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Established in 1906 founded by Will Keith Kellogg and headquartered in Battle Creek, Michigan Products manufactured in 18 countries and marketed in more than 180 countries around the world. With projected annual sales of over $9 billion, Kellogg Company is the world¶s leading producer of cereal and a leading producer of convenience foods, including cookies, crackers, toaster pastries, etc.

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VISION : ³TO BE THE FOOD COMPANY OF CHOICE´ MISSION : ³TO DRIVE SUSTAINABLE GROWTH THROUGH THE POWER OF OUR PEOPLE BY BETTER SERVING THE NEEDS OF OUR CONSUMERS. CUSTOMERS AND COMMUNITIES´ .

` Sustainable Growth ` Manage for cash .

` GROW CEREAL EXPAND SNACKS ` .

and is the largest player in the Indian breakfast cereal market. Kellogg India has over 100 employees and has invested over US$ 30 million. Kellogg¶s Corn Flakes was the first product it introduced in India ` ` ` .` Kellogg India is a 100 per cent subsidiary of Kellogg¶s Company. It entered into India post-liberalization in 1994. USA.

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The Indian ready-to-eat-cereal market posed several challenges: ` 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 ` ` ` .

Denis Avronsart. ³Our only rivals are traditional Indian foods like idlis and vadas. . Managing Director. Kellogg India." ` ` ` .` Premium pricing policy Lack of understanding of indian consumer¶s behaviour and habits Treated as a novelty Competition from traditional breakfast items.

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Using packaging as an effective marketing tool. for brand communication and on-shelf differentiation .Sustained brand-building through advertising and investment behind key brands. . . meaning power.Adopting brand names that appeal to the Indian consumer such as µShakti¶.` Marketing and brand-building .

the government.Conducting school contact programmes and having active interface with opinion leaders ± CFTRI.Image building through recycling and reusing.Introducing a limited edition Kellogg¶s Chocos Spider Man 2 ³web designed cereal´ which is part of the global association between Kellogg Company and the movie Spider Man 2. improving access to health and human services in local communities. independent agencies etc. . . ..

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.Located its manufacturing plant at Taloja.Set up a distribution network with storage hubs in all the key states of the country (18 clearing and forwarding agents) serving over 200 distributors.` Improving supply chain network .Localized the entire raw and packing material requirement. . . In addition it has adopted single sourcing strategy. near Mumbai in the state of Maharashtra.

Deploying Oracle 11i based ERP to enhance supply chain transparency leading to lesser inventories and better service levels.. Other locally developed systems help monitor stocks and movement on a daily basis.Optimising overheads by giving distributors larger responsibility for sales . .

Kellogg India receives technology inputs (in customising products to suit the Indian nutritional profile. developing packing material for India.` Customizing products for India . ` . chocolateflavoured scoops and taste variants of Corn Flakes. Strong support from parent . manufacturing process etc.) from its parent.Kellogg India has widened its product portfolio and expanded its range to include Frosties.

` STRENGTHS . which is more than triple the market share of any of their competitors.Control 42%of global market share for cereal. .They have the strongest brand recognition and advertising recollection of all the cereal manufacturers .

Kellogg can continue to slowly diversify. .Premium pricing strategy ` OPPORTUNITIES .` WEAKNESSES . which will increase their profitability.If they can develop a better pricing strategy and guarantee lower prices. while still remaining in their core business area. . they can reduce costs while increasing their market share.

.Increasing competition from substitute brands and more companies coming out with cereal products.` THREATS .

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` The Indian cereal market in India today is worth Rs. 500 crores Growth projected at 20% annually Kellogg India holds about 70% of the market share ` ` .

It has also adapted its products to address the local need gaps. ` ` .` Kelloggs India has widened its product portfolio and expanded its range. Consumer is the king is well understood by this company.

` ` ` ` Kellogg Global website Research papers Google Wikipedia .

34 Drasti Doshi Roll No.By : Rohan Bansal Roll No. 13 Sneha Pallavi Roll No. 29 Amit Satwani Roll No. 38 Bian Rajpopat Roll No. 31 . 5 Pragnesh Navadia Roll No. 30 Shobhit Mishra Roll no.

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