How Kellogg switched on to Hispanic marketing
In 2009, shortly after he'd been promoted to his current post, Brad Davidson, President of Kellogg North America, asked all of his business-unit leaders what they were doing in terms of multicultural marketing. "I got a lot of blank stares," he told the Association of National Advertisers' 14th-annual Multicultural Marketing and Diversity Conference.
The injury to that insult: "Our competitors were doing a lot."
A not-very-deep dig on Kellogg's primary "competitor" (read: General Mills) showed that it had increased its multicultural television spend from 3% of its total budget (covering three brands) in 2005, to 11% (on 15 brands) in 2008, to 16% (on 18 brands) in 2009. That made a 510% total increase over the four-year period.
Over the same time, Kellogg had moved from investing 6% of its television budget (supporting nine brands) in multicultural-directed advertising in 2005, to 2% (on three brands) in 2008, to 1% (on one brand) in 2009.