cadbury s project

8/12/2019 Cadbury s project

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Chocolate History

1500 BC - 400 BC

The Maya (250-900 CE), and the Aztec (14th cent. CE), were originay tho!ght to "e the#ir$t !$er$ o# the cacao tree and it$ $eed$. Today Archeoogi$t$ recognize the #ir$t !$e o#

the cacao to the %&ec. The %&ec had $ette&ent$ in the 'ri&e cacao-growing area$ in

Chia'a$, !ate&aa, and the !catan, a o# which are 'ri&e cacao-growing area$.

250 - 900 CE

Cacao "ean$ were !$ed thro!gh Me$oa&erica a$ c!rrency. The Maya$ a$o 'rod!ced a

cacao "a$ed drin* na&ed +ocoat. Thi$ drin* wa$ aaia"e ony to the eite &ae'o'!ation. Cay e$$e$ "earing the Mayan hierogy'h ($y&"o) #or cacao hae "een

#o!nd in the to&"$ o# Mayan no"iity. t!die$ o# the &ateria in$ide the e$$e$ $!gge$t

they were !$ed to hod the chocoate drin* +ocoat.

14th Century

The Aztec wa$ a no&adic ciiization. !ring 14th cent!ry the Aztec &igrated #ro&

/e$tern Me+ico to the aey o# Me+ico. t wa$ here that the Aztec gae !' theirno&adic way$ and e$ta"i$hed what wo!d "eco&e one o# the greate$t ciiization$ in the

hi$tory o# the A&erica$. The Aztec ado'ted the !$e o# cacao "ean$ a$ c!rrency a$ we a$

the cacao drin* +ocoat. t wa$ the Aztec$ who 're$ented the cacao "ean and the drin*

+ocoat to 'ani$h e+'orer ernan Cortez.

1502

%n hi$ #o!rth oyage to the A&erica$, Chri$to'her Co!&"!$ ca't!red a Maya tradingcanoe near the i$and o# !anaa. Co!&"!$ #o!nd Cocoa $eed$, cotton, wea'on$, grain,

and &eta o"ect$3 he noted that there were $o&e a&ond$ which a''eared to #!nction

a$ c!rrency to the natie$. There are no record$ o# Co!&"!$ oo*ing into the !$e o#

cacao #or c!rrency or #or any other '!r'o$e.


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1515

An Aztec doc!&ent reated the worth o# the cacao. The doc!&ent i$ted the a!e o# a

to&ato a$ one cacao "ean, whie an aocado wa$ worth three, and a t!r*ey hen wa$ worth

100 #re$hy hare$ted or 120 $hr!n*en cacao "ean$.

1521

ernando Cort$, aong with an ar&y o# con6!i$tador$ $et $ai #or the new word. Corte$

&ade contact with the Aztec and wa$ treated a$ a g!e$t "y the e&'orer Montez!&a.

!ring thi$ ti&e corte$ $ent $hi'oad$ o# riche$ "ac* to 'ain. Cortez aong with Aztec

ene&ie$ $eized contro o# the Aztec e&'ire. Corte$ ha$ "een accredited with introd!cing

cacao to 'ain.

1544

n 1544, a gro!' o# o&inican #riar$, who had "een iing in a region o# !ate&aa $ti

occ!'ied "y the Maya, acco&'anied a deegation o# 7e*chi 'eo'e to 'ain. They

"ro!ght gi#t$ with the& to 're$ent to 8rince 8hii'. nc!ded in the$e gi#t$ were container$

o# the chocoate drin* +ocoat. The 'aniard$ #o!nd the chocoate drin*$ o#

Me$oa&erica to "itter and $'icy #or their ta$te$. To &a*e the drin* &ore 'aata"e, the'aniard$ added cane $!gar a$ a $weetener, a$ we a$ traditiona $'ice$ and #aoring$

$!ch a$ ania, cinna&on and "ac* 'e''er.

1570

Chocoate #ir$t gained 'o'!arity a$ a &edicine, and the i&&ediate concern$ o# &any

were to ca$$i#y it according to the 'reaiing &edica theory o# the day, the h!&ora

$y$te& #ir$t introd!ced "y the ree*$. The roya 'hy$ician to 7ing 8hii' o# 'ain,

ranci$co ern:ndez, ca$$i#ied it a$ coo and h!&id, and there#ore "ene#icia a$ a #eer

red!cer or to reiee di$coort in hot weather. o&e 'hy$ician$ agreed, other$ arg!ed

the o''o$ite 'o$ition, &any 'ointed o!t that, whateer the ca$$i#ication o# cacao, the

$'ice$ co&&ony added to it contri"!ted their own 6!aitie$ to the &i+. n $'ite o# the

de"ate, chocoate contin!ed to gain in 'o'!arity.


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1585

The #ir$t o##icia 'ani$h $hi'&ent o# cacao "ean$ arried #ro& ;eracr!z, Me+ico, at the

'ort o# eie. y the &id-1@th cent!ry, chocoate were *nown a$ a "eerage in >ritain. ntere$tingy,

the a''earance o# chocoate coincided with the arria o# co##ee #ro& the Midde Ea$t and

tea #ro& China. Chocoate re&ained e+'en$ie ong a#ter the other two "eerage$ were

a##orda"e to the &idde ca$$e$, "!t it wa$ one o# the o##ering$ co&&ony #o!nd in

>riti$h co##eeho!$e$. A ta 'ot wa$ deeo'ed #or $ering chocoate "eerage$. 7nown

a$ a chocoatiere, the id had a $&a hoe in the to' where a '!nger-i*e &oinio

(&o!inet in rench) wa$ #itted.

1650 1700

rance$co


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1765

n 1@5 the Engi$h&an Da&e$ /att inented the $tea& engine and in doing $o $et in

&otion what we now re#er to a$ the nd!$tria a*er Co&'any. t wa$

not !nti 192@ that the >a*er #a&iy $od their "!$ine$$ to enera ood$.

1819

rancoi$ Bo!i$ Caier o'ened a chocoate #actory on Ba*e enea near ;eey. e !$ed

&achinery he had deeo'ed hi&$e#, &a*ing hi& a 'ioneer in the eo!tion o# wi$$

chocoate.

1828

Chocoate &a*er and che&i$t Coenraad ;an o!ten deeo'ed the 'roce$$ now *nown

a$ !tching. i$ 'atented inention inoed the re&oa o# co$e to ha# o# the cocoa"!tter #ro& chocoate i6!or thro!gh the !$e o# hydra!ic 're$$!re. The re&oa o# the

cocoa "!tter re$!ted in a co&&en$!rate decrea$e in #at content. n$tead o# #i#ty 'ercent,

the hard ca*e that wa$ e#t #ro& thi$ 'roce$$ had a #at content o# ony twenty-#ie 'ercent.

The ca*e co!d then "e cr!$hed into a 'owder. The !$e o# a*aine $at$ aowed #or ea$ier

&i+ing with war& water. t a$o &ade the coor dar*er and had the 'ea$ing a##ect o# a

e$$ "itter ta$te. Thi$ inention wo!d "e the *ey in the deeo'&ent o# chocoate a$ a

con#ection.

1847

Do$e'h ry wa$ a !a*er who "egan &an!#act!ring chocoate !nder the na&e o# Do$e'h

ry F on$. Do$e'h ry '!rcha$ed a /att$ $tea& engine in 1@G9 to &ore e##icienty grind

cacao. e #o!nd that "y re&i+ing $o&e o# the cocoa "!tter "ac* into the 'roce$$ed


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!tched cocoa 'owder and adding $!gar, a 'a$te wa$ #or&ed that co!d "e 're$$ed into

&od$. The e##ect o# thi$ wa$ a chocoate "ar that gathered a$ &!ch attention a$ chocoate

"eerage$ had.

1849

hirardei, an taian natie, 'anned eary on haing a chocoate "!$ine$$. oweer, he

traeed #ir$t to Hr!g!ay and then to 8er! "e#ore $etting in Cai#ornia in 1G49. e !$ed

the &oney he $aed and $tarted the hirardei chocoate #actory, which i$ $ti ocated in

an ranci$co. Then in 1G50 the 8ri&e Mini$ter /iia& ad$tone, '!t in an e##ort to

"oo$t the econo&y, owered the ta+e$ on cacao "ean$, aowing >riti$h &an!#act!rer$ to

e+'and their &ar*et.

1860

>riti$h A i$ #o!nded. A >riti$h o!rna caed the Bancet di$coered that &any

chocoate &an!#act!rer$ were e&'oying ario!$ &ethod$ o# c!tting chocoate with

$o&ething e$$ e+'en$ie. %ne re'ort reeaed that cocoa 'owder wa$ "eing thinned with

"ric* 'owder. tirred to re$'ond, the >riti$h goern&ent 'a$$ed it$ #ir$t Foo an !ru"s

#ct in 1860.

1868Dohn Cad"!ry wa$ another !a*er who "eca&e intere$ted in chocoate 'rod!ction. n

1G24 he had o'ened a grocery $tore in >ir&ingha&, Engand. Cad"!ry #eat!red cacao

"ean$ that he wo!d roa$t and grind hi&$e#. n ti&e he reaized the intere$t and

'ro#ita"iity in changing hi$ #oc!$ to the &an!#act!ring o# chocoate. Cad"!ry "eca&e $o

renown that he receied a ir&ingha&

$!"!r" o# >o!rnie. The #actory they "!it there $!''orted a town, 'roiding "oth

wor*er ho!$ing and recreationa #aciitie$.


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1879

!ring the $a&e 'eriod that Cad"!ry wa$ deeo'ing into a #or&ida"e chocoate #orce, a

wi$$ chocoate &an!#act!rer wa$ $tr!gging to #ind a way to co&"ine chocoate with

&i*. anie 8eter co!d not 'rod!ce $o&ething with a $&ooth con$i$tency "eca!$e the

&i* and chocoate neer &i+ed right. Coincidenty a #eow wi$$ na&ed enri ?e$te

wa$ hard at wor* ine$tigating way$ in which &i* co!d "e &ade &ore $he#-$ta"e #or

!$e a$ "a"y #or&!a. The 'rod!ct o# ?e$te$ e+'eri&entation wa$ a $weetened conden$ed

&i*. The new &i*, which had e$$ water, wa$ &i+a"e with chocoate and &ade a

'rod!ct that wo!d not $'oi ea$iy. enri ?e$te and anie 8eter #or&ed a co&'any in

1G@9. The arge$t #ood co&'any in the word today i$ ?e$te.

1879A conching &achine wa$ created in 1G@9 that aowed #or the $&oothe$t chocoate yet.

#ondant$ "eca!$e their te+t!re wa$ a$ $&ooth a$ the 'o'!ar crea&y candie$. The 'roce$$

o# conching $oon "eca&e a 'art o# co&&on chocoate &an!#act!ring. n addition, the

#riction o# the roer$ 'rod!ced a heat that &ade roa$ting an !nnece$$ary $te'. Today, the

roer$ in conching &achine$ are *e't at a controed te&'erat!re #or an een higher

6!aity.

1893

Miton naey er$hey wa$ a Mennonite #ro& 8enn$yania who owned a cara&e

&an!#act!ring 'ant. /hen he i$ited the /ord Coo&"ian E+'o$ition in Chicago hi$

intere$t wa$ initiay to '!rcha$e and !$e &achine$ to &a*e chocoate coered candie$.

i$ intere$t changed co!r$e a#ter i$iting E!ro'e and re$earching the &any chocoate

&an!#act!rer$ there. er$hey then decided to #oc!$ hi$ "!$ine$$ on chocoate 'rod!ction

and in 1900 he introd!ced to the word the &i* chocoate er$hey "ar. t wa$ #oowed

#ie year$ ater "y the er$hey *i$$. /ith "!$ine$$ e+'anding "eyond e+'ectation$,

Miton er$hey too* oer the town o# erry Ch!rch, 8enn$yania and rena&ed it

er$hey. Tho!gh he a$o deeo'ed a er$hey, C!"a aro!nd a $!gar &i he owned,


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Miton er$hey wa$ #orced o!t o# C!"a in 1959 when Ca$tro gained contro. Today

er$hey, 8enn$yania i$ an i&'re$$ie to!ri$t attraction.

1900 - 1929

The triang!ar To"erone chocoate "ar wa$ created and a!nched into &ar*et "y wi$$

chocoate &a*er Dean To"er. 91I wi$$ chocoate &a*er$ D!e$ echa!d inented the

chocoate #ied "on"on. 1922J >aci (*i$$e$) were introd!ced to the &ar*et on ;aentine$

ay in 1922. Each o# the$e "on"on$ i$ wra''ed with a oe note !nder it$ #oi coering.

Today, the oe note$ in each >aci are tran$ated into #o!r ang!age$. 192J Do$e'h

ra'$ #o!nded the >egian chocoate co&'any odia. ra'$ cho$e the na&e *nowing

that it$ controer$ia re#erence to the Bady odia co!d ony &a*e hi$ "on"on$ &ore

enticing. odia$ decadent and e+'en$ie chocoate$ &ay hae "een the #ir$t rea

chaenge to a &ar*et that had "een hed 'ri&ariy "y er$hey and ?e$te. 1929J Do$e

not "end, "!t the coo*ie that wa$ 'rod!ced "eca&e 'o'!ar eno!gh #or ?e$te to "egin

&an!#act!ring itte ch!n*$ o# chocoate in 19I9, $'eci#icay #or To o!$e Coo*ie$.


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1940$s

A$ the Hnited tate$ geared !' #or a war in E!ro'e, Miton er$hey $!gge$ted an

addition "e &ade to the $tandard $odier$ -.C. there ha$ "een !$e o# cocoa or chocoate in ario!$

way$ and wa$ con$!&ed which een today i$ !$ed in ario!$ way$.


9/62

%oay&s 'nian chocolate (ar)et* #n o+er+ie,

Chocoate con$!&'tion in ndia i$ e+tre&ey ow. Cad"!ry do&inate$ the chocoate

&ar*et with a"o!t @0 &ar*et $hare. ?e$te ha$ e&erged a$ a $igni#icant co&'etitor with

a"o!t 20 &ar*et $hare. 7ey co&'etition in the chocoate $eg&ent i$ #ro& co-o'eratie

owned A&! and Ca&'co, "e$ide$ a ho$t o# !norganized $ector 'ayer$. There e+i$t$ a

arge !norganized &ar*et in the con#ectionery $eg&ent too. Beading nationa 'ayer$ are

8arry$,


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Chocolate anu.acturin"

Cocoa, co&&on na&e #or a 'owder deried #ro& the #r!it $eed$ o# the cacao tree and #or

the "eerage 're'ared "y &i+ing the 'owder with &i*. /hen cocoa i$ 're'ared, &o$t o#

the cocoa "!tter i$ re&oed in the &an!#act!ring 'roce$$. A#ter the #at i$ $e'arated and

the re$id!e i$ gro!nd, $&a 'ercentage$ o# ario!$ $!"$tance$ &ay "e added, $!ch a$

$tarch to 'reent ca*ing, or 'ota$$i!& "icar"onate to ne!traize the nat!ra acid$ and

a$tringent$ and &a*e the cocoa ea$y to di$$oe in i6!id$. Cocoa ha$ a high #ood a!e,

containing a$ &!ch a$ 20 'ercent 'rotein, 40 'ercent car"ohydrate, and 40 'ercent #at. t

i$ a$o &idy $ti&!ating "eca!$e o# the 're$ence o# Theo "ro&ine, an a*aoid that i$

co$ey reated to ca##eine.

The 'roce$$ing o# the cacao $eed$, "etter *nown a$ cocoa "ean$, i$ co&'e+. The #r!it

hare$t i$ c!red or #er&ented in a '!'y $tate #or three to nine day$, d!ring which the

heat *i$ the $eed$ and t!rn$ the& "rown. The enzy&e$ actiated "y #er&entation

i&'art the $!"$tance$ that wi gie the "ean$ their characteri$tic chocoate #aor ater

d!ring roa$ting. The "ean$ are then dried in the $!n and ceaned in $'ecia &achine$

"e#ore they are roa$ted to "ring o!t the chocoate #aor. They are then $heed in a

cr!$hing &achine and gro!nd into chocoate. !ring the grinding, the #at &et$,

'rod!cing a $tic*y i6!id caed chocoate i6!or, which i$ !$ed to &a*e chocoatecandy or i$ #itered to re&oe the #at and then cooed and gro!nd to 'rod!ce cocoa

'owder.

The "ean$ are $od in internationa &ar*et$. A#rican co!ntrie$ hare$t a"o!t two-third$ o#

the tota word o!t'!t3 hana, CNte doire, ?igeria, and Ca&eroon are the eading

A#rican cocoa 'rod!cer$. Mo$t o# the re&ainder co&e$ #ro& o!th A&erican co!ntrie$,

chie#y >razi and Ec!ador. The cro' i$ traded on internationa co&&odity #!t!re$

&ar*et$. Atte&'t$ "y 'rod!cing co!ntrie$ to $ta"iize 'rice$ thro!gh internationaagree&ent$ hae had itte $!cce$$.


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%y/es o. chocolate

,eet chocolate, !$!ay dar* in coo!r i$ &ade with chocoate i6!or, $!gar, cocoa

"!tter, and $!ch #ao!ring$ a$ ania "ean$, aniin, $at, $'ice$ and e$$entia oi$.

weet chocoate !$!ay contain$ at ea$t 25-I5 chocoate i6!or content. The

ingredient$ are "ended, re#ined (gro!nd to a $&ooth &a$$), and conched. ;i$co$ity i$

then ad!$ted "y the addition o# &ore cocoa "!tter, ecithin (an e&!$i#ier), or a

co&"ination o# "oth.

il) chocolate i$ #or&!ated "y $!"$tit!ting whoe &i* $oid$ #or a 'ortion o# the

chocoate i6!or !$ed in 'rod!cing $weet chocoate. t !$!ay contain$ at ea$t 10

chocoate i6!or and 12 whoe &i* $oid$. Man!#act!rer$ !$!ay e+ceed the$e a!e$,

#re6!enty going !'to 12-15 chocoate i6!or and 15-20 whoe &i* $oid$. Mi*

chocoate$, !$!ay ighter in coo!r than $weet chocoate, are &ider in ta$te "eca!$e o#

it$ ower content o# "itter chocoate.

Con.ectionery

Con#ectionery, 'roce$$ed #ood "a$ed on a $weetener, which &ay "e $!gar or honey, to

which are added other ingredient$ $!ch a$ #aoring$ and $'ice$, n!t$, #r!it$, #at$ and

oi$, geatin, e&!$i#ier$, cooring$, egg$, &i* 'rod!ct$, and chocoate or cocoa.

Con#ectionery, !$!ay caed candy in the Hnited tate$, or $weet$ in reat >ritain, can

"e diided into two *ind$ according to their 're'aration and "a$ed on the #act that

$!gar, when "oied, goe$ thro!gh di##erent $tage$ #ro& $o#t to hard in the cry$taization

'roce$$. Ty'ica o# $o#t, or cry$taine, candyO$&ooth, crea&y, and ea$iy chewedO

are #ondant$ (the "a$i$ o# chocoate crea&$) and #!dge3 ty'ica hard, noncry$taine

candie$ are to##ee$ and cara&e$. %ther #aorite con#ection$ inc!de no!gat$,

&ar$h&aow$, the ario!$ #or&$ o# chocoate ("ar$ or &oded 'iece$, $o&eti&e$#ied), 'a$te$ and &arzi'an, cotton candy ($'!n $!gar), 'o'corn, icorice, and chewing

g!&.


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A&ong the ode$t ty'e$ o# candie$ are icorice and ginger #ro& the ar Ea$t and &arzi'an

#ro& E!ro'e. Candy-&a*ing did not "egin on a arge $cae !nti the eary 19th cent!ry,

when with the deeo'&ent o# $'ecia candy-&a*ing &achinery it "eca&e a >riti$h

$'eciaty. n the H.. the candy ind!$try "egan to grow ra'idy d!ring the &id-19th

cent!ry with the inention o# i&'roed &achinery and a chea'er 'roce$$ #or 'owdering

$!gar. n 1911 the #ir$t candy "ar$ were $od in "a$e"a 'ar*$3 "y 190 candy "ar$ &ade

!' a&o$t ha# o# H.. con#ectionery 'rod!ction. >y the 19G0$ ann!a word 'rod!ction

o# con#ectionery totaed &any &iion$ o# *iogra&$.

Con.ectionery re/aration

7ey raw &ateria$ #or $!gar con#ectionery are $!gar (0-5 o# the raw &ateria

o!&e), g!co$e, citric acid and #ao!red e$$ence$. or chewingP "!""e g!&$, &o$t

eading M?C 'ayer$ i&'ort g!& "a$e. %ther *ey raw &ateria$ inc!de $!gar, g!co$e

and e&!$i#ying agent$. A the ingredient$ are &i+ed in a &i+er and heated. An e+tr!der

conert$ the &i+t!re into a ong ro'e, which i$ then cooed and #attened. The g!& i$ c!t

into 'iece$ and wra''ed.

/ord oer, con#ectionery 'rod!ct$ contain ani&a geatin, !$e o# which i$ "anned in

ndia. Thi$ ha$ 'reented deeo'&ent o# categorie$ $!ch a$ eie$ and $!'erior chewingg!&$.

!gar Con#ectionery

n con#ectionery 'rod!ct$, retaier &argin arie$ #ro& 15 to I0, inc!ding trade

di$co!nt and incentie $che&e$. i$tri"!tor &argin arie$ #ro& 5 to 10. ae$ ta+

aerage$ at aro!nd 10. reight, handing and di$tri"!tion co$t i$ &inor at a"o!t 2.

E+ci$e d!ty on $!gar con#ectionery i$ G, wherea$ g!&$ and chocoate$ attract 1

e+ci$e d!ty. Contri"!tion &argin$ ary "etween I0 and 0 de'ending !'on the

'rod!ct. Aderti$e&ent and 'ro&otion co$t$ are ery high


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%rganized &ar*et #or $!gar con#ectioneryPg!&$ i$ e$ti&ated to "e 1I9,000 ton 'a. ard

"oied con#ectionery and to##ee$ acco!nt #or 9, 5 "y ecair$, 1G contri"!ted "y

g!&$ (chewing g!&$P "!""e g!&$) and re$t "y &int$, ozenge$ etc.

The con#ectionery &ar*et ha$ !ndergone a &eta&or'ho$i$, d!ring the a$t I-4 year$.

ro& a co&&odity &ar*et controed "y oca 'ayer$, it i$ changing to a "randed

'rod!ct$ &ar*et with $trong 're$ence o# M?C 'ayer$. The$e M?C$

%##er $!'erior 'rod!ct ingredient$ with $!''ort o# go"a technoogy

%##er "etter 'ac*aging and en$!re "etter di$tri"!tion

ne$t heaiy in "!iding "rand$. ?ew M?C 'ayer$ are trying to create

C!$to&er '! "y aderti$e&ent$ and retai di$'ay$.

eaer$ '!$h incentie$ "y higher &argin$, 'ro&otiona $che&e$, etc, on which

oca "rand$ reied !'on earier, $ti re&ain$ the &ain #or& o# &ar*eting in the

con#ectionery &ar*et do&inated "y the !norganized $eg&ent.


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roucts #n e"(entation

Chocoate &ar*et can "e $eg&ented a$ #oow$J

Barge !nit$ "ar$P $a"$,

Co!nt ine$,

8anned arietie$,

&a a!e added !nit$.

Con#ectionery 'rod!ct$ can "e categorized a$

ard "oied $!gar candie$, oi'o'$, eie$

To##ee$

Chewing candie$


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>reath #re$hner$, dige$tie$, throat reieer$

!& "a$ed 'rod!ct$ are

Chewing g!& >!""e g!&

Chocolates an Con.ectionery 'nustry

Chocolates

>ar$P a"$

Co!nt ine$

8anned (e&$)

Ecair$

A$$orted

u"ar con.ectionery

ard "oied

To##ee$

o#t chew

Dey candie$

e'o$it candie$

Boi'o'$

Mint$, etc.

u( ase

Chewing g!&

!gar coated chewing g!&

>!""e g!&

Chocolate e"(entation

Chocoate &ar*et can "e $eg&ented into &o!ded chocoate$, co!nt chocoate$, 'anned

chocoate$, ecair$ and a$$orted chocoate$.

Ty'e o# chocoate$ hare in chocoate &ar*et

Mo!ded I@

Co!nt I0

Ecair$ 20

8anned 10


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%ther$ I

Moulded

37%

Count

30%

Eclairs

20%

Panned10%

Others

3%Moulded

Count

Eclairs

Panned

Others

Mo!ded chocoate$, i*e airy Mi*, Tr!##e, A&! Mi* Chocoate, ?e$te 8re&i!&,

?e$te Mi*y >ar, i$ the arge$t $eg&ent acco!nting #or &ore than 1PIrd o# the &ar*et.

Co!nt ine$ (5 tar, 8er*, 7it 7at, 8icnic) are the $econd arge$t $eg&ent acco!nting #or

I0 o# the o!&e$. The Co!nt ine $eg&ent ha$ "een growing at a #a$ter 'ace d!ring the

a$t three year$ drien "y growth in 8er* and 7it 7at o!&e$.

8anned 'rod!ct$ inc!de Cad"!ry$ e&$, ?!ttie$, and ?e$te$ Mar"e$. n 'anned

$eg&ent, Cad"!ry do&inate$ with oer 95 &ar*et $hare.

Ecair$ (dro'et$ o# hard cara&e$ with a $o#t chocoate #iing$) are a ow !nit 'riced

'rod!ct. Cad"!ry Ecair$ wa$ a!nched in 19@2. 8are 8rod!ct$ a!nched Meody in

1991. ?e$te i$ a recent entrant in the $eg&ent. ?!trine$ Ecair$ ha$ done e+tre&ey we

in the &ar*et.

Chocolates ar)et hare

Cad"!ry i$ the &ar*et eader in a categorie$ with oer 5 &ar*et $hare. t$ &ainco&'etitor i$ ?e$te ndia. ?e$te ha$ identi#ied chocoate and con#ectionery a$ one o# the

thr!$t area$ #or growth. t ha$ a!nched $o&e o# it$ internationa "rand$ i*e !aity

treet, A#ter Eight, and Bion$ in ndia. n 199G, Cad"!ry a!nched a new co!nt "ar

8icnic. ?e$te i&&ediatey #oowed it with the a!nch o# Charge. !arat Co-o'eratie

Mi* Mar*eting ederation (CMM), which i$ nor&ay *nown a$ A&! and Centra


17/62

Arecan!t and Cocoa Man!#act!re$ and 8roce$$or$ Co-o'eratie (CAM8C%) are other

two $igni#icant 'ayer$. >oth are oca &an!#act!rer$.

i$tri"!tion, in the ca$e o# chocoate$, i$ a &aor deterrent to new entrant$ a$ the 'rod!ct

ha$ to "e *e't coo in $!&&er and a$o ha$ to "e ada'ted to $!it oca tro'ica condition$.

/ith re&oa o#


18/62

?!trine with a $trong "a$e in $o!thern ndia ha$ e&erged a$ the reigning n!&"er one

'ayer in the $!gar con#ectionery &ar*et with 24 $hare. %er a$t one year or $o it ha$

a!nched ario!$ 'rod!ct$ in the $!gar con#ectionery &ar*et. t i$ the &ar*et eader in

hard-"oied con#ectionery a$ we a$ to##ee$. t ha$ $hare o# I@ in ecair$ &ar*et and i$

reigning at $econd 'o$ition "ehind Cad"!ry$. ?!trine get$ aro!nd 50 o# it$ t!rnoer

#ro& $o!thern ndia, 20 #ro& Ea$tern region and re$t e6!ay #ro& we$tern$ and

northern region. t$ "igge$t "rand i$ Ma!alacto #oowed "y "say and Kokonaka

re$'ectiey. Tota tonnage $od "y ?!trine in the con#ectionery &ar*et i$ aro!nd I50

tonne$.

The $econd arge$t 'ayer, 8are ha$ $trong 're$ence in orange candie$ (hard "oied)

$!''orted "y it$ Meody to##ee$, Mango >ite and 7i$&i To##ee "ar. >e$ide$ thi$ theco&'any a$o ha$ "rand$ i*e a$$ett, H7. oogy wa$ e+tended nationay in eary 199@. Cad"!ry

ha$ a$o a!nched Moc*a, a co##ee "a$ed $!gar con#ectionery.


19/62

?e$te i$ a &aor 'ayer in the growing con#ectionary &ar*et. The co&'any ha$ "rand$

i*e 8oo, Aen$ 'a$h, oother$, To##o >!tter, and r!it oo&er ha$ e&erged a$ the eading "rand in the "!""eg!& category. Doyco

'ioneered the $o#t chew category with a!nch o# it$ >on*er$. oweer the $o#t chew

category ha$ a &in!$c!e &ar*et in ndia. %ther "rand aaia"e in thi$ $eg&ent i$ ;an

Mee$ Mento$. 8er#etti ha$ "eco&e a $igni#icant 'ayer with the $!cce$$ o# it$ "!""e

g!& >ig >a"o and hard "oied con#ectionery A'enie"e. . A'enie"e ha$ a$o "een a

h!ge $!cce$$ and ha$ "eco&e a


20/62

ar)et shares in su"ar con.ectionery (ar)et

Co&'any Mar*et $hare ()Maor "rand$

?!trine 24

Mahaacto, 7o*ona*a, oneya", Aa&


21/62

D!icy r!it o!"e &int 'ear&int.

8er#etti 2>roo*yn, >ig >a"oo, A'enie"e, Center

re$h, Chor Mint, oia, Co#ito$

AnticodPother %TC "rand$ a$o $od a$ con#ectionery

Co&'anyMar*et hare

()Maor "rand$

a"!r I a&oa

8 F 2.5 ;ic*$

/arner Ba&"ert 2.5 a$, Chicet$, Coret$

Anti-codP%TC "rand$ $!ch a$ a$, ;ic*$, Coret$, etc are increa$ingy "eing $od on

the #!n 'o$itioning rather than #or their &edicina 'ro'ertie$, co&'eting directy with

other con#ectionery "rand$. a$ and ;ic*$ are aaia"e in ario!$ #ao!r$.

Nutrine

24%

Parle's

16%Parry's

13%Cadbury's

11%

Nestle

8%

a!al"aon

7%

Others

21%

Nutrine Parle's Parry's

Cadbury's Nestle a!al"aon

Others


22/62

Caury&s +er+ie,

a# a cent!ry o# con$tant innoation, con$tant a!e addition, con$tant

$!cce$$. Cad"!ry ndia Btd. (CB), a 'art o# the Cad"!ry chwe''e$ gro!', i$ ndia$

eading con#ectionery &an!#act!rer with a @0 o!&e $hare o# the chocoate &ar*et.

And i$ $ynony&o!$ with chocoate in the &ind$ o# co!nte$$ ndian$ - yo!ng and od.

The co&'any i$ a$o a *ey 'ayer in the &ated #ood drin* and $!gar con#ectionery

&ar*et$ in the co!ntry. Today, the goerning o"ectie #or Cad"!ry ndia i$ to deier

!'erior harehoder ;a!e and to $ee the "rand in eery 'oc*et, in eery ho&e.

History o. Caury

The Cad"!ry $tory i$ a #a$cinating $tory o# a #a&iy "!$ine$$ that grew into one o# the

"igge$t, &o$t oed chocoate "rand$ in the word. A $tory that yo! wi re&e&"er a$ the

$tory o# the rea ta$te o# i#e a$ the "!$ine$$ grew, it wa$ &oed to a arger #actory in

>ridge treet in 1G4@. Dohn Cad"!ry then too* hi$ "rother >ena&in into a 'artner$hi'.

And the "!$ine$$ ca&e to "e Cad"!ry >rother$, >ir&ingha&. n 1G5I, the Cad"!ry

>rother$ receied a roya warrant a$ chocoate &an!#act!rer$ to !een ;ictoria a roya

a''oint&ent that the co&'any hod$ to thi$ day.

22-year-od Dohn Cad"!ry o'ened a one-&an grocery "!$ine$$ in >ir&ingha&, $eing

tea, co##ee, ho'$, &!$tard and cocoa. To thi$ i$t he $oon added drin*ing chocoate which

he 're'ared !$ing a &ortar and 'e$te. o!ng Cad"!ry had a con$idera"e #air #oraderti$e&ent, which in$'ired hi& to in$ta a 'ate ga$$ window in hi$ $tore - the #ir$t in

>ir&ingha&. Thi$ aong with a China&an in natie co$t!&e 're$iding oer the co!nter

created 6!ite a $tir and drew a ot o# attention. The growing $ae$ and 'o'!arity o#


23/62

Cad"!ry$ $!'erior 6!aity cocoa and chocoate$ re$!ted in the "!$ine$$ $hi#ting to a

arger wareho!$e in Croo*ed treet in 1GI1.

i$$ati$#ied with the 6!aity o# 'rod!ct$ 'rod!ced "y a &an!#act!rer$, inc!ding their

own, the "rother$ Cad"!ry too* a &o&ento!$ $te' which wa$ to change the way the

chocoate "!$ine$$ wa$ done in Engand. oowing a i$it to ;an o!ten in oand,

they introd!ced a 'roce$$ #or 're$$ing the cocoa "!tter #ro& the "ean$ to 'rod!ce cocoa

e$$ence, which wa$ reay the #orer!nner o# the cocoa we *now today. Thi$ e$$ence wa$

aderti$ed a$ - A"$o!tey 8!re, There#ore >e$t. ro& the &id 1G0$, Cad"!ry

introd!ced &any new *ind$ o# eating chocoate. ?ot ony the &ore re#ined #or&$ o# 'ain

chocoate "!t chocoate cre&e$ - #r!it #ao!red centre$ coered with chocoate. The$e

e+otic chocoate$ were $od in decorated "o+e$, which


24/62

Cad"!ry ha$ grown #ro& $trength to $trength with new technoogie$ "eing introd!ced to

&a*e the Cad"!ry con#ectionery "!$ine$$ one o# the &o$t e##icient in the word. The

&erger in 199 with chwe''e$ and the $!"$e6!ent deeo'&ent o# the "!$ine$$ hae ed

to Cad"!ry chwe''e$ ta*ing the ead in "oth the con#ectionery and $o#t drin*$ &ar*et$

in the H7 and "eco&ing a &aor #orce in internationa &ar*et$. Cad"!ry chwe''e$

today &an!#act!re$ 'rod!ct$ in 0 co!ntrie$ and trade$ in oer a $taggering 120.

Caury&s in 'nia

i#ty year$ ago, the rea ta$te o# chocoate a$ we *now it today, anded on ndian $hore$.

An eent that carried #orward the entre'rene!r$hi' and i$ion "orn a$ #ar "ac* a$ 1G24,when Dohn Cad"!ry $et !' $ho' in >ir&ingha& (H7) to $e a&ong other thing$ - hi$

own cocoa inention. ro& the$e &ode$t "eginning$ e&erged Cad"!ry chwe''e$ - that

i$ today the eading &an!#act!rer o# con#ectionery and "eerage$ in the Hnited 7ingdo&.

A co&'any that ha$ it$ 're$ence in oer 200 co!ntrie$ wordwide and ha$ &ade the na&e

Cad"!ry $ynony&o!$ with cocoa 'rod!ct$ in co!ntrie$ acro$$ the 'anet.

Thi$ i$ the "rand that ca&e to ndia in 194@ - to a nation that wa$ in it$ in#ancy, a &ar*et

that wa$ ready #or the word and a 'eo'e that were o'en to new idea$, new 'rod!ct$.

/ithin a year o# "eing $et !' a$ a trading concern, Cad"!ry ry ndia wa$ incor'orated a$

a 8riate Bi&ited co&'any, $et !' #or 'roce$$ing i&'orted chocoate$ and >o!rnita. The

$a&e year $aw the a!nch o# Cad"!ry$ Mi* Chocoate - a "rand that ti today de#ine$

the ta$te o# chocoate #or &iion$ o# ndian$.

Thro!gh 50 year$ o# ine$t&ent in ca'ita and &ar*eting, the $cae and $co'e o# their

o'eration$ ha$ e+'anded to coer a range o# "rand$ in the chocoate, $!gar con#ectionery

and &ated #ood drin*$ $eg&ent$. They hae a &aority $hare in the ndian chocoate

&ar*et and a $igni#icant 're$ence in $!gar con#ectionery and #ood drin*$.


25/62

Today Cad"!ry ndia Btd., a $!"$idiary o# Cad"!ry chwe''e$ e&'oy$ oer 2000

'eo'e acro$$ the co!ntry. And o'erate$ in one o# the #a$te$t growing chocoate &ar*et$

#or the Cad"!ry chwe''e$ gro!' acro$$ the go"e.

Cad"!ryL$ went in #or inteigent dier$i#ication a$ any other $!cce$$#! co&'any.

Cad"!ryL$ ado'ted concentric dier$i#ication adding new "!t reated 'rod!ct$ to it$

e+i$ting 'rod!ct ine. The co&'any ha$ eading "rand$ in a $eg&ent$ i.e. 5 tar (co!nt

ine$), airy &i* ("ar$), e&$ ('anned chocoate$), Ecair$ (to##ee$), 8er* (wa#er

chocoate), >o!rnita (&ated #ood drin*$).

Bi$t o# 'rod!ct$J 5 tar, >o!rnita, Cocoa 8owder, Crac*e, airy Mi*, Rcair$, r!it

And ?!t, e&$, oogy, ?!t >!tter$cotch, 8er*, 8icnic, Ti##in$, Tr!##e, ?!ttie$.

'nustrial rouction an etu/

Cad"!ry ndia$ #ir$t &an!#act!ring #aciity wa$ $et !' at Thane (M!&"ai) in 19.

Today, the #actory ha$ grown &ani#od and &an!#act!re$ a range o# 'rod!ct$ that inc!de

Cad"!ry airy Mi*, 5 tar, ?!ttie$, e&$ and >o!rnita. The #actory e&'oy$ a"o!t

@50 'eo'e and ho!$e$ the


26/62

estle +er+ie,

?e$t .A., wordL$ arge$t #ood co&'any and witzerandL$ arge$t

ind!$tria co&'any. ?e$t &a*e$ and &ar*et$ a wide ariety o# #ood$ and "eerage$,

inc!ding chocoate, con#ectionery, in$tant and roa$ted co##ee, 'owdered &i*, in#ant and

"a"y #ood, &inera water, 'et #ood, "rea*#a$t cerea$, ice crea& and #rozen de$$ert$,

#rozen &ea$, condi&ent$, $a!ce$, $o!'$, and 'a$ta. The co&'any a$o &a*e$ Acon eye-

care 'rod!ct$ and i$ a &aor $harehoder in BL%ra, one o# the wordL$ arge$t

&an!#act!rer$ o# co$&etic$. ?e$t i$ "a$ed in ;eey, witzerand, "!t derie$ ony a

tiny 'ortion o# it$ reen!e$ #ro& $ae$ in witzerand. t$ arge$t &ar*et i$ the Hnited

tate$. The co&'any o'erate$ 'rod!ction #aciitie$ in n!&ero!$ co!ntrie$ aro!nd the

word.

?e$tL$ we-*nown con#ectionerie$ inc!de ?e$t and ?e$t Cr!nch chocoate "ar$,>a"y !tter#inger candy "ar$, 7it 7at wa#er "ar,


27/62

in 1G@ te$ted it on a $ic*, 're&at!re "a"y "oy who had re#!$ed hi$ &otherL$ &i*. The

"a"y acce'ted the #or&!a and recoered. Bater that year ?e$t #or&ed hi$ own

co&'any, arine Bacte enri ?e$t, in ;eey, to &an!#act!re the in#ant #or&!a,

caed arine Bacte ?e$t.%ny a year earier, in 1G, A&erican$ Chare$ and eorge

8age had #o!nded the Ango-wi$$ Conden$ed Mi* Co&'any in Cha&, witzerand,

to $e canned &i* in E!ro'e. t e+'anded in the &id-1G@0$ to inc!de in#ant #or&!a$,

entering into direct co&'etition with ?e$tL$ co&'any. n 1G@5 ?e$t $od hi$

co&'any to three oca "!$ine$$ e+ec!tie$.

The co&'any "egan $eing chocoate in 1904 when it ac6!ired the wi$$ enera

Chocoate Co&'any. n 1905 arine Bacte enri ?e$t &erged with the Ango-wi$$

Conden$ed Mi* Co&'any to "eco&e the ?e$t and Ango-wi$$ Mi* Co&'any.

ncrea$ed de&and #or dairy 'rod!ct$ d!ring /ord /ar (1914-191G) ed the co&'any

to e+'and ra'idy oer$ea$. >y the warL$ end ?e$te had 40 #actorie$ wordwide, and it$

'rod!ction had &ore than do!"ed $ince 1914. n the 1920$ the co&'any introd!ced a

$trea& o# new 'rod!ct$J &ated &i*, Mio 'owdered drin*, and 'owdered "!tter&i*

#or in#ant$. n 1929 ?e$t ac6!ired chocoate co&'any 8eter, Caier, 7oher

Chocoat$ !i$$e$ .A., who$e #o!nder, anie 8eter, inented &i* chocoate in 1G@5.

n 19IG ?e$t introd!ced ?e$ca#, a 'owdered in$tant co##ee. A $ta'e #or Aied

$odier$ d!ring /ord /ar (19I9-1945), ?e$ca# changed co##ee-drin*ing ha"it$

wordwide and #!eed ?e$tL$ e+'an$ion in the 'o$twar era.

n 194@ ?e$t &erged with Ai&entana .A., the &an!#act!rer o# Maggi $ea$oning$ and

$o!'$, "eco&ing ?e$t Ai&entana Co&'any. n the #oowing decade$ ?e$te ac6!ired

n!&ero!$ co&'anie$, inc!ding Cro$$e F >ac*we, a >riti$h &an!#act!rer o# 're$ere$

and canned #ood$3 ind!$, a &a*er o# #rozen #ood$3 Bi""y, Mc?ei F Bi""y, a &a*er o#

#rozen and canned #ood$3 #rozen #ood &an!#act!rer to!##er Cor'oration3 &inera water

co&'any o!rce 8errier3 and A&erican #ood giant Carnation, which &ade &i*, 'et

#ood$, and other 'rod!ct$. The co&'any changed it$ na&e to ?e$t .A. in 19@@.

n 19@@ internationa actii$t gro!'$ a!nched a "oycott again$t ?e$t #or it$ &ethod$ o#

&ar*eting in#ant #or&!a in deeo'ing co!ntrie$, aeging that it di$tri"!ted #ree $a&'e$


28/62

in &aternity ho$'ita$ and that it$ 'ro&otiona &ateria$ #aied to recognize "rea$t-

#eeding a$ the "e$t #or& o# in#ant n!trition. eath o##icia$ a$$erted that 'oor and

!ned!cated wo&en !$ing the #or&!a o#ten &i+ed it with conta&inated water, eading to

diarrhea, &an!trition, and death o# the in#ant. The "oycott wa$ i#ted in 19G4 a#ter ?e$t

agreed to co&'y with in#ant #or&!a &ar*eting code$ e$ta"i$hed "y the /ord eath

%rganization (/%). oweer, ca$ #or "oycott$ re$!r#aced in the 1990$ a&id charge$

#ro& the Hnited ?ation$ ChidrenL$ !nd (H?CE) and other gro!'$ that ?e$t

contin!ed to ioate the /% code$ in $o&e co!ntrie$.

'nustrial etu/

/ith a tota wor*#orce o# a''ro+i&atey 224,541 'eo'e in $o&e 509 #actorie$

wordwide, ?e$t i$ not ony witzerand$ arge$t ind!$tria co&'any, "!t it i$ a$o the

/ord$ Barge$t ood Co&'any. ?e$t 'rod!ct$ are aaia"e in neary eery co!ntry

aro!nd the word. ?e$te ha$ a 're$ence in GI co!ntrie$ wordwide. t ha$ a tota n!&"er

o# 509 #actorie$ o!t o# which 220 are ocated in E!ro'e, 15I in A&erica and 1I in

A#rica, A$ia and %ceania

?e$te $tarted it$ &an!#act!ring o'eration$ with Mi*&aid in 192 at Moga #actory.

Man!#act!ring o# ?e$ca#e $tarted in 194 at the $a&e #actory. The co&'any $et !'another #actory at Chera&"adi in Ta&i ?ad!, #or &an!#act!re o# in#ant #ood$, co##ee etc.

or a&o$t two decade$ there were no new addition$ o# &an!#act!ring #aciitie$ d!e to

re$trictie 'oicy eniron&ent. The co&'any $et !' it$ ?anangad (7arnata*a) #actory in

19G9 and the a&a*ha (aryana) #actory in 1992. The 8onda (oa) #actory $tarted

o'eration$ in 1995. The Co&'any $et !' it$ $i+th &an!#act!ring !nit in 199@ at >ichoi&

in oa.

estle& in 'nia

?e$te, ha$ a "road "a$ed 're$ence in the #ood$ $ector with eading &ar*et $hare$ in

in$tant co##ee, in#ant #ood$, &i* 'rod!ct$ and noode$. t ha$ a$o con$oidated it$

're$ence in chocoate$3 con#ectionerie$ and other $e&i 'roce$$ed #ood 'rod!ct$.


29/62

The 'roce$$ed #ood$ $ector, which c!rrenty acco!nt$ #or e$$ than 1-2 o# tota #ood

con$!&'tion, i$ $ated to grow at a #a$t 'ace. i$toricay, the 'oicy #ra&ewor* #aored

$&a and !norganized 'ayer$ whie the M?C 'ayer$ were re$tricted #ro& adding

ca'acitie$. Thi$ ed to the &!$hroo&ing o# a a$t !norganized $ector. Barge 'ayer$ with

$trong &ar*eting networ* and "rand e6!ity, were #orced to $o!rce a arge 'art o# their

re6!ire&ent$ #ro& third 'arty 'rod!cer$.

C!rrent $cenarioJ !ring the a$t two year$, howeer, $eera #ood 'rod!ct$ hae "een

de-re$ered #ro& $&a-$cae $ector. Many M?C a$ we a$ do&e$tic 'ayer$ hae &ade

aggre$$ie ine$t&ent$ in the $ector. A$o 6!antitatie re$triction$ on $eera #ood

'rod!ct$ hae "een i#tedP wi "e i#ted in the ne+t one year. Thi$ wi ead to growth

$'!rred "y greater aaia"iity o# i&'orted 'rod!ct$.

Historic !e+elo/(ent

1G

Co&'any$ #o!ndation

190

5

Merger "etween ?e$t and Ango-wi$$ Conden$ed Mi* Co&'any

192

9

Merger with 8eter-Caier-7oher Chocoat$ !i$$e$ .A.

194

@

Merger with Ai&entana .A. (Maggi)

19@

1

Merger with Hr$ina-ranc* (witzerand)

19G

5

Ac6!i$ition o# Carnation (HA)

19G

G

Ac6!i$ition o# >!itoni-8er!gina (tay)

19GG

Ac6!i$ition o# )

199

2

Ac6!i$ition o# 8errier (rance)

199

5

?e$t ac6!ire$ ;ictor ch&idt F Shne, A!$tria$ ode$t 'rod!cer o#

con#ectionery, inc!ding the #a&o!$ Mozart*!gen.


30/62

199

@

?e$t, thro!gh the 8errier ;itte ro!', e+'and$ it$ &inera water

actiitie$ with the o!tright ac6!i$ition o# an 8eegrino.199

G

?e$t ac6!ire$ 'ier$ 8et#ood$ o# the H7 and $trengthen$ 'o$ition in

the 'et#ood "!$ine$$ which "egan in 19G5 with the ac6!i$ition o# the

Carnation ri$*ie$ "rand.199

9

ie$tit!re o# ind!$ "rand (e+ce't in witzerand and tay) and 'art$

o# ?e$t$ #rozen #ood "!$ine$$ in E!ro'e. ie$tit!re o# i$ >ro$,

MD> and Cha$e F an"orn roa$t and gro!nd co##ee "rand$ (HA).200

0

Ac6!i$ition o# 8ower>ar.

CF :#(ul;< #n +er+ie,

u=arat Coo/erati+e il) ar)etin" Feeration

!arat Coo'eratie Mi* Mar*eting ederation (CMM) i$ ndia$ arge$t

#ood 'rod!ct$ &ar*eting organi$ation. t i$ a $tate ee a'e+ "ody o# &i*

coo'eratie$ in !arat which ai&$ to 'roide re&!neratie ret!rn$ to the #ar&er$ and

a$o $ere the intere$t o# con$!&er$ "y 'roiding 6!aity 'rod!ct$ which are good a!e

#or &oney.

e(ers< 12 di$trict coo'eratie &i* 'rod!cer$ Hnion

o . roucer e(ers< 2.12 &iion

o . >illa"e ocieties< 10,411

%otal il) hanlin" ca/acity< .1 &iion iter$ 'er day

il) collection :%otal - 1999-00;< 1.59 "iion iter$

il) collection :!aily #+era"e 1999-00;< 4.4@ &iion iter$

il) !ryin" Ca/acity< 450 &etric Ton$ 'er day

Cattle.ee (anu.acturin" Ca/acity


31/62

A&!,U #ro& the an$*rit A&ooyaU. ;ariant$, a &eaning 'ricee$$, are #o!nd in

$eera ndian ang!age$. A&! 'rod!ct$ hae "een in !$e in &iion$ o# ho&e$ $ince

194. A&! >!tter, A&! Mi* 8owder, A&! hee, A&!$'ray, A&! Chee$e, Amul

Chocolates, A&! hri*hand, A&! ce crea&, ?!tra&!, A&! Mi* and A&!ya hae

&ade A&! a eading #ood "rand in ndia. The 'rod!ct wa$ initiay aderti$ed on

hoarding$ a$ &ain &edi!&. The Httery >!tteryU ad ca&'aign $oon "eca&e 'o'!ar. n

19@I an a'e+ organi$ation wa$ #or&ed CMM td., which integrated actiitie$ o#

di$trict !nion$ to oer$ee the &ar*eting o# their 'rod!ct.

CMM $et !' a networ* o# tho!$and$ o# $toc*ie$t catering to oer 4 a*h retai o!tet$

thro!gho!t in ndia. CMM ha$ ine$ted neary


32/62

Mar*eting ederation (CMM) "eca&e ndia$ arge$t #ood 'rod!ct$ &ar*eting

organi$ation.

Today, CMM$ A&! "rand o# &i* 'rod!ct$ receie$ "!$ine$$ 6!erie$ #ro& dozen$ o#

co!ntrie$, ranging #ro& the H.. and the ?etherand$ to inga'ore and ?ew Keaand -

than*$ to an innoatie &ar*eting ca&'aign on the /ord /ide /e".

Aderti$ing on the nternet ha$ he'ed the& deeo' "!$ine$$ contact$ in &any co!ntrie$.

They hae inited !$ to i$it their $ite to get a #ir$t hand !nder$tanding o# their

o'eration$, 'rod!ct range, and o# co!r$e, the aderti$e&ent$.

The ro!nd-eyed, ch!""y-chee*ed A&! Mo''etha$ "een a widy 'o'!ar aderti$ing

#i+t!re, with it$ '!nchy one-iner$ a&!$ing ndian iewer$ #ro& "!$ $tand$, a&' *io$*$and "i"oard$ #or oer thirty year$. A&!$ /e" $ite wa$ a!nched in March 199 "y an

initiatie o# the &ar*eting de'art&ent, in con$!tation with the in#or&ation $y$te&$

dii$ion3 the $ite i$ de$igned and ho$ted "y M!&"ai-"a$ed !ttery, a #itting recognition o# the Thoro!gh"red, Httery

>!ttery eicio!$ A&!. Eery wee*, A&!$ to'ica ad$ #or it$ "!tter 'rod!ct$ are

'o$ted on it$ /e" $ite, aong with reci'e$ #or ndian di$he$ #eat!ring A&! 'rod!ct$.

Archie$ o# h!ndred$ o# to'ica dating "ac* to 19@9 are aaia"e on the $ite. The to'ica

hae a$o "een carried eery day on the ndia-/ord ho&e 'age.

Bo(ay


33/62

her #o!r-year-od who draw$ her attention to the hoarding that ha$ co&e !' oernight. t

wa$ the #ir$t A&! hoarding that wa$ '!t !' in M!&"ai, reca$ heea Mane. 8eo'e

oed it. re&e&"er it wa$ o!r #ao!rite to'ic o# di$c!$$ion #or the ne+t one wee*V

Eerywhere we went $o&ehow or the other the ca&'aign away$ $ee&ed to cro' !' in

o!r coner$ation.U

trategicay 'aced hoarding$ at &any tra##ic ight$, $he i$ the A&! &o''et eeryone

oe$ to oe (inc!ding 'ric*y otarie$ o# the hi ena and >D8). ow o#ten hae they

$to''ed, oo*ed, ch!c*ed at the A&! hoarding that ca$t$ her $o&eti&e a$ the coy, $hy

Madh!ri, a "od $en$!o!$ Hr&ia or $i&'y a$ her$e#, dre$$ed in her itte 'o*a dotted

dre$$ and a red and white "ow, hoding o!t her #ao!rite 'ac*et o# "!tter.

or I0 odd year$ the Httery >!ttery gir ha$ &anaged to *ee' her #an #oowing intact.

o &!ch $o that the ad$ are now ready to enter the Guinness Book of World Records#or

"eing the onge$t r!nning ca&'aign eer. The !ti&ate co&'i&ent to the "!tter ca&e

when a >riti$h co&'any recenty a!nched "!tter and caed it Httery >!ttery, a #itting

recognition o# the Thoro!gh"red, Httery >!ttery eicio!$ A&!.

ro& the i+tie$ to the ?inetie$, the A&! ad$ hae co&e a ong way. /hie &o$t 'eo'e

agree that the A&! ad$ were at their 'ea* in the Eightie$ they $ti &aintain that theA&! ad$ contin!e to tea$e a!ghter o!t o# the&. /here doe$ A&!$ &agic act!ay ieW

Many "eiee that the char& ie$ in the catchy ine$. That we a!gh "eca!$e the h!&o!r i$

what any"ody wo!d enoy. They dont 'ander to yo!r nationaity or certain $enti&ent$. t

i$ '!re and $i&'e, eeryday #!n.


34/62

Chocolate Consu(/tion #n enetration

8er ca'ita con$!&'tion o# chocoate$ and con#ectionery in ndia i$ &in!$c!e at 20g&$ inndia a$ co&'ared to aro!nd 5-G *g$ and G-10 *g$ re$'ectiey in &o$t E!ro'ean

co!ntrie$.

8enetration o# chocoate 'rod!ct$ aerage$ at 4.2 at a ndia ee.

Con$!&'tion i$ concentrated in arge &etro$ with 'o'!ation o# oer 1&n, where

'enetration i$ co&'aratiey higher at 15.4.

8enetration in $&a and &edi!& $ize town$ aerage$ 9-10.

n r!ra area$, the 'rod!ct$ are 'erceied a$ con$'ic!o!$ con$!&'tion and 'oor a!e #or

&oney. 8enetration i$ !nder$tanda"y ow at 1.9.

Con#ectionery 'rod!ct$ $!ch a$ hard-"oied $weet$, to##ee$, &int, chewingP "!""e g!&$

on the whoe hae 'enetrated in 14.2 o# ndian ho!$ehod$.

Hr"an 'enetration i$ 2I and r!ra 'enetration i$ 10.@.

The 'enetration o# "oied $weet$P to##eeP &int i$ 10.I in !r"an area$ and @ in r!ra

area$, wherea$ the $a&e #or chewingP"!""e g!&$ i$ G.@ in !r"an area$ and 2.5 in

r!ra area$. n reatie ter&$, the 'enetration i$ higher in arge and &edi!& $ize

town$Pcitie$.

Con#ectionery 'rod!ct$ $od in r!ra area$ are argey #ro& !norganized oca 'ayer$.

Awarene$$ a"o!t chocoate$ i$ ery high in !r"an area$ at oer 95.

n r!ra area$, awarene$$ a"o!t con#ectionery 'rod!ct$ i$ $igni#icanty higher at G0-90

co&'ared to chocoate awarene$$ at I0-40. !e to the $&a $ize o# r!ra &ar*et, &o$t

'ayer$ hae not e+tended their di$tri"!tion networ* to r!ra area$. A 'art o# con$!&'tion


35/62

there#ore i$ re're$ented "y the 'rod!ct$ "ro!ght #ro& !r"an area$, "y &ae &e&"er$ who

wor* in citie$ and i$it their iage 'eriodicay.

Consu(er Haits #n ractices

Chocoate$ are con$!&ed a$ ind!gence and not a$ $nac* #ood, a$ 'reaent in we$tern

co!ntrie$. A&o$t @5 chocoate$ and 90 con#ectionery are i&'!$e '!rcha$e$.

Chocoate$ are "o!ght 'redo&inanty "y ad!t$ and gi#ted to chidren. irect

con$!&'tion "y ad!t$ ha$ a$o increa$ed.

n contra$t, oer 90 o# con#ectionery 'rod!ct$ are '!rcha$ed "y chidren "etween the

age o# and 14, directy. n &o$t ca$e$, 'arent$ do not a''roe o# con#ectionerycon$!&'tion, and chidren "!y o!t o# their 'oc*et &oney.

Chocoate con$!&'tion i$ concentrated argey in &etro'oitan citie$. Con#ectionery

con$!&'tion i$ wide $'read. The !norganized $ector ha$ a greater do&inance in r!ra

area$.

Con#ectionery con$!&'tion ha$ a $ea$ona 'attern. ae$ 'ea* o# con#ectionery i$ in

winter &onth$ #ro& ?oe&"er to e"r!ary. %##-ta*e i$ owe$t in the $!&&er &onth$ a$$choo$ are co$ed and there#ore chidren$ 'oc*et &oney i$ ower. A$o in &on$oon

con$!&'tion #a$ a$ chidren are o!t o# ho&e #or e$$er ti&e. >etween e"r!ary and

A'ri 're$$!re o# e+a&ination$ ca!$e$ ower $ae$.

>rand oyatie$ are wea* in con#ectionery 'rod!ct$. Chidren oo* #or noety and

e+cite&ent. Mo$t '!rcha$e$ are i&'!$e drien and 8%8 retai di$'ay$ (di$'en$er$, etc)

'ay an i&'ortant roe. 8ro&otion$ $!ch a$ $tic*er$, cric*eterP $tar 'ict!re$ hae

tre&endo!$ i&'act.

Cro$$ ea$ticity o# de&and - i##erent 'rod!ct$ a&ong$t con#ectionery $!ch a$ hard

"oied $!gar candy, "!""e g!& etc co&'ete inter $e and a$o with ice crea& and

chocoate$.


36/62

Con#ectionery &ar*et i$ e+tre&ey 'rice $en$itie. n ndia, 50 'ai$e !nit 'rice ha$ "een

the arge$t $eg&ent, #oowed "y 25 'ai$e $eg&ent.


37/62

'nustry u/ate

There ha$ "een a $eere $ow down in the growth. The ind!$try growth ha$ irt!ay

$creeched to hat, $howing a growth o# 0. d!ring A'ri 2001, a$ co&'ared to .G

growth in 2001. The reen!e growth can "e attri"!ted to $eere dro!ght condition$ in

ario!$ 'art$ o# the co!ntry, ower r!ra de&and, decining "!$ine$$ con#idence and

ower in#ationary 're$$!re.

11#$

8#64#3 3#3

0#60

$

10

1$

F-C 'nustry "ro,th .or #/ril 2001 an .our

/recee in" ?uarters

A the co&'anie$ e+ce't #or the Cad"!ry$ $howed a &a$$ie deceeration in A'ri.

Co&'anie$, who$e growth rate$ were in do!"e digit$ or high $inge digit$, are $howing

ow $inge-digit growth rate$. Co&'anie$, which were aready $howing negatie growth

rate$, hae $id dee'er into the red.

Co&'any ae$ (


38/62


39/62

+erall /ictures

nd!$try ae$

rowth in

ae$ ()

Aderti$ing

'end

rowth n

Ad $'end

Mar*eting

$'end

rowth in &ar*eting

$'end ()

Chocoate @I2.15 5.19 1.GI 2.5 [email protected] @5.GG

%o/ 200 ar)etin" /eners

1999-2000 199G-1999 Co&'any

ear

Ending

Mar*et

'end$

(crore)

Change oer

'reio!$

ear$ ()

ae$

(crore) Mar*et $'end$P $ae$ ()1999-2000 199G-1999

9 1@1 Cad"!ry ndia ec-99 11.I1 4I.1 511.0G 2.21 1.G4

@4 1G5

A&!

(CMM) Mar-00 15.IG 1I@.@1 94.04 1.I5 4.5

%o/ 200 a+ertisin" /eners

1999-2000 199G-1999 Co&'any

ear

Ending

Ad

'end$

Change oer

'reio!$ ear$ ()

ae$

(crore) Ad $'end$P$ae$ ()1999-2000 199G-1999

5 5 ?e$te ndia ec-99 11I.09 4.22 154.4I @.I1 .@

1I 20

Cad"!ry

ndia ec-99 52.12 I2.25 511.0G 10.2 9.2

estle #+ertisin" /en Chan"e o+er the last 5 years

44#36 $6

7#8

108#$1 113#0

0

20406080

100120

1$&

16

16&

17

17&

18

18&

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2000

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# s/en Hi)ers


40/62

Co&'any


41/62

and e&$. t wa$ a $trategy that introd!ced con$!&er$ to a ariety o# ta$te$ and

'rod!ct #or&$ eading to a ra'id increa$e in chocoate con$!&'tion.

o ?e$te ha$ "een contin!o!$y wor*ing on the new 'rod!ct$ a$ 'er the need$ o# the

con$!&er$. ince the a!nch they hae introd!ced &any new 'rod!ct$, which ha$

'aced a $weet ta$te in the heart o# the c!$to&er$. They hae 'roided ario!$

'rod!ct$ with di##erent ta$te $!ch a$- ?e$te ca$$ic, >ar one, 7it 7at, o+,

Cr!nch, Mi*y "ar, ?e$te cair$ etc.

o A&! in ndia *now$ the e+act re6!ire&ent o# the ndian c!$to&er$ and ha$ "een

a"e to #!#i the re6!ire&ent$ with wide ariety o# 'rod!ct$. A&! ha$ 'roided

a ty'e$ o# chocoate 'rod!ct$ i*e- A&! cri$', A&! cr!nch, A&! orange,

>ada&"ar, A&! &i* chocoate, etc.

Auality /roucts at lo, /rice


42/62

a c!$to&er$ that are een a 'er$on with ow inco&e can e##ort it. The 'rice$ o#

the 'rod!ct$ are #ar e$$ i# co&'ared to other co&'anie$.

'nno+ati+e attracti+e /ac)a"in"hi 7ahin >hi (anyti&e, anywhere) and ha$

introd!ced new #ao!r$ i*e YMint intL, YMango TangoL, ;ery traw"erryL. t

ha$ a$o introd!ced ario!$ new chocoate$ i*e o!& and r!t!$ in recent

year$.

o ?e$te ha$ "een contin!o!$y co&ing !' with new 'rod!ct$ 'roiding di##erent

ta$te to the 'rod!ct$. They recenty introd!ced 'oo the re#re$hing chocoate. or

the co&'etition they a$o introd!ced 7it 7at the wa#er chocoate that wa$

$!cce$$#! and '!$hed the &ar*et in great co&'etition. t ha$ recenty introd!ced

the Mi*y"ar cair #acing the co&'etition o# Cad"!ry cair$ een then a"e to

re&ain the con$!&er$ one o# the #ao!rite.

Constant i+ersi.icationy '!rcha$ing the 'rod!ct, getting the ar #ree3 attracted a arge

n!&"er o# c!$to&er$. Thi$ o##er ha$ 'roed $!cce$$#! in ndia.

#(use(ent ar)s %ourist /lacesJ Cad"!ry$ 're$ence in the 're&ier

a&!$e&ent 'ar*$ $!ch a$ E$$eword and A''! har add$ to the &agic o#

chocoate$ "y co&ing aie #or the con$!&er. Een A&! can "e $een in nearya the 'ace$ a oer ndia. A&! &i* and other 'rod!ct$ indiid!a $ta$ can "e

$een o!t o# &any #a&o!$ 'ace$ that are nor&ay i$ited "y to!ri$t i*e Ta

Maha, awa Maha etc. ?e$te a$o ha$ receied con$idera"e 'ace in 'ar*$ i*e

anta$y-and, !ra water 'ar* etc. in M!&"ai.


49/62

#,ars!ttery gir ha$ &anaged to *ee' her #an #oowing

intact. o &!ch $o that the ad$ are now ready to enter the Guinness Book of

World Records#or "eing the onge$t r!nning ca&'aign eer.

o a&a*ha #actory receied the aryana tate a#ety and /e#are Award #ro& the

Ba"o!r e'art&ent, oern&ent o# aryana, an award intended to enco!rage

ind!$trie$ to e+ce in $a#ety and eniron&enta e##ort$.

/ecial strate"iesada&"ar

%!t o# the 100 re$'ondent$ GI 'eo'e had heard a"o!t airy Mi* and @2 o# the& had

con$!&ed it in their i#e. ?o other "rand co&e$ anywhere near airy &i*. A#ter dairy

&i* con$!&er$ nor&ay thin* and an$wer$ 5 $tar which i$ an od chocoate re'o$itioned

now in ndian &ar*et. %ther "rand$ are nor&ay $econd choice o# the con$!&er$. >y

na&e o# chocoate the ery #ir$t i&age created in the &ind$ o# 'eo'e i$ dairy &i*.


59/62

%he to/ 10 ?ualitiesthat /eo/le loo) out .or in a chocolateare

1. ae a 'er#ect ta$te or deicio!$ to eat

2. ?!tritio!$ and heathy

I. or #!n #ied &o&ent

4. $ a!e #or &oney

5. re$hen$ yo! !'

. 8rice

@. !aity

G. 8ac*aging

9.


60/62

e/ositionin"

?ow on the "a$i$ o# $!rey and /%T anay$i$ done we can re'o$ition the chocoate in

the ndian &ar*et a$ 'er the need$ o# the c!$to&er$.

1. !istriution< Chocoate $ho!d "e aaia"e in a i.e. een a $&a $tore in ndia.

Een the r!ra &ar*et $ho!d "e ai&ed at 'roiding chocoate$ eerywhere in

ndia.

2. #,areness


61/62

aaia"e in ario!$ $ize$. The 'rod!ct 'ac*age $ho!d create an i&age in the

&ind$ o# the 'eo'e i*e '!r'e coo!r #or Cad"!ry$.

@. es/onsiilities


62/62

12. Co((unication channelsJ !e to it$ "rand a!e co&'any $ho!d win the heart$

o# con$!&er and th!$ enoy$ word o# &o!th in#!ence i.e. 'er$onne

co&&!nication-one con$!&er act$ a$ the other con$!&erL$ "!ying g!ide and

adice$ hi& to "!y the 'rod!ct. ?on-'er$onne co&&!nication i$ &edia that

carrie$ &e$$age witho!t 'er$ona contact with the con$!&er. Maor &edia

con$i$t$ o# 'rint &edia, and di$'ay &edia, and "roadca$t &edia. Co&'any $ho!d

ado't the co&"ination o# a the$e three &edia. >!t they !$e the "roadca$t &edia

and a$ty the 'rint &edia.

cadbury s project

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