same care in purchasing a chocolate as they would when buying any food item.

At a second media briefing about two weeks after the first incident was reported, Cadbury announced significant steps to restore consumer confidence called Project Vishwas (Trust), this entailed:

• A retail monitoring and education program undertaken on a war footing to address storage problems.
• Significant packaging changes to ‘reduce dependency on storage conditions as much as possible’ –to be launched within two months.

An Editorial Outreach program with 31 media editors across 5 most affected cities was orchestrated by the agency to get senior Cadbury spokespeople to share their version of events in one-on-one meetings. The trade, and consumers, were reached nationally through a press ad ‘Facts about Cadbury’, released in 55 publications in 11 languages. It presented facts about Cadbury manufacturing and storage and highlighted corrective steps being taken by the company. This was a public statement of the corporate stand on the issue. The trade was supported with posters and leaflets to help them share Cadbury point-of-view with their customers. A response cell with a toll free number and an e-mail id were put in place to give trade a means to directly contact the company with any issues they faced- reinforcing the company’s commitment to quality. From the beginning, a series of town hall meetings were held with senior managers addressing employees

to ensure they were updated on the proactive actions being taken by Cadbury to manage media, help trade and ensure future occurrences of such incidents were kept to the minimum. Regular email updates from the MD were also used to communicate the company’s point of view and to ensure consistency of messaging since employees are the company’s ambassadors.

Phase 2: Packaging Change (January- March 2004)

The new ‘purity sealed’ packaging was launched in January 2004. By investing up to Rs 15 crore (Rs 150 million) on imported machinery, Cadbury’s revamped the packaging of Dairy Milk. The metallic poly-flow, was costlier by 10-15 per cent, but Cadbury didn’t hike the pack price.This entailed double wrapping for maximum protection to reducing the possibility of infestation. This was a big step involving investment of millions of dollars and getting on stream a production process in 8 weeks, that would normally take about six months. To communicate these significant changes the company was making, Cadbury brought in a brand ambassador to reinforce the credibility that the company had demonstrated through its actions. Amitabh Bachchan , a legendary Indian film star, was chosen, as he embodied the values of Cadbury as a brand and connected with all of India – mothers, teenagers, children, media persons and trader partners.

A media conference was organized in Mumbai to launch the new packaging. And this was followed with press conferences in cities worst affected by the crisis – Pune and Nagpur in Maharashtra and Cochin in Kerala. In these conferences, media persons were encouraged to compare the old and new packs with an innovative comparison kit and experience the significant changes in packaging first hand. An audio visual with a message from Amitabh Bachchan, was beamed to build credibility and excitement. Given that much of the damage had come from television coverage, a video news release with packaging shots and factory shots was given to television channels to control the visual messaging. Simultaneously, senior Cadbury spokespersons had one-on-ones with the Editors of the Outreach program initiated in November 2003.

Another audio visual with a message from the star was used in a series of sales conferences to enthuse and reassure salespersons. And this helped to rebuild confidence in the salespersons to go and sell the product more convincingly and confidently to the trade. The announcement of the new pack was done through a testimonial advertisement on TV called ‘Sincerity’. It consciously addressed the problem head-on, with the superstar talking straight into camera about how before doing the ad he first convinced himself about the quality of Cadbury chocolates by visiting the factory. Consumers respected the brand for not skirting the issue but acknowledging it and giving a solution to the problem. This was Public Relations using a TV Commercial to get key messages across!

Campaign Results:

• Media Coverage : The media relationship effort clearly helped in making media accept that the infestation was genuinely caused by storage-linked problems. From the start, all media reports carried the Cadbury’s point-of-view. Bad news automatically gets great coverage. However, the agency helped Cadbury get a total of 378 clips in over 11 languages covering the new packaging, and its benefits, in January 2004. The Business Today clip is a typical representation of the changed media perception and a better understanding of the problem over a three month period.
• Sales : Sales volumes, which declined drastically between week 1 and week 10 of crisis, climbed back almost to the pre-incident levels by week. within 8 weeks of introduction of new packaging and communication. This is a clear reflection of restoration of consumer and hence trade confidence in the corporate brand.
• Image : There was significant upward movement in ratings amongst consumers on parameters like company image, responsiveness of company and behavioral parameters like intention to buy Cadbury chocolates. While the new product introduction and advertising had their role to play in the changing consumer perceptions, the media’s positive coverage and the trade’s positive pre-disposition played a huge part in helping Cadbury regain its reputation in the market.

Role of Public Relations

Public Relations  concerns the total communications of your total organization/group of organizations. It is unlike advertising, where you are sharing skills of planning, creative and media buying teams with an out-sourced agency. PR calls for a very intimate understanding of the total inner workings of your organisation at all levels – workers to Board levels. It requires the integration of knowledge and communications. It is not a part time job for a Marketing Services Manager. If it is to work and serve the larger objective, the PR department should be independent, servicing others like production, personnel, marketing, finance, corporate agendas. Therefore, the PR Head should be part of the top management team – reporting directly to the CEO. He also needs to share everyone’s confidences.

The PR department of Cadbury’s played a very effective role in managing the reputation and keeping up the goodwill of the company.

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