For kids, Kellogg’s Chocos has been the easiest way to sneak chocolate into a healthy breakfast of cereal and milk. The cereal giant has now decided to nourish the offering by re-launching Chocos in a whole-grain avatar. “In the new Kellogg’s Chocos, we have made significant investment in both the taste as well as the nutritional quotient of the product,” says Vikram Bahl, director (marketing), Kellogg India.
To reinforce the health positioning, the company is launching a television commercial where brand ambassador Karisma Kapoor takes the role of a mother and educates her son on the benefits of whole-grain cereal. “The objective of our communication is to allow consumers to understand that whole grain contains three parts of the grain — the fibre-rich bran, energy-rich endosperm and vitamin-packed wheat germ,” says Bahl. The focus on health is also being conveyed through the new packaging which has a bold green strip reinforcing the whole-grain proposition. The TVC will also see an extension into print and outdoor. In a category where trials often generate sale, the company will initiate sampling at modern trade outlets throughout India. For now, promoting the product on the digital medium is not on the cards.
According to Kotak (institutional equities) analyst Manoj Menon, the breakfast cereal market, which includes cornflakes, muesli, oatmeal and porridge, is valued at Rs 400 crore and is growing at 30 per cent.
Kellogg, which virtually built the cereal category in India, is the market leader with 70 per cent share. Its offerings in the segment comprise both cold breakfast products like Kellogg’s Corn Flakes, Kellogg’s Chocos, Special K, All-Bran and Just Right Muesli and as well as the hot breakfast item Heart to Heart Oats.
In the ready-to-eat cereal category, Kellogg’s competitors include private label brands like Tasty Treat cornflakes (Future Group) and Feasters (Aditya Birla Group). In the overall breakfast market, Kellogg will have to keep a watchful eye as players like Pepsi, Marico and Britannia are getting bullish with their ready-to-cook offerings. Brands like Quaker Oats (Pepsi), Saffola Oats (Marico) and Healthy Start (Britannia) are wooing consumers with a promise of good health and convenience.
The competition does not deter Bahl, who believes Kellogg’s Chocos — well-tested on taste and nutrition — has got the recipe right, and will continue to delight kids who are the primary target for the product. The products will be available in the same price points as earlier, but Bahl is counting on the Rs 10 packs to continue to drive growth in the category. The product will be available across India in more than 200,000 outlets in metros as well as tier II and tier III cities.
Anand Halve, partner at chlorophyll believes the logic behind the extension is similar to that of Cadbury’s Bournvita. “The magic formula for selling a product aimed at kids is to appeal to the taste buds of children, while emphasising the health aspect to address the concerned mother.” This is just a step in that direction.
