slice="1 3 ">The Kelloggs marketing mix comprises marketing strategies that have helped the brand target consumers in emerging markets and developed countries, increase snacks growth in the breakfast cereal market and boost market share through quality Kellogg’s products.
The Kellogg Company believes in positively influencing customer groups because, at the end of the day, customer value will lead to customer loyalty which in turn will result in a large consumer base, sales growth and greater profits.
Kellogg’s marketing strategy helps in creating an effective marketing mix framework that will focus on the food products of the Kellogg Company, product life cycle, various distribution channels, inventory management, broker and distributor system, research and market conditions, pricing strategies and various promotional strategies.
Introduction: Kellogg Company
# Kellogg Company
- Origin Country: United States of America
- Founder: William Keith Kellogg
- Founded: 1906
- Headquarters: Battle Creek, Michigan, USA
- Employees in 2023: 30,000
- Annual Revenue in 2023: 15.315 billion USD
- Net Income in 2023: 960 million USD
- Market Cap in 2023: 23.24 billion USD
- Brand Value in 2023: 8.7 billion USD
The Kellogg Company or Kellogg’s is a multinational American company associated with the food processing industry. The manufacturing company is the leading producer of convenience food items and breakfast cereals which it markets across several countries with renowned own brands like Pringles, Frosted Flakes, Corn Flakes and Cheez-It etc.
Kellogg’s was one of the first few companies in the market to launch plant-based protein products. The Kellogg Company has strengthened its position in emerging markets through partnerships, divestitures and acquisitions.
Over time the company has faced severe food safety concerns that have been dealt with through quality management systems to alleviate consumer fears if any. The company faces skyrocketing costs and inventory management issues from time to time but with manufacturing facilities in emerging markets, it has managed to control it to a great extent.
The Kellogg Company is currently one of the best breakfast cereal companies in the world with several own brands that have taken the brand name to new heights.
Target Market: Marketing Mix of Kellogg’s
The Kellogg Company is a leading producer of convenience foods and cereals. The products fall into different categories to suit the target consumers of the all-age group as well as gender. The breakfast cereal brand has very high brand recognition and visibility in the market for example when anyone mentions Corn Flakes the word Kellogg’s Cornflakes just pops into mind.
The company has two main target consumers the parents and the children who are often identified as the purchaser and the influencer respectively. Kellogg’s regularly provides breakfast clubs, cereal boxes, and Kellogg’s Chocos in schools to attract children. The Kellogg Company has kept different prizes in the cereal box to target children.
Kellogg’s marketing strategy has created a marketing mix framework that focuses on the target audiences through different food products. The products fall into several categories and variants of cereal boxes that can easily suit the individual taste and preference of the customer. Kellogg’s Cornflakes targets the family audiences, Kellogg’s Coco Pops attract children and Kellogg’s Special K is for women who prefer healthy living.
Kellogg’s marketing strategy also targets individuals who often skip breakfast either because they do not have the time to cook or because they cannot cook. In both cases. Kellogg’s products fall in the category of the best alternatives for a healthy and balanced first meal of the day.
Kellogg’s Marketing Strategy & Marketing Mix (4Ps)
The marketing mix elements help the Kellogg Company in aligning the business strategy with Kellogg’s marketing strategy for an effective marketing plan. The marketing mix framework is the building block on which all its future marketing strategies are based for achieving desired business objectives.
Kellogg’s marketing strategy and marketing mix elements focus on Kellogg’s products (breakfast cereals, cornflakes, savory snacks, frosted flakes cereal Bars, plant-based protein food products and snack bars etc.), various distribution channels (grocery stores and major supermarkets etc.), place strategy, inventory management, broker and distributor system, Kellogg’s prices and Kellogg’s promotion tool and strategy.
The marketing mix of Kellogg’s ensures full customer value and customer loyalty by focusing on food safety concerns and quality management systems. This move will boost sales growth in such a way that it will eventually help to gain a better market share in developed and emerging markets.
Product Strategy: Marketing Mix of Kellogg’s
Kellogg’s breakfast cereal has become the staple diet of mornings in most households across several countries and this is all because of the effective marketing strategies and marketing mix framework adopted by the renowned brand.
Kellogg was the first company to launch the high-fibre cereal “Bran Flakes” in the breakfast cereal market and also the first brand to hire a dietician to identify which raw materials would prove beneficial for the customers and know more about the product life cycle of the food products. Kellogg’s focuses on quality raw materials and product life cycle because it will eventually ensure customer loyalty for the brand and its products.
Products (Product Mix): Kellogg’s Marketing Strategy
The product mix in Kellogg’s marketing strategy includes breakfast cereals, savory snacks and convenience foods. All its products are excellent sources of minerals and vitamins and boast of the best quality, especially the Corn Flakes that pair best with milk in the morning and have become one of the staple breakfast items.
The different products fall into several categories like breakfast cereals, corn flakes, savory snacks, snack bars, frosted flakes cereal bars and frozen breakfast etc.
Some of the most popular products in Kellogg’s marketing strategy include
The Corn Flakes is a nourishing low fat and cholesterol-free breakfast item that boasts of natural raw materials and goodness of protein, vitamins, iron and calcium. With Corn Flakes, Kellogg’s marketing strategy has shown strong market leadership in the cereal segment. The brand from the USA sell Corn Flakes cereal boxes, a complete breakfast item for every morning in several Corn Flakes flavours
- KELLOGG’S CORN FLAKES WITH REAL ALMOND & HONEY
- KELLOGG’S CORN FLAKES ORIGINAL
- KELLOGG’S CORN FLAKES WITH REAL STRAWBERRY PUREE
- KELLOGG’S CORN FLAKES WITH REAL HONEY
Chocos is a wheat-based cereal that was first launched to attract children but soon became a favourite of the all-age group. Kellogg’s regularly keeps on introducing flavours to keep the customers happy, increase snacks growth and prove its market leadership in the cereal segment to the competitors.
- CHOCOS MOONS AND STARS
- CHOCOS DUET
- CHOCOS MAGIC HEARTS
Snack Bars and Bites
Kellogg’s marketing strategy focuses on ensuring the brand’s market leadership in the snack bars and bite segment for more sales growth and market share. The company from the USA sell savory snacks through brands like Rice Krispies, Corn Pops and Nutri-Grain etc.
- KELLOGG’S APPLE JACKS JUMBO BOX
- KASHI SOFT-BAKED BREAKFAST BARS, CHOCOLATE
- PURE ORGANIC STRAWBERRY & BANANA LAYERED FRUIT BAR
Kellogg’s marketing strategy and marketing mix elements ensure the brand’s market leadership in the delicious and versatile frozen breakfast segment. Important brands like Eggo and Kashi deal with the frozen breakfast segment and ensure more sales growth and market share in developed and emerging markets.
- APPLE PIE EGGO EMPANADAS
- PEACH PARFAIT EGGO WAFFLERS TACOS
- KASHI GO PROTEIN WAFFLES, VANILLA
Company Recalled products
The company recalled products is a very serious concern for a food-related brand because it can lead to some serious issues like a dip in the market share. The company recalled some of the products in the past because of the food safety concerns that were raised against them. The company recalled products and food safety concerns have made customers sceptical about the brand’s quality management system and helped competitors gain a competitive advantage in the industry.
Place Strategy in the Marketing Mix of Kellogg’s
The Kellogg Company has spread its presence with manufacturing facilities and marketing operations to 180 countries all over the world. The public company traded on the New York Stock Exchange operates with help of its subsidiaries Rxbar and Kashi.
The renowned brand has established its largest manufacturing plant at Trafford Park in Greater Manchester, United Kingdom and even has its UK headquarters based there. Kellogg’s was one of the few companies that held the Royal Warrant from the Late Queen Elizabeth II till her demise in the year 2022.
Kellogg operates across all markets with the help of own brands like Kellogg’s Special K, Kellogg’s Frosted Flakes Cereal Bars, Kellogg’s Cornflakes, Eggo, MorningStar Farms, Kellogg’s Chocos and Mini-Wheats etc. The four largest markets of the brand are the United Kingdom, the United States of America, Canada and Australia.
In 2022, Kellogg Company announced that it would separate and consolidate three divisions of plant-based protein, breakfast cereals and savory snacks into three independent companies. The reshaping of the portfolio was meant to boost performance, increase snacks growth and encourage more sales in developed and emerging markets.
The three independent companies will be Global Snacking Co, North America Cereal Co. and Plant Co. In March 2023 the Kellogg Company announced that the Global Snacking Co and North America Cereal Co will be named Kellanova and WK Kellogg Co respectively.
Place and Distribution Strategy: Marketing Mix of Kellogg’s
Kellogg’s marketing strategy has created a marketing mix framework that focuses on the broker and distributor system and various distribution channels to create a link between the manufacturing plants and the end customers.
The different channels used in the brand’s distribution strategy include grocery outlets, supermarkets, e-commerce portals, convenience stores, corner shops, mom-and-pop stores, petrol pumps, mini superstores, vending and the direct sales force.
Kellogg’s marketing strategy ensures that most of the products are available at grocery stores so that regular customers can easily purchase them at their convenience.
Kellogg’s marketing strategy ensures that all the major supermarkets are selling the products to the customers at their counters.
Direct Sales Force
Kellogg’s regularly sells its products with help of a direct sales force at its retail outlets
After the pandemic, most people are preferring to buy even food items from the comfort of their homes. The Kellogg products are available at the online stores of the brand as well as other online shopping portals.
Kellogg’s Prices: Kellogg’s Marketing Strategy
The pricing strategies in the marketing mix framework are one of the most important elements of a brand. Kellogg’s marketing strategies focus on research and market conditions before setting up a pricing strategy. Moreover, the company faces skyrocketing costs for raw materials and ingredients used in the manufacturing process.
Kellogg’s marketing strategies have considered all the factors like the company faces skyrocketing costs, research and market conditions and the perceived value of the products in the market and then created a pricing strategy that will take the brand forward in the consumer market.
Strategic actions regarding quality breakfast cereals, savory snacks and plant-based protein foods have led to improved growth and success in recent years which is reflected via more sales and better profit margins.
Pricing Strategy: Marketing Mix of Kellogg’s
Kellogg’s marketing strategies concerning the price mix include competitive pricing and discounted pricing.
Competitive Pricing Strategy
Kellogg’s faces stiff competition in the market from several companies. Kellogg’s marketing strategy and marketing mix have adopted a competitive pricing strategy and kept similar product prices to gain a competitive advantage in the market.
Discounted Pricing Strategy
The marketing mix and marketing strategies of the brand have adopted a discounted pricing strategy where it uses discounts and incentives like coupons and special packs as a promotional tool to reduce the product price. The company faces skyrocketing costs and hence keeps the product prices at the higher end but when they see that the perceived value is less then they adopt a discounted pricing strategy to attract customers with lowered prices.
Kellogg’s Promotion Strategy (Promotional Mix): Kellogg’s Marketing Strategies
The marketing mix and marketing strategy of Kellogg’s has adopted various promotional strategies to promote its products in the consumer market. Kellogg’s promotional tool includes digital marketing, print media, brand messaging, special packs, discounts, coupons, CSR activities like fighting hunger globally, social media posts and marketing campaigns.
Traditional Media Advertising
The marketing mix strategy of the brand uses traditional media as an effective promotional tool to its advantage. Ad campaigns are shown via the digital and print media through television channels, radio, newspapers, magazines, leaflets, flyers, hoardings and billboards.
Social Media Marketing
Amongst the various promotional strategies used by the brand perhaps social media marketing is the most important. The brand has an official presence on platforms like Facebook, Twitter, Instagram and YouTube where it shares informative and engaging social media posts to promote the brand and its offerings. The company donated cereals worth millions as a promotional tool for fighting hunger globally and posted it on its social media account to highlight its endeavour.
The marketing strategy focuses on direct marketing as a promotional tool to please its existing customer base and attract potential customers into its fold. The brand uses direct mail, special packs, discounts, coupons and personalized messages to target its customers
Kellogg’s is actively involved in CSR activities. The brand is known to feed 375 million people with child feeding programs and donations. The company donated cereals worth millions for fighting hunger globally. The brand offers support to 1 million farmers, especially small-holders and women and also helps in the conservation of natural resources.
As part of its marketing strategy, Kellogg’s has entered into several sponsorship programs. It sponsors “What’s My Line”, a CBS panel show, “Kellogg’s Tour of Gymnastics” and “Bowl Games”, college football.
Recycled or On-The-Go Packaging
Kellogg company’s marketing strategy has created a marketing mix framework where special attention is given to the product packaging. The brand is known to have the smallest plastic footprint in terms of packaging compared to other global brands. For on-the-go packaging, it uses recycled paperboard cartoons where nearly 76% of the product packages are globally recycled.
Even when the first cereal box of Corn Flakes was introduced in the year 1906 the boxes were packaged in recycled content to ensure a maximum product life cycle. Currently, 100% of the timber-based on-the-go packaging for the cereal box is sustainable-certified, low-risk and recycled sourced.
Digital Campaigns – Notable Digital Marketing Campaigns
The digital marketing strategy includes displaying marketing campaigns through different channels like television and social media platforms. Kellogg’s is known for creating some of the finest ad campaigns in the advertising world.
Nourishing India’s Potential
“Nourishing India’s Potential” is an ongoing program or in simple words a drive to offer a bowl of Kellogg’s cereal with milk as a nourishing breakfast to underprivileged people.
Kellogg’s Nutri-Grain Commercial
The digital marketing strategy includes showing supportive and encouraging ads like “Kellogg’s Nutri-Grain Commercial”
Breakfast Se Badkar
A strong and steady global footprint in the breakfast cereal market was the reason for the ad campaign “Breakfast Se Badkar”. It celebrates the insight of an Indian mother who always wants to feed the extra spoon to her child.
Key Takeaways from Kellogg’s Marketing Strategy and Marketing Mix
The key takeaways from Kelloggs’ marketing mix and Kellogg’s marketing strategy are
- Focus on strategic priorities and financial targets
- Enable increased operational flexibility
- Allocation of resources in consistency with strategic priorities
- Realize profitable growth
- Maintain an aggressive promotional strategy
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