Kraft Foods and Oscar Mayer Lunchables: The Global Industry

When you think of top food brand names, which come to mind? Kraft Foods is probably at the top of your list, and rightfully so.

“Today’s Kraft Foods is a global snacks powerhouse with an unrivalled portfolio of leading regional and local brands,” said Irene Rosenfeld, Chairman and CEO. “This unique and complementary combination, together with our significant presence in high-growth developing markets, will deliver consistent growth in the top tier of our peer group.” Kraft also acquired Cadbury this year, making them the “undisputed world leader in Snacks,”which is a  gigantic category within the brand that, today, makes up more than half of the company’s total revenue.

They are top of the “Snack Class,” and subsequently, top of the packaged lunch class as well, with their Oscar Mayer Lunchables. But what other packaged lunches are available through competitors? What does the global industry of packaged lunches look like?

The industry for packaged, ready-to-eat lunches is quite huge. With a growing amount of households with two working parents, and the general desire for immediate gratification in our society, it makes sense that meals that are ready to go instantly are in huge demand. However, this attitude is more prevalent in North America than in, for example, Europe, where eating is celebrated as a slow, leisurely activity, meant to be savored and enjoyed. This is why Kraft Foods and Oscar Mayer Lunchables are targeted exclusively at the North American market.

The main competitor that Oscar Mayer Lunchables has, is the Canadian powerhouse, Schneider’s Lunchmates. With a very similar feel, Lunchmates almost exactly mirror the marketing strategy for Lunchables, recently moving to include healthier options with their meals, and diversifying into other non-traditional avenues such as pizza and hamburger lunches.

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It can be concluded that Kraft Foods and Oscar Mayer Lunchables have a great hold on the packaged lunch industry. However, if they want to be the true leaders on an even bigger scale, they need to figure out a way to differentiate themselves from Schneider’s Lunchmates.

 

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