Analysis Of Marketing Positioning Of Kelloggs Special K Marketing Essay

Analysis Of Marketing Positioning Of Kelloggs Special K Marketing Essay Kotler et al’s ideology of marketing entailing understanding consumers and their needs and designing marketing initiatives to deliver those needs (2009, p. 5) emerges in the marketing endeavors undertaken by the Kellogg’s Special K (SK) cereal brand. The marketing foresight inculcated by the brand not only helped it contribute to the overall success of the Kellogg conglomerate but also helped it evolve as a strong contender in the UK cereal industry. This assignment will unravel the marketing practices followed by the SK brand by analyzing its positioning in the UK cereal market. The analyses will encompass highlighting the customer segmentation adapted by this cereal brand followed by evaluating the efficacy of its target market selection. Subsequently, it will assess the cereal’s positioning as compared with its competitor’s positioning including its usage of the marketing mix elements to sustain that positioning. Finally as an outcome of the above anal ysis, it will offer recommendations to strengthen the brand’s market positioning. Assumptions Made: Barring considering the retailers as buyers for a five force analysis of the UK cereal industry, the assignment considers the end users as the consumers of the SK cereal. Whilst for a perceptual map, price   [ 1 ]   has been used to draw inferences on the product quality of the various cereal brands, Kellogg’s product life cycle stage in the UK market and SK’s brand share have been used to draw inferences on SK’s product life cycle stage. UK Cereal Market and Kellogg’s: The UK cereal market grew by 15.7% in value between 2004 and 2008 because of the perceived health benefits of and convenience in consuming cereals coupled with the declining popularity of the traditional breakfast (Worth, 2009). This growth rate indicates the attractiveness of UK cereal industry, which is also substantiated by a Porter’s five forces analysis of the market ( represented diagrammatically in Figure 1.1). This oligopolistic market is dominated by three big brands: Kellogg’s, Weetabix and Cereal Partners (Worth, 2009 and Datamonitor, 2009a) with Kellogg’s leading the market (as shown in figure 1.2). Since giving the world its very first ready to eat cereal – cornflakes (Emerald, 1991, p. 16), Kellogg’s has become practically synonymous with breakfast cereals (Mitchell and Boustani, 1992, p. 21). With over 100 years of experience in the cereal business, it appears that Kellogg’s has built its high brand value (shown in figure 1.3) on consistent pioneering innovations and incessant delivery of consumer’s nutritious food requirements. And keeping true to this tradition is Special K, the leading cereal brand of the Kellogg’s family   [ 2 ]   . Special K and its marketing choices: Launched in the UK in 1959 (Kellogg’s Special K, 2009), Special K is a nutritious low-fat, ready to eat die t cereal that owes its eminent market position to the enhanced marketing choices made by the Kellogg marketers (Kellogg Company, 2003,2004). Following section of the assignment will analyse the components of the marketing choices made by the SK brand. Market segmentation and Target Market: SK is targeted at weight conscious women, employed/homemakers, between the ages of 25-49 who desire to attain a slimmer shape either for a healthy lifestyle or for an occasion. And in pursuit of their weight goals these women will prefer to consume nutritious food substitutes including paying an above average price for the product.