Kellogg's Crises

          Kellogg's is having crisis. Cereal used to be a must-have breakfast that could be found in any household's cabinet. Nowadays, health concern is priority of the consumers. Cereal, which contains at least 12g of sugar in the Cocoa Krispies, would not be their choice. In result, the cereal sales declines 4.4% in the first quarter comparing with last year.

      Kellogg's snack sales is not much different. Rice Krispies Treats, Cheez-It crackers and Pringles chips—were flat in North America. Some Rxbar products were also recalled due to the false allergy warning. Kellogg's also sold its Keebler cookies business to Italy’s Ferrero Group. These crises hurt its sales and earnings fell 37% to $282 million. 

In conclude, Kellogg's should get over the crises by focusing on customer needs, adapting itself to the circumstances and looking for more innovations which could help to withdraw customers' attention and boost the sales and earning again. 

by Thu Nguyen

Source: https://www.wsj.com/articles/kelloggs-operating-profit-weakens-in-north-america-11556801628