Kellogg's Company has a large distribution network in India to reach customers. It has 200 distributors, 18 storage hubs, and over 35 million square feet of manufacturing, distribution, and warehouse facilities. Kellogg's products reach over 50,000 stores in India. The distribution channel flow involves manufacturing at Kellogg's plant in Taloja, Mumbai and then distributing to distributors who send products to retailers, with distributors receiving a 5% margin and retailers a 12% margin. Kellogg's has a 37% market share of the breakfast cereals market in India and the widest product range and strong distribution network have helped it become the leading brand.

1. DISTRIBUTION CHANNEL OF
KELLOGGS COMPANY
TEAM :
Aarushi (15RM901)
Dhwanit (15RM909)
Krishan Kamal (15RM912)
Lalithasri P (15RM914)
Midhun Joseph (15RM917)
Uday Bhan Singh (15RM946)

2. INDIAN MARKET PENETRATOION
• 1906, Found in Battle Creek, USA
• 1995, Entered Indian market
• 10 brands – Indian market
• Faced challenges and bounced back
• Major competitors in India are
Braggy’s
Quaker oats by Pepsi Co.
Patanjali

3. KELLOGG’S BRANDS IN INDIA
• All Bran
• Chocos
• Chocos in stars and moon shape
• Chocos with chocolate and milk flavour
• Honey loops
• Muesli
• Oat- bite
• Oats
• Special K

4. OVERVIEW OF DISTRIBUTION
CHANNEL IN INDIA
• 200 Distributors in India
• 18 storage hubs
• 35 million sq ft of manufacturing, distribution and
warehouse facility
• 21% sales accounted by Walmart being the biggest
customer of the company
• Taloja Mumbai- manufacturing plant in India
• Follows effective supply chain which resulted in sales
of :
 0.7 % - Asia specific
 3.9 % - Latin America

5. DISTRIBUTION CHANNEL FLOW CHART

6. DISTRIBUTION CHANNEL
• 50,000 stores – being catered
• Reduction in price
• Increase the no. of SKUs
• Followed sampling process for promotion
• Margins
5% - Distributors margin
12% - retailers margin

7. COMPETITIVE LANDSCAPE
• First-mover advantage
• 37% (2015) – breakfast cereals market share
• Widest product range and strong distribution network
• Leads to behavioural changes of customer
• Value share of practicality – 100% in children breakfast
• Understanding the customers needs
• Projection of fulfilled brand
• nutritional value
• Test packets – major highlights for success

8. SWOT ANALYSIS - KELLOGS
KELLOGGS QUAKER PATANJALI
S • Leading brand
(international standards)
• First-mover advantage
• Good distribution channel
• 1st to trademark
breakfast cereals
• Low price
• Target – mass market
• Support from big
corporate
W • No proper analysis
• failed once in India
• High price
• tagged under health
•Cross contamination
• lack on innovation
• quality compromised
• weaker distribution
channel
• poor brand image
O • High market share
• created behavioural change
• quick to prepare
• rooted and have high
scope
• healthier option
• Scope for expansion
• Penetrate the
existing market
T • entry on multinational
brands
• Entry from local market
• substitutes
• customer disapproval
• niche product

9. RECOMMENDATIONS
• Better market and customer analysis
• Carter consumer disposable income
• Tie up with local market
• Reposition themselves as round the clock
meal

10. Thank You