How to sell nothing for everything... Answer = Cereal.

Merry Christmas from Kelloggs

The creation of the Kellogg cornflake was ultimatly the origin of the processed food market. It started out in a small town in the middle of corn fields, the Kellogg brothers argued their way to the way food was perceived by the world forever.

However this cereal was simply corn. A mass-produced, easy to grow crop that after adding many preservatives, sugar and salt and put in a fancy box, could be sold at 2000% increase cost than the corn itself. Per 1kg corn costs 15p and sells as cereal for £3. Selling the product for this price means god advertising is needed. 1/4 of Kelloggs spending goes on advertising which equates to 1 billion per year. More money is spent on the advertising of cereal than any other product. Maybe this is because all it is is corn from a field with added 'nasties'.

Through the years the growth of cereal as a product has only multiplied. new sugary, chocolaty, colourful types have been developed, selling to children all around the world. Cocopops for example have developed the new wheel shaped cereal, as through research the wheel shape was proven to spark childrens imagination.

Choc 'n' Roll

What they're selling, who they're selling to and where they're selling is all part of the ladder to make the most prophet. Kelloggs demand the part of the shelf right at eye level to parents, right in-between their other products to catch everyones eye. In the 1970s however supermarkets began making their own brands, and average £1 less per kg than the main brands. The way for these brands to stay in business is all through advertising. And this has clearly worked before - Kelloggs managed to sell the leftover part of the grain (bran) which doesn't have a very nice taste, and make a 'healthy' cereal to sell to the world and make millions.

The programme The Foods that make Billions explains the advertising ideas in selling cereal, and the incredible affect it has on everyones' lives. Over 95% of us have a packet of cereal in our cupboard even if we're buying the box, not what's inside.

'According to a study on rats, some argue it is better off eating the milk and box, rather than the cereal inside'.

Funny what the power of advertising can do, isn't it?

Interested in finding out more about branding and selling of products;

Case Study Advertising Kelloggs