Top 100 Brand in The World – Rank no.30 – Kellogg – US
|Traded as||NYSE: K
S&P 500 Component
|Founded||February 19, 1906|
|Founder(s)||Will Keith Kellogg|
|Headquarters||Battle Creek, Michigan, United States|
|Key people||James M. Jenness
John A. Bryant
(President and CEO)
|Revenue||US$ 14.197 billion (2012)|
|Operating income||US$ 1.562 billion (2012)|
|Net income||US$ 960 million (2012)|
|Total assets||US$ 15.184 billion (2012)|
|Total equity||US$ 2.48 billion (2012)|
The Kellogg Company (informally Kellogg’s or Kellogg) is a multinational food manufacturing company headquartered in Battle Creek, Michigan, United States. Kellogg’s produces cereal and convenience foods, including cookies, crackers, toaster pastries, cereal bars, fruit-flavored snacks, frozen waffles, and vegetarian foods. The company’s brands include Corn Flakes, Frosted Flakes, Rice Krispies, Special K, Cocoa Krispies, Keebler, Pringles, Pop-Tarts, Kashi, Cheez-It, Eggo, Nutri-Grain and many more. Kellogg’s stated purpose is “Nourishing families so they can flourish and thrive."
Kellogg’s products are manufactured in 35 countries and marketed in over 180 countries. Kellogg’s largest factory is at Trafford Parkin Manchester, United Kingdom, which is also the location of its European headquarters. Kellogg’s holds a Royal Warrant fromQueen Elizabeth II and the Prince of Wales.
Kellogg’s was founded as the Battle Creek Toasted Corn Flake Company on February 19, 1906, by Will Keith Kellogg as an outgrowth of his work with his brother John Harvey Kellogg at the Battle Creek Sanitarium following practices based on the Seventh-day Adventist Church. The company produced and marketed the hugely successful Kellogg’s Toasted Corn Flakes and was renamed the Kellogg Company in 1922.
In 1930, the Kellogg Company announced that most of its factories would shift towards 30 hour work weeks, from the usual 40. W.K. Kellogg stated that he did this so that an additional shift of workers would be employed in an effort to support people through the depression era. This practice remained until World War II, and continued briefly after the war, although some departments and factories remained locked into 90 hour work weeks until 1980. From 1969 to 1977, Kellogg’s acquired various small businesses including Salad Foods, Fearn International, Mrs. Smith’s Pies, Eggo, and Pure Packed Foods; however, it was later criticized for not diversifying further like General Mills and Quaker Oats were.
After underspending its competition in marketing and product development, Kellogg’s U.S. market share hit a low 36.7% in 1983. A prominent Wall Street analyst called it “a fine company that’s past its prime" and the cereal market was being regarded as “mature". Such comments invigorated Kellogg chairman William E. LaMothe to improve, which primarily involved approaching the demographic of 80 million baby boomers rather than marketing children-oriented cereals. In emphasizing cereal’s convenience and nutritional value, Kellogg helped persuade U.S. consumers age 25 to 49 to eat 26% more cereal than people that age ate five years prior. The U.S. ready-to-eat cereal market, worth $3.7 billion at retail in 1983, totaled $5.4 billion by 1988, and had expanded three times as fast as the average grocery category. Kellogg’s also introduced new products including Crispix, Raisin Squares, and Nutri-Grain Biscuits and reached out internationally with Just Right aimed at Australians and Genmai Flakes for Japan. During this time, the company maintained success over its top competitors: General Mills, who largely marketed children’s cereals, and Post, who had difficulty in the adult cereal market.
In March 2001, Kellogg made its largest acquisition, the Keebler Company. Over the years it has also gone on to acquire Morningstar Farms and Kashi divisions or subsidiaries. Kellogg also owns the Bear Naked, Natural Touch, Cheez-It, Murray, Austin, Famous Amos,Gardenburger (acquired 2007) and Plantation brands. Presently, Kellogg is a member of the World Cocoa Foundation.
- Bear Naked, Inc.
- Sunshine Biscuits
- Famous Amos
- Mother’s Cookies
- Murray Cookies
A list of cereal products produced by Kellogg’s, with available varieties:
- All-Bran: All-Bran Original, All-Bran Bran Buds, All-Bran Bran Flakes (UK), All-Bran Extra Fiber, All-Bran Guardian (Canada)
- Apple Jacks
- Apple Jacks Apple vs Cinnamon Limited Edition
- Apple Jacks 72 Flavor Blast (Germany)
- Bran Buds (New Zealand)
- Bran Flakes
- Choco Krispis (Latin America)
- Chocos (India, Europe)
- Chocolate Corn Flakes: a chocolate version of Corn Flakes. First sold in the UK in 1998 (as Choco Corn Flakes or Choco Flakes), but discontinued a few years later. Re-released in 2011.
- Cinnamon Mini Buns
- Coco Pops Coco Rocks
- Coco Pops Special Edition Challenger Spaceship
- Coco Pops Crunchers
- Coco Pops Mega Munchers
- Coco Pops Moons and Stars
- Cocoa Hoots
- Cocoa Krispies (Coco Pops in Europe, Australia)
- Cocoa Flakes
- Corn Flakes
- Complete Wheat Bran Flakes/Bran Flakes
- Corn Pops
- Country Store
- Crunch: Caramel Nut Crunch, Cran-Vanilla Crunch, Toasted Honey Crunch
- Crunchy Nut (formerly Crunchy Nut Cornflakes)
- Crunch Nut Bran
- Cruncheroos (current only available through food service sales and not retail)
- Disney cereals: Disney Hunny B’s Honey-Graham, Disney Mickey’s Magix, Disney Mud & Bugs, Pirates of the Caribbean, Disney Princess
- Extra (Muesli): Fruit and Nut, Fruit Magic, Nut Delight
- Froot Loops: Froot Loops, Froot Loops 1⁄3 Less Sugar, Marshmallow Froot Loops
- Frosted Flakes (Frosties outside of the US/Canada): Kellogg’s Frosted Flakes, Kellogg’s Frosted Flakes 1⁄3 Less Sugar, Tony’s Cinnamon Krunchers
- Frosted Mini-Wheats (known in the UK as Toppas until the early 1990s, when the name was changed to Frosted Wheats. The name Toppas is still applied to this product in other parts of Europe, as in Germany and Austria)
- Fruit Harvest: Fruit Harvest Apple Cinnamon, Fruit Harvest Peach Strawberry, Fruit Harvest Strawberry Blueberry
- Fruit ‘n Fibre (not available in US; not related to the Post cereal of the same name sold in the US)
- Fruit Winders (UK)
- Genmai Flakes (Japan)
- Guardian (Australia, NZ, Canada)
- Honey Loops (formerly Honey Nut Loops)
- Honey Smacks (US)/Smacks (other markets)
- Just Right: Just Right Original, Just Right Fruit & Nut, Just Right Just Grains, Just Right Tropical, Just Right Berry & Apple, Just Right Crunchy Blends – Cranberry, Almond & Sultana (Australia/NZ), Just Right Crunchy Blends – Apple, Date & Sultana (Australia/NZ)
- Kombos (no longer available in the US)
- Krave (Discontinued in the UK, US, Italy. Was returned to the European market in 2011, and to the US market in 2012)
- Komplete (Australia)
- Low-Fat Granola: Low-Fat Granola, Low-Fat Granola with Raisins
- Mini Max
- Mini Swirlz
- Mini-Wheats: Mini-Wheats Frosted Original, Mini-Wheats Frosted Bite Size, Mini-Wheats Frosted Maple & Brown Sugar, Mini-Wheats Raisin, Mini-Wheats Strawberry, Mini-Wheats Vanilla Creme, Mini-Wheats Strawberry Delight, Mini-Wheats Blackcurrant
- Mueslix: Mueslix with Raisins, Dates & Almonds
- Nut Feast
- Oat Bran: Cracklin’ Oat Bran
- Product 19
- Raisin Bran/Sultana Bran: Raisin Bran, Raisin Bran Crunch, Sultana Bran (Australia/NZ), Sultana Bran Crunch (Australia/NZ)
- Raisin Wheats
- Rice Krispies/Rice Bubbles: Rice Krispies, Rice Krispies Treats, Frosted Rice Krispies (Ricicles in the UK), Cocoa Rice Krispies, Gluten Free Rice Krispies, Rice Bubbles, LCMs, Rice Crispies Multi-Grain Shapes
- Scooby-Doo cereal: Cinnamon Marshmallow Scooby-Doo! Cereal
- Smart Start: Smart Start, Smart Start Soy Protein Cereal
- Special K: Special K, Special K low carb lifestyle, Special K Red Berries, Special K Vanilla Almond, Special K Honey & Almond (Australia), Special K Forest Berries (Australia), Special K Light Muesli Mixed Berries & Apple (Australia/NZ), Special K Light Muesli Peach & Mango flavour (Australia/NZ), Special K Dark Chocolate (Belgium), Special K Milk Chocolate (Belgium), Special K Sustain (UK)
- Spider-Man cereal: Spider-Man Spidey-Berry
- SpongeBob SquarePants cereal
- Start (UK)
- Strawberry Pops (South Africa)
- Sustain: Sustain, Sustain Selection
- Tresor (Europe)
- Vector (Canada only)
- Yeast bites with honey
- Yogos (Berry, Mango, Strawberry, 72 Flavor Blast (Germany), Cookies and Cream, Tacos (Mexico))
- Kringelz (formerly known as ZimZ!): mini cinnamon-flavored spirals. Only sold in Germany and Austria
Discontinued cereals and foods
Kellogg provides an online list of discontinued products.
- Banana Bubbles
- A banana-flavoured variation of Rice Krispies. First appeared in the UK in 1995, but discontinued shortly thereafter.
- Bart Simpson’s No ProblemO’s & Bart Simpson’s Eat My Shorts
- Sold in the UK for a limited period
- Bigg Mixx cereal
- C-3PO‘s cereal
- Introduced in 1984 and inspired by the multi-lingual droid from Star Wars, the cereal called itself “a New (crunchy) Force at Breakfast" and was composed of “twin rings phased together for two crunches in every double-O". In other words, they were shaped like the digit 8.
- Cinnamon Crunch Crispix
- Cinnamon Mini-Buns
- Complete Oat Bran Flakes
- Corn Soya cereal
- Coco Pops Strawss
- Double Dip Crunch
- Frosted Krispies
- Frosted Rice
- This was a combination of Frosted Flakes and Rice Krispies, using Rice Krispies with frosting on them. Tony Jr. was the brand’s mascot.
- Golden Crackles
- Golden Oatmeal Crunch (later revised to Golden Crunch)
- Kenmei Rice Bran cereal
- Kream Krunch
- Krumbles cereal
- Manufactured approximately from the 1920s to the 1950s; based on shreds of wheat but different from shredded wheat in texture. Unlike the latter, it tended to remain crisp in milk. In the Chicago area, Krumbles was available into the late 1960s. It was also high in fiber, although that attribute was not in vogue at the time.
- Marshmallow Krispies (later revised to Fruity Marshmallow Krispies)
- Mr. T’s Muscle Crunch (1983–1985)
- Nut & Noney Crunch
- OKs cereal (early 1960s)
- Oat-based cereal physically resembling the competing brand Cheerios, with half the OKs shaped like letter O’s and the other half shaped like K’s, but did not taste like Cheerios. OKs originally featured Big Otis, a giant, burly Scotsman, on the box; this was replaced by the more familiar Yogi Bear.
- Pokémon Cereal
- A limited edition cereal that contained marshmallow shapes in the forms of Gen I Pokémon Pikachu, Oddish, Poliwhirl and Ditto.
- Powerpuff Girls Cereal
- Puffa Puffa Rice (late 1960s–early 1970s)
- Raisins Rice and Rye
- Razzle Dazzle Rice Krispies
- Stars/All-Stars cereal
- Strawberry Rice Krispies
- Strawberry Splitz
- YOGOs. (unknown reason why these have stopped being made.)
- Australia: Pagewood
- Brazil: São Paulo
- Canada: London, Ontario
- France: Rosny-sous-Bois
- Germany: Bremen
- India: Mumbai
- Republic of Ireland: Kellogg Europe Trading, Swords, Dublin
- Italy: Rome
- Japan: Shinjuku, Tokyo
- Mexico: Querétaro
- Middle East
- Netherlands: Den Bosch
- Philippines: Alaska Milk Corporation
- Poland: Kutno
- Portugal: Lisbon
- Russia: United Bakers
- South Africa: Springs
- South Korea: Seoul
- Spain: Valls
- Sri Lanka: Colombo; Sri Jayawardenapura Kotte
- Thailand: Bangkok
- United Kingdom:
- United States: Battle Creek, Michigan
- Venezuela: Maracay, Aragua
Various methods have been used in the company’s history to promote the company and its brands.
Some of Kellogg’s marketing has been questioned in the press, prompted by an in increase in consumer awareness of the mismatch between the marketing messages and the products themselves.
Food bloggers are also questioning the marketing methods used by cereal manufacturing companies such as Kelloggs due to their high sugar content and use of ingredients likeHigh-fructose corn syrup
Premiums and prizes
W.K. Kellogg was the first to introduce prizes in boxes of cereal. The marketing strategy that he established has produced thousands of different cereal box prizes that have been distributed by the tens of billions.
Kellogg’s Corn Flakes had the first cereal premium with The Funny Jungleland Moving Pictures Book. The book was originally available as a prize that was given to the customer in the store with the purchase of two packages of the cereal. But in 1909, Kellogg’s changed the book give-away to a premium mail-in offer for the cost of a dime. Over 2.5 million copies of the book were distributed in different editions over a period of 23 years.
Cereal box prizes
In 1945, Kellogg inserted a prize in the form of pin-back buttons into each box of Pep cereal. Pep pins have included U.S. Army squadrons as well as characters from newspaper comics and were available through 1947. There were five series of comic characters and 18 different buttons in each set, with a total of 90 in the collection. Other manufacturers of major brands of cereal (including General Mills, Malt-O-Meal, Nestlé, Post Foods, and Quaker Oats) followed suit and inserted prizes into boxes of cereal to promote sales and brand loyalty.
Licensed brands have been omitted since the corresponding mascots would be obvious (e.g. Spider-Man is the mascot for Spider-Man Spidey-Berry).
- Cocoa Krispies cereal (Known as Choco Krispis in Latin America, Choco Krispies in Germany, Austria and Switzerland, Chocos in India; and Coco Pops in Australia, the UK and Europe): Jose (monkey), Coco (monkey), Melvin (elephant), Snagglepuss (Hanna-Barbera character), Ogg (caveman), Tusk (elephant) & Snap, Crackle and Pop.
- Corn Flakes cereal: Cornelius (rooster)
- Frosted Flakes (known as Frosties outside the US/Canada, Zucaritas in Latin America and Sucrilhos in Brazil) cereal: Tony the Tiger
- Froot Loops cereal: Toucan Sam
- Honey Smacks (US)/Smacks (other markets) cereal: Dig ‘Em Frog
- Raisin Bran cereal: Sunny the Sun
- Rice Krispies (known as Rice Bubbles in Australia) cereal: Snap, Crackle and Pop
- Ricicles (UK Only) cereal: Captain Rik
- Apple Jacks cereal: CinnaMon and Bad Apple
- Honey Loops cereal: Loopy (bumblebee), Pops (honey bee)
- Keebler Cookies and Crackers : Ernie & the Elves
Kellogg’s made its first foray into auto racing in 1991–92, when the company sponsored the #41 Chevrolets fielded by Larry Hedrick Motorsports in the NASCAR Winston CupSeries and driven by Phil Parsons, Dave Marcis, Greg Sacks, Hut Stricklin and Richard Petty. But they gained greater prominence for their sponsorship of two time NASCARWinston Cup Champion Terry Labonte from 1993 (at Billy Hagan Racing) until his retirement in 2006, and Hendrick Motorsports from 1994 until the end of 2006, initially with Labonte with both their Corn Flakes and Frosted Flakes brands, including Labonte’s second NASCAR Championship (1996), and his second win in a major (the 2003 Southern 500). After Labonte’s retirement, the sponsor stayed when Hendrick with new driver Kyle Busch. Kellogg’s placed Dale Earnhardt on Kellogg’s Corn Flakes boxes for 1965 six-time Winston Cup champ and 1994 seven-time Winston Cup champ as well as Jeff Gordon on the Mini Wheats box for the 1993 rookie of the year, 1995 Brickyard 400 inaugural race, 1997 Champion and 1998 three-time Champ, and a special three-pack racing box set with Dale Earnhardt, Jeff Gordon, Terry Labonte, and Dale Jarrett in 1996. The company has consistently reduced its sponsorship, where since 2007 it shares only the hood or the sides of the cars with co-primary sponsor Carquest Auto Parts, now driven by Mark Martin. Kellogg’s will move to Roush Fenway Racing with driver Carl Edwards in 2010.
Kellogg’s has used some merchandising for their products. Kellogg’s once released Mission Nutrition, a PC game that came free with special packs of cereal. It played in a similar fashion as Donkey Kong Country; users could play as Tony the Tiger, Coco the Monkey, or Snap, Crackle, and Pop. Kellogg’s has also released “Talking" games. The two current versions are Talking Tony and Talking Sam. In these games, a user uses a microphone to play games and create voice commands for their computer. In Talking Tony, Tony the Tiger, one of Kellogg’s most famous mascots, would be the main and only character in the game. In Talking Sam, Toucan Sam, another famous mascot, would be in the game instead. Some toy cars have the Kellogg’s logo on them, and occasionally their mascots.
Campaign to Overthrow California Citizen’s Mandatory Labeling of Genetically Modified Foods Initiative
Kellogg Company has contributed $632,500 to the California political campaign known as “The Coalition Against The Costly Food Labeling Proposition, sponsored by Farmers and Food Producers". This organization was set up to oppose a citizen’s initiative, known as Proposition 37, demanding mandatory labeling of foods containing genetically modified ingredients. To date, Proposition 37 has received almost a million signatures.
2010 Cereal Recall
On June 25, the company voluntarily began to recall about 28 million boxes of Apple Jacks, Corn Pops, Froot Loops and Honey Smacks because of an unusual smell and flavor from the packages’ liners that could make people ill. Kellogg’s said about 20 people complained about the cereals, including five who reported nausea and vomiting. Consumers reported the cereal smelled or tasted waxy or like metal or soap. Company spokeswoman J. Adaire Putnam said some described it as tasting stale. However, no serious health problems have been reported.
The suspected chemical that caused the illnesses was 2-methylnaphthalene, used in the cereal packaging process. Little is known about 2-methylnaphthalene’s impact on human health as the Food and Drug Administration has no scientific data on its impact on humans, and the United States Environmental Protection Agency (EPA) also does not have health and safety data. This is despite the EPA having sought information on it from the chemical industry for 16 years. 2-Methylnaphthalene is a component of crude oil, and is “structurally related to naphthalene, an ingredient in mothballs and toilet-deodorant blocks" that the EPA considers a possible human carcinogen.
Kellogg’s offered consumers refunds in the meantime. Only products with the letters “KN" following the use-by date were included in the recall. The products were distributed throughout the U.S. and began arriving in stores in late March 2010. Products in Canada were not affected.
2012 Cereal Recall
Kellogg’s has issued a voluntary recall of some of its Frosted Mini-Wheats Bite Size Original and Mini-Wheats Unfrosted Bite Size products due to the possibility of flexible metal mesh fragments in the food. The affected products are: Frosted Mini-Wheats Bite Size Original and Mini-Wheats Unfrosted Bite Size products with the letters KB, AP or FK before or after the Best If Used Before date are part of the recall. The products vary in size from single-serve bowls to large 70-ounce cartons. Use by dates range from April 1, 2013 to September 21, 2013.
|This section requires expansion. (May 2010)|
We expect more from a great American company than making dubious claims—not once, but twice—that its cereals improve children’s health…
Kellogg’s responded by stating “We stand behind the validity of our product claims and research, so we agreed to an order that covers those claims. We believe that the revisions to the existing consent agreement satisfied any remaining concerns."
The Children’s Advertising Review Unit of the Council of Better Business Bureaus has also suggested that the language on Kellogg Pop-Tartspackages saying the pastries are “Made with Real Fruit" should be taken off the products. In July 2012, Britain banned the “Kellogg’s" special K advertisement due to its misleading information about calorific value and weight loss.