What Kellogg’s should be thinking about as they split into three companies

By now, we’ve all heard the news that Kellogg’s plans to separate into three independent public companies, sectioning off its iconic brand into distinct snacking, cereal and plant-based businesses1. This is exciting!

Kellogg’s chair Steve Cahillane spoke about how enhanced focus will enable the businesses to better direct their resources toward their distinct priorities. Kellogg’s split follows a current trend in the corporate world, where large conglomerates are streamlining enterprises to better cater to the evolving tastes of consumers.2

Starting with a sound business strategy is always paramount, but what does this mean for the pending new brands? Given that we geek out on brand change, here are the top 3 things Kellogg’s should be considering as they launch and implement their new brands.

Creating purposeful differentiation between the brands

To capitalize on the stand-alone potential of these three businesses, Kellogg will need to create distinction - strategically, visually, and culturally. The opportunity focus means being thoughtful about what’s important to the segments each business is serving, using insights and plans for future innovation to create relevant, yet lasting brand identities. Another important difference to note is culture. As separate businesses, each brand may have a different employee experience, driven by what brings them together around a shared purpose.

Maximizing clarity and impact by effectively launching three new brands

Launch is an opportunity to announce what’s changing and to be crystal clear about why it is changing. A key part of a brand launch is engaging internal employees, preparing them for a change in brand identity and what that means for them. A brand change can be highly emotional and viewed along a spectrum of exciting to disappointing. That’s why it’s important to engage employees early and bring them along on the journey.

Plan and prepare to operationalize the brands on day 1

Implementing a brand can take anywhere from 18-24 months, let alone implementing multiple brands simultaneously. It will benefit Kellogg’s to define a replicable implementation roadmap that will help them streamline logistics so that they can move faster and more efficiently. Operationalizing the brand, or “bringing the brand to life” in simple terms, must consider everything from budgeting, resourcing, timelines, vendors/partners, procurement, and production. There’s also the question of cadence and whether the brands will be launched and rolled out together or staggered for strategic reasons.

Creating a brand launch and implementation roadmap is TenTen’s bread and butter, and we’ve done it for over 100 companies, helping them maximize brand investment. With a rebrand scenario like Kellogg's, we change the tone from overwhelming to inspiring, leaving no stone unturned as we prepare for roll-out. Successful brand launches start with planning. Reach out to us at hello@tentengroup.com to start the conversation.

1 https://www.cnbc.com/2022/06/21/kellogg-to-split-into-three-independent-companies.html

2 https://www.washingtonpost.com/business/2022/06/21/kellogg-split-three-companies/

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