A PROJECT REPORT ON

STUDY OF CONSUMER PREFERENCE TOWARDS CADBURY

AND NESTLE CHOCOLATES

PROJECT REPORT SUBMITTED TO S.Y.S.I.T.S ,IN PARTIAL FULFILMENT OF THEREQUIREMENT FOR

THE DEGREE OFMASTER OF BUSINESS ADMINISTRATION

GUIDENCE: SUBMITTED BY:

PROF. ADITI UPADHYAY MAYANK JOSHI ERNROLMENT NO. C-09-09724

SHRI YOGINDRA SAGAR INSTITUTE OF TECHNOLOGY AND SCIENCE,

RATLAM

-SUBMITTED BY-

VIKRAM UNIVERSITY

DECLARATION

H e r e b y   d e c l a r e   t h a t   t h e   p r o j e c t  r e p o r t   e n t i t l e d   “ S T U D Y   O F   C O N S U M E

R   PREFERENC TOWARDS NESTLE AND CADBURY CHOCOLATES” submitted for the degree of Master of Business Administration, is my original work and the project report has not formed the basis for the award of any diploma,

degree, associate ship, fellowship or similar other titles. It has not been submitted to any

other university or institution for the award of any degree or diploma

Place: Mayank joshi

Date:  MBA 4th sem 

CERTIFICATE

This is to certify that Mr.MAYANK JOSHI of MBA fourth semester of SYSITS, RATLAM has completed her project

report on the topic of “STUDY OF CONSUMER PREFERENCE TOWARDS NESTLE AND 

CADBURY CHOCOLATES” under the supervision of Ms.ADITI UPADHYAY faculty member of SYSITS.To best

of my knowledge the report is original and has not been copied or submitted any where else. It is an independent work

done by him

MS. ADITI UPADHYAY

SYSITS,RATLAM

ACKNOWLEDGEMENTSurvey is an excellent tool for learning and

exploration. No classroom routine can substitute which is possible while working in real situations. Application of theoretical knowledge to practical situations is the bonanzas of this survey. Without a proper combination of inspection and

perspiration, it’s not easy to achieve anything. There is always a sense of gratitude, which we express to others for

the help and the needy services they render during the different phases of our lives. I too would like to do it as I

really wish to express my gratitude toward all those who have been helpful to me directly or indirectly during the development of this project. First of all I wish to express my

profound gratitude and sincere thanks to my esteemed learned teacher PROF.aditi upadhyay HOD of SYSITS ,

RATLAM,who was always there to help and guide me when I needed help.

His perceptive criticism kept me working to make this project more full proof. I am thankful to him for his encouraging

and valuable support. Working under him was an extremely knowledgeable and enriching experience for me. I am very

thankful to him for all the value addition and enhancement done to me.

Mayank-

M.B.A 4TH SEMChapterNo.

Chapter Name Contents Page No.

1 EXECUTIVE SUMMARY

1

2 Introduction to the study

Introduction 2

Consumer preference

3

Scope of the study 4 Objective of the study

5

Limitation of the study

6

3 Introduction of chocolate and company’s profile

History of chocolate

10

Chocholate production

15

Consumition of chocolate in india

19

Nestle’s profile 20Cadbury’s profile 25

4 Research & design methodology

Basis of research and design

33

5 Finding & Analysis

Analysis of data 36Finding 61

Conclusion 62Suggestion and recomendetations

63

TABLE OF CONTENTS7 Bibliography 658 Annexure & 67

questionnaire

EXECUTIVE SUMMARYIn this research I have survey the product performance and buying behavior of a famous brand of chocolates – Cadbury, which is consumed by people of all ages. During this research I

have interacted with people of “Ratlam”. After this research I came to know how people perceives these products on the

variables like price, quality, advertisement, satisfaction, taste, packaging, brand loyalty etc. I also came to know which particular

brand of chocolate is most preferred by people of different age groups. In this research I have surveyed that how frequently and

how much chocolate they consume, whether they buy small, big or family pack. Trend of ongoing changes in their likings

has been shown in the report. In this report I have tried to explain the entire research and facts product wise.

This project is based on the comparative study consumer behavior towards Cadbury chocolates. Objectives of the study is to know about the customer satisfaction level

associated with the product and the customer preference level, to increase customer satisfaction and recapture the market share by fulfilling the customer needs and to study the factors affecting the consumption pattern. This chapter describes the methodology of the study. This project is based on information collected from primary sources. After the detailed study, an attempt

has been made to present comprehensive analysis of consumption of Cadbury chocolates consumed by the

people. The data had been used to cover various aspects like consumption, consumer’s preference and customer’s satisfaction

regarding Cadbury chocolates. In collecting requisite data and information regarding the topic selected, I went to the residents of

Ratlam and collected the data.

 

INTRODUCTION

In this research I have survey the product performance and buying behavior of two famous brands of chocolates – Nestle and Cadbury, which are consumed by people of all ages. During this research I have interacted with people of “Ambala”. After this research I came to know how people perceives these products on the variables like price, quality, advertisement,

satisfaction, taste, packaging, brand loyalty etc. I also came to know which particular brand of chocolate is most preferred by people of different age groups. In this

research I have surveyed that how frequently and how much chocolate they consume, whether they buy small, big or family pack. Trend of ongoing changes in their l ikings has been

shown in the report. In this report I have tried to explain the entire research and facts product wise.

CONSUMER PREFERENCE

All marketing starts with the consumer. So consumer is a very important person to a

marketer. Consumer decides what to purchase, for whom to purchase, why to purchase, from

where to purchase, and how much to purchase. In order to become a successful marketer, he

must know the liking or disliking of the customers. He must also know the time and the quantity of goods and services, a consumer may purchase, so that he may store the goods or provide the

services according to the likings of the consumers. Gone are the days when the concept

of market was let the buyer’s beware or when the market was mainly the seller’s market.

Now the whole concept of consumer’s sovereignty prevails. The manufacturers produce and the sellers sell whatever the consumer likes. In

this sense, “consumer is the supreme in the market”. As consumers, we play a very vital role

in the health of the economy local, national or international. The decision we make

concerning our consumption behavior affect the demand for the basic raw materials, for the

transportation, for the banking, for the production; they effect the employment of

workers and deployment of resources and success of some industries and failures of others.

Thus marketer must understand this.

SCOPE OF THE STUDY

As learning is a human activity and is as natural, as breathing. Despite of the fact that

learning is all pervasive in our lives, psychologists do not agree on how learning

takes place. How individuals learn is a matter of interest to marketers. They want to teach

consumers in their roles as their roles as consumers. They want consumers to learn about their products, product attributes, potential

consumers benefit, how to use, maintain or even dispose of the product and new ways of behaving that will satisfy not only the

consumer’s needs, but the marketer’s objectives. The scope of my study restricts itself to the analysis

of consumer preferences, perception and consumption of Cadbury and Nestle Chocolates.

There are many other brands of chocolates available but my study is limited to two major players of chocolates leaving behind the others.

The scope of my study is also restricts itself to Ambala region only.

OBJECTIVES OF THE STUDYThis project is based on the comparative study consumer behavior towards Nestle andCadbury chocolates. Objectives of the study are:*T he   o t h e r   ob j ec t i ve   i s   t o   kn ow   ab ou t   t he   cu s to m er s a t i s f a c t i o n   l ev e l associated with the product and the customer preference level.

*To increase customer satisfaction and recapture the market share by fulfillingthe customer needs.

*To study the factors affecting the consumption pattern  

LIMITATIONS OF THE STUDYIn attempt to make this project authentic and reliable, every possible aspect of the topic was kept in mind. Nevertheless, despite of fact constraints were at play during the formulation of this project. The main limitations are as follows:

*Due to limitation of time only few people were selected for the study. So the sample of consumers was not enough to generalize the findings of the study.

*The main source of data for the study was primary data with the help of self-administered questionnaires. Hence, the chances of unbiased information are less.

*People were hesitant to disclose the true facts.

*The chance of biased response can’t be eliminated though all necessary steps were taken to avoid the same

ChocolatesChocolates! Chocolates! Everybody has a liking for them, be they in the form of bar Or a tiny little gem, Or shaped like a rectangle, Or a sphere, a brick or an éclair. For chocolate lovers it is fun, To have them during rain, breeze or sun. They are white and brown in color, And taste sweet and bitter Some have them in a glass of cold coffee, or in the form of a toffee. Some eat them when they are sad Some relish them when they are happy or have sweet dreams, But I feel, to have chocolates We don’t need a reason, ‘Cause we can have it Any time, any season

History of chocolate:The origin of chocolate can be traced back to the ancient Maya and Aztec civilizations in Central America, who first enjoyed “chocolati” a much-prized spicy drink made from roasted cocoa beans. Throughout its history, whether as cocoa or drinking chocolate beverage or confectionary treat, chocolate has been a much sought after food.The Aztec empire“Chocolate”(in the form of a luxury drink) was consumed in large quantities by theaztecs: the drink was described as “ finely ground, soft, foamy, reddish, bitter with chilliwater, aromatic flowers, vanilla and wild bee honey. The dry climate meant the Aztecs were unable to grow cocoa trees, and had to obtain supplies of cocoa beans from “ tribute” or tradeDon CortesThe Spanish invaded Mexico in the 16thecentury, by this time the Aztecs had created a powerful empire, and the Spanish armies conquered Mexico. Don Cortes was made captain general and governor of Mexico. Wh en h e r e t u r n ed t o S pa i n i n 15 28 h e l oa de d h i s ga l l eo ns w i t h c oc oa b ea ns an d equipment for making the

chocolate drink. Soon “chocolate” became a fashionable drink enjoyed by the rich in Spain.Chocolate across EuropeAn Italian traveler, Francesco carletti, was the first to break the Spanish monopoly. He had visited Central America and seen how the Indians prepared the cocoa beans and how they made the drink, and by 1606 chocolate was well established in Italy.

 

Drinking chocolateThe secret of chocolate was taken to France in 1615, when Anne, daughter of Phillip 2 of Spain married king Louis 13 of FranceThe French court enthusiastically adopted this new exotic drink, which was considered to have medicinal benefits as well as being a nourishing food. Gradually the custom of drinking chocolate spread across Europe, reaching England in the 1650’sFirst chocolate for eatingUp until this point all chocolate recipes were based on plain chocolate. It was an English doctor, sir Hans’s sloane, who- after traveling in south America- focused on cocoa and food values, bringing a milk chocolate recipe back to England. The original Cadbury milk chocolate was prepared to his recipe.History:The earliest record of chocolate was over fifteen hundred years ago in the central America rain forests, where the tropical mix of high rain fall combined with high year round temperatures and humidity provide the ideal climate for cultivation of the plant from which chocolate is derived, the cacao tree.“ Chocolate is made from the cocoa bean, found in pods growing from the trunk and lower branches of the cacao tree, Latin name “ the obroma cacao” meaning “ food of the gods” Cacao was corrupted into the more familiar “ cocoa” by the early European explorers. The Maya brewed a spicy, bittersweet drink by roasting and pounding the seeds of the cacao tree with maize and capsicum peppers and letting the mixture ferment. This drink was reserved

for use in ceremonies as well as for drinking by the wealthy and religiouselite; they also ate cacao porridge. The Aztecs, like the Mayans, also enjoyed cacao as a beverage fermented from the raw beans, which again featured prominently in ritual and as a luxury available only to the very wealthy. The Aztecs called this drink xocolatl, the Spanish conquistadors found this  almost impossible to pronounce and so corrupted it to the easier “ chocolat” the English further changed this to chocolate. The Aztec’s regarded chocolate as an aphrodisiac and their emperor,  Montezumareputedly drank it fifty times a day from a golden goblet and is quoted as saying of xocolatl: “ the divine drink, which builds up resistance and fights fatigue. A cup of this precious drink permits a man to walk for a whole day without food”

Chocolate in EuropeXocolatl! or chocolat or chocolate as it became known, was brought to Europe by Cortez, by this time the conquistadors had learned to make the drink more palatable to European tastes by mixing the ground roasted beans with sugar and vanilla ( a practice still continued today), thus offsetting the spicy bitterness of the brew the Aztec’s drank. The first chocolate factories opened in Spain, where the dried fermented beans brought back from the new world by the Spanish treasure fleets were roasted and ground, and by the early 17century chocolate powder – from which the European version of the drink was made- was being exported to other parts of Europe. The Spanish kept the source of the drink- the beans- a secret for many years, so successfully in fact, that when English buccaneers boarded what they thought was a Spanish “ treasurer galleon” in 1579, only to find it loaded with what appeared to be “ dried sheep’s droppings, they burned the whole ship in frustration. If only they had known, chocolate was so expensive at that time, thatit was worth it’s weight in silver ( if

not gold), chocolate was treasure indeed !Within a few years, the cocoa beverage made from the powder produced in Spain had become popular throughout Europe, in the Spanish Netherlands, Italy, France, Germany and – in about 1520 – it arrived in England. The first chocolate house in England opened in London in 1657 followed rapidly by many others. Like the already well established coffee houses, they were used as clubs where the wealthy and business community met to smoke a clay pipe of  tobacco, conduct business and socialize over a cup of chocolate.

Chocolate as we know it

The first mention of chocolate being eaten in solid form is when bakers in England beganadding cocoa powder to cakes in the mid 1600’s. Then in 1828 a Dutch chemist, Johannesvan houten, invented a method of extracting the bitter tasting fat or “cocoa butter” from the roasted ground beans, his aim was to make the drink smoother and more palatable, however he unknowingly paved the way for solid chocolate as we know it. Chocolate as we know it today first appeared in 1847 when fry & sons of Bristol, England – mixed sugar with cocoa powder and cocoa butter (made by the van houten process) to produce the first solid chocolate bar then in1875 a Swiss manufacturer,Daniel peters, found a way to combine (some would say improve, some would say ruin)cocoa powder and cocoa butter with sugar and dried milk powder to produce the first milk chocolate.

CHOCOLATE PRODUCTION

 

The cocoa-bean -- the heart of the sweetest delicacy in the

world -- is  bitter! This is why, up to the 18th century some native tribes ate only the sweetish flesh of the cocoa fruit . They regarded the precious bean as waste or used it, as was the case among the Aztecs, as a form of currency. The VarietiesThere are two quite different basic classifications of cocoa, under

which practically all varieties can be categorised: Criollo and Forastero cocoas. The pure variety of the Criollo tree is found mainly in its native Equador and Venezuela. The seeds are of finer quality than those of the Forastero variety. They have a particularly fine, mild aroma and are, therefore, used only in the production of high-quality chocolate and for blending. However, Criollo cocoa accounts for only10% of the world crop. The remaining 90% is harvested from trees of the Forastero family, with its many hybrids and varieties. The main growing area is West Africa. Thecocoa tree can flourish only in the hottest regions of the worldThe HarvestImmediately after harvesting, the fruit is treated to prevent it from

rotting. At fermentation sites either in the plantation or at, collecting points, the fruit is opened.Fermentation

The fermentation process is decisive in the production of high quality raw cocoa. The technique varies depending on the growing region.DryingAfter fermentation, the raw cocoa still contains far too much water; in fact about 60%.Most of this has to be removedWhat could be more natural than to spread the beans out to dry on the sun-soaked ground or on mats? After a week or so, all but a small percentage of the water has evaporated.CleaningBefore the real processing begins, the raw cocoa is thoroughly cleaned

by passing through sieves, and by brushing. Finally, the last vestiges of  wood, jute fibres, sand and even the finest dust are extracted by power ful vacuum equipment.RoastingThe subsequent roasting process is primarily designed to develop the aroma. The entireroasting process, during which the air in the nearly 10 feet high furnaces reaches atemperature of 130 °C, is carried out automatically.Crushing and shellingThe roasted beans are now broken into medium sized pieces in the crushing machine.BlendingBefore grinding, the crushed beans are weighed and blended according to special recipes. The secret of every chocolate factory lies in the special mixing ratios, which it has developed for different types of cocoa. 

cocoa PowderAfter the cocoa butter has left the press; cocoa cakes are left

which still contain a 10 to20% proportion of fat depending on the intensity of compression. These cakes are crushed again, ground to powder and finely sifted in several stages and we obtain a dark, strongly aromatic powder, which is excellent for the preparation of delicious drinks - cocoa. Cocoa paste, cocoa butter, sugar and milk are the four basic ingredients for making chocolate. By blending them in accordance with specific recipes the three types of chocolate are obtained which form the basis of ever product assortment, namely:KneadingIn the case of milk chocolate for example, the cocoa paste, cocoa butter, powdered or condensed milk, sugar and flavouring - maybe vanilla - go into the mixer, where they are pulverized and kneaded.RollingDepending on the design of the rolling mills, three or five

vertically mounted steel rollers rotate in opposite directions. Under heavy pressure they pulverise the tiny particles of cocoa and sugar down to a size of  approx. 30 microns. (One micron is a thousandth part of a millimetre.) ConchingBut still the chocolate paste is not smooth enough to satisfy our

palates. But within two or three days all that will have been put right. For during this period the chocolate paste will be refined to such an

extent in the conches that it will flatter even the most discriminating palate.Conches (from the Spanish word "concha", meaning a shell) is the name given to the troughs in which 100 to 1000 kilograms of chocolate paste at a time can be heated up to80 °C and, while being constantly stirred, is given a velvet smoothness by the addition of certain amounts of cocoa butter. A kind of aeration of the liquid chocolate paste then takes place in the conches: its bitter taste gradually disappears and the flavor is fully developed.

 

CONSUMPTION OF CHOCOLATES IN INDIA

Chocolate consumption in India is extremely low. Per capita consumption is around 160gms in the urban areas, compared to 8-10kg in the developed countries. In rural areas, it is even lower.

Chocolates in India are consumed as indulgence and not as a snack food. A strong volume growth was witnessed in the early 90’s when Cadbury repositioned chocolates from children to adult consumption. The biggest opportunity is likely to stem from increasing the consumer base. Leading players like Cadbury and

Nestle have been attempting to do this by value for money offerings, which are affordable to the masses.

 

NESTLE’  Nestle India Nestle’ India is a subsidiary of Nestle’ S.A. of Switzerland. The company insists on honesty, integrity and fairness in all aspects of its business and expects the same in its relationships.

Nestle India- Presence Across IndiaBeginning with its first investment in Moga in 1961, Nestlé’s regular and substantial investments established that it was here to stay. In 1967, Nestlé set up its next factory at Choladi (Tamil Nadu) as a pilot plant to process the tea grown in the area into soluble tea. The Nanjangud factory (Karnataka), became operational in 1989, the Samalkha factory(Haryana), in 1993 and in 1995 and 1997, Nestlé commissioned two factories in Goa at Ponda and Bicholim respectively. Nestlé India is now putting up the 7th factory at Pant Nagar in Uttaranchal.

Nestle’ Story Nestlé was founded in 1867 on the shores of Lake Geneva in Vevey, Switzerland and itsfirst product was “Farine Lactée

Nestlé”, an infant cereal specially formulated by Henri Nestlé to provide and improve infant nutrition. From its first historic merger with the Anglo-Swiss Condensed Milk Company in 1905, Nestlé has grown to become the world’s largest and most diversified food Company, and is about twice the size of its.  Nestlé’s trademark of birds in a nest, derived from Henri Nestlé’s personal coat of arms, evokes the values upon which he founded his Company. Namely, the values of security, maternity and affection, nature and nourishment, family and tradition. Today, itis not only the central element of Nestlé’s corporate identity but serves to define theC o m p a n y ’ s   p r o d u c t s ,   r e s p o n s i b i l i t i e s ,  b u s i n e s s   p r a c t i c e s ,   e t h i c s   a n d   g o a l s . In 2004, Nestlé had around 247,000 employees worldwide, operated 500factories in approx. 100 countries and offered over 8,000 products to millions of consumers universally.  The Company’s transparent  business practices,  pioneeringenvironment policy and respect for the fundamental values of different cultures haveearned it an enviable place in the countries it operates in. Nestlé’s activities contribute toand nurture the sustainable economic development of people, communities and nations.Above all, Nestlé is dedicated to bringing the joy of ‘Good Food, Good Life’ to peoplethroughout their lives, throughout the world.Nestle’ Brands

*Milk Products & Nutrition*Beverages*Prepared Dishes and Cooking Aids

CHOCOLATES & CONFECTIONARY

 NESTLÉ KIT KAT NESTLÉ KIT KAT LITE NESTLÉ MUNCH NESTLÉ MUNCH POP CHOC NESTLÉ MILKYBAR  NESTLÉ MILKYBAR CHOO NESTLÉ BAR-

ONE NESTLÉ FUNBAR  NESTLÉ Milk ChocolatePOLOPOLO Powermint NESTLÉ Eclairs

NESTLEKITKAT

are crisp wafer fingers covered with choco layer. NESTLÉ KIT KAT has a unique finger format with a ‘breaking' ritual attached to it. NESTLÉ KIT KAT is one of the most successful brands in the world and every year over 12 billion NESTLÉ KIT KAT fingers are consumed around the globe.

  NESTLE MUNCH

 NESTLÉ MUNCH is wafer layer covered with delicious choco layer. NESTLÉ MUNCHis so crisp, light and irresistible that you just ‘can't stop Munching.' NESTLÉ MUNCH isthe largest selling SKU in the category! NESTLE MILKY BAR:

 NESTLÉ MILKYBAR is a delicious milky treat, which kids love. Relaunched in January2006 with a Calcium Rich recipe, NESTLÉ MILKYBAR is a favorite with parents to treat their kids with. NESTLE BAR-ONE

is a luscious nougat and caramel with delicious choco layer. NESTLÉ BAR-ONEconstantly reminds you that it is ‘Time for Action'. NESTLE Milk Chocolate:

 NESTLÉ Milk Chocolate is a milk chocolate with a delicious taste. Kids just love it.

 

CADBURY

How Cadbury Chocolate is made

John Cadbury Milk chocolate for eating was first made by Cadbury in 1897 by adding milk powder John paste to the dark chocolate recipe of cocoa mass, cocoa butter and sugar. By today's standards this chocolate was not particularly good: it was coarse and dry and not sweet or milky enough for public tastes. There was a great deal of competition from continental manufacturers, not only the . Led by George Cadbury Junior, the Bournville experts set out to meet the challenge. Aconsiderable amount of time and money was spent on research and on new plant designed to produce the chocolate in larger quantities.A recipe was formulated incorporating fresh milk,  and production processes weredeveloped to produce a milk chocolate 'not merely as good as, but better than' theimported milk chocolate'. Four years of hard

work were invested in the project and in 1905 what was to be Cadbury's top selling brand was launched. Three names were considered: Jersey, Highland Milk and Dairy Maid .Dairy Maid became Dairy Milk, and Cadbury's Dairy Milk   , with its unique flavour and smooth creamy texture, was ready to challenge the Swiss domination of the milk  chocolate market.

 By 1913 Dairy Milk had become the company's best selling line and in the mid twenties Cadbury's Dairy Milk   gained its status as the brand leader, a position it has held ever since.

COMPANY OVERVIEW OF CADBURY INDIA

Cadbury began its operations in 1948 by importing chocolates and then re-packing them before distribution in the Indian market. After 59 years of existence, it today has fiveco m pa ny -ow n ed   m an uf ac t u r i n g   f ac i l i t i e s   a t   T h an e ,   I nd u r i  ( Pu ne )   an d  M a l an pu r   (Gwalior), Bangalore and Baddi (Himachal Pradesh) and 4 sales offices (New Delhi,M u m b a i ,   K o l k o t a   a n d   C h e n n a i ) .  T h e   c o r p o r a t e   o f f i c e   i s   i n   M u m b a i . Currently Cadbury India operates in three sectors viz. Chocolate Confectionery, Milk Food Drinks and in the Candy category.In the Chocolate Confectionery business,  Cadbury has maintained its undisputedleadership over the years. Some of the key brands are Cadbury Dairy Milk   ,5 Star   ,Perk   ,Éclairs and Celebrations. Cadbury enjoys a value

market share of over 70% - the highestC a db ur y  b r a nd   s ha re   i n   t he   w or l d !   T h e i r  f l a g s h i p  b r a nd   C a db ur y   D a i r y  M i l k   i s considered the "gold standard" for chocolates in India. The pure taste of CDM defines the chocolate taste for the Indian consumer

In the Milk Food drinks segment their main product is Bournvita- the leading Malted Food Drink (MFD) in the country. Similarly in the medicated candy category Halls is the undisputed leader. The Cadbury India Brand Strategy has received consistent support through simple but imaginative extensions to product categories and distribution. A good example of this is the development of Bytes. Crispy wafers filled with coca cream in the form of a bagged snack, Bytes is positioned as "The new concept of sweet snacking". It delivers the taste of chocolate in the form of a light snack, and thus heralds the entry of Cadbury India in to the growing bagged Snack Market, which has been dominated until now by Salted Bagged Snack Brands. Bytes was first launched in South India in 2003.Since 1965 Cadbury has also pioneered the development of cocoa cultivation in India. For over two decades, it has worked with the Kerala Agriculture University to under take cocoa research and released clones, hybrids that improve the cocoa yield. Today, Cadbury is poised in its leap towards quantum growth and new categories of   bu s in e s s ,   na m e l y   gu m s ,  m i n t s ,   s na ck in g   an d  g i f t i ng .   I t   i s   a   pa r t   o f   t he   C a db ur y Schweppes Group, world's No.1 Confectionery Company.

CADBURY WORLD WIDECadbury is the world's largest confectionery company and have a strong regional presence in beverages in the Americas and Australia. With origins stretching back over 200 years, today their products -which include brands such as Cadbury, Schweppes, Halls, Trident, Dr Pepper, Snapple, Trebor, Dentyne, Bubblicious and Bassett - are enjoyed in almost every country around the world. We employ around 60,00people.Their heritage starts back in 1783

when Jacob Schweppe perfected his process for manufacturing carbonated mineral  water in Geneva,

Switzerland. And in 1824 John Cadbury opened in Birmingham selling cocoa and chocolate.These two great household names merged in 1969 to form Cadbury Schweppes plc. Since then they have expanded their business throughout the world by a  programme of organic and acquisition led growth. Concentrating on their core brands in beverages and confectionery since the 1980s, they have strengthened their portfolio through almost fifty acquisitions, including brand icons such as Mott's, Canada Dry, Halls, Trident, Dentyne, Bubblicious, Trebor, Bassett, Dr Pepper, 7 Up and Snapple.-I t   e m p l o y   6 0 , 0 0 0   p e o p l e   i n   o v e r   2 0 0 c o u n t r i e s -   W o r l d s   N o   1   C o n f e c t i o n e r y  c o m p a n y -   W o r l d ' s   N o   2   G u m s   c o m p a n y -  W o r l d ' s   N o   3   b e v e r a g e   c o m p a n y

Cadbury Brands:*Chocolates*Snacks*Beverages*SNACKS:*Bytes*BEVERAGES*Bournvita*CANDY*Halls

 CHOCOLATESDairy Milk ,5 Star ,Perk, Celebrations, Temptation, Eclairs, Gems,T h e   s t o r y   o f   C a d b u r y   D a i r y Milk started way back in 1905 at Bournville, U.K., but the journey with DERY MILK

chocolate lovers in India began in1948.The variants Fruit & Nut, Crackle and Roast Almond, combine the classic taste of  Cadbury Dairy Milk with a variety of ingredients and are very popular amongst teens &adults. Cadbury Dairy Milk has exciting products on offer - Cadbury Dairy Milk Wowie, chocolate with Disney characters embossed in it , and Cadbury Dairy Milk 2 in 1, adelightful combination of milk chocolate and white chocolate. Giving consumers anexciting reason to keep coming back into the fun filled world of Cadbury.Today, Cadbury Dairy Milk alone holds 30% value share of the Indian chocolate market

5 STAR 

the second largest after Cadbury Dairy Milk with a market share of 14%, Cadbury 5 Star moves from strength to strength every year by increasing its user base. Launched in 1969 as a bar of chocolate that was hard outside with soft caramel nougatin side, Cadbury 5 Star has re-invented itself over the years to keep satisfying theconsumers taste for a high quality & different chocolate eating experience.One of the key properties that Cadbury 5 Star was associated with was its classic Gold colour. And through the passage of time, this was one property that both, the brand and Bthe consumer stuck to as a valuable association. More recently, to give consumers another reason to come into the Cadbury 5 Star fold, Cadbury 5 Star Crunchy was launched. The same delicious Cadbury 5 Star was now available with a dash of rice crispies.

PERK 

Cadbury launched Perk in 1996. With its light chocolate and wafer construct, Cadbury Perk targeted the casual snacking space that was dominated primarily by chips & wafers With the rise of more value-for-money brands in the wafer chocolate segment, Cadbury Perk unveiled two new offerings - Perk XL and XXL. In 2004, with an added dose of 'Real Cadbury Dairy Milk' and an 'improved wafer', Perk became even more irresistible CELEBRATIONS

Cadbury Celebrations was aimed at replacing traditional gifting options like Mithai and dry- fruits during festive seasons. Cadbury Celebrations is available in several assortments: An assortment of chocolateslike 5 Star, Perk, Gems, Dairy Milk and Nutties and rich dry fruits enrobed in Cadburydairy milk chocolate in 5 variants, Almond magic, raisin magic, cashew magic,nut butterscotch and caramels.The super premium Celebrations Rich Dry Fruit Collection which is a festive offering isan exotic range of chocolate covered dry fruits and nuts in

various flavours and the  premium dark chocolate range which is exotic dark chocolate in luscious flavours.

This chapter describes the methodology of the study. This project is based on information collected from primary sources. After the detailed study, an attempt has been made to present  comprehensive analysis of consumption of Cadbury and nestle chocolatesco ns u me d   by   t he   pe op le .   T h e   da t a   ha d   be en  u s e d   t o   co ve r   va r io us   a s p ec t s  l i ke consumption, consumer’s preference and customer’s satisfaction regarding Cadbury and Nestle chocolates.  In collecting requisite data and information regarding the topicselected, I went to the residents of Ludhiana and collected the data.

Survey design:The study is a cross sectional study because the data were collected at a single point of time. For the purpose of present study a related sample of population was selected on the basis of convenience.

Sample Size and Design:A sample of 100 people was taken on the basis of convenience. The actual consumer were contacted on the basis of random sampling.

Research Period:Research work is only carried for 2 or 3 weeks.

Research Instrument:This work is carried out through self-administered questionnaires. The questions included were open ended, dichotomous and offered multiple choices Data Collection:The data, which is collected for the purpose of study, is divided into 2 bases:

*Primary Source: 

T h e  p r i m a r y   da t a   co m pr i s e s   i n f o r m a t io n   s u r ve y  o f  “C om pa r a t i v e   s tu dy   o f   co ns u me r  be ha v i o r   t ow a r ds  N es t l e   an d  C a db ur y chocolates”. The data has been collected directly from respondent with the help of structured questionnaires.

*Secondary Source: T h e   s ec on da ry   da t a   w as   co l l e c t ed   f ro m   i n t e rn e t , References from Library.

Data Analysis:The data is analyzed on the basis of suitable tables by using mathematical techniques. The technique that I have used is bar technique.

ANALYSIS OF DATA

LIKING FOR THE CHOCOLATES

From the above analysis of the given sample of 100 respondents it is concluded that out of 100 people 95 people likes to eat chocolate while only 5 people don’t prefer to eat chocolate

DIFRERENT AGE GROUPS

Chart:2According to the above analysis it is concluded that I have surveyed 100 respondents out of which 14, 42, 33, 11 belongs to

age group 0-10, 10-20, 20-30, above30 respectively.

PREFERENCE ACCORD ING TO AGE GROUPS

 Chart:3According to the above analysis it is concluded that people of different age groups prefer mostly Cadbury brand of chocolate while Nestle brand is least preferred by the age group between 10-20. People of age group above 30 equally likes to have both brands.

BRAND PREFERENCE

 Chart:4From the above analysis of given sample of 93 respondents who eat chocolates it is concluded that only 22 people prefer to eat Nestle chocolates while 73 people likes to eat Cadbury chocolates.

CONSUMER PREFFERD CHANNEL FOR THE PURCHASE OF CHOCLATE

S.no Purchasing place Percentage

1 Retail store/grocery store

28

2 Super market/hyper market

24

3 Cine plex 16

4 Restaurants 32

1st Qtr

2nd Qtr

3rd Qtr

4th Qtr

0100

CHART.NO: 5 Consumer prefferd channel for the purchase of choclate

Purchasing place

28 2416

32

0

20

40

Place of purchase

Resp

oden

ts %

Series1 28 24 16 32

Retail Super Cineplex Restaur

INFERENCE: From the table its been interpreted that 28% of the consumer purchase the slim can products on “Retail store/grocery store” and 24% of the consumer purchase the products on “Super market/Hyper market” and 16% of the consumer purchase the products on “Cineplex” and 32% of the consumer purchase the products on “Restaurant”.

Table no. 6.RELATIONSHIP BETWEEN THE FREQUECNY OF THE

PURCHASING THE CHOCOLATE AND THE

ADVERTISING MEDIUM.

Sl. No

Price of CHOCOLATE Place of purchase

1-5 tmie

s

5-10 time

s

Rarely

Total

1 Tv/radio 22 9 12 43

2 Hoardings & banners

9 10 13 32

3 Newspapers & Magazine

10 6 9 25

Total 41 25 34 100

1st Qtr59%

2nd Qtr23%

3rd Qtr10%

4th Qtr9%

Sales

CALCULATION OF CHI-SQUARE VALUE

O E (O-E)2 (O-E)2/E

12 14.62 6.864 0.469

9 10.75 3.0625 0.306

22 17.63 19.097 1.083

10 8.00 4.000 0.500

13 10.88 5.954 0.564

9 14.12 26.947 2.423

6 9.25 10.563 1.142

9 7.50 2.250 0.349

10 11.25 1.563 0..139

Total 6.975

Calculated value = S(O-E)2/E

= 6.975

Table value

Degree of freedom = (r-1) (c-1)

= 4 @ 5% significant level

= 5.99

Inference

Since calculated value is greater than table value, therefore null hypothesis is rejected.

Conclusion

There is a significant different between Frequency of purchasing the slim can and the advertising medium.

Table 7. : Consumer opinion about the taking of chocolate on occasions

S.no Buying motivation Percentage

1 Feeling thirsty 56

2 Parties/celebrations 16

3 Just like that 20

4 Others 8

CHART.NO: 3.13.1 Consumer opinion about the taking of slim can on occasions

0102030405060

Buying motivation

Feeling thirsty

Parties & celebration

Just like that

othersoccassions

No.of re-spodent

%

INFERENCE:

From the table its been interpreted that 56% consumer takes Pepsi slim can on the occasion of “Feeling thirsty” and 16% on the “Parties/celebrations” and 20% on the “Just like that”.

FINDINGCONSUMER RESEARCH:

 Consumer research deals with consumer and their problems and solution to the problems. In this we came to know about the consumers need andexpectation levels regarding products and ascertainable levels of consumer satisfaction.

PRODUCT RESEARCH: Under product research I came to know about the modification whichconsumers wants as to the quality, packing, shape, color, and quantity etc. of their favorite chocolate.

PRIVING RESEARCH: 

 This includes ability to consume, to pay for the product, how much a person cansp end on his/her favorite chocolate. In this I have tried to find out consumer ¶s price expectations and reactions.

ADVERTIGIN RESEARCH:

 Under this I have concluded that whether the advertisement appeals the consumers or not. This also includes evaluating and selecting the proper media-mix and measuring advertising effectiveness. From the one and half month experience of our research project with Consumer preference towards Nestle and Cadbury Chocolates, We have come to know lot things and it has enhanced our knowledge to great extent. We found many things which are well executed by distributors. Here are some of the key findings given by us are purely base don our research. It doesn ¶t have any kind of bias from our side.

CONCLUSION

A survey of the people has been conducted to know the liking pattern of the two products Cadbury and Nestle. It is observed that overall people like to eat Cadbury brand rather than Nestle. It is concluded that mostly people preferred Dairy Milk of Cadbury due to its flavor/taste, quality and image and due to itshard form. Some people often like to have a chocolate with good flavor, quality and crunchiness so they are going towards Kit Kat and Munch of Nestle due to it staste and crunchiness.

It is thus concluded from the facts collected that mostly people refer to buy big pack of their favorite chocolate, and sometimes some of them go for small and family pack.

SUGGESTIONS AND RECOMMENDATIONS*Company should concentrate more on television for advertisement, as mostly people get attracted through television only.

*For promotional offers, company should go for free gifts rather than going for other ways.

 *Nestle company should concentrate on its packing as people are least satisfied with it while Cadbury should concentrate on the shape of a chocolate

 

BIBLIOGRAHY

http://www.cadburyindia.com

http://www.nestle.com

http://www.aphrodite-chocolates.co.uk/history_chocolate.htm

http://www.google.com

http://www.cadbury.co.nz/carnival/index.htm.

http://www.packaging-technology.com/…/cadbury4.html

http://www.chocolatereview.co.uk 

http://en.wikipedia.org/wiki/preference

 

QUESTIONNAIREPROJECT REPORTON CONSUMER PREFERENCETOWARDSNESTLE ANDCADBURY CHOCOLATES

11. In case of non-availability of dairy milk slim can, which products does the consumers

perferred?

[a] 5 star [b] kit Kat [c] munch [d] others........

12.How effecitively the distribution of products satisfying the demand? [a] highly satisified [b] satisified [c] satisified to some extent [d] less satisifed

13.. Are you displaying the CHOCOLATE in colour?

[ ] yes [ ] no+

CONSUMER - SURVEY

1. Do you buy the chocolate products?

[a] yes [b] no

2. How often do you have a chocolate?

[a] 1-5 times a week

[b] 5-10 times a week

[c] rarely (fortnightly)

3. Through which medium did you come to know about your preferred chocolate

[a] Hoarding & banners

[b] newspaper & magazine

[c] tv/radio

4. Have you seen the advertisement of chocolate

[a] yes [b] no

5. Does advertisement affect your purchase?

[a] yes [b] no

6. what the customers feel about the price of the chocolate products?

[a] very high [b] high [c] moderate [d] low [e] very low

7. Which factor leads you to buy the chocolate products?

[a] packing style

[b] cost

[c] taste

[d] passion

8. On what occassion, do you often consume the chocolate?

[a] feeling thirsty

[b] parties / celebrations

[c] without any reason (just like that)