Case study

Company’s profile
The world’s leading producer of breakfast cereals and convenience foods * 2008 revenues: $12,8 billions (+9%) * 32000 employees in 2008 * Kellogg’s has operations in 17 countries * 34% of the US cereal market share (31% General Mills, 14% Kraft…)

Time-Line
Cf polycopié

Top management
David Mackay : ”Our K values reflect our commitment to embracing people from all cultures, backgrounds and experiences, as well as showing respect for everyone and supporting our team management.”

Values
The K Values: http://www.kelloggcompany.com/company.aspx?id=35 * Integrity * Accountability * Passion * Humility * Simplicity * Results http://www.kelloggcompany.com/company.aspx?id=888 Products
Kellogg Company’s brands include Kellogg’s®, Keebler®, Pop-Tarts®, Eggo®, Cheez-It®, Club®, Nutri-Grain®, Rice Krispies®, All-Bran®, Special K®, Mini-Wheats®, Chips Deluxe®, Sandies®, Morningstar Farms®, Famous Amos®, and Murray®.

Globalization
Kellogg’s products are sold in 180 countries around the globe
Focus on Nutri-Grain’s issues
A line of 5 types of whole grain cereal bars * Soft bake-Twist-Elevenses-Minis-Chewy
Designed to meet the needs of busy people who had missed breakfast
Aimed to provide a cereal breakfast in a portable and convenient format
Mainly introduced on the US market
Sales : cf poly
A few reminders about the product life cycle

Def: A concept that attempts to describe a product’s sales from its beginning until it’s removed from the market. Popularized by Theodore Levitt in 1965.
The purpose: Enables a firm to anticipate changes in consumers tastes, competition and adjust the Marketing mix accordingly.

M

D
GROWTH
LAUNCH

The launch stage: * Immediate success * High production and marketing costs * One basic product is being offered (Soft Bake)
The growth stage: * Nutri Grain’s sales steadily increase up to 2002 * New flavors and format