In the highly competitive world of consumer packaged goods (CPG), Kellogg’s has consistently demonstrated its ability to adapt and thrive. One of its standout campaigns was the omnichannel marketing strategy for the launch of Rice Krispies Treats DUNK’d Bars during a challenging time—the global pandemic. This case study explores how Kellogg’s leveraged a creative and data-driven approach to achieve measurable success, even with a modest budget and limited distribution.
The Challenge
Kellogg’s faced several significant challenges with the launch of their new Rice Krispies Treats DUNK’d Bars:
- Limited Budget: With a constrained budget, Kellogg’s needed to maximize the impact of every dollar spent on marketing.
- Restricted Distribution: The product was only available in convenience stores (c-stores) and a limited number of locations that accepted coupons, which meant targeting the right audience was crucial.
- Pandemic Conditions: Launching a new product during a global pandemic added layers of complexity, including altered consumer shopping behaviors and heightened competition for attention.
The Strategy
To overcome these challenges, Kellogg’s employed a smart omnichannel strategy that integrated mobile coupons and targeted advertising to drive consumer engagement and product trial.
- Mobile Coupons: Kellogg’s introduced $1 off mobile coupons targeting both category buyers and brand buyers who frequented c-store retailers. This approach aimed to shorten the path to purchase by providing a compelling incentive right at the point of decision-making.
- Gas Station TV Advertising: Recognizing that their target audience was likely to visit gas stations during the pandemic, Kellogg’s utilized Gas Station TV (GSTV) to broadcast quick product education messages. This innovative approach helped place the product top-of-mind as consumers were filling up their gas tanks, making it easier to influence their next purchase.
- Data-Driven Insights: To ensure the campaign’s effectiveness, Kellogg’s employed sales lift studies to monitor the impact of their marketing efforts. This data-driven approach allowed the team to make real-time adjustments and optimize the campaign for better results.
The Results
Kellogg’s omnichannel marketing campaign for Rice Krispies Treats DUNK’d Bars proved to be a resounding success. The campaign generated the following key results:
- Sales Increase: The campaign led to an 11.6% increase in sales for the DUNK’d Bars compared to the pre-campaign period.
- Cross-Channel Success: The campaign didn’t just boost sales in c-stores; it also had a positive spillover effect in nearby Walmart stores (up 1.2%), other grocery stores (up 1.6%), and additional c-stores (up 1.4%).
- Efficient Spend: The use of mobile coupons and targeted GSTV ads allowed Kellogg’s to achieve significant engagement and sales lift at a cost-effective rate.
Conclusion
The success of the Rice Krispies Treats DUNK’d Bars campaign highlights the power of a well-coordinated, data-driven omnichannel marketing strategy. By leveraging a mix of mobile, digital, and traditional media, the marketing team demonstrated how creativity and strategic thinking can overcome even the most challenging circumstances, such as launching a new product during a global pandemic.
This approach underscores the importance of understanding consumer behavior and effectively utilizing multiple touchpoints to reach and engage the target audience. The campaign’s ability to drive measurable results, including significant sales increases across multiple retail channels, serves as a valuable lesson for brands looking to amplify their presence in a competitive market.
For those looking to replicate such success, it’s clear that a meticulous and adaptable marketing strategy is key. Collaborating with a team capable of orchestrating such a multifaceted campaign can make all the difference in achieving and exceeding business objectives.