Analysis Of Kellogg 's ' A Cereal Company

Rhetorical analysis of 7-Up ad 1957 “Youngest Customers in the Business” reads an ad from the Ladies’ Home Journal magazine, published in 1955. Even though the headline might be a bit odd, a person might consider the context and understand why the ad was believable. The 1950s were known to use little kids in print ads. In the ad, 7-Up appeals to reader’s emotions, especially mothers would pause to see what the baby was drinking and if it could benefit them. The advertisement utilizes the three rhetorical appeals of pathos, logos, and ethos through its image and implied meanings, through this, the image is able to convey a vivid sense of nutritional value from drinking a 7-Up.

The ready-to-eat (RTE) sector has increased sales and therefore have given the Breakfast cereals market an advantage to have a higher market share of 4.2% in 2013. The emphasis is more to the value and the convenience of cereals rather than the quality. However people are starting to be more heath conscious and are going to the higher nutritional brands which tend to be the well-known ones such as Kellogg 's, Weetabix and Nestle.

External Environmental Analysis We chose Kellogg’s cereal category because Kellogg’s has over 100 years history and we have14 kinds of breakfast cereal products. Our products sell to 180 countries across the world. Our mission is still to provide you and your family with better breakfasts that lead to better days, and now you eat flake corn is the same way W.K. did back in 1898. It just tastes better that way. Kellogg’s cereal provides a variety of nutrition’s cereals that deliver the benefits of grains, and provide important nutrients like iron, B vitamins, zinc and fibre.

The cereal industry is very adamant on using a differentiation strategy to make one’s brand stand out in the minds of certain people. The companies break down the public into different target markets; and then make products that will be attractive to their target markets. Companies make different brands for young kids, teenagers, adults, and people who are health conscience. Currently, there are 387 different brands of cereal sold in the United States and each family is estimated to purchase 17 different brands per year. (O’Connor, Amy) Companies continue to brainstorm for new product ideas to attract the various market segmentations.

In 2006, Kellogg’s launches Special K forest berries and Special K honey almond. A year later, Special K Advantage (fibre) appears in Australia. The last flavor is Special K chocolatey flakes, launched in 2009. The packaging has barely changed since its creation: white background, to represent the purity of the product, and the milk, the big symbol in the middle for the product identity, and some flakes on the right side, for the product representation. There has been an evolution of the nutritional information: now the main compositions are on the front side of the package (sugar, fat, calories). It is part of the strategy to position the product as a partner in weight loss. Te product is considered as a good quality, thanks to its characteristics (benefits for the consumer), and the “Our guarantee to you”, a little section on the left side of the box, explaining that Kellogg has a quality system that assures the highest quality standards to deliver the best product to the consumer. The target of Special K is women, from 20 to 40 years old. Women who try to look and feel good, who are working or raising their children, who want to conciliate their activities with their femininity. Women are represented next to the mention “99% fat free”, and on the back side of the box. Usually they are slim, active and happy. The strategy of Special K is to accompany women all day long, with different products, and to propose them to eat cereals not only for

Kellogg’s seeks to concentrate on nutrition and physical fitness through product donation for the hungry, as well as programs that educate families about nutrition that nourishing families so they can have a healthy living’(Kelloggcompany, 2011).

The value chain, Appendix B, in the RTE cereal industry consists of branded manufactures and private labels that receive their raw materials from suppliers and then distribute their product to food stores, drug stores, and mass merchandisers where the end consumer can eventually purchase the cereal product. Private labels rely on wholesalers and third-party distributors to get their product on the store shelves where the end consumer can purchase these items.

Mission: Kellogg is a worldwide business dedicated to construct Long-Term expansion in their bottom-line and to ornament its universal Leadership Position by supplying healthful Food Products of better-quality worth.

Kellogg’s cereal provides a variety of nutrition’s cereals that deliver the benefits of grains, and provide important nutrients like iron, B vitamins, zinc and fibre.

Even though PEP cereal is no longer sold anywhere, one advertisement during its era of popularity brings up controversial points. The classified ad seems to be of antique value, dating back to as early as the 1930s in which the cereal was first released. The photo features a husband just getting off work, dressed in a suit, putting his arms around his wife. It is defined that the wife is wearing typical housewife clothing (heels, cooking apron, dress, and feather duster), returning the husband’s embrace with a smile. The picture also features a box of vitamins in the left lower corner, along with sayings by both the husband and wife. It seems that the intended audience is marketed towards the general public, deeply rooted in traditional gender roles.

Quaker Oats emerged from a turn of the century merger of three milling companies over 130 years ago. It grew to become one of the top companies in the world by providing reliable quality to its first customers. Quaker Oats has been able to build a reputation of offering healthy, wholesome breakfast foods by targeting female supermarket customers. Although advertising has gone from a “warm, healthy breakfast” to delivering messages about “vitamins and minerals essential to a female metabolism” (Standaert, 2003), the target market is the same. Quaker is also hoping to reach nutrition professionals and health-food retailers. According to Indra Nooyi, Chief Executive Officer of Pepsico (parent company of Quaker Oats), they “…do not market to kids under 12…” since they “…do not have a nutritious product…” they feel comfortable marketing to young kids (Farey-Jones, 2010).

According to the financial report given, General Mills is an insolvent business. This is because even after making sum purchases and general expenses; it is still able to settle for them through its everyday operation. The various sources of money are also evidenced from the financial report.

The case focuses on Kellogg’s Special K brand and considers how the marketing of this has changed over time. Marketing is not static – it must be developed as market conditions and customer expectations change.

The Kraft Heinz Company successfully merged on July 2, 2015 when Heinz owned by Berkshire Hathaway and 3G Capital teamed up with Kraft Foods Group. The deal is considered one of the top most mergers in the food and beverage industry worldwide. Currently the company has its strong presence worldwide. Moreover both 3G Capital-a Brazilian Equity Firm and Warren Buffet together contributed by investing $10 billion in the deal making the company worth about $46 billion.

giant multinational breakfast foods company United Cereal, portrays the background of a launch decision for a new cereal product, the ‘Healthy Berry Crunch’.