A sample SWOT analysis for Kellogg’s cereals
Kellogg’s is a major player in the breakfast food market sector and is one of the most sophisticated operators within the fast-moving consumer goods industry.
However, they are facing interesting challenges of a declining market place as consumers become more time-poor, more health-focused, are eating out more, and have more the choices than ever before.
Here are some SWOT ideas for Kellogg’s cereals.
Strengths for Kellogg’s
| Strong supplier relationships |
| Strong retailer relationships |
| Strong brand equity |
| Strong brand consistency |
| Highly effective sales team |
| Analytical marketing approach |
| Product leadership |
| Clearly differentiated products |
| Broad product range |
| High level of customer loyalty |
| Clear value proposition |
| Clear segments targeted effectively |
| Effective sales and service culture |
| Stable cash flows |
| Strong technical expertise |
| High marketing effectiveness |
| Efficient logistics system |
| Effective use of marketplace data |
| Effective new product development process |
| Good identifier of market insights |
weaknesses for Kellogg’s
| Strong existing competitors |
| Significant price-based competition |
| Many substitute competitive products |
| Broad competitive set |
| Significant channel conflict |
| Operating In declining markets |
| Unsuccessful product line extensions |
| Targeting price elastic markets |
| Reducing customer lifetime values |
| Not meeting changing consumer needs |
| Silo-based culture |
| Slow to change and adapt |
Opportunities for Kellogg’s
| Shift to online shopping |
| Demand for home delivery services |
| Use channel relationships to defer new competitors |
| Acquire key competitors |
| Expand our number of channels |
| Pursue co-branding opportunities |
| Develop a new brand |
| Acquire a competitor’s successful brand |
| Supply private label brands for key retailers |
| Reposition weaker products |
| Extend our brand into new areas (brand extension) |
| Broaden our product range to target new segments |
| Broaden our product range to offer multiple price points |
| Add more product line extensions |
| Add increased product augmentation |
| Target niche markets |
| Increase customer loyalty |
| Use cross-functional teams to develop new products |
| Leverage our superior logistics system |
| Leverage our big data |
Threats for Kellogg’s
| Health concerns |
| Shift to online shopping |
| Increase in commodity prices |
| Home delivery competitors |
| New international competitors emerging |
| Competitors targeting our product gaps |
| Weakening retailer relationships |
| Retailers not accepting our product line extensions |
| Weakening brand equity |
| Increased market fragmentation |
| Inability to grow the customer base long-term |
| Products becoming outdated |
| Possible new product failures |
| New products cannibalizing our existing sales |
| Decline stage of the product life cycle |
| Declining share-of-customer |
| Consumers not buying product line extensions |
| A disconnected, and less loyal, customer base |
| Our business model becoming outdated |
| Being too slow to adapt to change |
SWOT analysis summary for Kellogg’s
About Kellogg’s
We are a company of promise and possibilities. Each day represents a fresh opportunity to share Our Vision, live Our Purpose.
By being mindful and committed to these ideals, we uphold our founder’s dedication to people and their well-being. And we promote an environment where we can push beyond boundaries and across borders to create foods and brands that help to fuel the best in everyone everywhere.
Source: Kellogg’s Purpose
