5star1234 PDF
5star1234 PDF
5star1234 PDF
SUBMITTED TO
UNIVERSITY OF MUMBAI
IN PARTIAL FULFILMENT OF REQUIREMENT FOR THE AWARD OF
DEGREE OF
BACHELOR OF MANAGEMENT STUDIES
SUBMITTED BY
T.Y.B.M.S SEMESTER V
ACADEMIC YEAR 2019-2020
SANPADA COLLEGE OF
SUBMITTED BY
TO
Project Guide
Prof. Shashank
I, --------- student College of Commerce & Economics Anand Bhavan, Dr. D.N.
Road, Fort, Mumbai-400001 Bachelor of Management Studies Studying in
T.Y.B.M.S hereby declare that I have completed the project on “MARKETING
STRATEGIES OF CADBURY 5 STAR”during the academic year 2019-2020. The
information submitted is true and original to the best of my knowledge.
SEAT NO:
CERTIFICATE
___________________ _______________
___________________ _________________
ACKNOWLEDGEMENT
First of all I would like to thank University of Mumbai for giving me a chance to
work on the project. And sending my career with pre-guidance of the real corporate
and social world.
I owe a debt of gratitude to Principal Prof. U.M. MUSKE and Prof. DEVIKA S.
SURYAWANSHI the Coordinator of B.M.S department, for providing
encouragement and for the valuable interactions I have had with her. Her valuable
and appropriate inputs helped me to complete my project successfully.
Finally, I would like to thank our whole B.M.S department for their support and
coordination in providing study material has helped tremendously to make the
project informative and comprehensive.
EXECUTIVE SUMMARY
1. CHAPTER 1- 9-11
OBJECTIVE & METHODOLOGY
2. CHAPTER 2- 12-32
INDUSTRY PROFILE
3. COMPANY PROFILE OF OBEROI GROUP
A. HISTORY& BACKGROUND
B. COMPANY HIGHLIGHTS
E. DINNING
G. MEETINGS
H.DHARMA
4. MANAGEMENT 33
5. AUDITED FINANCIAL RESULT(2013-2014) 34-35
6. CHAPTER 3- 36-38
SWOT ANALYSIS
7. CHAPTER 4- 39-42
McKINSEY 7s FRAMEWORK
8. CHAPTER 5- 43
ANALYSIS OF FINANCIAL STATEMENT
9. CHAPTER 6- 44-45
LEARNING EXPERIENCE
10. CHAPTER 7- 46-54
LABOUR WELFARE MEASURES
15 CHAPTER12- 77
BIBLIOGRAPHY
Company: 5 star
Founded by: Cadbury
5 star chocolate was launched by Cadbury in India during the year 1969. It is a
chocolate bar made with a delicious mix of smooth chocolate, caramel and
nougat. Its pack is also distinctively decorated with a golden wrapper and five
stars indicating the name of the popular chocolate.
There are different varieties of the chocolate available in the Indian market –
some of the popular ones are Crunchy, Fruit and Nut, 5 Star 3D and Chomp.
His company primarily catered to the affluent section of the society, as the cost of
production was quite high. John’s brother Benjamin also joined the business in
1847 and in 1849 they displayed their first chocolate bars at a trade fair in
Birmingham.
While the credit for making the first ever chocolate bar goes to Cadbury’s
competitor, Fry, from the city of Bristol, both of them were instrumental in
making the currently common product a successful variety of chocolate-based
sweet in the market.
The Road to Success
The 1990s saw the rapid expansion of Cadbury through a combination of astute
leadership and introduction of new innovative products in the chocolate
confectionery market. Dairy Milk and Bourneville Cocoa was two of its early
products that brought fame and commercial success to the company.
Dairy Milk Chocolate was the first of its kind with a higher proportion of milk as
one of its primary ingredients. This was also the first instance of a company
mass-producing milk chocolate. In 1919, J. S. Fry and Sons, the main competitor
of Cadbury decided to merge, resulting in an amalgamation of many well-known
chocolate and confectionery brands.
By the 1930s, chocolate became affordable for most of Britain’s population and
Cadbury products accounted for the majority of the increased revenues earned
with the increased consumption.
Cadbury entered the Indian market in the year 1948 and was initially selling
imported chocolates. In the same year, the company was formally incorporated
by the newly independent country. Cadbury soon became the premier chocolate
and confectionery selling company of India & currently holds over 70% market
share in the category. With six manufacturing units in the country and regional
offices located at many major Indian cities, Cadbury has established a firm
foothold in the country offering several popular brands like Dairy Milk, 5 Star
Chocolate, Gems, Eclairs, Bournvita and Oreo among others.
All these traits make the brand one of the longest-running and successful ones
being launched and managed by Cadbury in the country. Its popularity has even
led the product to be launched in other countries like Brazil, South Africa,
Malaysia and Philippines.
This television advertisement series depicting two brothers – Ramesh & Suresh –
getting entangled in different kinds of hilarious settings while “getting lost” in the
exquisite taste of 5 star chocolate has created a huge stir among the Indian
masses. Since 2006, these ads furthered cause of the already strong 5 star brand
& were successful in positioning the product as per the intentions of the
management & the requirement of the times.
During the initial years, the brand was focusing on satisfying hunger, the sense of
togetherness & the soft chewy taste. Then the brand stayed consistent towards
its tagline “jo khaye kho jaye” meaning “one who consumes 5 star gets lost in its
taste” for a number of years & projected the same through the hugely popular
television commercial series.
The brand was successful in propagating the message that seriousness has
plagued the lives of Indians in the modern times & uses humor & comedy to offer
a “chocolate bar” cure for the malady.
This campaign was launch on the Internet in 2013, showing the brand’s
recognition of the digital medium as a powerful promotional tool. In a series of
ten humorous videos, different pairs of inanimate objects were shown as initially
committing harmful acts on the other & offering 5 star chocolate bars with “no
hard fillings”.
The sequences are meant to be comical yet putting across the message of
friendship & propagating the popular bar a gift to smooth things over. The entire
collection is quite impactful & succeeds in tickling the funny bones of the viewers
while retaining the high recall value that is a characteristic of all advertisements
of the brand.
Marketing Mix of 5 Star analyses the brand/company which covers 4Ps (Product, Price, Place,
Promotion) and explains the 5 Star marketing strategy. The article elaborates the pricing,
advertising & distribution strategies used by the company.
Let us start the 5 Star Marketing Mix:
Product:
The product strategy and mix in 5 Star marketing strategy can be explained as follows:
5 Star is the one of the biggest chocolate brands in the Cadbury portfolio. The parent company
Cadbury has made significant investment in the product and has launched the product more than
10 times, in a new form every time, in a span of around 15-18 years. The journey of 5 Star
started in 1970s in India from the basic product to energy bar in 1990s to the crunchy variant in
the millennium to the product’s rejuvenation in the form of Fruit and Nu and Crunchy, Chewy,
Chocolaty. Over the years, new variants have been introduced as a part of its marketing mix
product portfolio. The new 5 Star avatars have not only changed the form of the product but the
promotion method also. The Point of Difference not only lies in it being a product of Cadbury’s
but also in the packaging of the product in the golden wrapper. Also, 5 Star is available in
different Stock Keeping Units (SKUs) in the bars of 22g, 45g, home pack of 200g, etc.
Image: company website
Price:
Below is the pricing strategy in 5 Star marketing strategy:
5 Star has been targeted to cater the needs of low, medium income level consumers though the
company has a great milestone in the premiumisation journey of the product. It is available in
different SKUs and the price varies accordingly. In India, the 22g bar is of ₹10, 5 Star 3D 44g
bar is of ₹30, its 54 pc box is of ₹269, home treats pack 200g is of ₹450, 5 Star 3D box of 24
units is of ₹690, etc. The price of the product has been kept low by the company but at the same
time has struggled to get the value of the product right and manage the price fluctuations.
Place:
Following is the distribution strategy of 5 Star:
5 Star has an excellent product availability owing to the extensive distribution of its parent
company. The company Cadbury’s has leveraged upon its distribution channel and has used the
3 level distribution channel to make the product’s presence throughout the country. 5 Star starts
its journey from the factory, then goes to warehouse, from warehouse it goes to either the
wholesaler or the distribution centre from where it goes to the retailer and then finally to the
customer. It can be bought from small kirana shops, big kirana shops, general stores, super
markets, Panwala Shop etc.
Since digitisation of the Indian economy is taking place at a rapid pace, the product is now
available online at websites like Amazon and Flipkart.
Promotion:
The promotional and advertising strategy in the 5 Star marketing strategy is as follows:
5 Star has a good brand recall owing to the efforts of its parent brand. The company has used
Above-the-Line channel, i.e., newspapers, television advertisement, hoardings, etc. to create
awareness of the product and persuade the customers to buy the same. The message or the
content has constantly kept on changing since the launch of the product in India in 1969. Its
target has always been the youth. 5 Star was positioned and repositioned time and again and
challenged itself every time in the process. It has, simultaneously, also ensured that the brand
was recalled by the customers every time the new campaign is launched. The journey map of
positioning 5 Star started from being “Deliciously Rich that You’d Hate to Share It” to indicating
togetherness to giving instant dose of energy to making you irresistible to being soft chew to
getting ‘Lost in Taste’. The company did not endorse any celebrity and yet managed to position
the product successfully in the minds of the consumers. In a master move, the company
introduced two quirky characters into the advertisements Ramesh and Suresh twice, first time for
Cadbury 5 Star and second time for Cadbury 5 Star 3D. They became the brand icons for the
chocolate for some time for now and have increased the brand recall of the product manifold.
Hence this concludes the Cadbury 5 Star marketing mix.
Conclusion
Thus, 5 star chocolate and its owner brand Cadbury have been successful in India
since their launch. For the youth of India, the distinctive 5 Star Chocolate Bar is
synonymous with many enjoyable moments spent with friends or family while
enjoying the product. Its many variations over the five decades of its existence
have proven to be successful and popular, thus adding to the longevity of the
brand as a whole.
5 Star Chocolate has become synonymous with the chocolate bar product in India
with hardly any competitors, thus ensuring a bright future for the brand.
One of India’s oldest chocolate bars in its category Cadbury’s 5 Star was launched
in the year 1953 and since then has been one of the trendiest chocolates in the
region. Cadbury’s 5 Star which was owned by Kraft Foods is now officially a part
of the product portfolio os Modelez International.
The brand is available in many popular variants like Cadbury’s 5 Star, Cadbury’s
5 Star Caramel, Cadbury’s 5 Star 3 D, Cadbury’s 5 Star Treats etc. The brand
which is one that has always stayed in trend is also a popular snack amongst kids
with its rich taste and texture and presence of nuts and caramel in it. Cadbury’s 5
Star has also been popular for some very interesting advertisements which have
captured the mindshare of Indian customers.
• Taste: Cadbury’s 5 Star is known for the difference in taste that it has from
other milk chocolates. As the positioning claims of the brand indicate the
chocolate is more chewy and rich in various filling like Noga, caramel,
almonds. Peanuts, raisins, and nuts. This makes it popular not just as a
chocolate but also a snack for kids and adults alike.
• Popularity: Cadbury’s 5 Star in the market leader in the count line segment
of chocolates in India with a market share of around 67 %. The brand has
retained its success for almost four decades now and is also sold
in markets like Brazil, Philippines, Malaysia and South Africa where it is
gaining popularity.
• Change of positioning: Cadbury’s 5 Star has always stayed in trend
primarily because it could alter its positioning with respect to the trend that
was in vogue. During the early years of its launch, Cadbury 5Star was
positioned to indicate togetherness, hunger, energy, irresistible and soft
chew. But as people got used to this over time and as competitors started
introducing brands with similar attributes Cadbury 5Star starting pitching in
terms of being ‘Lost in Taste”. This is a very apt positioning for people who
look up to chocolate as a luxury that helps them stay afloat amidst stressful
lives.
• Ramesh & Suresh: In a master move, Cadbury’s 5 Star introduced two
quirky characters into the advertisements Ramesh & Suresh who have been
the brand icons for the chocolate for quite some time now.These characters
along with humorous situations that they associate themselves with have
increased the brand recall of Cadbury’s 5 Star manifold.
• Ingredients: Though the pack indicates vegetable oil, fats, and artificial
flavors, there is no mention of what each specific content has. This creates a
lot of doubts in the mind of the customer on the exact composition of the
chocolate.
• Getting the value right: The commodity prices are on a rise not just in India
but globally. Chocolate brands like Cadbury’s 5 Star which are known for their
richness of taste are struggling to get the value of their product right while
managing the price fluctuations.
• Distribution Challenges: One allegation leveled against not just Cadbury’s
5 Star but other brands of milk chocolates are that they melt. In higher
temperature regions as well as during summer, chocolate manufacturers face
a lot of challenges in preventing or controlling melting of chocolates during
distribution.
• Competition from internal brands: In the 8000 crore chocolate market in
India Cadbury’s 5 Star faces the highest competition from an internal brand
from the same company Cadbury’s Dairy Milk which is the market leader in
the segment. The company finds it tricky to balance the budgets for promotion
while ensuring that both brands get the same visibility.