Jif Peanut Butter Cereal Case Study

Powerful Essays
In 2014 Kellogg’s and Jif combined their products to create a peanut butter flavored breakfast cereal, Jif Peanut Butter Cereal. Kellogg’s, who’s mission statement is Nourishing families through breakfast, so everyone can flourish and thrive each and everyday combined with Jif peanut butter brand ideal of giving picky moms what best, made the cereal have high appeal rating upon release. Kellogg’s has manufactures in 18 different countries and is marketed in over 180 countries. Kellogg’s used segmentation and targeting. Segmentation is dividing the market of potential buyers into specific groups, and then determines the attractiveness of each product and segment. Knowing that consumers are attracted to breakfast cereal, Kellogg’s used a household brand like Jif to entered a market of peanut butter cereals such as Reese’s Puff and peanut butter toast crunch. The market proved tough as the product was discontinued as of March 2016. Jif Peanut butter Cereal, is the peanut flavored cereal from renowned peanut butter makers Jif. Jif have always sought after Choosy Moms, with their slogan being “Choosy mom choose Jif peanut butter.” It’s the same for their cereal, knowing the association with peanut butter lover and Jif peanut…show more content…
They account for at least 31% of the market size, which is about 21.5 million and have the top 10% of heavy users for Jif. They generate profit of about 91 millions dollars on sales per year. Choosy moms are family oriented and are associated with the upper middle to lower upper status. They’re town homeowner and usually stay at home moms ranging from ages 24-54. They believe in good tasting food for the family and prefer the highest quality. Getting Jif peanut butter cereal increases their self-esteem and confirms their belief In their good parenting skills. These are the functional benefits, practical benefits and emotional payoff for choosy mom when they choose
Get Access