Presented By:

Soumavo DuttaChoudhury
Chhavi Sharma
Naveen Manwani
Aastha Ralhan
Shruti Gupta
Priya Gupta
HISTORY
 Was founded in 1906, by Will Keith Kellogg and
John Harvey Kellogg

 Primarily known as Battle Creek Toasted Corn

Flake Company

 It was engaged in the production as well as the

marketing of the immensely popular Kellogg's
Toasted Corn Flakes

 In 1922 the name of the company was changed to

Kellogg Company
COMPANY PROFILE
 Kellogg Company is the world's leading
producer of cereal and a leading producer of
convenience foods, including cookies,
crackers, toaster pastries, cereal bars, frozen
waffles and meat alternatives.

 Kellogg products are manufactured in 19

countries and marketed in more than 180
countries around the world

 In 2008 ,it did sales of nearly $13 billion

VISION & MISSION

 Vision
“To be the food company of choice”.

 Mission
“To drive sustainable growth through the power
of our people and brands by better serving the
needs of our consumers, customers and
communities”.
 SWOT ANALYSIS
A scan of the internal and external environment is an
important part of the strategic planning process.

Environmental factors internal to the firm usually can be

classified as strengths or weaknesses, and those external to
the firm can be classified as opportunities or threats.

Such an analysis of the strategic environment is referred to

as a SWOT analysis.
 
The SWOT analysis provides information that is helpful in
matching the firm's resources and capabilities to the
competitive environment in which it operates.
STRENGTHS
 
A firm's strengths are its resources and capabilities that can be used as a
basis for developing a competitive advantage

WEAKNESSES
 
The absence of certain strengths may be viewed as a weakness.

OPPORTUNITIES
 
The external environmental analysis may reveal certain new opportunities
for profit and growth.

THREATS
 
Changes in the external environmental may present threats to the firm.
 SWOT/ TOWS Matrix

•S-O strategies pursue opportunities that are a good fit to the company's strengths.

•W-O strategies overcome weaknesses to pursue opportunities.

•S-T strategies identify ways that the firm can use its strengths to reduce its vulnerability
to external threats.

•W-T strategies establish a defensive plan to prevent the firm's weaknesses from making
it highly susceptible to external threats.
 SWOT ANALYSIS FOR KELLOGG’S
STRENGTH WEAKNESS

•Control 42% of global market share, is •Slow erosion of their U.S. market share
more than double the market share of any in the past few years.
of their competitors.
•Follower in Pricing Strategy.
•Strongest brand recognition &
advertising recollection of all the
cornflakes manufacturers.
OPPURTUNITIES THREATS

•International expansion biggest area for •General Mills and Quaker Oats use price
growth . competition & product proliferation to
erode Kellogg’s share of the market.
•Slowly diversified, but still remained in
their core business area, increase their •Discount imitation cereals brands have
profitability. been successful in reducing premium
brands in the more commodities like
•With better pricing strategy & guarantee cereals.
lower prices, they can reduce costs while
increasing their market share.
KELLOGG’S MARKETING
STRATEGY AND MARKET PLANS
KEY FACTORS FOR
SUCCESS

 Healthy Image
 Convenience
 Versatility
 Healthy Options
 Brand Awareness
 Something For Everyone
 Value For Money
 Quality
ANSOFF’S GROWTH MATRIX
ANSOFF’S GROWTH MATRIX
FOR KELLOGG’S
Market Product
Penetration Development

CORNFLAKES Special K

Market Diversification
Development
Chocos Biscuits
BCG MATRIX
BCG MATRIX FOR KELLOGG’S
MARKET SHARE
KELLOGG’S K SPECIAL KELLOGG’S CHOCOS
M
A
R
K
E
T
 
G KELLOGG’S KELLOGG’S HONEY
CORNFLAKES LOOPS
R
O
W
T
H
PORTER’S 5 FORCES
 KELLOGG’S AND PORTER
 Supplier power: Medium
 Buyer power: High
 Substitutes: High
 Barriers to entry: Medium-High
 Degree of rivalry: Very High
VALUE CHAIN ANALYSIS
 VALUE CHAIN AND KELLOGG’S
 The Primary Activities:
INBOUND LOGISTICS
 it is easy to find suppliers.
 The quality is totally controlled.
 The method of transportation and storage is efficient.
OPERATIONS AND MANUFACTURING
 The packaging of Kellogg’s guarantees one of the freshness, flavor and nutrient levels.
 It provides value to different sized families.
 Kellogg’s also commits to full packaging. 
OUTBOUND LOGISTICS
 The conservation is in the form of mass storage and bulk packaging.
 The outbound logistics system is totally computerized. 
MARKETING AND SALES
 Use of mascots- Tony the Tiger, Toucan Sam, Snap crackle & pop, Dig’Em.
 The marketing department is really effective as it makes sure of Toys and Prizes.
 The advertisements of Kellogg’s are really eye catching. 
AFTERMARKET LOGISTICS AND SERVICES
 There is not much need of after sale services in the food market
PEST ANALYSIS
 PEST ANALYSIS AND KELLOGG’S
POLITICAL
 The government has the food acts and there is also ACFM (Members of the
Association of Cereal Food Manufacturers)
which deal specifically on cereal issues.
 
ECONOMIC
 The success is due to the high usage but still threatened by

the traditional breakfast. There are still opportunities to grow.

SOCIO CULTURAL
 Initial target was school students but grew to whole family members. The eating
habit has evolved.
 
TECHNOLOGICAL FACTORS
The major players are seeking to diversify more and production process is highly
computerized.
 CONCLUSION
 Kellogg’s in India should concentrate on,-
 Cultural factors and eating habits – population not used to processed
foods
 Easy availability of low-priced traditional breakfast
 Low awareness about processed foods and calorie requirements
 Price sensitive customers

 Factors for Success:

 Innovative marketing & brand building

“Future plans of Kellogg’s in India is to continue its

investment drive to grow the Indian breakfast cereal
market”