Kellogg’s Australia is changing its name for the first time in almost 100 years as the cereal giant shifts its focus to snacks.
The Australian arm of the iconic breakfast company will be known under its new name “Kellanova” from Tuesday.
Australian shoppers may not see the massive rebranding as favorite cereals including Coco Pops, Sultana Bran and Crunchy Nut will retain the Kellogg’s logo.
The name change comes after Kellogg’s U.S. headquarters decided in 2022 to split the $31.3 billion brand into two companies.
Kellanova will focus on products such as Pop Tarts, LCMs and K-Time bars, while the company’s North American arm, WW Kellogg Co, will focus on cereal favorites including Fruit Loops, Special K, Rice Bubbles and Corn Flakes.
The rebranding comes almost 100 years after the cereal giant was introduced to Australia in 1924.
Iconic cereal giant Kellogg’s has renamed its Australian arm to ‘Kellanova’, following the decision to split the company into two entities.
The name change comes after Kellogg’s US headquarters decided in 2022 to split the $31.3 billion brand into two companies (stock image)
Kellanova chief executive Anthony Holme said the change does not affect Australian consumers “at the moment” but will bring more opportunities for shoppers in the future.
“This means a lot more choice for Australian consumers in the future, as we bring global snacking opportunities and local snacking opportunities to Australia,” Holme told the Sydney Morning Herald.
Holme said Kellanova, which is the Australian arm of Kelloggs, will become a “global snacking powerhouse”, focusing on product innovation and convenience.
“People move faster through the day. They don’t necessarily want the same format of food…and we have to address that,” Holme said.
Holme said the rebranding allows for a “ruthless” entrepreneurial focus because cereals in the United States are very different from the snack sector in Australia.
“Impulsive occasions are very different from formal sit-down meals, and the way you market them, even if it looks the same, creates a much more entrepreneurial and much more focused growth mindset,” Holme said.
Kellanova is expected to have higher net sales in 2024 than its U.S. counterpart, at $13.5 billion ($21 billion), compared to $2.33 billion.
It appears that both companies will focus on their respective markets and could potentially compete with each other in the future.
“We expect to enter into short-term, geographically limited non-competition agreements following the spin-off,” Kellogg’s website explains.
Kellanova managing director Anthony Holme explained the Australian arm would focus on the brand’s on-the-go snack products.
The rebranding also includes the relocation of the company’s headquarters from Pagewood in Sydney’s eastern suburbs to the inner-city suburb of Eveleigh.
Kellanova will also introduce brands from the company’s global portfolio to the Australian market, including Eggo, Rie Krispie Treats and Cheez-Its.
Plant-based brands such as Gardenburger and Incogmeato are also expected to hit Australian shelves as Kellanova expands.
Major supermarkets recorded a 29 percent increase in sales of snack products, from 3,100 to 4,000 in the last 12 months, according to ShopGrok data.
The data also reveals that the number of snack brands also increased by 41%, from 105 to 140.