The overall number of cereal promotions has fallen in the past couple of years but Kellogg’s is keeping up its impressive lead.
Breakfast cereal manufacturers are a near-permanent fixture on featured space promotion in the major multiples. However the number of promotions captured in the first half of 2008 shows a fall of 40% on the same period in 2007.
After spiking last year, promotional activity has fallen away sharply this year as cereal suppliers try to absorb hikes in raw material costs and bed in the host of new products launched last year .
Kellogg’s has so far run 447 promotions this year, compared with 633 over the same period last year; Nestlé recorded 178 promotions compared with 336; Weetabix 85 compared with 239 and Quaker 76 compared with 99. Only Jordans, bringing up the rear, increased the level of its activity from four to 12 promotions.
Of the top five brands, Kellogg’s has scaled back its activity the least, sharply increasing its share to 56% of the top five brands’ cereals promotions. Unlike its nearest rival Nestlé, Kellogg’s activity is now higher than it was in the first half of 2006 when it ran 331 promotions versus Nestlé’s 285. As a result, Nestlé’s 22% share of activity now trails Kellogg’s by 34 percentage points against last year’s 19 points.
Weetabix’s share, meanwhile, has slumped from 18% to 11% now that it has reduced the promotional activity that accompanied the launch of new products last year.
Bucking the trend is fourth-placed Quaker, which has shown the least reduction in its overall activity and has increased its percentage share by two points to 10% year-on-year.
Jordans is at the bottom of the top five chart and is understandably a long way back in terms of the number of products and promotions captured.
However, while the leading manufacturers have shown a definite decline in promotions, Jordans has risen to 12, giving it a 2% share of activity this year compared with 1% last year.
Breakfast cereal manufacturers are a near-permanent fixture on featured space promotion in the major multiples. However the number of promotions captured in the first half of 2008 shows a fall of 40% on the same period in 2007.
After spiking last year, promotional activity has fallen away sharply this year as cereal suppliers try to absorb hikes in raw material costs and bed in the host of new products launched last year .
Kellogg’s has so far run 447 promotions this year, compared with 633 over the same period last year; Nestlé recorded 178 promotions compared with 336; Weetabix 85 compared with 239 and Quaker 76 compared with 99. Only Jordans, bringing up the rear, increased the level of its activity from four to 12 promotions.
Of the top five brands, Kellogg’s has scaled back its activity the least, sharply increasing its share to 56% of the top five brands’ cereals promotions. Unlike its nearest rival Nestlé, Kellogg’s activity is now higher than it was in the first half of 2006 when it ran 331 promotions versus Nestlé’s 285. As a result, Nestlé’s 22% share of activity now trails Kellogg’s by 34 percentage points against last year’s 19 points.
Weetabix’s share, meanwhile, has slumped from 18% to 11% now that it has reduced the promotional activity that accompanied the launch of new products last year.
Bucking the trend is fourth-placed Quaker, which has shown the least reduction in its overall activity and has increased its percentage share by two points to 10% year-on-year.
Jordans is at the bottom of the top five chart and is understandably a long way back in terms of the number of products and promotions captured.
However, while the leading manufacturers have shown a definite decline in promotions, Jordans has risen to 12, giving it a 2% share of activity this year compared with 1% last year.
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