Market segmentation

Kellogg's has multiple business fragments which depend on item classification or geology. Sections
dependent on item category are US morning food sources, US snacks. The items in the advertising
blend of Kellogg's covers breakfast grains, just as different food varieties things. The US morning
food sources section comprises of items like oat, toaster oven baked goods, nourishing bars and
refreshments with conspicuous brands like Kellogg's Cornflakes, Kellogg's Chocos, Kellogg's Frosties,
Kellogg's Coco-pops, Special-K, Kellogg's Froot Loops and so forth the US snacks portion comprises of
treats, wafers, appetizing bites, oat bars and natural product enhanced bites. Breakfast grain creates
an income of more than $400 billion in deals universally every year and contains greater part of
worldwide deals. Titbits produce $230 billion internationally in complete deals every year and
address huge portion of overall deals. Pringles is the biggest brand in this classification. Kellogg's is
adjusting is items as indicated by buyer inclination for better snacks with noticeable fixings like
granola, leafy foods sans gluten Special K and Kashi grew grains and natural oat.

The key segments to Kellogg’s market are

 Tasty start: The cereals that most people eat to begin their day. Kellogg’s brand includes
Kellogg’s corn flakes and variations as Kellogg’s crunchy nut.
 Simply wholesome: These are “good for you” brands, such as Kellogg’s Fruit n Fiber.
 Shape Management: Brands that can enable customers to manage their weight or shape
such as Kellogg’s Special K.
 Mum Approved: Those that mother’s see as being good for children, such as Kellogg’s wheat
flakes.
 Kid Preferred: Brands that children themselves prefer, such as Kellogg’s Frosties, Kellogg’s
choco’s and honey lops
 Inner Health: These are brands that help people with digestion. Kellogg’s All-Bran and
Kellogg’s Heart to Heart Oats.

Target Consumers

 The objective customers for Kellogg Cornflakes are youngsters. Consequently, this gathering
of buyers ought to have the option to recognize Kellogg Cornflakes among the many cereal
boxes in the supermarkets. Kellogg Company plans Kellogg's Cornflakes is such a way that is
exceptionally appealing to youngsters. The image on the recreation center is plug hen head,
which is adequately strong to draw in children consideration. Youngsters are expected to like
chickens, it intrigues them. So, the load plan with plug head will entrances youngsters to
draw the consideration of their parent to purchase Kellogg's Cornflakes. It is a visual
message that kids see without any problem. In this way, for youngsters as the customer, it is
accommodation and a simple method to discover an item they need just as guarantee their
folks buy it. The capacity of an organization to distinguish clients need and needs and plan
items that address this issue and needs is the thing that Fifield portrays as genuine
advertising. The designs on the Kellogg Cornflakes box catches the client accommodation
and correspondence as it identifies with kids. The visual correspondence content clarifies
how this item is promoted to children.
 The target market for Kellogg’s Corn Flakes includes the rich, urbanized, Westernized part of
the population. Kellogg’s Corn Flakes distinguishing as “fast, opportune breakfast” targeted
at the growing number of middle-class families who value time and practicality. Age is a
significant demographic variable for Kellogg’s Corn Flakes as the product will target fixed
 segments that are more likely to consume healthy food products. The healthy breakfast
cereal product such as Kellogg’s Corn Flakes focuses more on children – 3 to 12 years old and
senior adults – above 65 years old. Kellogg’s has to deal with the issue that buyers of “Corn
Flakes”, generally adults and often women, are not always the consumers. “Corn Flakes” are
intended towards the whole family, healthy minded customers. It provided a fast meal
before the early morning rush to school, and some kids and adults ate it as a snack at other
times of the day. Kellogg’s also evades differences that based on the age, sex or gender.

 Kellogg’s uses a mix of demographic, geographic and psychographic segmentation to market

its 1600 products in around 180 countries around the world.
 Differentiating targeting strategy is used by Kellogg to make its products available across
different channels.
 The world’s largest cereal company uses product/ benefit-based positioning strategies to
highlight the benefits of their products to the customers.
 Special K cereals belong to the category of breakfast cereals and are part of Kellogg’s
product line ‘Special K’. Besides cereals, muesli- and muffin-bars and waffles are available.
 Cereals are available in different flavours: Original, Red Berries, Vanilla Almond, Low Carb,
Peach & Apricot. All are low-calorie, low-fat, offering more vitamins and minerals than other
breakfast cereals. Thus, ‘Special K cereals’ are a qualitative, healthy, balanced way to start
the day. Additionally, these cereals have a great taste. Thus with ‘Special K’ eating healthy
needn’t be boring but is tasteful, varied and satisfying.
 ‘Special K’ is easy and fast to prepare. Consumers just have to add milk. The package also
accounts for fast and easy use: In the primary cardboard container is a secondary plastic bag,
ensuring that it stays crisp and flavoured.
 ‘Special K’ comes in 360g and 630g packs. All items in the product line are labelled according
to Kellogg’s and ‘Special K’s corporate designs. Hence it is easy to recognize in-store and by
this the shopping process is eased. By offering a large pack, consumers do not have to
repurchase that often and more free time is left, e.g., for exercising.
 These product characteristics point to busy consumers paying attention to shape and fitness
but also wanting enjoyment of tasteful food.
 First, prices are compared with competitor’s products in the category. Most of the
competitors do not offer special dietary products, thus only Uncle Toby’s Plus products will
be taken into consideration here.
 Kellogg’s ‘Special K’ cereals are priced higher than competing products. These premium
prizes indicate a high-quality, high-price strategy.
 It can be concluded that the targeted consumers are willing and able to pay the higher price.
Thus, working middle or upper-class people are rather targeted than students, unemployed
or members of the lower-class.
 To enter any segment, a company has to gauge potential success each market segment has
to offer. This is called Targeting. Kellogg’s uses Differentiated Targeting strategy.
 Basic target market of Chocos is kid’s teens and their moms. Basically, it is targeting tier
1,2,3 cities where moms watch tv and understand where they are working and still wants
their child to stay healthy
 Target market in simple words is a fairly homogenous group of costumers to whom a
company wishes to appeal. In case of All Bran, Kellogg’s is sailing a fibre rich cereal product
thus should target every individual that wants to leave a fit and healthy life.
  It also targets Adults and elders which are health conscious usually tend to visit gym to stay
fit. So, Kellogg’s can try getting into partnership with gym instructors so that they capture
major junk of health-conscious group
 The chance of target marketing strategy becoming successful is totally dependent upon the
marketers’ expertise of recognising and choosing a befitting market segment.
 With respect to the guardians and more seasoned individuals who eat cornflakes, they are
not really worry about the visual substance of the adverts yet rather the genuine substance
in the grain box. This has to do with the measure of cornflakes inside the crate and the
dietary substance. In such manner, they will need to look for cereals that are sound by
taking a gander at their sustenance truth marks. With the nourishment marks strikingly
recorded on the crate of Kellogg's Cornflakes, the guardians/grown-ups can check through
the sustenance name, which is absolutely to satisfy the sustenance guideline for a solid
living. Fundamentally, the item portrayal as low in immersed fat and cholesterol and
contains a few nutrients will get the fascination of this gathering of shoppers. This shapes
their apparent worth of the item. Kotler and Keller contend that clients gauge which
proposition will convey the most saw worth and follow up on it. Shoppers are more
instructed and educated than any other time in recent memory, and they have the devices
to check organizations' cases and search out predominant other options.
 Absolutely, a parent would not have any desire to purchase undesirable item for the
youngster in like manner, a grown-up would not accepting unfortunate food item. By
consistently refreshing the nutrient substance of this item thusly, Kellogg Company
guarantees that the item meets the changing shopper needs. It additionally has assortments
of this item to fulfil various necessities of purchaser. This clarifies the special part of the
showcasing blend and where correspondence truly matters. The item measurement
displayed in sustenance reality name clarifies what is acceptable with regards to Kellogg
Cornflakes that is by furnishing quality food with its fat determination close to 0 and letting
the objective buyer mindful of it without any problem. In any case, the likelihood that a
grown-up won't worry about the illustrations on the Kellogg Cornflakes doesn't eliminate the
way that bundle realistic is vital in reinforcing or debilitating advertiser's express verbal
cases (Bone and France, 2001). For example, green is regularly utilized on an item bundle,
especially staples to indicate wellbeing since buyers partner the shading with "new, normal
and natural".

Market research

Market research goes beyond finding out what consumers are thinking today. It can identify what
consumers might want in the future. In this way market research helps a business to make more
informed choices. This reduces the risks for any new product development (NPD). It also increases
the likelihood that products will be well received by consumers when they are launched.

Kellogg's launched Crunchy Nut Cornflakes in the UK in 1980. Since then, it has become one of the
most important brands for Kellogg's with huge sales value.

In 2003 the Crunchy Nut brand created a brand extension. This involved using the Crunchy Nut name
to launch a new product called Crunchy Nut Clusters. This variant has two varieties, Milk Chocolate
Curls and Honey and Nut. Both of them have enabled the brand to reach a wider group of
consumers

Why carry out market research?