Kellogg

Headquarters Battle Creek, Michigan
CEO David Mackay
Total Revenue $11,776,000 US
Net Income $1,868,000,000 US
Reporting Cycle Annual
Ownership Structure Public
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Details on Marketing Ethics


G3-PR6 Programs for adherence to laws, standards, and codes related to marketing communications
G3-PR7 Non-compliance with voluntary codes concerning marketing communications
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Kellogg prides itself on maintaining many of the core values of their founder. According to their 2008 Corporate Social Responsibility Report, their brand is based on being good stewards of providing nutritional information to their customers to make inform decisions. Furthermore, they have stated that they limit their marketing to children of products that lack nutritional value. However, in 2006 that didn’t appear to be the case for Kellogg. The company didn’t appear to be a good corporate citizen at all to several groups including: the Center for Science in Public Interest along with the Campaign for a Commercial Free Childhood. The organizations along with concerned citizens filed a lawsuit against Kellogg and Viacom for their marketing practices aimed to children under the age of eight. The goal of the lawsuit was to shed light on the food industry marketing practices and share responsibility in the health of children. In a letter dated for January 18, 2006 the organizations addressed their concerns to the Chief Executive Officers of Kellogg and Viacom. In the letter of intent to sue, the plaintiff’s stated their concern of marketing practices producing commercials that target children which promote poor nutritional value. The organization argues that Kellogg marketing practices are unfair and deceptive in terms of marketing “junk food” to children. In 2005, the Center for Science in the Public Interest examined Kellogg’s marketing practices and found the following: 98 percent of Kellogg advertisement on Saturday morning children’s television programming offered poor nutritional quality, 100 percent of advertisement in magazines and on the web also provided the same results of marketing food products with poor nutritional value.

Community [revisions]
 

The Center for Science and Public Interest also noted that in a Kellogg campaign for Apple Jacks cereal that they commercial devalued good health. According to the Centers findings, the commercial had two characters a Bad Apple and Sweet Cinna Mon. The Bad Apple was portrayed as grouchy where as the Sweet Cinna Mon was providing the cereal with its sweet taste. The Center for Science and Public Interest believes the commercial discouraged children to make healthy choices with the Bad Apple being depicted as mischievous. The Center believes that children need to make better health choices. According to the Center report, only 45 percent of American children consume fruit. It short, organizations like The Center for Science in the Public Interest and the Campaign for Commercial-Free Childhood are truly invaluable in terms of making sure companies are held responsible for their actions. Their lawsuit has made Kellogg reevaluate how they market to children. Accountability is essential in making sure companies strive to be good corporate citizens.

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Kellogg Global Nutrient Criteria requirements are per serving thresholds that allow no more than the following: 200 calories, 2 grams of saturated fat and 0 gram of Trans fat, 230 milligrams of sodium, and 12 grams of sugar.

Community [revisions]
 

Kellogg has continued to develop innovative approaches in marketing their brand in a responsible manner in order for consumers to make what they be is informed decisions. Kellogg Global Nutrient Criteria (KGNC) is a new nutritional standard created by Kellogg to determine which products will be marketed to children.

Community [revisions]
 

Kellogg has worldwide marketing and communications guidelines that deal with their commitment and continue efforts in developing responsible best practices. One initiative consist of a new online feature, “Get Your Move On”, the website that is targeted for children will automatically interrupt screen after 15 minutes and encourage children to be more active. The feature also provides menu options as to a list of activities.