Kellogg's Marketing Research

Kellogg's Marketing Research



Kellogg's Marketing Research

Part A (1)

Kellogg's as an Organization

Kellogg enjoys a very strong brand portfolio particularly in breakfast cereals but also in snack bars and biscuits. Its Kashi brand in the US market has been built into one of its biggest brands. The scope of Kellogg's manufacturing and distribution networks means that the company has the scale to quickly roll out new brands and brand extensions. Company has a good potential to extent its product novelty in existing market (Aaker, 2006, pp. 15-19). Kellogg is the world's leading producer of cereal and of the leading producers of convenience foods. Healthy nutrients are the philosophy of company existence. It does not only fulfil the basic requirements of human diet but it also expand product network. Kellogg should consider expanding this brand outside of the US including into Western Europe. It has a broad scope and space available in global market. Marketing tactics of Kellogg should encircle the outside world. There is an urgent need to explore the new global markets because the company has immense power to compete its competitors due to its product quality. It needs a perfect and absolute marketing strategy. Its historic revenue portrays its glorious success in market. With 2010 sales of $12,397 million, Kellogg is the world's leading producer of cereal and of the leading producers of convenience foods. Kellogg should consider expanding this brand outside of the US including into Western Europe. It should be remembered that market value of company can be judged through the circle of its consumer. It is fact that quality attracts the consumer and Kellogg offers the quality products. Therefore, Kellogg magnetizes a huge number of buyers. This advantage is persistently raising the revenue of the company. It is obvious that it shows the demand of company products. There is a clear opportunity, for instance, in hot cereals in the UK market. Also, the success of Nutri-Grain breakfast cereals in the Australian market suggests there is potential for this variant to be introduced into other markets to capitalise on the strength of the Nutri-Grain brand. More revenue can be obtained through open up the closed markets of Australia (Labroo, 2006, pp. 374-385). In 2010, Kellogg took advantage of the significant media deflation. Rather than cutting back on advertising spending, the company invested over $1 billion in advertising resulting in more consumer impressions and a greater impact from each dollar spent. Effective advertising is an essential element of company growth (Lee, 2004, pp205-218). A leading market position provides Kellogg with significant bargaining power as well as stabilizes the company's financial growth. It makes further untouched or weak proposals so strong. Financial growth is spinal card of every company. Therefore, putting more attention on marketing strategy is the best part of creating or generating more revenues from existing as well as new markets. Further, the company's strong brand strength supports the innovation process, in launching new products and enhancing the revenue ...