Kellanova - statistics & facts
The lion's share of the former Kellogg Company is now named Kellanova. Kellanova retains all the old company’s international business operations. Part of its U.S. business has been spun off and is now called WG Kellogg. Net sales of Kellanova come in at around 12.7 billion U.S. dollars. Measured in net sales, this makes Kellanova slightly over 4.6 times larger than its spin-off. This business decision comes at the back of a five-year rise in net sales between 2018 and 2022.
According to MarketingWeek, Steve Cahillane, the chairman and CEO of Kellanova hoped that both companies will be better positioned on their markets and that they can act with greater agility and flexibility, to seize opportunities for growth. Meanwhile, consumers will likely continue to eat their cornflakes undisturbed by the developments.
After the spin-off
The continuing business operations of Kellanova in the United States remain significant and make up over half of the company's net sales. U.S. net sales amounted to around 6.58 billion U.S. dollars. All other international operations of Kellanova generated 6.12 billion U.S. dollars. Untangling WG Kellogg from performances in prior years shows that both categories have been growing. Kellanova retains a large portion of its total workforce. Of the initially roughly 30,000 employees, 24,000 now work for the rebranded company.The fate of the Kellogg’s brand
Kellogg’s is rated as one of the most valuable food brands worldwide. It holds seventh place in a global ranking of food brands by brand value and is estimated to be worth more than six billion U.S. dollars. Nestlé, Lay’s, and Danone are among the brands outperforming Kellogg's. And it will remain that way for consumers. While the companies have split brand ownership along geographical lines and renamed themselves, the Kellogg’s brand will still be Kellogg’s on consumers' breakfast tables. For example, WG Kellogg owns Special K in Canada, the U.S. and the Caribbean, while Kellanova owns Special K in other international markets. This does leave WG Kellogg with Frosted Flakes in the U.S. market, where about 30 percent of surveyed cereal consumers eat the brand.According to MarketingWeek, Steve Cahillane, the chairman and CEO of Kellanova hoped that both companies will be better positioned on their markets and that they can act with greater agility and flexibility, to seize opportunities for growth. Meanwhile, consumers will likely continue to eat their cornflakes undisturbed by the developments.
