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Cadbury Crisis 2003

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Shauna Jaskot

on 29 March 2014

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Transcript of Cadbury Crisis 2003

FDA filed complaints of worm infestation in Cadbury Dairy Milk Chocolate Bars
Media reported crisis before Cadbury knew about it
1000 newspaper articles & 120 TV news reporting in 10 languages
FDA investigates all Cadbury factories in India
Goals & Objectives
How Cadbury Won the Battle of Worms
The Crisis
Owned by Mondelez International Inc. (Kraft Foods)
India is the fastest growing market
Cadbury Dairy Milk Worms
Cadbury as the main contact
Cadbury's access to reports
New packaging
The Opportunity
Opportunity to improve image and reputation based on FDA reports
Re-branding with new packaging
Improve procedures

The Need
Communications Strategy
1) Regaining product trust

2) Restoring the company’s image and reputation

3) Increasing sales levels to what they once were
Key Messages
1) "The worm infestation was a storage problem and could not occur in the manufacturing stage."

2) "It is safe to eat Cadbury chocolate."

3) "Consumers must exercise the same care in purchasing chocolate as they would any food item."

Guiding Principles
1) Consumers first

2) Truth always

3) Care greatly, act quickly

Media desk
Media briefings
Editorial outreach programs
"Facts about Cadbury" ad
Town Hall meetings
Media conference
Press conferences
Ads with Bollywood celebrity and brand ambassador Amitabh Bachchan
Video news releases
Ad created after crisis
1) Shift consumer perceptions

2) Answer all inquires - honest and timely

3) Address the media quickly and often
Target Areas:
1) Media Coverage - communicate point of view & "Purity Sealed" packaging

2) Sales - climbed back up to pre-incident levels

3) Brand Image - shift consumer perceptions
Company Overview

Transporters & Retailers
Kraft Food Brands
Roles of Management
Phase 1: Cadbury's View
Phase 2: Packaging Change
Roles of Operations
Roles of Communications
Communicate to stakeholders
Management front and center
Easily accessible
Create communications materials
Crisis communications plan
Transition to new machinery and packaging
Restore consumer confidence
Brand ambassadors
Keep management updated
Crisis response team
Communicate messages
Regular meetings
Make critical decisions
Work closely with communications
Full transcript