Product Mix

Cadbury Dairy Milk Silk

4P's and 4A's of Silk

Product -> Acceptability

A product is a tangible good which arrives from a requirement. Cadbury Silk creates a requirement. Any consumer purchases a chocolate only when he craves for it.

The marketeer creates a product, but it is on the consumer whether he wants to accept it or not. Here it is the seekers requirement who wants to buy or consume the product. But in this case there was absolutely no demand for Silk as Dairy Milk had already satisfied the need for a chocolate. But, the introduction of a smooth rich and creamy chocolate has created a requirement in the consumers mind. Cadbury Silk helps in fulfilling this requirement.

Price -> Affordability

Silk is a variation or a modification of the Original Cadbury Dairy Milk. It is made by mixing more amounts of milk solids to arrive at a creamier texture and softness. Due to large amounts of milk solids present in Silk, it is priced higher and targets the high-end consumer.

Hence it is not easily affordable.

The marketeer has priced the product at Rs. 55 for 65 gms and it is now on the consumer/buyer who purchases it whether the product is affordable or not. Usually the buyer looks for a product that fits his price range. Silk, though priced higher commands price which is worth its value. It provides the buyer an image benefit which is luxury.

Promotion -> Awareness

Cadbury spends a lot on the promotions of its products. The awareness created for Silk was so high, that it created a very strong urge in the consumers mind to try the product. As it was a premium product its introductory ad  The first ad that was launched of Silk created a very strong urge in the consumers mind to purchase the product.

Purchase deals in India today are driven by 'in-store behavior' that is an offshoot of the role of the category in the life of the shopper. The impact of deals and promotions varies with the consumer's involvement in the category. In high involvement-high connect categories, the brand's equity heavily outweighs promotion/price off's. Although deals and promotions are important footfall drivers for certain key value items, when in a store, shoppers tend to purchase non promoted stocks. This is also because across categories the promoted range is well within 1/5th of the overall sales. A good amount of ad spend goes on in-store kiosks.

Place -> Availability

For Silk, retail factor plays an important role. It can only be offered in places that have an air conditioner or a refrigerator. As a result, the company has targeted only the top 35 cities and about 30,000 outlets. It caters to a different type of audience. Which leads to the conclusion that Silk is not targeting the masses but only the SEC A and SEC B shoppers who are especially seeking premium products. As a result, for the set of premium offerings, the demand for Cadbury Silk has grown constantly.