Distribution channel of Cadbury India

A report submitted to Delhi Business School, New Delhi as a part fulfillment of MBA+PGP Graduate program (industry integrated) in entrepreneurship and business

Submitted to: Director Academics Delhi business school Ne' Delhi

Submitted by: Name of student: udhir !hauhan "oll# No: $%& Batch: pring&( th emester: ) *ni+ersity P,*

-aculty: mriti harma

Dbs
delhi business school Delhi Business chool B.//0M#!#/#1#2 Mathura "oad2 Ne' Delhi 3ebsite: '''#dbs#edu#in
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TABLE
Title Ac4no'ledgement Preface !ompany profile "ational cope of the pro8ect "e+ie' of the 9iterature 3:, Analysis ,he Pro8ect

! C NTENTS
"a#e No$ 5 ) 6 $7 $5 $) 7& 77 75 7) 7% )7 )5 )) )6 )% )> )?

"esearch Bac4ground "esearch :b8ecti+e ; <ypothesis "esearch Methodology -indings "ecommendations 9imitations !onclusion 1=ecuti+e ummary Bibliography

Analysis ; /nterpretation

Appendi=

Ac%nowled#ement
/ 'ish to e=press my appreciation and than4s to 'hom / ha+e had the opportunity to 'or4 and 'hose thoughts ; insights ha+e helped me in furthering my 4no'ledge and understanding of the sub8ect# 1+ery page of this report reminds me about the moral support and guidance that 'as besto'ed on me by the respected Guide2 friends and family members throughout the duration of the pro8ect# My sincere gratitude goes to faculty Mr# Priyan4 A@ad 'ithout 'hose +alued guidance2 encouragement and inspiration the presentation of this pro8ect 'ould e+er ha+e been possible# 9ast but not the least / 'ould li4e to e=press my gratefulness to my institute and my 9ab faculty members of Delhi business school2 Ne' Delhi# / am unable to mention many others 'ho ha+e helped me greatly but it gi+es immense pleasure to appreciate and than4s all those 'ithout 'hose encouragement and help this pro8ect 'ould ne+er ha+e been completed#

"reface
5

,he pro8ect &A ST'D( "* D'CTS

N T)E DIST*IB'TI N T !IND

! T)E 'T T)E

! CADB'*( INDIA

IN!L'ENCIN+ !ACT *S AND SC "E ! * !'*T)E* I,"* -E,ENT is to analy@e the factors 'hich influence to sale of the Products from the uncon+entional channel outlets and further scope for impro+ement in the uncon+entional channel# ,here are three distributors in N!D 'ho are co+ering the Delhi area# # /n this pro8ect / ha+e to analy@e the influencing factors 'hich influence the sale from the outlets of uncon+entional channel under N!D and 'hat type of support the outletAs o'ner 'ant from the company #,his pro8ect also includes the 3:, analysis2 mar4eting channel theory and suggestions 'hich 'ill help to understand the needs of the outlets

!ompany Profile
)

Cadbury Schweppes
!adbury ch'eppes is the No#$ confectionery and third largest soft drin4s company in the 'orld# 3e manufacture2 mar4et and distribute branded chocolates2 confectionery and be+erages that bring smiles to millions of consumers across $?& countries# ,he origin of the group goes bac4 o+er t'o centuries# ome of the most lo+ed international brands are from the stable of !adbury ch'eppes B !adbury Dairy Mil42 Dr Pepper2 -la4e2 ,rebor Basset2 napple2 Motts andC 'ith the acDuisition of Adams2 brands li4e . <alls2 !lorets2 ,rident2 Dentyne and Bubbas bubble gum range 'ill no' be part of the GroupAs portfolio# 662&&& people populate the humming offices of !adbury ch'eppes across the globe# ,he !ore purpose of !adbury ch'eppes is ./or%in# better to#ether to create brands 0eo0le lo1e.# 3e are respectful of the social and natural en+ironment in 'hich 'e operateE supporti+e of our consumers2 customers and colleaguesE proud of our heritage2 and passionate about success#

Cadbury India Ltd$

6

!adbury /ndia began its operations as a trading concern in $()># ,he first taste of chocolate 'as defined by !adbury in the /ndian sub continent# ,he company today employs nearly 7&&& people across /ndia# 3ith brands li4e Dairy Mil42 Gems2 6 tar2 Bourn+ita2 Per42 !elebrations2 Bytes2 !hoc4i2 Delite and ,emptations2 there is a !adbury offering to suit all occasions and moods# 3e bring the s'eetest of smiles to millions of consumers through our dearly lo+ed brands distributed through 6#6 la4hs outlets across the country# !adbury ch'eppes is the No#$ confectionery and third largest soft drin4s company in the 'orld# ,he origin of the group goes bac4 to o+er t'o centuries# ome of the popular international brands of the company are !adbury Dairy Mil42 Dr Pepper2 -la4e2 ,rebor Basset2 napple and Motts# ,he company also has <alls2 !lorets2 ,rident2 Dentyne and Bubbas bubble gum range in its portfolio 'ith acDuisition of Adams in December 7&&7# ince $(%(2 !adbury ch'eppesA has focused on confectionery and non.alcoholic be+erages# /n 7&&)2 %& per cent of the GroupAs net sales came from confectionery and )&per cent from be+erages#

!adbury /ndia is a 'holly o'ned subsidiary of !adbury ch'eppes 'hich has operated in the country for more than 66 years# /t 'as originally incorporated as a 'holly o'ned subsidiary of !adbury ch'eppes :+erseas 9td in $()?# ,he company today employs nearly 72&&& people across /ndia#

!adbury /ndia is the No# $ confectionery company 'ith a >& per cent mar4et share in /ndia# Cadbury is mainly into three se#ments:

Chocolates .!adbury /ndia is the mar4et leader in the chocolate confectionery mar4et in /ndia 'ith o+er >& per cent mar4et share# ,he leading brands in this category are !adburyAs Dairy Mil42 -ruit ; Nut2 !rac4le2 ,emptations2 6 tar2 Per4 ; !elebrations Gift bo=es#

Su#ar Confectionery B !adbury Dairy Mil4 1clairs is one of the leading brands in this category# /t is amongst the largest Fclair brands in the mar4et in terms of +alue share# !adbury also o'ns <alls ('hich 'as acDuired as a part of the global acDuisition of the Adams business from Pfi@er in 7&&5)# <alls is amongst the largest brands in its segment of Minty0 Breath freshness brands in /ndia#

!ood Drin%s B !adburyAs Bourn+ita is a leading brand in the bro'n drin4s segment of mil40 malted food products# !adburyAs other products include Drin4ing !hocolate and !ocoa po'der# :+erall share in the malted food drin4s mar4et is estimated to be around $( per cent#

,he company has recently made a foray into snac4ing category 'ith !adbury Bytes2 its s'eet snac4ing brand# ,he company has been performing

>

'ell in /ndia# ,he net sales of the company ha+e increased from around * G $5$#% million in 7&&& to * G $%%#5 million in 7&&6# !adbury /ndia 'as recogni@ed as one of the /ndiaAs best managed !ompanies in 7&&7 by Business ,oday and A, Hearney# /t 'as also ad8udged one of the /ndiaAs 76 great places to 'or4 in 7&&5 and 7&&) by Business 3orld and Gro' ,alent# !actors for Success E2tensi1e distribution networ% !adburyAs brands are a+ailable in o+er a million outlets across the country# ,he distribution net'or4 directly co+ers almost the entire urban population# ,he company has in+ested significantly in building such an e=tensi+e net'or4# ,he company uses /nformation ,echnology to impro+e its logistics and distribution competiti+eness# !adbury has impro+ed the distribution Duality of its products 'ith the installation of refrigerators at se+eral outlets# ,his helps in maintaining product Duality in summer2 'hen sales usually dip due to the fact that the heat affects product Duality and thereby consumption#

Creation of stron# brands !adbury o'es its success to strong brand eDuity and resultant consumer preference that it en8oys in /ndia# ,he company has built strong brand eDuity
?

through consistently high product Duality2 rele+ant2 insightful and entertaining communication# !adbury has de+eloped ne' channels for mar4eting its brands such as Gifting and Customi3ation of 0roducts for India !adbury /ndia has spent time in understanding the /ndian consumers# 9e+eraging its 66 years of e=perience in /ndia2 the company has customi@ed its products to the /ndian mar4ets# /t also offers products at affordable price points so as to increase its mar4et penetration# Le1era#in# the India Ad1anta#es ,hough2 /ndia contributes to less than 6 per cent of the global re+enues today2 /ndia is critical to the global strategy of the company ,ana#erial Talent !adbury has begun recruiting management graduates in /ndia to ser+e its global operations# )u#e mar%et 0otential /ndia offers huge mar4et potential and is a priority mar4et for !adbury# ,he company also le+erages /ndia as a manufacturing base for producing
(

nac4ing# ,he company places

great emphasis in ensuring display dominance at the point of purchase

products for the o+erseas mar4et# !adbury /ndia has ) company o'ned factories and as many third party manufacturing contractors# /t also has a 'ide ales ; Distribution infrastructure consisting of 55 depots managed by ) regional sales branches across /ndia# !uture "lans !adbury /ndia e=pects strong gro'th in /ndia in future# ,he company plans to increase the franchise of its e=isting brands and continue to e=plore ne' product opportunities including ad8acent mar4et opportunities# !adbury /ndia is also loo4ing for more opportunities in the AA"! region#

Cadbury India Ltd$: At a #lance I !adbury: No#$ confectionery and third largest soft drin4s company in the 'orld# Presence across 7&& countries# 662&&& employees 'orld'ide I !adbury in /ndia: Presence for o+er 6& years# Mar4et leader in the chocolate confectionery mar4et# I -actors for success: e=tensi+e distribution net'or42 strong brands2 customi@ation to /ndian mar4et# I -or !adbury2 /ndia is: huge potential mar4et2 source of managerial talent I -uture plans2 /ndia: ,o e=plore larger portfolio for gro'th# ,o loo4 for opportunities in
$&

AA"! region# -ision: Cadbury is an or#ani3ation which im0acts and interacts with the consumers$

!adbury is present in most happy occasions in the life of our consumer# :ur brands e=cite our consumer# !adbury is an e=pression of a consumerJs life#

Cadbury !ull of Life

!adbury as a company is +ibrant# !adbury is a fun and energi@ing 'or4place# !adbury is robust and ali+e#

*ATI NALE

$$

,he uncon+entional channel of the !adbury is to analy@e the ne' 'ay to impro+e the mo+ements of the product# ,he uncon+entional channel includes the s'eet shops2 stationary shops2 Archies2 school0college and also Gift hops# As a 'inter trainee my ob8ecti+e is to analy@e the mar4et de+elopment2 facilities pro+ided by the company and to 4no' about the factors 'hich influence the uncon+entional outlets# After 4no'ing the reDuirement and beha+ior of customers 'ill help to sort out the problem of lees customer base# During this pro8ect / interacted 'ith the outlets o'ner and get the chance to 4no' about mar4eting and selling of product of !adbury# ,his 'ill help me further in future to ma4e my career#

SC "E

! T)E "* 4ECT

$7

,he pro8ect 'as done to finding a reason of the fe'er customers base of the some uncon+entional outlets# ,he pro8ect 'ill help to 4no' about the state of mind of outlets o'ner 'ho are selling the !adbury products and -ind out the influential factor in the mo+ement of product# ,he !ompany 'ill also be benefited as the !ompany 'ill 4no' 'hich type of supports the outletAs o'ners 'ant from the company2 'here they are lac4ing2 company can cope 'ith it# o that the

*e1iew of literature
$5

Channel inte#ration and systems Distribution channel do not stand still# Ne' 'holesaling and retailing institutions emerge and ne' channel systems e+ol+e# 3e loo4 at the recent gro'th of +ertical2 hori@ontal2 and multi channel mar4eting systemsE -ertical mar%etin# systems: one of the most significant recent channel de+elopments is the rise of +ertical mar4eting systems# A con+entional mar4eting channel comprises an independent producer2 'holesaler and retailers# 1ach is separate business see4ing to ma=imi@e its o'n profits# )ori3ontal mar%etin# systems: another channel de+elopment is the hori@ontal mar4eting system in 'hich t'o or more unrelated companies put together resources or programs to e=ploit an emerging mar4eting opportunity# ,ulti channel mar%etin# systems: many companies sold to a single mar4et through a single channel# ,oday 'ith the proliferation of customer segment and channel possibilities more companies ha+e adopted multi channel mar4eting# Multi channel mar4eting occurs 'hen a single firm uses t'o or more mar4eting channels to reach one or more customer segments# -or the concern about the !adbury /ndia has to de+elop the ne' 'ay to push the sales through de+elopment of ne' channel such as s'eets shop2 school0college canteen etc# Basically it is uncon+entional 'ay to sales the product# No' it is +ery popular 'ay to enhance its sales# ,here is t'o 'ay for the mo+ement of the products in the !adbury /ndia 9td#
$# Con1entional channel2 'hich includes mainly the "etail shop# /t is

the base mar4eting of the company#

$)

7# 'ncon1entional channel 2 'hich includes s'eets shops2 stationary

shops2 school2 college2 Archies2 gift shops and !yber cafF# Before fi+e years the company has started to ma4e mar4et in these areas under the name of Ne' !hannel De+elopment# ,here is three distributors under N!D 'ho are co+ering the Delhi area#

The "ur0ose of ,ar%et *esearch

Mar4et research is the collection and analysis of data in order to identify and satisfy consumer needs# ,he main purpose is to reduce ris4 and facilitate decision ma4ing# /t is particularly useful 'hen launching a ne' 'ay of mo+ement of product and ensures that the rights trategy are de+eloped# Mar4et research pro+ides information on consumer needs and 'ants2 competitors2 the mar4eting mi= and potential sales#

Consumer needs and wants . indi+iduals ha+e different reDuirements and consumers 'ith similar characteristics must be identified# A company can then choose a target mar4et or section of the mar4et for its products# ,his pro+ides a focus for mar4eting acti+ities.

Com0etitors . no firm e=ists in isolation# !ompetitors must be identified and their actions monitored# "esearch must be underta4en on competing products in order to identify a competiti+e ad+antage for the ne' channel
$6

de+elopment. ,ar%etin# mi2 . mar4eting in+ol+es ha+ing the right product at the right price in the right place using the right promotion# ,hese are the )Ps of the mar4eting mi=# /t is necessary for the right combination of these to be used in order for a product to be successful# -or instance there is no point ad+ertising nationally if research sho's the product is only sold in the local area# "otential sales . by 4no'ing the li4ely le+el of sales a firm 'ill be able to estimate the correct amount to produce0supply# ,his reduces the financial ris4 in+ol+ed and ensures the ma=imum return from the firmAs in+estment# ,ethods and ty0es of mar%et research There are two main methods of market research desk research and field research. Des% research2 also 4no'n as secondary research2 is ma4ing use of information that is already a+ailable# /nternally the firm can dra' on its o'n records# Different departments can pro+ide information on sales trends2 customers and castings2 'hich are useful in the de+elopment of ne' products# 1=tensi+e published material can also be sourced e=ternally# /n addition the de+elopment of ne' technology such as the internet pro+ides information at the touch of a button#

$%

-ield research or primary research is carried out by contacting potential consumers directly# /t may include sur+eys2 Duestionnaires and general obser+ation# ur+eys in+ol+e Duestioning people directly about their attitude to a particular product or ser+ice# ur+eys are usually carried out using a face to face inter+ie' or by telephone# Because it is impossible to sur+ey all target customers2 sampling is used# A representati+e group or sample2 'hose +ie's 'ill accurately reflect the target population2 is chosen# Kuestionnaires are lists of prepared Duestions 'hich potential customers are as4ed to fill out# ,hey are often used in con8unction 'ith sur+eys# !areful attention must be gi+en to the design of Duestionnaires so that the ans'ers recei+ed are of +alue for decision ma4ing# /nformation can be gathered by obser+ing people ma4ing purchases# A particular store2 for e=ample2 could be chosen and a study made of ho' many people buy a particular product. ,here are t'o types of mar4et research . 5uantitati1e and 5ualitati1e# Kuantitati+e research pro+ides numerical data# At the completion of a Duantitati+e pro8ect it is possible to say (for e=ample) 'hat proportion or percentage of the population fall into different groups B those that 'ant something2 those that 'ould be li4ely to buy something2 those that are in fa+aor of a particular policy or plan2 etc# ,he essence of Duantitati+e research is that e+ery respondent is as4ed the same series of Duestions# 6uantitati1e research can be carried out in +arious 'ays including face.to. face inter+ie'ing2 by telephone2 by post and self.completion Duestionnaires#
$>

6ualitati1e research pro+ides an understanding of ho' or 'hy things are as they are# /t can be used on its o'n or to help in the de+elopment of a Duestionnaire for a Duantitati+e study# ,here are no fi=ed set of Duestions and therefore no assumptions about 'hat is2 or is not2 important# /nstead there is a list of topics2 problems2 or possibilities to be e=plored# ,he informantAs o'n concerns or assumptions hea+ily influence the form and nature of the discussion# Kualitati+e research can be used for e+erything from testing reaction to a potential ne' ad+ertising campaign2 to e=ploring staff attitudes to a ne' management structure or procedure# ,here are +arious sorts of Dualitati+e research2 including unstructured inter+ie's and focus groups (group discussions)#

New Channel De1elo0ment "rocess

Idea generation Method screening
$?

Concept development Feasibility study Test marketing Launch

Se#mentation:7 !ompany has sound bac4ground apart from that they are loo4ing for another segment to enhance their sales# Apart from the retail they de+elop the ne' uncon+entional channel of school0collegesE s'eets shop ArchieAs etc#,he range of Product pro+ided by !adbury has been segmented as a premiere product for the people 'ho 'ant better taste and Duality#

Tar#et:7 -or this purpose they are approaching the premiere school and colleges in the Delhi as 'ell as they are also loo4ing for s'eets shops such as Agra'al
$(

s'eets 'here they they preferred to sale the (&L !adbury product# !adbury /ndia 9td has been targeted to the young generation as 'ell as children#

"ositionin#:7 ,hey are promoting their product through Ad+ertisement by the uper tar 'hich attracts the 4ids and also young generation# !adbury /ndia has been positioned as a premium product to ser+e school or college group of people#

S/ T ANAL(SIS

ST*EN+T)
7&

 1=perience of more than 6& years of business in /ndia# trong !ustomer base among chool0!ollege tudents# Mar4et leader in the chocolate confectionery mar4et#
1=tensi+e distribution net'or42 strong brands2 customi@ation to /ndian

mar4et and huge potential mar4et#

/EA8NESS 9ess Mo+ement of product in uncon+entional outlets compare to "etail Mar4et

""'*T'NITIES:7 1mergence of ne' channel de+elopment# /ntroduction of ne' 'ay to promote their product# T)*EATS:7

!ompetitor li4e imported !hocolates and local brand

*esearch Bac%#round
7$

3ith opening up the boundaries in the country for pri+ate players many multinational players entered in the mar4et 'hich gi+es rise to the cut throat competition# /t forced the -M!G organi@ation to define a need based strategy to sur+i+e in the mar4et# Many -M!G organi@ations ha+e made enormous in+estments in relationship.based strategies in recent years2 hoping to increase profitable re+enue gro'th through impro+ed customer interaction# But ma8or initiati+es B such as customer relationship management2 needs based selling and segmentation B often fall +ictim to front.line e=ecution in the outlets2 in contact centers2 online and in other channels2 causing potentially huge opportunities to be lost# uccess of any relationship strategy is sub8ect to the satisfaction of the customers# 3e also understand that customer satisfaction and loyalty is intrinsically coupled to the 'ell.being and long term gro'th of the company# /n other 'ords2 the success of your company depends on ho' satisfied and loyal your customers are# 3e are also a'are of the fact that acDuiring ne' customers is about ten times more e=pensi+e than ser+icing e=isting customers# Mery simply put2 loyal customers decrease acDuisition costs and increase profitability# Also in this era2 'hen cut throat ri+alry e=ists in -MG! sector2 players in this industry are no' seriously concentrating on the feasibility of the concept of +irtual mar4eting# /n this frame'or4 / ha+e done a research 'or4 to find out to 'hat e=tent the de+elopment based strategy of !adbury /ndia is successful in Ne' Delhi#

77

*esearch b9ecti1e:

b9ecti1e : )y0othesis

75

!onducting a study on the distribution of products in the De+elopment of !adbury /ndia 9imited2 Ne' Delhi to find out the influencing factors and scope for further impro+ement# ,imely deli+ery of orders to the outlets Distributors are gi+ing the good ser+ice to the o'ners of the outlets# ales 1=ecuti+es of the company are not +isiting the outlets at regular inter+al# Mariation in sale of products due to change in the season /nternal factors ; attitude affected the sales

*esearch ,ethodolo#y

7)

*esearch desi#n: My research 'as e=ploratory one# / ha+e collected the reDuired information about the de+elopment of !adbury /ndia from different sources at NBusiness /ntelligence *nitO of !adbury /ndia located at Ne' Delhi# Apart from that / did a sur+ey to analy@e the success of the De+elopment of !adbury /ndia# Sam0lin# unit: My research sample 'ill be :'ners of *ncon+entional channel of !adbury /ndia2 Ne' Delhi# ,hese are the Non random sample gi+en by the company itself# Sam0lin# "rocedure: / 'ent to outlets located in Delhi and to 4no' their +ie's and opinion# Data collection method: /n order to collect the reDuired data / 'ill use a structured and pre.tested Duestionnaire#

Data Analysis: ,he data are analy@ed 'ith the help of follo'ing statistical tools: a) :ne pair ,.,est2 by 'hich / implemented these statistical tools on my Duestionnaires and then / analy@ed the effect of the test tools# b) 9inear "egression: 3ith the help this ,ool / implemented it on the sales of the outlets as a dependent +ariable depends on the internal factors such as
76

+isit of sales e=ecuti+e2 beha+ior of the "D M etc apart from mar4eting forces# Apart from that / ha+e used graphs and tables to get the clear picture of the sur+ey#

Analysis & Interpretations

)y0othesis;: ,imely deli+ery of orders to the outlets Null <ypothesis: Not timely deli1ery of orders to the outlets$

One-Sample Statistics

N delivery on time 160

Mean 1.16

Std. Deviation .364

Std. Error Mean .029

One-Sample Test Test Value = 0 9&' (on iden%e )nterval o t*e Di eren%e delivery on time t 40.1&4 d 1&9 Si!. "2#tailed$ .000 Mean Di eren%e 1.1&6 +o,er 1.10 -..er 1.21

7%

Timely delivery of the order

100

/0

60

t n c r e P
40 20 0 yes no

ontimedelivery

Inter0retation :ut of $%& respondents of the outlets2 'e see that around ?7L respondents are getting their order on time from distributor of the company and around $?L &f the respondents are not getting their order on time from distributor of the company# By applying one pair ,.,est2 the significance le+el is less than #&6 'hich means :ur hypothesis is being accepted and null hypothesis is being re8ected# o 'e can say that orders are being deli+ered on time to the outlets from the distributors of the company#
7>

)y0othesis <: Distributors are gi+ing the good ser+ice to the o'ners of the outlets Null <ypothesis: Distributors are not gi+ing the good ser+ice to the o'ners of the outlets

One-Sample Statistics Std. Error Mean .031

N Satis ied ,it* distri0utor1 s servi%e 160

Mean 1.19

Std. Deviation .396

One-Sample Test Test Value = 0 9&' (on iden%e )nterval o t*e Di eren%e t Satis ied ,it* distri0utor1s servi%e 3/.0/& d 1&9 Si!. "2#tailed$ .000 Mean Di eren%e 1.194 +o,er 1.13 -..er 1.26

7?

Satisfied with the Distributor s service

100

/0

60

t n c r e P
40 20 0 yes no

satisfiedwithdistributor

Inter0retation: :ut of $%& respondents of the outlets2 'e see that around ?&L respondents are atisfied 'ith the distributor of the company and they are getting good ser+ice from the distributor and around 7&L &f the respondents are not atisfied 'ith the distributor of the company and they are not getting good ser+ice from the distributor# By applying one pair ,.,est2 the significance le+el is less than #&6 'hich means :ur hypothesis is being accepted and null hypothesis is being re8ected# o 'e can say that a large numbers of o'ners

7(

of the outlets are being satisfied 'ith the ser+ice gi+en by the distributor of the company#

)y0othesis =: ales 1=ecuti+e of the company is not +isiting the outlets at regular inter+al# Null <ypothesis: ales 1=ecuti+es of the company are +isiting the outlets at regular inter+al

One-Sample Statistics Std. Error Mean .11/

N Visit o sales e2e%utive re!ularly 160

Mean 2.&9

Std. Deviation 1.494

One-Sample Test Test Value = 0 9&' (on iden%e )nterval o t*e Di eren%e t Visit o sales e2e%utive re!ularly 21.911 D 1&9 Si!. "2#tailed$ .000 Mean Di eren%e 2.&// +o,er 2.3& -..er 2./2

5&

"e#ular visit of sales e!ecutive to the outlets

60

&0

40

30

t n c r e P
20 10 0 on%e in a time on%e in ortni!*t never

visitofsalese!ecutive

5$

100

/0

60

Percent

40

20

3es

No

$isit of sales e!ecutive to the outlets for feedbac% purpose

Inter0retation: :ut of $%& respondents of the outlets2 'e see that around )%L respondents said that sales e=ecuti+e of the company +isited their shops0canteen once2 around $L respondents said that sales e=ecuti+e +isited their outlets once in
57

a fortnight and 65L respondents said that the sales e=ecuti+e ne+er +isited their outlets# By applying the ,.,est2 here the significance le+el is less than # &62 'hich means our hypothesis is being accepted and null hypothesis is being# o by the opinion of respondents it can say that a large number of outlets are not being +isited by the sales e=ecuti+e regularly# But in second graph it is being desired by most of the respondents that ales e=ecuti+e of the company should +isit the outlets regularly for the feedbac4#2 in 'hich ??L respondents desired for the regular +isit of the sales e=ecuti+e and $7L respondent said that there is no need of the regular +isit of sales e=ecuti+e#

&ypothesis '4 Mariation in sale of products due to change in the season# Null )y0othesis: No Mariation in sale of products due to change in the season#
One-Sample Statistics

Mean 160 2.&/

Std. Deviation .949

Std. Error Mean .05&

Variation in sale

55

One-Sample Test

Test Value = 0 9&' (on iden%e )nterval o t*e Di eren%e t D 1&9 Si!. "2#tailed$ .000 Mean Di eren%e 2.&5& +o,er 2.43 -..er 2.52

Variation in sale

34.333

5)

variation in sale due to season

50

60

&0

40

t n c r e P
30 20 10 0 ,inter summer no variation

Inter0retation(

:ut of $%& respondents of the outlets2 'e see that around %?L respondents said that there is +ariation in sale in the summer means there is decrease in the sale of product in the summer compare to other season# 5&L respondents said that there is no effect on the sale of the product due to change in the season and 7L respondents said that there is +ariation /n sale in 'inter also# By applying one pair ,.,est2 the significance le+el is less than #&6 'hich means our hypothesis is being accepted and null hypothesis is being re8ected#
56

&ypothesis )( Internal factors : attitude affected the sales *ull &ypothesis( Internal factors : attitude not affected the sales

"e#ression
$ariables +ntered,"emoved-b. Model 1 Varia0les Entered <ood 0e*avior o rdsm9 visit or eed0a%:9 visit o sales e2e%utive9 easily re.la%ement o .rodu%t"a$ Varia0les ;emoved Met*od

Enter

a 6ll re7uested varia0les entered. 0 De.endent Varia0le4 sales value

/odel Summary

Model 1

; .290"a$

; S7uare .0/4

6d=usted ; S7uare .061

Std. Error o t*e Estimate 1.322

a 8redi%tors4 "(onstant$9 !ood 0e*avior rdsm9 visit or eed0a%:9 visit o sales e2e%utive9 easily re.la%ement o .rodu%t

5%

A*O$A -b. Sum o S7uares 24.9&& 250.5/9 29&.544

Model 1

d 4 1&& 1&9

;e!ression ;esidual Total

Mean S7uare 6.239 1.545

> 3.&51

Si!. .00/"a$

a 8redi%tors4 "(onstant$9 !ood 0e*avior o rdsm9 visit or eed0a%:9 visit o sales e2e%utive9 easily re.la%ement o .rodu%t 0 De.endent Varia0le4 sales value Coefficients -a. -nstandardi?ed (oe i%ients Model 1 "(onstant$ Visit o sales e2e%utive Visit or eed0a%: Easily re.la%ement o .rodu%t <ood 0e*avior o rdsm @ 1./9& #.210 .6/3 .1/1 #.130 Std. Error .630 .053 .314 .10/ .129 Standardi?ed (oe i%ients @eta #.230 .150 .14& #.0// t 3.00& #2./64 2.154 1.652 #1.012 Si!. .003 .00& .031 .096 .313

a De.endent Varia0le4 sales value

5>

Appro!0 Sales value of the outlets in terms of money

40

30

20

t n c r e P
10 0 0elo, rs &000 rs &000 rs 10000 rs 1&000 rs 20000 rs40000 %an9t say

salesvalue

/nterpretation:

Abo+e tables sho's the linear regression 'hich identify that the sales of the !adburyAs products from the distributor to the outlets depends upon some of the -actors such as regular +isit of sales e=ecuti+e2 +isit for feedbac4 purpose2 "eplacement of the products and beha+ior of the "D M# According to the table2 !hange in any one of the +ariables 'ill change than the difference bet'een N"O and " Duare 'ill be same as the figure of Ad8usted " sDuare# /n the table it is being ho'n that the significance label
5?

is #&&? 'hich is less than #&&62 it means our hypothesis is being accepted and null hypothesis is being# But in the coefficient table it sho's that the t'o factors2 Misit of the sales 1=ecuti+e to the outlet at regular inter+al for sales promotion and for the purpose of getting feedbac4 ha+e only less significance le+el from#&6 and others factors2 easily replacement ; beha+ior of the "D M ha+e more significance le+el2 'hich means these t'o factors not play +ery important role in increasing or affecting the sale of the outlets#

Inter0retation of some +ra0hs: 10

+ a s ilyre p la c e m e n to fc a d b u rysp ro d u c ta td a m a # eo re ! p iry

6 0

& 0

4 0

t n c r e P

3 0

2 0

1 0

0 d is a ! re e a ! re e s tro n ! ly a ! re e n o ty e t re . la % e m e n t % a s e

e a s ily re p la c e m e n to fp ro d u c t

5(

Inter0retation:

Abo+e graph sho's the data that at the time of any damage or e=piry of the product the company replaces the product easily# :n this issue 6?L respondent are strongly agree2 7&L respondent of the outlets are agree2 $&L are disagree and $7L respondents ha+e no any replacement case yet#

20

Satisfied with the behaviour of the "DS/

50

60

&0

40

t n c r e P

30

20

10

0 disa!ree a!ree stron!ly a!ree

#oodbehaviourofrdsm

)&

Inter0retation:

Abo+e graph sho's that around %5L respondents are strongly agree2 7>L respondents are agree and $&L respondents are disagree 'ith this that the beha+ior of the "D M are good and they are satisfied 'ith their beha+iour 'hen they come for ta4ing order to the outlets#

30
40

Demand of support from the company

30

20

t n c r e P
10 0 rid!e dis.lay 0oard A more s%*emes .oster more mar!in no su..ort

supportfromcompany

)$

Inter0retation

Abo+e graph sho's that around 5>L respondents 'ant support from the company for the fridge2 57L respondents 'ant support from the company for the more margin compare to 'hate+er they are getting no'2 $?L respondents 'ant support from the company for the display board and poster2 $&L 'ant more schemes and 5L respondents do not 'ant any support from the company# '0

/ore discount #iven by other company compare to cadbury

&0

40

30

t n c r e P
20 10 0 yes no e7ual sale o only %ad0ury

moremar#inonothers

)7

Inter0retation

Abo+e graph sho's that around $%L respondents said that they are getting more Margin on others companyAs chocolates compare to !adbury2 )L said denying from this2 )5L are getting appro= eDual margin and 5>L outlets are selling only !adbury li4e Aggar'al 'eets shops#

)5

!indin#s
$# :rders deli+ered on time to the outlet from distributor of the company# 7# :utletAs o'ners are being satisfied 'ith the ser+ice gi+en by the distributor# 5# )# ales 1=ecuti+e of the company is not +isiting the outlets at regular inter+al# ales are being affected in summer due to less foot fall2 melting problem of chocolate and +acation in school and college# 6# ,here are more margins on imported chocolates# %# ,he sale is being affected in some of the outlets due to not ha+ing the facility of electronic storage de+ice# ># ,he sales scheme for summer to pro+ide fridge on purchase of products came too late in the mar4et# ?# !ompany is not pro+iding sales promotion acti+ities to attract the children more li4e pro+iding tattoos2 free gifts etc# (# *na+ailability of the full range of the products means shortage of the supply of the gift pac4s li4e celebrations2 heroes from the company itself# $&# ome of the outlets li4e Aggar'al 'eets shop are selling the product of !adbury only#
$$# ome of beats of outlets are co+ering large area and it is difficult

for "D M ("1 D/ ,"/B*,:" A91 MAN) to co+er it on one day#

))

*ecommendations
$# /t is not possible to pro+ide fridge facility to each outlet under sale scheme but the company should ta4e steps to pro+ide fridge to that outlets 'hich are gi+ing good sale# 7# ales 1=ecuti+e of the company should +isit the outlets at regular inter+al for the direct communication 'ith the outletAs o'ner for feedbac4 purpose 5# !ompany should ta4e steps for sales promotion for attracting children apart from ad+ertisement2 li4e pro+iding tattoos2 free gifts# )# !ompany should ta4e step for the regular supply and a+ailability of the full range of chocolates mainly the gift pac4s# 6# ome beats2 'hich co+er the large area2 should di+ide in to small parts2 so that the "D M co+er all the outlets in a day to ta4e the order from the outlets# %# !ompany should pro+ide sales scheme on timely to the uncon+entional outlets comparati+ely to retailers# ># ,he incenti+e plan of sales should be on the basis of turno+er of the outlets#

)6

LI,ITATI NS
$# A limited number of respondents 'ere inter+ie'ed#

7# ,he information gi+en by the respondent could ha+e a fragment of bias# 5# General disinterest 'as found in source of respondent#
)# Not get proper information from school and college due to cold

en+ironment

)%

C NCL'SI N
!adbury one of the oldest company in /ndia completing more than 6& years pro+iding +arious products in /ndia has established its brand name 'ith many +alue added ser+ices and by introducing a range of fa+oring products# !adbury is gi+ing more importance in sales promotion 'ith the help of media and print ad+ertising only# -or this purpose !adbury has +arious segment of its product range# 3hich ta4e care of the sales of its productsP Also it has a +ariety of products suiting different needs of the customers 'ith different +alue additions# During my research / ha+e contacted many people and found uncommon opinion that !adbury has pro+en it self as chocolate company for the people 'ho pro+ide best taste and Duality at any cost# ,here has been a sales +ariation during the period of 'inter +acation in the uncon+entional outlets# But in some outlets the company has the strong position because they are selling the products of !adbury only i#e Aggar'al s'eets shops (madanpur 4haddar)# A large number of the respondents need further support from the company to increase the sale#

)>

E>EC'TI-E S',,A*(

!adbury /ndia has made enormous in+estments for the De+elopment.based strategies in recent years2 hoping to increase profitable re+enue gro'th through impro+ed *ncon+entional channel# ,his pro8ect is all about to find the gaps in implementation of these strategies by conducting an influential factor sur+ey# ,he primary ob8ecti+e of this research is to find the scope of impro+ement in uncon+entional channel of mar4eting of the products# -or the purpose of analy@ing my ob8ecti+e / ha+e to co+er the outlets of the uncon+entional channel 'hich includes s'eets shops2 stationary shops2 Archies2 gift shops and !yber cafF in Delhi under the De+elopment of the !adbury /ndia 9imited# During the pro8ect / ha+e ta4en the opinion from the outletAs o'ner regarding the ser+ice gi+en by the distributors of the company2 'hat the support they 'ant from the company and their reDuirement ; suggestions# During my sur+ey / found that there is a scope for the impro+ement in the distribution channel of !adbury /ndia ltd# ,he !ompany can achie+e it through impro+ing the a'areness regarding uncon+entional channel to the potential buyers# ,he incenti+e plan of sales should be on the basis of turno+er of the outlets# After all2 / feel that2 this report 'ill be definitely helpful for !adbury /ndia in near future

)?

Biblio#ra0hy

($) !adbury /ndia 9imited2 Ne' Delhi (7) Mar4eting Management By Philip Hotler (5) '''#google#com ()) '''#ibef#org (6) '''#cadburyindia#com

)(

Appendi!
Kuestionnaire
Name: hop0 !ollege: Address: $# Are you selling the product of !adburyP A# Q1 B# N: "espondent Profile: !ontact no# :

7# /n any season2 is there any +ariation in the sale of !adburyRs productsP A# 3inter !# "ainy season B# ummer D# No Mariation

5# Are goods deli+ered on time from the distributor2 'hen you gi+e the orderP A# Q1 B# N:

)# <o' often sales people of the company +isit your shop0 canteenP A# :nce in a time !# :nce in a month B# :nce in a fortnight D# Ne+er

6&

6# "ate the follo'ing attributes of !adburyP ( $ for strongly disagreeCC## 6for strongly agree) Attributes Delivery time Replacem ent of products Behavior of sales man 1 2 3 4 5

%# 3hich brand other then !adbury you are sellingP ACCCCCCCCCCC BCCCCCCCCCCC !CCCCCCCCCCC DCCCCCCCCCCC ># Are you getting more margin of profit on the products of other company compare to !adburyP A# yes B# No !# 1Dual

?# -or selling the product of !adbury 'hat support you 'ant from company# A# Display /tems B# 1lectronic storage de+ice
6$

!# ales schemes

D# More discount#

(# Are you satisfied 'ith the present ser+ice gi+en by the distributorP A# Q1 B# N:

$&# /fO noO 'hat is the reason: SSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSS SSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSS $$# Anysuggestion SSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSS SSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSSS ignature ,han4 you for spending your precious time ans'ering this Kuestionnaire#

67