Ma. Concepcion L.

Drilon
BAMM 302
Kellogg Company has been producing cereals since 1906. It was a leading
manufacturer of cereals and other convenience food in the same year with the annual
sales of $9 billion range.

PRODUCT INNOVATION CHARTER

Background
Kellogg in 1999, being the number-one cereal maker, was defeated by General Mills, its
direct competitor. It was because the world is in a fast-paced environment, consumers
need change and new product. Kellogg failed on introducing something new and they
were complacent for being number one but competitors were also thinking up new ways
to compete. In respond to that, CEO Carlos Gutierrez, planned to rethink its corporate
strategies by heavy promotions and launching new flavors of cereals and snack
products.

Focus
Technology: Kellogg joined forces supported a “Get Fit” website and offered smart
watches.
Markets: Kellogg didn’t fail to become child-friendly as it partnered with SpongeBob
Squarepants, a well-known cartoon. They also set a foot on their boundaries by
launching yoghurt-flavored cereals promoting a healthy eating obsession for adults.

Goals and Objectives

Kellogg’s aimed to emphasize on snack products while not ignoring it’s core cereal
products. They also wanted to regain leadership position by successful new products
and many marketing investments. They focused on being the mega brand by launching
different snacks and cereals that striving to be tied in aggressive promotions. They
started to market kimchi- and seaweed-flavored Rice Krispies Treats domestic and
internationally.

Guidelines
1. Use heavy promotions and advertisement by joining market trends like social media.
2. Launch new flavor of familiar snacks.
3. Acquire Keebler to increase company’s portfolio.
4. Pursue convenience food market with Kellogg’s newly-launched product.
5. Accept and create more marketing collaboration from well-known brands.
6. Tied aggressive promotions for marketing investments.