Corn Flakes was actually invented by Dr. John Kellogg in 1876 (Foundations of an Empire, par. 3-5, 2008) and is still being reinvented by his brother’s company for over a century now.
The Product Life Cycle theory believes that a product goes through 4 stages namely the Introduction, Growth, Maturity and Decline. However, Kellogg has been able to elude the final stage of the cycle through successful branding, marketing and research. When sales become stagnant or seem to decline persistently, the company immediately researches on the 4 marketing Ps which are Product, Price, Place and Promotion.For All Bran, for example, the company made a SWOT analysis and found out that the brand was still strong but it lacks appeal to the growing senior citizenship that was beginning to demand more tasty cereals. This made them formulate a better marketing scheme in launching a new product like Bran Flakes Yoghurty (Kellogg’s, par.
4) In the 1990s, the company’s stocks were also declining due to its cut-price strategies on new products which failed to lead the way into better sales.It therefore changed gears by again trying its best to innovate through “volume to value strategy” which shifted resources, such as increased research and development spending, to higher-margin products. The company also bought big companies like Kashi and Keebler. (Pethokoukis, 2006, par. 11) With the growing concern over child obesity, the company is now positioning itself to meet the new demand by reformulating or dropping the advertising on Froot Loops and Pop-Tarts. (Prichard, 2007, par.
2) Kellogg has defied the S curve of the product life cycle theory and will continue to do so for as long as it remains attentive to its market.
