How Kellanova Pioneered the Global Snacking Industry

Kellanova, a global snacking powerhouse, has brought innovation, sustainability strides and famous brands to the world for over a century.

Now, it is poised for more transformative growth following Mars Incorporated's announcement of its US$35.9bn acquisition.

This landmark deal, expected to close in early 2025, marks a milestone in Kellanova's journey, which began with its spin-off from Kellogg Company in late 2023.

Mars is a global leader in pet care, snacking and food and combining its confectionery expertise with Kellanova's snack prowess, it is hoped the merger will addresses key challenges in today's food industry, including shifting consumer preferences towards healthier options and the need for sustainable practices.

Here, we look at Kellanova and the secrets to its success.

Kellanova’s century of snacking innovation 

Kellanova has evolved into a leading company in global snacking, international cereal and noodles, plant-based foods and North American frozen breakfast.

With a presence in 180 markets and approximately 23,000 employees, Kellanova has built a portfolio of iconic brands including Pringles, Cheez-It and Pop-Tarts.

It has also focused on several key innovations:

• Sustainable packaging, reducing plastic for brands like Cheez-It and Club Crisps.
• Leveraging AI and machine learning for inventory management and demand forecasting.

• Introducing global brands to new markets, such as launching Froot Loops in India.
• Developing new flavours and formats, like Krave Cookies & Cream cereal in Europe.
• Digital supply chain improvements by creating 'digital twins' of manufacturing processes using smart sensors for real-time data and traceability.

This use of 'digital twins' across Kellanova’s manufacturing processes, uses smart sensors and connected devices to provide real-time data on product movement.

This innovation enhances visibility and traceability throughout the supply chain, improving quality control and reducing costs while ensuring product safety.

Kellanova’s sustainability strategy 

Kellanova's success is underpinned by its commitment to innovation and sustainability, as also evidenced by its Better Days Promise strategy.

This initiative aims to improve the lives of 4 billion people by 2030 through nourishing 1.5 billion people, feeding 400 million facing food insecurity and advancing wellbeing for 250,000 people in its food value chain.

These initiatives align with Mars' Net Zero commitment, aiming to achieve zero greenhouse gas emissions across its entire value chain by 2050 and aligning with Mars' Responsible Marketing code.

Mars' Net Zero commitment aims to achieve zero greenhouse gas emissions across its entire value chain by 2050. 

Meanwhile, Mars' Responsible Marketing code ensures ethical advertising practices, particularly regarding children. 

Upon completion, Kellanova will also become part of Mars Snacking, led by Global President Andrew Clarke.

This integration promises to leverage the strengths of both companies to drive innovation and growth in the global snacking market.

When asked what’s the enduring lesson gleaned as CEO of the Kellogg Company, Steve Cahillane, Chairman, President and Chief Executive Officer of Kellanova said: “It’s simple: the crucial role of an organisation’s culture, including its values, vision and vitality.

“The best cultures drive a company’s strategy, feed its purpose, and play a pivotal role in recruiting and retaining talent – and that’s especially true in today’s red hot job market.”

Commenting on the acquisition, Cahillane said: "This is a truly historic combination with a compelling cultural and strategic fit.

"Kellanova has been on a transformation journey to become the world's best snacking company, and this opportunity to join Mars enables us to accelerate the realisation of our full potential and our vision", he continued.

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