The Importance of Effective Communication in a Competitive Market
A Kellogg's case study

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Page 1: Introduction

Kelloggs 20 Pic3Effective communications is a key element of any business’s operations. How well a business communicates with its stakeholders, both internal or external, will have a big impact upon how well that business performs in the markets it serves. Kellogg’s is the world’s leading supplier of cereals, with production bases across the globe and serving over 180 countries. Kellogg’s has maintained its position as market leader for most of the last century in the face of growing competition and changing global tastes.

To a large part this is due to it having a strong brand name, good quality products and a range that is tailored for individual countries. Having established this position, communication with its customers, suppliers and other stakeholders has been vital in Kellogg’s maintaining its competitive edge. This case study explores the role of communication as a central part of its operations strategy, with particular focus on how it managed its ‘Origins’ initiative. The main mission of the Origins project was to:

  • Reinforce the natural origins of Kellogg’s ingredients with consumers, namely the cereal grains themselves
  • Deliver the highest quality ingredients for local consumers
  • Commit to taking good care of the farmers and the habitat and build impactful and innovative programmes
  • Tell the story of the special people and places that provide Kellogg ingredients, with pride and credibility.

Emanating from these, successful communication of the Origin’s mission would help improve the perception of breakfast cereal amongst consumers as being ‘made from natural ingredients’ and that Kellogg’s ‘support local farmers’, helping to increase market share through increased purchases by retail outlets, especially the main supermarket customers and by the final consumers of Kellogg’s cereal products.

Kellogg's | The Importance of Effective Communication in a Competitive Market