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Consumer Behavior in Chocolate Industry

Review of Literature

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0% found this document useful (0 votes)
16 views4 pages

Consumer Behavior in Chocolate Industry

Review of Literature

Uploaded by

msanthosh1210
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd

REVIEW OF LITERATURE

2.0 INTRODUCTION
A review of literature is description and analysis of the literature relevant to a particular field or topic. It
provides an overview of what world already had been carried out, who are the key researchers who did that
work.

2.1 REVIEW OF LITERATURE

Cadbury was introduced in the United Kingdom in 1905 and now consists of a number of different products. It

is a brand of milk chocolate currently manufactured by Cadbury. In 1824 John Cadbury opened a shop at 93

Bull street, Birmingham, England in the 1830’s. Among other things, he sold cocoa and drinking chocolate,

which he prepared himself using a pestle and mortar. Cadbury is a British confectionery company owned by

Mondelez. Cadbury India began its operations in India on 19 July 1948 by importing chocolates. In India

Cadbury operates in four categories chocolate confectionery, milk food drinks, beverage and Cadbury & gum

including the Cadbury Egg, Cadbury Dairy Milk chocolates, Flake,


Wispa, Twirl and Eclairs chocolates, and Cadbury
Bourneville drinking chocolate.

category. In 1950’s first overseas factoring near Hobart, Tasmania. In India Cadbury has 5 company owned
manufacturing g facilities and 5 sales offices in 5 meters. The corporate office is in Mumbai. Cadbury enjoys a
value market share of over 70%. The highest Cadbury brand share in the world. Cadbury India has been ranked
in the FMCG sector in 2007. In 2017 Cadbury Dairy milk introduced in Australia, blending the best of dark and
milk chocolates.

Raja Rajeswari, Kritika (2016) conducted a study to find out the consumer behavior towards Nestle
products with special reference to Coimbatore city. The objective of the study to analyze the
Consumer behavior and satisfaction and factors influencing buyer decision and determine the level of
Effectiveness. The sample size was 120 respondents in Coimbatore city. Tools used for the study
were Percentage analysis and chi-square. The researcher after conducting a study on consumer
behavior towards the products of nestle had come to conclusion that nestle received a pivotal position
in the market for their Products.

Gopalakrishnan, Karthikeyan (2013) conducted a study to find out the consumer satisfaction Towards
dairy milk chocolate with special reference to Uthamapalayam city. The main objective was to Study
the satisfaction level of customers towards dairy milk. The sample size is 100 in Uthamapalayam city.
Tools used for the study is chi- square, percentage analysis. The study mainly concentrated on
general price Level, quality and consumer expectation overall satisfaction about Cadbury dairy milk
chocolate, general Awareness and consumer preference of Cadbury dairy milk.

Patnaik, Pradeep Kumar Sahoo (2012) conducted an empirical study on consumer behavior Towards
Cadbury’s India LTD and Nestle India LTD. The objective of the study was to analyze the
Consumption pattern, examine the purchase behavior and the consumer behavior towards these
Industries. The sample size was 120 respondents in Bhubaneswar of Odisha. The marketers have to
Understand the real need, wants, beliefs, attitudes of a consumer towards product and services. The
growth Of Indian chocolate industry in the past has been hampered, because there was a stiff excise
duty on Chocolates and the non-availability of cocoa in the country. In India chocolate market is
transforming and new players were entering into the market. So, it might result in low per capita
consumption chocolate, the Future of the company seems upbeat AdeoluB, Ayan Wale, Taiwo
Aliminiand Matthew
[Link] (2005) has examined a study on the influence of advertising consumer brand
preference. The objective of the study must examine the Influence on consumer buying behavior,
determine the influence of age on advertising and make Recommendation for improvement in
advertising and brand management. The study was based on the Survey of 315 randomly selected
consumers. The tools used to analyze the data will be chi-square and Percentage analysis. The study
must find out
the advertising has a major influence on consumer preference. The study was concluded by the
advertising does not varying impact on age group.

DR. R. MANIKANDAN and A. RAMKUMAR (2018) 1“COLLEGE STUDENTS LEVEL OF AWARNESS


TOWARDS CADBURY& NESTLE BAR CHOCOLATE” chocolate
occupy a Pivotal role in the industry. Important events like Birthday, wedding day, school and college
days or any other celebration is stated with a branded Chocolates. In the competitive world each Day
the consumer attitude and thought may change to Prefer the product for our comfortable using’s. It
Depends on price,
quality, taste, flavor, brand and Image, competitive product, attractiveness, and Varieties etc. The
required primary data collected Well-structured questionnaire issued to 250 college Students of them
29 questionnaires are found to Unsuitable hence the final sample size is [Link] Present study is
focused on college student level of Awareness towards Cadbury& Nestle bar chocolate, it Is found
that window display in the department Stores, cinema theaters etc. Can also enhance level of
Awareness above the popular branded chocolate.

P. ABIRAMI & S. GAYATHRI (2018)” 2A STUDY ON CONSUMER SATISFACTION TOWARDS


NESTLE CHOCOLATE” This study Covers the consumer satisfaction towards nestle Chocolate with
special reference it. The researcher Had obtained only100 questionnaires from the Respondents.
Hence the finding of the study cannot be Generalized. The sample size was limited to 150
Respondents only. A survey of the people has been Conducted to know the liking pattern of the two
Products Cadbury from Nestle.

JAYASIMHA & SHEMAR (2018) A sample survey of 200respondents was undertaken to find out the preference
of CADBURY CHOCOLATE in Coimbatore city. The study mainly concentrated on customer preference towards
Cadbury chocolates, Convenience sampling technique has been used in the study, Percentage analysis,
Multiple responses, Descriptive statistics, ANOVA and t-test..It was found from the study that the customers
prefer dairy milk chocolate when compared to other chocolates because the cost of the chocolate is very
reasonable and the taste will attract the respondents.

Dr. Shendge [2] (2012) on his study “A comparative study of consumer perception towards Cadbury and nestle
chocolates with special reference to Navi Peth Area in Solapur city” viewed that chocolate is liked and eaten by
all age groups of people. Prof. R.C.S
From the study it can Be concluded that foreign brands like Amul. Which is Calculate as with the help
Likert scale and the value Comes out for Cadbury brand is 144.
N. VIJAYANAND, P. THILLAIRAJAN (2018) 3“A STUDY ON CONSUMER’S INCLINATION
TOWARDS NESTLE PRODUCTS IN CHENNAI CITY” Nestle customer’s inclination Chocolates, and
fulfilment. Chocolate advertises in India a chocolate advertise is predicate to be Approximately Rs.
600 crores growing at 6-8% per Annum. Nestle is the market leader with 75% Advertise share. The
global chocolate market is worth 75% annually. To identify the customer inclination Towards dissimilar
chocolate varieties. To identify the Factors distressing the customer observation towards Nestle
chocolate. Analysis of the creation, pricing, Accessibility, worth, flavor, publicity and covering of nestle
chocolates. This is focused on customer’s Inclination towards products. From study, it found Out that
greater part of customers chooses nestle Chocolates.

D. SHANTHI (2018) 4“A COMPARITIVE STUDY ON CONSUMER PREFERENCE TOWARDS


NESTLE AND CADBURY CHOCOLATES WITH SPECIAL REFERENCE TO ERODE DISTRICT”
Chocolate is liked and eaten by All age of people. The comparative study on Chocolate between
Cadbury and nestle helps in Product development and improvement in launching of new product. The
limitation of my study restricts Itself to the analysis of consumer preference, Perception and
consumption of Cadbury and nestle Chocolates. Some people often like to have a Chocolate with
good flavor, quality and crunchiness So they are going towards kit-kat and munch of nestle Due to its
taste and crunchiness.

Common questions

Powered by AI

Consumer satisfaction with Cadbury Dairy Milk is driven by factors like price, quality, and taste. Studies reveal that consumers in areas like Uthamapalayam and Coimbatore prefer Dairy Milk due to its reasonable cost, attractive taste, and product awareness created through strategic marketing efforts like window displays .

Cadbury's growth in India since its introduction in 1948 was fueled by strategic market penetration through imported chocolates and later production within India. It expanded into diverse categories such as chocolate confectionery, milk food drinks, and more, eventually establishing five manufacturing facilities and sales offices. A major factor in its success was gaining a substantial market share of over 70% in India, the highest brand share globally, by adapting to local tastes and preferences .

Consumer preferences differ in that many choose Nestlé chocolates for their flavor and crunchiness, with products like Kit-Kat and Munch being favored for these attributes. Cadbury, on the other hand, is preferred for its Dairy Milk chocolate due to its balanced taste and reasonable cost, appealing to a broad audience .

The study of consumer satisfaction towards Nestlé chocolates was limited by small sample sizes and specific regional focuses, hindering the generalization of results. This implies that broader market strategies should consider more diversified and exhaustive studies to understand consumer behavior accurately .

Advertising significantly influences consumer brand preference. The study by AdeoluB et al. showed that effective advertising impacts consumer buying behavior and does not vary significantly across age groups. Such influence is crucial for brands like Cadbury and Nestlé in maintaining and expanding their customer base .

Consumer perception plays a critical role in competition as it affects brand loyalty and market position. The perception of quality, taste, and affordability dictates preference, where Cadbury is seen as offering premium quality and Nestlé is appreciated for its flavor variety, impacting competitive dynamics .

Historically, the Indian chocolate industry faced challenges such as high excise duties and the non-availability of cocoa, which hampered growth and led to low per capita chocolate consumption. These issues made chocolate a luxury item until newer players entered the market, transforming industry dynamics and gradually boosting consumption levels .

Exhibition of chocolates in department stores and cinemas enhances consumer awareness by increasing product visibility and accessibility. This strategic placement raises brand recognition and can influence consumer preferences, as seen with brands like Cadbury and Nestlé .

Low per capita consumption implies significant growth potential and opportunities for market expansion. With increasing incomes and changing consumer habits, this presents an optimistic future for chocolate companies like Cadbury and Nestlé who can focus on marketing and accessibility to capitalize on this potential .

Cadbury secured a dominant market share in India through strategic investments in local manufacturing, extensive distribution networks, and by catering specifically to Indian tastes. It capitalized on first-mover advantages and consistently emphasized quality and brand loyalty .

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