Thursday, 8 November 2012

How cornflakes brands differentiate one from another?


As mentioned in an earlier post, the cereal market in France is really segmented. Two big brands are basically sharing the cereals market shares. Kellogg’s owns more than 40% whereas Nestlé is not too far behind with 30% of market shares. Another interesting fact is that distributor’s brands are representing 20% of the market and this percentage just keeps increasing over the years.

With that entire offer available in supermarket, brands need to influence the consumer’s choice and make sure that their core targets are going to respond to the brand strategy and buy the product.

How can each of these brands differentiate from others?

One solution that has been used to differentiate one brand from others is to target a new segment. Extra cornflakes started a few years ago an advertising campaigns which slogan was “finally, an adult cornflakes brand not only for women”.



This slogan showed that the men segment was not really targeted before and that adult cereals were mainly diet cereals for women. Another example of differentiation via targeting a new segment is the adult cereals market. Cereals are mainly consumed by children, 9 out of 10 children are having cereals every day for breakfast. Adult cereal is a real opportunity for differentiation as stated Rozenn Triolaire, director of the adult cereals and bars for Nestlé and General Mills, “The adult market is not mature at all. The penetration is still really slow. We are still missing some offers to meet these target needs and expectations”.

Another way of differentiation is obviously product related innovations such as the taste, the nutritional content, the size, and all the communication strategy that comes along with it.
As an example, Special K, major brand on the adult cereal market with about 17% of market shares, keeps launching new tastes to prevent its consumers from getting bored. As a matter of fact, people consuming this brand are most of the time on a diet, or at least they are taking care of their shape. Moreover, it has been proven that the main problem during diet and the main reason why people stop doing it, is because they get tired of it. Knowing that, it is very important to keep having new taste for cereals in order to avoid that effect. Special K perfectly understood it, and meets entirely its consumer needs.



Cereal brands can also use packaging as a way of differentiation. For children packaging is everything and might be the only thing (with taste) that drives their choices. The packaging needs to be attractive, with a lot of colors and games (outside and inside). Also having a brand character can help differentiate from other brands, Frooties is represented by a tiger and Miel Pops by a bee. Knowing that, boys will more likely want frooties for their breakfast and vice versa.



Froosties is using a boy as the main human character in their commercials whereas Miel Pops is using girls. 





Last but not least the programs that go with the product can also help brands to differentiate. As an example, when people buy a Special K product or a Fitness product they can have access to online coaching, specific diet prescriptions, gifts etc. All these extra services enable these brands to differentiate from other diet brands and can reinforce consumer’s loyalty. 


1 comment:

  1. Corn Pop, Cocoa Puffs, Raisin Bran are famous and highly in demand cereal names. Most of people have cereals in their breakfast as they are rich in fibers and good for health.

    ReplyDelete