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JUNE

REGINNA

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BACKGROUND OF KELLOGGS

The founder W.K. Kellogg

104 years since 1906

Kellogg CompanyPresident and CEO

-David Mackay

Since September 2003

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BACKGROUND OF KELLOGGS

Makes breakfast and snacks for millions

began with only 44 employees in

Battle Creek, Michigan, in 1906.

manufactures in 18 countries and sellsits products in more than 180 countries.

Kelloggs Corn Flakespart of a

wholesome, delicious morning for

more than a century .

First company to offer premiums in

its cereal boxes to being the first

to fortify its cereals

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COMPANY STRATEGY

Grow Cereal

Expand Snacks

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BUSINESS RESOURCES

Land wheat

Capital 2.5 million

Labor more than 10,000 Entrepreneurs W.K. Kellogg

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BUSINESS COMPETITORS

Post Foods, LLC, also known as Post Cereals

LUCKY CHARMS

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WHICH MARKETS THE COMPANY

ADDRESSING. (WHO ARE THE CLIENTS )

The clients are parents and older adults.

The consumers are kids under 18.

The target market is 8 and 11 years old.

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BUSINESS ADVANTAGES

The business is well known by its brand andgood and satisfactory in there production thenutrients it provides to the society and for that

reason chances of in declining in the market isso hard and apart from that they can improvethe quality of there product easily by enrichingit more by adding important nutrients to them

which will improve there market more.

It dominates the market so much.

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BUSINESS ADVANTAGES

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WHERE COULD THE BUSINESS EXPAND

the business can expand any where there have

created awareness of there product.

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PORTERS FIVE FORCES MODEL.

1.the intensity of competetive rivary

.four large companies are dominant in the market.

.inflated prices

.competition is very intense.

.Growth rates have remained constant.

2.the threat of substitute product.

.Caused other 3 competitors to lower their prices

.made the buyer more powerful.

.Price switching cost[1/3 of 1000 shoppers switched to privatelabel.]

.Low switching cost [1/3 of 1000 shoppers switched to private label]

.private label.

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4PS

PRODU

CTSAll bran cereals.read to eat cereal with hight fibre with all godnutrients for the body.

PLACE

PROMOTIONthey do promotions in Tv.billboards,magazines,radios and confrences.

PRICE.

the price is very fair because they are already very manycompetatives now in the market trying to creat intense competitions

like post foods,

all bran is a ready to eat cereal that is high in fiber, low in sodium andgood source of potassium. its consumed with milk mostly its veryeasy to make and less time consuming.

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SWOT ANALYSIS.

STRENGTHS.

They have the strongest brand recognition of all the cerealmanufacturers.

They also posses 42% of global market shares for pre

sweeter cereals which is more than triple the market shareof there competitor

WEAKNESS.

Have not aggressively developed many new cereal lines in

the past four years. Slow erosion of their U.S. market share in the past few years.

Follower in pricing strategy

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OPPORTUNITY.

International expansions is the biggest area for their growth.

It can slowly diversify, while still remaining in their core

business area which will increase their profitability.

They can also have a better pricing strategy and guarantee

lower prices, they can also lower cost while increasing their

market shares

THREATS.

Competitors like General Mills, Post and Quaker Oats are

using price competition and product proliferation to erode

Kelloggs share of the market.

Discount imitation cereals brands have been successful in

reducing premium brands in the more commodity like

cereals.

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KELLOGG'S ALL-BRAN ORIGINAL

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ABOUT KELLOGG'S ALL-BRAN ORIGINAL

All-Bran cereal is a Kellogg's brand ready-to-eatcereal that is high in fiber, low in sodium and agood source of potassium.

Clinical studies have shown that a diet low insodium and high in potassium can have a positiveeffect on blood pressure levels.

One serving of Kellogg's All-Bran Original providesnearly 50% of the Daily Value of fiber, is fortified

with 100% daily allowance of folic acid, B6 andB12, low in total fat, saturated fat, and cholesterol,making it a heart-healthy beginning to the day.

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ABOUT KELLOGG'S ALL-BRAN ORIGINAL

High Fiber With Natural Wheat Bran

Helps promote fiber regularity, keep you feeling full

and satisfied and contribute to healthy cholesterol

levels

13g Net Carbs

16 Vitamins & Minerals

Enjoy With Milk For Breakfast

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THE LIFE CYCLE OF KELLOGG'S ALL-BRAN

ORIGINAL . WHY IS IT?

The product is in maturity stage.

It has increased number of competitors like

General Mills, Post E.T.C. Sales volume peaks and market saturation is

reached.

Prices tend to drop due to the tough competition in

the market. Cost are lowered due to increased production in

volume.

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WHAT ARE THE COMPLEMENTARY AND

THE SUBSTITUTE GOODS FOR YOUR

PRODUCT?

KELLOGGS RAISIN BRAN.

KELLOGGS CORN POPS.

KELLOGGS FROSTED MINI WHEAT.

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THANK YOU