The Kellogg Co. announced it would drastically change its marketing tactics to children under 12. Kellogg has set certain nutrional criteria for its kid-targeted breakfast products and has pledged to discontinue product placement and advertising in schools. In addition, the company will place place summary nutrition information on the upper right corner of each package. This strategy appears to be a form of "demarketing," or taking steps to encourage responsible consumption. While consumers bear part of the responsibility to make good choices for themselves, marketers share in the responsibility to serve customers' best interest by producing products that do not cause harm.
It can be debated whether Kellogg is being proactive in taking a stand to make a better product for children or reacting to pressures from advocacy groups to change its ways. Regardless of the motivation for this initiative, Kellogg is taking action that could to be very beneficial in creating long-lasting brand relationships with its customers. Sure, short-term pain may be felt as the company moves away from a dependence (perhaps overdependence) on advertising and marketing tactics to stimulate sales. However, the long-term impact on consumer trust and the potential impact on perceived quality of Kellogg's products would seem to outweigh the effects of heavy advertising investments on moving the sales needle. Link
Labels: Marketing and Public Policy