The History of Breakfast Cereal

Cereal Industr

y

James Caleb

Jackson

John Kellogg

Will Keith

Kellogg

Charles William

Post

• Created by Will Keith Kellogg in 1906• Headquartered in Battle Creek, Michigan• 30, 900 Employees• World’s leading producer of cereal and convenience foods• Revenues of $12, 575 million in 2009

Kellogg's43%

General Mills18%

Quaker Oats (PepsiCo)

14%

Post Cereals (Ralcorp Holdings Inc.)

10%

Other15%

Cereal Industry in Canada Popular Cereal Products

Kellogg’s = Frosted Flakes, Mini-Wheats, Special K, Rice Krispies

General Mills = Cheerio’s, Wheaties, Cinnamon Toast Crunch

Quaker Oats = Quaker oatmeal and granola bars

Post Cereal = Honey-Comb, Golden Crisp, Alpha-bits

Competition

Young Adults*aged 18-24• Tech savvy (98% own a computer)• Very mobile (1 in 4 Canadians actively seek new education and employment)• Making fewer transitions into adulthood• Spend a longer time living at home• Family members and parents have a greater influence

in food consumption

** pictures of us on this slide? Might be kind of fun?

SWOTKellogg’s Cereal

STRENGTHS WEAKNESSES

High brand recognition International reach Strong product growth and innovation Large advertising capacity

Large portion of revenues coming from a small number of top customers

Product recalls from Salmonella and other bacteria in 2009 harmed brand image

OPPORTUNITIES THREATS

Untapped market of young adults Emerging economies of health-

conscious consumers Cost saving programs to generate

revenue

High levels of regulation from Canada's Food and Drugs Act

Intense competition