Essay About Kraft Foods Inc. Case Analysis And Millennial Moms

Kraft Foods Inc. Case Analysis
Executive Summary Kraft Foods Inc. faces one main issue that is linked to two other issues with their product Kraft Singles. The main issue effecting Kraft Singles are reaching out to millennial moms, which influences innovation of their product, and impacts their core costumers. Millennial moms are a growing demographic group who are reaching their peak spending years. Hence, meeting their needs is key for Kraft Foods’ future success. Millennial moms have an impact on the other issues because innovation is needed for Kraft Singles but not to the point where their iconic brand image is lost. Also, keeping core costumers (baby boomers and Gen Xers) is a priority.  Millennial moms are an important marketing segment and meeting their needs is important for Kraft Singles to grow as a business. There are many ways of going about to reach this target market. For instance, advertising to millennial moms online because they consume most of their media digitally this would be a way of reaching them. Meeting their needs of wanting quick and easy recipes would also be a way to market Kraft Singles to the millennial moms. However, this  could have an impact on the iconic brand image of Kraft Singles. The best way of reaching the millennial moms is to make an emotional connection with them. As seen through prior campaigns (Kraft Peanut Butter) building an emotional connection can really go a far way in attracting a consumer. Most people have probably had grilled cheese sandwich’s when they were younger, showcasing this in an advertisement that can air online is the best way to reach the millennial moms. Previous success is a key indicator that by Kraft Singles reaching millennial moms in this fashion they can expect nothing less. The advertisement campaign is also very cost effective because the product and price are not changing, they are both staying consistent meaning the iconic brand image will not be effected. Furthermore, core costumers would not really be effected by the campaign because it does influence their view of Kraft Singles. Therefore, there is a positive outcome for all those who are involved. Kraft Foods end up with a great outcome, they generate revenue, reach a new target marketing without compromising anything. Situational Analysis Company Analysis Kraft Foods Group was founded by Canadian James L. Kraft, he later own created unprocessed cheese. Kraft singles was a well-established product that had been a leader in the Canadian processed cheesed market. The brands consistency was what differentiated them and made their brand iconic. Cheese was an important product for Kraft Canada and it generated 25% of sales revenue. The product effected many generations of people, however, the company needed to reposition themselves. Kraft needed to figure out a way for them to reach millennial moms but at the same time keep the baby boomers and the Gen Xers too. In addition to cheese Kraft Foods had 17 food and beverage categories, which they could differentiate country by country, for example in China Oreo cookies were wafers instead of the traditional sandwich. Kraft Foods had shown that they could adopt and the needed to do so again to reposition Kraft Singles.