Kellogg Case Study

With the current media coverage showing concern regarding the increase in obesity, Sainsbury’s have a responsibility as a food supplier to ensure people eat healthier and have more nutritious foods. By Sainsbury’s promoting healthier foods and lifestyles, they are investing in their customers’ well-being and future. This, in turn, demonstrates to the customer that they are valued and are a key priority to Sainsbury’s, resulting in customer loyalty.

In the article “How Junk Food Ends Obesity,” David H. Freedman, an author and writer, discusses the pros and cons that weight engages in people all around the world. Freedman’s purpose is to solve society’s issue with obesity rates increasing by pushing and pressuring more processed food industry to be healthier. He incorporates ways for customers to eat what they like, but in a healthy way. This article, in my eyes, impacts many individuals that do struggle with weight in a time in their life. Freedman originates with a plan that if he can find a way to push healthcare system to eat better, business will expand. Not only will business expand, but more people will become healthy by eating the same food but without it being processed. His plan is to create a wholesome food movement that could work better, reducing the chance of obesity rates increasing.

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).

Gather information about its potential and current customers, this helps to understand the customer, improve their services and make more informed decisions hence reducing risk.

These powerful alliances requires the consumer to navigate through the confusing food environment and to pay close attention to nutritional facts, labels, and to carefully and consciously be mindful of advertisement of all sorts of media. For farmers, its a crippling business system that destroys their profession. For consumers, who do not make a conscious effort where they shop and what they eat subjects themselves to a lifestyle that can progressively lead to obesity and many other life threatening diseases. The politics of obesity and disease within the food industry is a public health concern.

Some companies choose to adopt a brand strategy and Riezebos (2003) explains that this consists of differentiating the brand and adding value to the brand. By aiming for differentiation in a strategy, it gives a brand competitive advantage.

Obesity an imperative health issue all inclusive. In the course of the most recent five years, the issue has climbed the rundown of political needs and is currently a standout amongst the most fervently subjects in business and political circles. Inside of this review, the marketing business is being blamed for pushing so as to hare the strength of the country unseemly nourishment and beverage onto shoppers, advancing destructive dietary change, and shelling youngsters with messages that undermine parental power and governments' positive eating messages .

Brand strategy is of upmost importance when it comes to customer visualizing a company. Branding is critical to the company as well as the product. The company brand embodies what the company is about,including the product (Hatline, M.D. & Ferrel, O.C., 2014). Branding provides the company with leverage when it tries to enter new markets Whether that be new locations or new product offerings (Douglas, S. P., Craig, C. S., & Nijssen, E. J., 2001).

As a starting point for this assignment, I used the Oxfam report “Walking the Talk, Food and beverage companies slowly start turning policy into practice in Oxfam’s Behind the Brands campaign” (Smith, 2015). After reading the report, I selected Kellogg’s as the large multinational company for which I will answer the questions for one simple reason. According to the Behind the Brands Scorecard, they started from the 9th place in February 2013 and were in the 4th in April 2016 (Oxfam, n.d.), which means that they have identified and corrected some of their practises..

Tackling obese or overweight is a complex process that requires a proactive approach and interventions from the individual, society, local authorities, and public health service and partner organisation (PHE 2016e). In response to obesity as a public health issue, the government introduces no of polices, strategy and health campaign to tackle this problem, including Change4life campaign and Healthy Lives, Healthy People: A call to action on obesity in England. Chang4life is a public health campaign in England, which started in 2009 supported by the Department of Health to tackle growing problem of obesity. This was the first campaign to adapt social marketing approach to address obesity by making significant improvements in an individual’s diet, being physically active and alcohol consumption to improve their health (NHS Choices 2016a). Beside this health campaign, a consistent nutritional label system was launched in 2013 by the Public Health Minister Anna Soubry. This system combines colour coding (red, amber, green) and nutritional information to demonstrate the amount of sugar, salt, fat and calorie contain in the food products. The colour-coding will helps people to comprehend the level of nutrients in the food that they are eating (Gov.uk. 2013).

Special K enabled Kellogg’s to be alert to current consumer trends such as social trends and changes in technology. The research enabled Kellogg’s to identify consumer perceptions of the brand and what developments consumers would favour. Armed with this consumer and market focused knowledge, Kellogg’s was best placed to inject growth into the product life cycle.

First of all, a strong brand can be seen as the condition for organisations to expand products, offer more service, and introduce new products (Chernatony and McDonald, 2003). Secondly, a strong brand can lead to growth marketing communication effectiveness (Keller, 2009). ‘To build a strong brand, the right knowledge structures must exist in the minds of actual or prospective customers so that they respond positively to marketing activities and programs in these different ways.’(Keller, 2003, p. 140) Furthermore, Kay (2005) asserted that the strong brand can be seen as a resource of management, which make brand extension easier and useful to build distribution network. Companies are not treated by the intermediaries (Chernatony and McDonald, 2003). Moreover, companies are comparatively easier to change price if they have strong brands. As Henderson, et al (2003) said, a strong brand can allow for premium pricing even still remain loyalty customers, which help companies to survive in the intensive competitive market.

The company will conduct marketing strategies that aim at creating an image for the brand in the minds of the consumers and reminding them customers about their products consistently.

Branding has become the key concept of marketing strategies. Brand is the name of firm, products, services, and above all, it is coherent with the firm’s image from

Long before now has branding been considered as one of the peripheral aspects of business. Manufacturers, investors and other key players focused on the product without paying much attention to the consumer. But as the business landscape got tougher, marketing became not just an integral part of business but one of the fundamental principles of success.