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Kellogg's Marketing Strategy

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Kellogg's Marketing Strategy
Marketing to Europe:
A marketing analysis of Kellogg’s Corn Flakes in Germany and the UK
Michael C. Pedley International Business Administration Marketing Winter term 2012/13

Table of Content
1. 1.1 1.2 2. 3. 3.1 3.2 3.3 3.4 4. 4.1 4.2 4.3 4.4 5. 6. Introduction Company Profile Kellogg’s Corn Flakes Segmentation and Positioning The Marketing Mix Product Place Price Promotion The Marketing Models Product Lifecycle SWOT analysis AIDA - Model BCG Matrix Conclusion References 1 2 3 4 6 6 11 14 19 21 21 22 23 24 25 26

1. Introduction 1.1 Kellogg’s Company Profile
The story of Kellogg’s takes us back to 1897 when two brothers, Will Keith Kellogg and John Harvey Kellogg, started the Sanitas Food Company. They produced whole grain cereals and marketed their corn flakes as a healthy breakfast food. Eventually, the brothers had an argument over the addition of sugar in their product. The two split, and Will founded his own company called the Battle Creek Corn Flake Company, which eventually became the Kellogg Company.

Today, Kellogg’s is not only the largest cereal producer, but also the industry’s second-largest snack food company. The Kellogg company owns a l a rg e b r a n d p o r t f o l i o through which their products are marketed. Beside the classical cereal, they also promote warm breakfast, toaster pastries, snack-bars, crackers, beverages and fruit flavored snacks. Kellogg’s employs about 31,000 people all around the world. Their products are manufactured in 19 countries and marketed in over 180 countries worldwide.

Source: Information resources Inc.

(Table A)

1

1.2 Kellogg’s Corn Flakes
Kellogg 's is the original manufacturer of the popular breakfast cereal made from hulled corn, usually served with cold milk. Because of the simple and fast preparation, Corn Flakes established itself quickly in the European market and secured a place on the daily breakfast menu. With the original Corn Flakes, Kellogg 's aims to provide a healthy



References: Books Tanner, J., Raymond, M. A. (2010). Principles of Marketing. Flat World Knowledge. Kotler, P., Armstrong, G. (2009). Principles of Marketing. 13th Edition. Pearson. Bruhn, M., (2007). Marketing. 7th Edition. Gabler. Newspapers Kiefer, A. “Kellogg serviert jetzt auch Chips – Börsen honorieren die Wachstumsstrategie des US-Lebensmittelherstellers Kellogg“. Handelsblatt 08.11.2012. Page 36. Films The Food that Makes Billions – The Age of Plenty (Episode 2/3). Money Programme Production. BBC One 30 Nov 2010. Documentary. Seen on Youtube http://www.youtube.com/watch?v=zYkLByB7HQ4 Internet

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