Cadbury manages a crisis with IMC
Prof. Jacob Alexander
Cadbury manages a crisis with Integrated Marketing Communications
This case study gives us an insight on the importance of integrated marketing communications. This case study is about Cadbury, the crisis it went through during October 2003, its consequences and role of IMC in handling the situation
Cadbury India Ltd is the market leader in Indian confectionary segment. Its major product is Dairy Milk which has sales of close to one million bars per day. During October 2003, worms were found in Cadbury bars at eight outlets in Maharashtra. The consequences were terrible and ...view middle of the document...
Role of IMC in worm crisis management by Cadbury
The ‘Relationship Marketing’ which involves creating, maintaining and enhancing long-term relationship with customers as well as other stake holders for benefits. This strategy along with a 360o communication has helped ‘Cadbury’ in managing the crisis of worm in the chocolate.
An ‘Informative Advertisement’ was developed regarding the facts of Cadbury was published annually nationally in 55 trade publications informing channel members about remedial measures. This ‘National Advertising’ was on a nation-wide basis covering the mass.
Posters and leaflets were distributed to retailers to share with consumers the initiatives taken by Cadbury.
‘Brand Strength’ was built by setting up a toll free number and an email id was created for consumers to contact the company directly.
‘Brand identity’ was created through by changing the package design, which covered the bar in multiple layers and from all sides. This fulfilled the promise made by Cadbury to media and consumers.
Cadbury roped in Amitabh Bachan as their Brand ambassador to reinstate public confidence.
The ‘Project Vishwas’ has shown their social responsibility on educating the retailers and dealers regarding the storage condition of the product.
It is proven that the survey has revealed a positive change in consumer perceptions and an increase in their likelihood to buy. Also the sales grew by 20% in 2 years after the implementation of IMC.
Objective of the Campaign
The main objective of ‘Integrated Communication Marketing’ is to build the brand in all perspective with all the stakeholders.
The main objectives of the campaign were to re-built the reputation, trust and loyalty among the consumers, media and employees and regain their market position. Also to development of private assurance standards working at both organizational and supply chain levels and the protection of the corporate and product brand.
IMC tools used in the campaign
The main objective of the campaign through publicity is to communicate the customers regarding the fact that has happened and assure them on their safety.
Press Release - IMC played a major role in the process of developing and sustaining their ‘Brand Identity and Equity’. The extensive media coverage that highlights the company’s perspective instead of pointing out them is one of the important points.
Media Coverage – Company instituted a media desk and diligently answered every media query. Also Company’s Managing Director aired in media to assure consumers that Cadbury are safe to eat.
The objective here is to regain the sales by differentiating the product when compared before with additional value added features.
Packaging Initiatives - The change in their packaging design with an aluminium foil, heat-sealed for complete...