INDEX

S.NO. TOPIC PAGE NO.

1 INTRODUCTION – MARKETING.

2 WHY DID I CHOOSE CHOCOLATE.

3 COMPETITIVE BRANDS.

4 PERMISSION OF LICENSES.

5 COMPETITORS USP.

6 RANGE OF OUR PRODUCT.

7 FEATURES.

8 NAME LOGO TAGLINE OF THE PRODUCT.

9 SWOT ANALYSIS.

10 PACKAGING.

11 CHANNELS AND DISTRIBUTION.

12 WAREHOUSING.

13 PRICING.

14 TRANSPORTATION.

15 PROMOTION.

16 SCHEMES.

17 PRODUCT’S USP AND COST EFFECTIVE.

18 SOCIAL MESSAGE.

19 CONCLUSION , REFERENCE.
 MARKETING MANAGEMENT

Marketing management refers to the application and review of a company’s

marketing resources and activities.

The scope of business marketing management depends on the size of the

business or industry in which the business operates effective marketing
management will use business resources to increase the customer bars ,
improves customer opinion of the company’s product and services , and increase
the company’s price and value.

WHY DID I CHOOSE CHOCOLATE?

Established market generate intense competition during which new and

innovative marketing strategies are required and new and exciting products are
developed. As a market develops consumer become more and more concerned
and look for more benefits from the products. Chocolates which were once
considered expensive have now become affordable by one and all. Most of the
brand produce different sizes and are priced according to the sizes.

Chocolates in India are steadily ‘mithai’ or traditional Indian sweets due to the
increasing level of social consciousness people prefer well wrapped chocolate
packets rather than sweets on occasions and festivals. Taking advantage of this
situation, the top chocolate brands in India are now concentrating on packaging
and are introducing well wrapped chocolates.

Initially chocolates were limited to a few caramel flavour and milk chocolate, till
recent years when the introduction of dry fruits in chocolates, created waves in
Indian sub-continent.

Chocolates are always very tasty and at the same time it is good for our health. In
cost of dark chocolates, it helps reducing cholesterol, blood preasure, diseases
etc. It is a year long trend that a person never gets bored of chocolates. Children
like consuming chocolate, youth give them as gifts on various occasions. Parents
buy them for their children, while aged people like to have them as after dinner
sweet. Studies reveal that chocolates have cocoa which reduces the risk of heart
strokes, reduction in speed of sunburn, balance the hormones that facilitate
weight control. My main objective of choosing chocolates is to make chocolates
which are much more tasty, healthy, diet full and calories free.
 Consumption of Chocolates

Age group Percentage

6 - 10 77%

11 – 12 85

12 – 20 70

21 – 35 48

35 and above 20
LICENSE AND PERMISSION

Everyone loves Chocolate Business as it is one the most popular food products
across the nation. There is numerous range of chocolates and other related
products that contain Chocolate Business License all over the world. It is very
much used for gifting purpose because it contains a unique taste.
As the demand of Chocolate Business License is increasing at accelerating rates
its products are prepared from cocoa and other related material of cocoa, it has
added sweeteners or sugars, milk products, and other permitted food ingredients
and flavors. Chocolate is the food product and therefore, safety measures are
compulsory. Before the clearance of chocolate in the market, it is imperative to
keep a check on the nutritional contents as it is normally consumed by children.
The product must be tested and checked as per food safety and standards.
What Permission and License are required to be Obtained for doing Chocolate
Business?
Company Registration: In India government of India regulates authority for
company registration. Chocolate Business License can be set up in India either
through sole proprietorship or Limited Liability Partnership (LLP) registration and
by opening a private limited company to get its legal existence and access
various sources of funding, as compared to the private limited company, LLP and
sole proprietorship have minimal compliances and other related formalities.
FSSAI License: FSSAI license is one of the most important licenses which is
regulated by Food Safety and Standards Authority of India (FSSAI) under FSS
(Licensing & Registration of Food Business) Regulations 2011. Every food
business operator(FBOs) who deals in food products required to get a license
through FSSAI. And it depends upon the location and turnover of the company.
If the annual turnover is up to INR. 12 lakhs then Basic Registration required to be
done;
If the Annual turnover is more than INR. 12 lakhs but up to INR. 20 crores
then State license required to be obtained;
If the Annual turnover is more than INR.20 crores then Central licenserequired to
be obtained.
This license is a unique 14-digit license number which is given to the
manufacturer, traders of the food business and it should be printed on food
packages. It ensures the quality of the product and safe for ingestion by safety
measures of food as per Food Safety and Standards Authority of India (FSSAI)
without a Food License will be treated as a legal offense and this would invite
penalties under FSS Act, 2006.
Health trade License: It is another important license that the food business
operator must have. Health trade license is issued by a Municipal corporation or
Department of the health of the concerned State, it certifies that all the hygiene
and safety norms are followed by FBOs. The license is issued within 60 days by
submission of all the eligible documents. If health trade license is not taken by
them then Municipal Corporation has the power to cancel the license.
 Labeling of vegetable fats: The guidelines which are issued by FSSAI related to
labeling that if the amount of vegetable fat is used in the chocolate it must
specify on the wrapper of the food product. If it contains other than cocoa butter
then it must be carried on the label in bold
Contains vegetable fat in addition to Cocoa Butter Trademark
Registration: For protecting your brand name of chocolates you have to take
trademark registration as it protects from copy and no one can take advantage of
your brand name except you. http://ipindia.nic.in/. Trademark validity is for 10
years and it is very essential for running chocolate business successful
GST Number: whenever you are providing taxable services to your customers you
have to apply for GST Registration and open a Current account with the bank.
Import Export Code: If you are planning to import or export of chocolate and
enhance the business globally, you have to obtain IEC code from concerned
authority. Trade
license from local Authority: For doing Chocolate Business License making
business you have to take NOC Local Authority of your State.

COMPETITORS

List of India's leading and popular chocolate brands:

Cadbury

Cadbury is a British multinational chocolate major. It is handled by Mondelez India

(earlier Cadbury India). Cadbury was established in Birmingham, U.K. by John
Cadbury in 1824. Cadbury entered India in 1948 and started its operations by
importing chocolates. Today, Cadbury is the most loved and most widely sold in
India. According to Euromonitor International, Cadbury accounted for 55.5% of the
total chocolate sales in India during 2014. Dairy Milk is the flagship brand of
Cadbury. Here are some of the most famous Cadbury variants:

 Dairy Milk
 5 Star
 Gems
 Perk
 Silk
 Bournville
 Celebrations
 Nestle

Founded in 1866, Nestle is a multinational beverage and consumer food items

company based in Switzerland. Henry Nestle founded the company in Vevey,
Switzerland. Nestle came to India in the late 1950s. Nestle was the second best-
selling chocolate brand in India in 2014 with 17% share of the total sales volume.
Kit Kat, a bar of crisp wafer fingers covered with chocolate layer, is Nestle's
flagship variant in India. Some of the widely consumed Nestle brands are as
follows:

 Extra Smooth
 Kit Kat Senses
 Kit Kat Dark Senses
 Alpino
 Kit Kat
 Bar-One
 Munch

Ferrero India

Ferrero is an Italian food and beverage company founded in 1946 by Michele

Ferrero. The company started its business in India in 2004 and has gained a
considerable ground in the Indian chocolate industry within a decade. It is famous
for its unique taste defined by its main ingredients – creamy filling, a crunchy
wafer and a hazelnut centre. Ferrero India was the third biggest chocolate brand
in India as it held 5% market share in 2014. Ferrero Rocher is the flagship variant
of Ferrero India. Here are some of the Ferrero variants:

 Ferrero Rocher
 Nutella
 Kinder
 Raffaello
 Mon Cheri
 Amul

Amul is India's indigenous dairy cooperative primarily dealing in dairy products. It

is also one of the biggest players involved in chocolate manufacturing industry of
India. Amul is owned by Gujarat Co-operative Milk Marketing Federation Ltd.
(GCMMF) and was founded in 1946 by Dr. Verghese Kurien. The credit of making
India the largest producer of milk and dairy products by bringing about the 'White
Revolution' goes to Amul. Milk chocolate is Amul's most trusted brand amongst
Indians. Accounting for 1.1% of India's overall chocolate sales volume in 2014,
Amul stands fourth. Some of its variants are as follows:

 Milk Chocolate
 Dark Chocolate
 Fruit & Nut Chocolate
 Tropical Orange Chocolate
 Almond Bar

Mars India International

Mars was established in 1911 by Franc C. Mars in Washington, U.S.A. The first
recognised brand of Mars was Milky Way that was launched in 1920s. Mars has
been popular in India as well. Very recently, Mars has started its manufacturing in
India. Snickers and Galaxy are the most popular chocolates in India that are made
by Mars. The company was the fifth biggest seller of chocolates in India in 2014
as it got 1.1% share of the total sales. Some of its products are as follows:

 Snickers
 Galaxy
 Mars
 Milky Way
 Skittles
 M&M's
 Twix
 Product Range
BOXED CHOCOLATES
Boxes of our luxury hand made chocolates
Freshly made using the finest ingredients, our chocolates are handmade and hand
packed and are an ideal gift for any ocassion.
With 25 different flavours available, most of which are made in white, milk and
plain chocolate, our range is mouth wateringly extensive!
In our selection boxes we have choosen the most popular centres for you, but
please tell us if you would like anything different and we will make the box(s) up
specially to order.
FUDGE AND SHORTBREAD
Made with real Cornish Clotted Cream
Churns of amazing fudge and scrumptious shortbread made with Rodda's Clotted
cream. An ideal gift for those who would like something other than chocolate to
indulge in!
CHOCOLATE BARS
Many different toppings to suit all tastes!
From plain chocolate bars to bars filled with marzipan through to bars topped with
orange slices, we have a chocolate bar for everyone.
Our plain chocolate ginger bars are very popular with adults whilst our milk jelly
bean bars are popular with young and old!

WAREHOUSING
Our chocolate products requires controlled temperatures because a warm climate
condition may affect the products appearance and quality. Our warehouses thus
have temperature controlling system which is usually set at 65*F. Mechanical
manipulation of humidity are done through mechanical refrigeration and the
cooling machine to take out hot air. Our food product requires that they they
should not be stored in temperature more than 65*F.
 PRICING
Price means money value of a product or a service. Price is an important element
of marketing mix and affects other components of marketing mix. The price
differs for wholesaler, retailers and customers.

TYPE Rs.5 Rs.10 Rs.25

WHOLESALER
DARK BROWN CHOCOLATE 2.5 7 19
DARK BROWN MILK CHOCOLATE 3 8 20
DARK BROWN FRUIT AND NUT CHOCOLATE 3.5 7.5 22

RETAILER
DARK BROWN CHOCOLATE 3.5 8 20
DARK BROWN MILK CHOCOLATE 4 8.5 22
DARK BROWN FRUIT AND NUT CHOCOLATE 4 8 23

CUSTOMER
DARK BROWN CHOCOLATE 5 10 25

DARK BROWN MILK CHOCOLATE 5 10 25

DARK BROWN FRUIT AND NUT CHOCOLATE 10 10 25

The selling price of the product is decided considering the factors such as profit
margin, product cost, demand in market, extent of competitors etc.

I have kept the range low , so that it is affordable to everyone in the society.
Every customer prefers a product with low cost and best quality. As Indian
population is mainly composed of middle class, secondly being a new identity in
Indian chocolate market it would be better to go on a low price.

Transportation

Transport chocolates via road transport. We prefer the road transport because.
 It can collect goods directly from factories and deliever it right at the
doorstep of wholesaler and retailer.
 Loading and unloading costs are reduced, thus it is economical.
 There are no fixed schedules, they can operate as per convenience.
 It requires less investments as vehicles like trucks and tempos cost
comparatively less.
 Promotion

Promotion refers to raising awareness of a product or brand generating sales and

creating brand loyalty.

Main objection of promotion are

 To provide Information to the customer.
 To make customer aware of the products being provided by the brand.
 To differentiate a product from the other.

There are different promotional techniques, some of which that will be adopted by
us will be.
 Advertisements
 Sales promotion
 Public relation
 Media
 Schemes

Schemes

For wholesaler
 With every 50 chocolates of one kind, 2 chocolates of same kind (i.e in
terms of price) free.
 Trade discount of 8% on purchase of more than Rs.50000
 Occasionally free chocolate gift packs.

For Retailer
 5% discount on every pack containing 20 chocolates of same kind(in terms
of price)
 On purchase of 40 chocolates, 2chocolate free.
 Special discounts during festivals of 2% on wholesale price.

For Customer
 Free tattoos with every chocolate.
 Monthly lucky draws for a special gift voucher
 Attractive discounts on occasions.

UNIQUE SELLING PROPOSITION

Our chocolate contains oxidants chemicals found mainly in pure cocoa that
supply energy and helps in cardiovascular illness curing. Every cube of this
chocolate is a perfect blend of milk and cocoa, taste, health and nutrition and is
characterised by full diet and calorie free. Its price is low as compared to the
competitors price. Moreover, indegenious flavour of fruits, nuts and milk add to its
value. We have strong distribution channels in rural areas too in which most of
the foreign imported chocolates lack in.
 COST EFFECTIVE TECHNIQUES.

 Using raw materials and inputs that are low in cost but high in quality.
 Using machine and labour in the most effective manner that maximum
output can be produced.
 Optimum utillisation of resources and inputs with minimum wastage.

Social message.

Chocolates once considered a luxury are now more affordable. Its popularity has
grown so much that now the traditional sweets of India is slowly being replaced
by chocolates. It seems that these days people prefer to give nicely packaged
chocolate over other gifts on occasion and festivals.

Accurate understanding of the Indian consumers, precise to positioning,

distribution channel, careful marketing segmentation attribute to the growth of
the chocolate industry.

We draft a social message of contributing 20% of our profits to the poor people.

Conclusion

A chocolate is a dream savoury for everyone and also being a child or adult. The
sliky and soft feeling leaves on our mouth always makes our taste buds carve for
some more. Chocolates are considered as ideal gift for all the occasions. They are
supposed to be good for health unlike other sweets. While people become more
aware of and there is a significant rise in the purchasing power. A vast market for
chocolates can be seen emerging in our country. In this project the elements of
marketing mix is combined to create a market offering in order to achieve desired
goal.

Reference

 Business studies book - Poonam Gandhi

 www.google.com
 www.youtube.com

Channels and distribution.

Distribution Channels
Most of the brands are present in several distribution channels in order to provide
a wide range of products and packagings to their consumer and be visible
wherever people want to have a snack. We notice that the main difference
between each points of sale is the range of packaging proposed. Let’s see what
are the main distribution channels using by our three brands.

HYPER & SUPERMARKETS

Let’s start by two small definitions:
Hypermarket: store that realize more than 1/3 of its sales volume in food and
whose the ground is greater than 2,500m2
Supermarket: store that realize more than 2/3 of its sales volume in food and
whose the ground is between 400 and 2,500m2

ON-TRADE MARKET
1/ VENDING MACHINES
We also can find our favorite chocolate bars in automatic dispensers.
Depending the model, a distributor may contains up to 40 products. The consumer
have the choice between two ways of payment: by cash or with a prepaid
card/key. Products are most of the time in single packs, ideal for snacking.
This is a very strategic positioning for brands that meet a more
specific consumers’ demands and behavior. Usually, in this case, the consumer
does not premeditate its purchase that can be considered more as a compulsive

behaviour.
Advantage for the consumer: In a place usually without retailers or grocery
stores, consumers can find snacking easily and for a affordable price.
Advantage for the brand: Provide the consumer in specific places and create a
differentiation from the competition that are not sold in the vending machine /
Increase the visibility of the brand, because the places are scares

2/ SMALL RETAILERS
A large amount of small retailers also sell chocolate bars as gaz stations,
bakeries, cinemas, kiosks ans so on. This is not their core activity but they
provide shelves to different products. We noticed that we often find the same
brands than in vending machines, the most famous and some others. The price is
higher, like in automatic dispensers.
PACKAGING.

When it comes to packaging chocolate, LoeschPack has the specialist expertise

which for almost 100 years has made the company a leading machinery engineer
in the industry. Global players and medium-sized producers now put their trust in
the innovative packaging machines and system solutions from LoeschPack. We
produce:
Fold wrapping machines
Horizontal flow wrapping machines
Buffering and feeding systems
Cartoning machines
Trayloader
Fold wrapping, packing, loading, feeding and cartoning demand specialist
knowledge. Our employees are specialists with deep understanding of the
challenges they face in production operations. We understand our customers’
businesses – at all levels of the company, from management via the engineer to
the skilled worker. We promote this full understanding of our work in a climate of
personal responsibility. Flat, transparent hierarchies ensure an unbureaucratic
atmosphere and quick decision- making. Integrated project management and the
involvement of all involved areas of the business guarantee maximum
transparency, quality and lean processes. You can trust our machinery and
solutions in your value chain. We call this corporate excellence.

Our innovative packaging machines

Fold wrapping machines

Horizontal flow wrapping machines

Cartoning machines

Buffering and feeding system

Trayloader

Keeping production costs down

Packaging machines and systems from LoeschPack offer maximum quality,
premium performance and ultimate efficiency. We solve packaging challenges
and don’t just sell machines by price lists or discounts

Professional teamwork
Customers around the world value the expertise in solving highly complex
challenges. We work with them to create not just innovative machinery but also
entirely new approaches to packaging which open up new opportunities in
presenting merchandise and considerably enhance product convenience. We
create samples and carry out test runs with original materials– also in customer
formats. Using the data this generates, we analyse the cost-effectiveness and
feasibility of your individual project. We also review any opportunities for
improvement and make suggestions relating to the packaging design, for example
in terms of opening methods, material combinations and machine utilisation.
Carbon-neutral packaging
The company underscores its commitment to the environment by using carbon-
neutral packaging, positioning itself as a machinery engineering enterprise that
champions sustainability. enjoyed a first-mover advantage by offering carbon-
neutral packaging machines. The company offsets emissions released during the
value creation process through climate protection projects.

SWOT Analysis
•The size of the chocolate market in Mumbai is about 1.05 tones and isvalued
at Rupees 10.2 million khroma chocolate has the biggest marketshare at 58 per
cent while other brands has captured 20%of market
•Confectionary Unit 2004-05
•Sugar Confectionary / candy (Volume) Tones
.02Sugar Confectionary / candy (Value) Rs lakh 12,412,25Chocolates (Volume)
Tones .58
•Chocolates (Value) Rs lakh 25,446,21Chocolates is impulse category The
impulse category is finally driven by visibility and purchasing powerof consumers.
Traditionally, this is how products are positioned withinthe impulse category. In
the past, chocolate companies used to consideronly the different brands in the
chocolate market as their competitors.

Strength
1.Strong demand for confectionery: the market has grow and consistently at
around 5% every year for the last four years. So it will bring bloom to the
confectionery market
.2.Good brand position and quality which is consumer favorites.
3.strong partnerships with retailers.
4.Developing good skills, processes and ways of working.Motivating our people
and reward winning performance.
5.Price kept that it should be in the range of every one ‘spurchase
6.Stores are available in almost every market.7.More emphasis on sales
promotion
•As surprise gifts
•Scheme cards

Weakness
•Lack of product mix or product basket as otherbrands has .
•Lack of innovative and designer chocolates in thefestival season
•Still not a export quality.
•Packaging is not attractive.
•Followed single flavor.
•No varieties other than chocolate candy .like waffer
,milk drinks has been introduced yet .
•Single manufacturing unit at one place and lack of new technology to produce
fine chocolates.

Opportunities
1.Cover the areas near Mumbai where chocolates demanded high as Goa.
2.As the harbour is near, can export the products by increasing Quality and range
to the small countries.
3. Increase personal relation in villages also
4.Increase the product range as
• Jelleys
•Toffees
•Bars
•Lollipops
•Gums
•Unsweetened baked chocolates for garnishing.

Threats
•Many big players have major position in the market like Cadburynestle ,kit Kat
,lions.
•In peak time Public purchase generally branded chocolates and
localmanufacturers are ignored.
•Highly qualified employees in big brands.
•Huge investments on advertisement by other brands.

Competitor’s USP

CADBURY

Cadbury's Dairy Milk

Parent Company Cadbury

Category Chocolates

Sector Food & Beverages

The 'Real Taste of Life' ; 'Kuch Meetha Ho

Tagline/ Slogan Jaaye' ;'Meethe mein kucch meetha ho jaye;

Biggest global brand name in the world of

USP chocolates

Cadbury's Dairy Milk STP

People looking to have a chocolate which is

Segment high in quality and moderately priced

All age groups Lower, middle and upper class

Target Group people

Positioning Something sweet' after meals

NESTLE

Kitkat

Parent Company Nestle

Category Chocolate

Sector Food & Beverages

 Have a break have a Kitkat ;Good Food Good
Tagline/ Slogan Life

USP Chocolate covered wafer

Nestle Kitkat STP

People looking to have a chocolate which is

Segment high in quality and moderately priced

All age groups Lower, middle and upper class

Target Group people

A chocolate to be had whenever one takes a

Positioning break

FERERO

Ferrero Rocher

Parent Company Ferrero

Category Chocolate

Sector Food & Beverages

Tagline/ Slogan Share something special

Ferrero Rocher is whole roasted hazelnut encased in a thin wafer

USP shell filled with hazelnut cream and covered in milk chocolate

Ferrero Rocher STP

Segment People looking to have high quality premium chocolate

Target Group All age groups upper-middle and upper class people

Ferrero Rocher is the premium chocolate brand used for the perfect
Positioning gif
 AMUL

Amul

Parent Company Amul (Anand Milk Union Limited)

Category Food Products

Sector Food & Beverages

Tagline/ Slogan The taste of India; Utterly butterly delicious Amul

India’s most trusted and popular dairy products’

USP brand

Amul STP

People who need milk and milk products for day to

Segment day use

Target Group Lower, Middle and upper middle class families

Amul is an Indian brand producing superior quality

Positioning milk & dairy products

MARS

Mars

Parent Company Mars

Category Chocolate

Sector Food & Beverages

Tagline/ Slogan Work, rest and play

MARS bar is one of the confectionery industry's greatest

USP success stories

Mars STP

Segment People looking to have high quality premium chocolate

Target Group All age groups middle and upper class people

Positioning Mars bar can be enjoyed at every moment

Features –
 Better taste
 Better quality
 Bio-degradable packaging
 Cheaper price
 Easily affordable and available.

NAME OF THE BRAND - CHOCO-LICIOUS

CHOCO – Chocolaty
LICIOUS – Delicious.
Chocolate which is extremely chocolaty and delicious which melts in your mouth
and gives out happiness.
Tagline – A perfect sweet bomb which burst out into happiness.