SlideShare a Scribd company logo
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DISTRIBUTION CHANNEL OF
KELLOGGS COMPANY
TEAM :
Aarushi (15RM901)
Dhwanit (15RM909)
Krishan Kamal (15RM912)
Lalithasri P (15RM914)
Midhun Joseph (15RM917)
Uday Bhan Singh (15RM946)
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
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
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
DISTRIBUTION CHANNEL FLOW CHART
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
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
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
RECOMMENDATIONS
• Better market and customer analysis
• Carter consumer disposable income
• Tie up with local market
• Reposition themselves as round the clock
meal
Thank You

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Sales and distribution kelloggs 4th march 2016

  • 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
  • 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