Market Segmentation of Cadbury

Would it be wrong to claim that chocolate belongs to one of the most appetizing food types? Think about it, It can be paired with many deserts, drinks, and it is just as awesome eaten by itself alone. Everything about it screams perfection. It is delicious while eaten in its normal form, and it is even more mouth-watering when melted. There are many chocolate-making companies out there. So many that it is pretty hard to decide what you want to go with. One of those awesome companies is Cadbury. In the following blog, we are going to talk about the market segmentation of the mentioned company.

Let’s begin with finding out who is the audience that Cadbury has chosen to target.

For making that analysis simpler, let’s watch one of the brand’s commercials.

The video begins by showing a guy eating a Cadbury bar very passionately. A woman asks him some questions but he stays indifferent, continuing his business. Then her stick falls on the ground and as predictable as an old woman she is expecting the guy to help her out. However, you guessed it, he does not even move and still goes on with tasting his chocolate bar. The lady waits for a moment and after realizing that the boy is not going to help her out, she decides to pick up the stick herself.

The moment she gets up from her seat, a grand piano falls on it. And so the commercial ends with her thanking the boy. Because if it were not for him, she would still be sitting on the bench and the piano would fall on her. Which, in turn, would result in a not so pleasant situation. And then a photo of the bar appears on the screen with a slogan underneath which says “Eat 5 star. Do nothing”.

And so, what do we take away from this ad? Which segment is targeted here? The first and most obvious thing is that the woman has a traditional mindset. It is that men are supposed to do the “hard” work. Especially as an older woman, it is only fair to expect young males to help her out whenever needed.

On the other side of the story, however, the guy is enjoying his chocolate. It is important for him to get the feeling of fulfillment and small things such as a good snack will do. And, lastly, Cadbury is a company offering goods for lower prices. The mentioned points mean one thing. The segment that Cadbury has chosen to target is Floaters.    

Moreover, what do we know about Floaters?

Lifestyle and values.

First of all, Floaters are super family-oriented. The traditional mindset of men being the breadwinners and women being stay-at-home moms is very valued. And it is easily taken away from the ad as well. Women in this segment simply enjoy spending most of their time at home. To be even more specific, they like being in the kitchen, where they can cook good food for the family. But cooking is not everything that a housewife does. What about cleaning?

Let’s not forget about the dust on the counters, and the laundry that needs to be done. It is more important to keep a clean and neat environment even if it means spending all day on it. The latter is more valued than doing things that the women of this segment actually enjoy. And so it is only understandable that even with a low family budget, Floaters still make it work, and still provide good care for their family.

This segment loves their home. And that is so because of a number of reasons. Home is the center of their world, somewhere they can come back to after a long and exhausting day. Home is their safe space where they can feel 100 % confident. And, lastly, home is their peaceful environment. It is a place where nobody will distract them, and they can do whatever it is that they feel like doing.

Self-care is not an area of concern for Floaters. They do not spend extra time or effort to get super fashionable and good-looking clothes. Comfort is all that matters. A hoodie and some sweatpants will do. When it comes to the way they are perceived by people, Floaters do not try to come off differently than they are.

In professional lives, Floaters like consistency. They don’t work for promotions or for pursuing a career. But the simple reasoning behind work is earning money. This segment would rather be told what to do by their superiors than take matters into their own hands. Simply put, being a leader is not for them. When choosing partners, Floaters prefer stable and long-term relationships.

Attitude to shopping.

Floaters like to be smart and wise when it comes to spending money. If there is a discount, even if it is small, why not use it? Every single penny matters for this segment. So, Floaters are usually down-market brand purchasers. 

The famous quote is quality over quantity, but it does not refer to this segment. For Floaters, it is quantity over quality. It is better to purchase a few things with lower prices and have them be of average or low quality than to get one good quality item of that collective price. For instance, Floaters prefer Croatian brands because of their affordability. However, goods belonging to these brands often have low quality.

New brands or up-and-coming products are in the furthest back of Floaters’ minds. It takes them a long time to get a product that has just come out. 

Interesting facts about Floaters:

They like 

• A peaceful life, concentrated around home
• Spending free time at home
• A calm evening with family, rather than going out
• A daily walk as an exercise
• Meeting their extended family on the weekends
• Visiting and going back to familiar places
• Being around nature
• Watching TV for staying up to date
• Watching and listening to local news, sports broadcasts, request shows, talk shows, police news, and series

Floaters don’t like

• Doing sports or attending social events
• Reading international papers and magazines because they aren’t into finding out what is happening in other environments
• Using the internet
• Using computers, because they are confusing
• Listening to the radio. 

Positioning Plan of Cadbury

Before getting into this section let us define what is meant by positioning. So, positioning is all about the things that a brand should do to advertise its product.

Cadbury’s main focus is the concept of human kindness. The brand initially started its “Joy” positioning introducing Joyville in 2012. However, it has not been as successful as the brand had envisioned it to be. That campaign development was led by Ben Wicks who was a Melbourne-based company called Mondelez Australia’s general manager.

Then, the company thought of a new campaign. The whole message behind it is the idea of spreading kindness every day. As there is so much darkness and negativeness in the world, it is only fair and nice that companies like these exist. Because that way we are only one step closer to a positive and good mindset.

The founder of the company, John Cadbury was a philanthropist. He was known for a lot of kind actions of his own. There is one example that proves his personality to the world. It is the Bournville creation. The idea behind it is that he basically provided his factory workers with homes. And so, in a way, the new and fresh campaign is also old, and it honors the founder.

Now, let’s get to the Marketing Mix of Cadbury.

Before getting into it, let us quickly define what a Marketing Mix covers. Basically, it talks about a company’s product, price, place, and promotion, it is otherwise known as 4Ps. So, let’s get into discussing those Ps one by one.

Product:

Cadbury offers a wide range of products. They match the seasons of the year, and as the sales in the different countries vary, so do the products.

Also, Cadbury makes products for different holiday seasons such as Christmas, Halloween, and etc. And it is also interesting how this company makes not only chocolate but different kinds of desserts and drinks. For example, it has entered the ice-cream segment. Thus, it is only understandable that if a big variety of people are targeted, then the sales are continually increased.

Because pretty much any person can find what they are looking for from Cadbury. Among its products are Bournville, Crunchie, Cadbury Dairy Milk, Dairy Milk & Nut, Caramel, Cadbury Five Star, Perk, BournVita, Bytes, Pretzel, Creme Egg, Oreo, Blackcurrant Mini Rolls, Caramel Cake Bars, Fruit Sundae, Brunch Hazelnut, and others. 

Place:

The idea that Cadbury is so successful and well-known, is not only because of its wide product range. There are other reasons for that as well. For instance, its distribution. Cadbury is available all around the world. In over 200 countries to be exact. Another way of targeting a huge mass of people. And another smart move is making products available in not only urban but also rural areas. This company has done that too. And, as a result, the company has and still does make a good amount of profit.

Promotion:

Promotion is another aspect of Cadbury’s marketing that does not lack a good selection. Some of the ways that Cadbury does its promotion are through television, newspapers, posters, radio, and so on. This is another way of letting people know of a company’s existence and the goods that it has to offer. A good way to contribute to promotion is through taglines. As we know Cadbury has many products, and for example, for a brand like Bourneville, the company’s goal and the message are for people to feel like they earned it.

This company has used every known possible way of promotion. The last strategy that we will mention is a promotion with the help of ambassadors. So a suitable brand or a person will advertise a product closer to its audience.

Price:

The pricing of Cadbury is pretty much equal to the quality. So the higher the quality, the higher the price respectively. As Bournville is more like a gourmet brand, then understandably its pricing is on the higher side. But there are also products that have lower prices. Among those are Eclairs, Perk, Five Stars, and so on.

The pricing strategy is dependent on a few conditions. Those are competition, demand, and packages. The price is set in a way that it meets all requirements. Even special products connected to the festive seasons are reasonably priced. Those products come in gift forms.

Also, different people have different tastes. Some prefer milk chocolate, some do white, some like healthy options, and some do not care. All of these factors are taken into consideration by Cadbury.

To sum up, Cadbury is a British confectionary company offering a good selection of products. In this blog, we talked about its segmentation and positioning strategies, and concluded it with the marketing mix of the company. Come back to our website for more blogs similar to this.