With 2014 sales of $14.6 billion and more than 1,600 foods, Kellogg is the world’s leading cereal company; second largest producer of cookies, crackers and savory snacks; and a leading North American frozen foods company.
The company’s brands — Kellogg, Keebler, Special K, Pringles, Frosted Flakes, Pop-Tarts, Corn Flakes, Rice Krispies, Cheez-It, Eggo, Frosted Mini-Wheats and more — nourish families so they can flourish and thrive.
To learn more about how Kellogg is making use of Oracle Data Cloud, IDC interviewed Amaya Garbayo, Associate Director KNA Media COE at Kellogg. Garbayo leads data-driven marketing initiatives for Kellogg NA, impacting decisions on media investment, channel selection, targeting, and marketing strategy. She also determines how Kellogg uses data management platform (DMP) capabilities across the digital ecosystem (Web, mobile, and social) to create a rich view of the consumer for Kellogg.
Kellogg has been very systematic about the inclusion of third-party audience data in almost all of its brands, and the majority of the company’s brands are using this data in one shape or another. When Kellogg began to look at data providers, it looked at two capabilities: targeting and measurement. Kellogg utilizes Oracle Datalogix for both, and the company also evaluated other data providers and measurement companies.
Kellogg has several components to its data-driven marketing ecosystem. First and foremost is data. Kellogg uses its own customer data and Web data together with third-party data such as Oracle’s Datalogix, who is Kellogg’s leading partner among third-party data services. Second, it puts that data into its data management platform for tracking and analytics. Third is Kellogg’s media partners and its demand-side platform, which provide the company access to various advertiser networks for targeted advertising campaigns. Finally, the last component is measurement of the success of those campaigns. Kellogg uses Oracle Datalogix for measurement as well as for data.
When Kellogg began this process, it evaluated a number of data providers using rigorous testing across several of brands throughout 2014.
There were several criteria that went into the selection of the company’s key partners in this area. Garbayo believes that the quality of the data was very important, as well as how it was collected. In Kellogg’s opinion, Oracle Datalogix reputation and long-standing presence in the marketplace helped to reassure Kellogg that Oracle was able to address its needs. This reputation also gave Kellogg a high degree of confidence in the way Oracle built its database, the way Oracle treated the data, and the way the company models and protects certain aspects of that data.
While Kellogg was doing the evaluation, the company also determined what did and didn’t work with both the targeting data and measurement in general. As part of its evaluation, Kellogg found that the Oracle Datalogix team was very helpful with consulting and advisory services. According to Garbayo, Oracle’s consulting was instrumental to the data targeting process and provided valuable advice.
Kellogg’s use of Oracle Datalogix has enabled it to get a better return on its marketing and advertising spend. Garbayo also believes that the capability will produce stronger and better results as Kellogg more fully utilizes Datalogix. Garbayo sees that while Kellogg has certainly made improvements in its data-driven marketing and communication using Oracle Datalogix, the company’s final destination of one-to-one communication is where it wants to go. To Kellogg, this means showing the right message to the right consumer in the right environment to maximize sales.
In the future, Kellogg would like to see if this data could be used in areas other than traditional campaign execution and measurement.
Kellogg has seen success using third-party data to increase the effectiveness of its media buying, and the company believes that its marketing teams can use the data to augment and enhance other decisions they’re making to improve and increase return on investment. Garbayo believes that marketing organizations should explore using all available data, including both first- and third-party data, to help make better decisions in general.
One of Kellogg successes is setting up a working environment with dedicated resources under the Media Center of Excellence team (which is a central internal Kellogg team) to make an ongoing evaluation of the consumer data landscape. Kellogg’s experience is that dedicating a team that focuses on data helps testing and learning. It also provides Kellogg with the ability to select fewer, better, and bigger partnerships in the digital space to maximize impact.
Finally, Oracle Datalogix has been Kellogg’s largest partner to date, even though Kellogg evaluates other opportunities on a regular basis. According to Garbayo, “We keep our priority partners on the firm side, and they are my first resource when I have a question or a problem, so we absolutely endorse the work that they’ve done for us.”
The project and company information contained in this document was obtained from multiple sources, including information supplied by Oracle, questions posed by IDC directly to Kellogg employees, and Kellogg corporate documents.