The market dept is reasonable for market research and the promotion of the product.Market research is a process designed to link businesses to consumers through information. It is used to identify opportunities and make better informed decisions about products which have future market potential. Cadbury marketing department needs to know about economic trends as well as consumers’ views. Based on information they can put together a market plan, which will meet there their own needs as well as those of their consumers.
There are two types of market research, primary and secondary. Primary involves obtaining new data for a specific. Secondary involves using existing data. There are two key elements which guide the modern day marketing department, these are: 1. Demographic behaviour – that is the way how people behave at different stages in their live, this could mean that people buy more chocolate when they are younger or have young children etc. 2. Usage behaviour – that is the purpose different products fulfil in people lives.
The research process The marketing department needs to have information so they can get there marketing mix right. E.g. they will want to know if competitors have a similar product and how much it costs. They will also want to know would will buy it (the audience) and how much they will sell the product for. The process involves identifying the problem, setting objectives, gather data, analysing data. In order for the business to succeed the marketing department must apply there knowledge to create a successful product.
To summarise: The objectives of Cadbury that the marketing department helps to achieve are: Quality – the marketing department will aim the product at an audience. Cadbury is known for its purple coloured wrappers and advertisements. Purple is associated with royalty and quality. They image the product will have is important to businesses. Cadbury go for a quality image with dairy milk being one.
Make a profit – Market research will play a important part in achieving this aim. Because the dept must research what products are in demand and the products that are sold in that season (e.g. selection boxes at Christmas). Also advertising has to be done accurately, the advertising needs to be aimed at the right audience. For example if the new product is aimed at teens the advert will not show an old women eating the bar, it may show a young role model (e.g. famous artist). The audience will instantly go and buy the product if this is achieved therefore profit will be made.
Customer service – selling the product at a price that will be value for money and not over priced. Competitive – Market research can be done to see if the product will be worth while and make profit. If there competitors have a similar product it is the marketing dept to promote the product well. The customers must take an interest in Cadbury’s product rather than Mars, this can be done by quality promotions. Examples of when departments work together. When the finance dept works with other departments Cadbury wants to designed a new product e.g. Wispa, they need finance to complete market research and marketing of the product. The finance will include cash for questionnaires, group discussions costs etc. The consumer target set for Wispa was decided as young men and women 16-24 years.
The finance dept would work with the production dept to provide the money for prototypes. When Wispa was decided to be released to the public other costs to be covered would include new machinery (Wispa needed its own unique machinery), mass production of packaging and the bar it self, land for factory, advertising and new employee costs (wages, salaries). There are a number of departments they will have to work with to complete the launch of the product. The finance dept would have to find a source of finance for all these costs because they would not be earning profits from the bar until consumers were buying the product. The finance dept would have to put enough money into the product if they want the product to have a big impact on consumers. This was so Cadbury had a profit return from the product.