Thursday, February 9, 2017

The latest fake news from Breitbart: Why Kellogg's is closing distribution centers

The full hatchet job is found at Kellogg’s to Shutter 39 Distribution Centers as Layoffs Loom. (Breitbart News, 2/9/2017)

Here are 2 straightforward news accounts, free of bias and bruised sensibilities.

Kellogg to close Cicero distribution center; number of jobs affected unclear.  (, 2/8/2017)
The company will stop delivering directly to stores and is shifting to a warehouse system. Kellogg will still deliver to wholesalers, but stores will be responsible for their own ordering and delivery. Kellogg already uses the warehouse system for its Pringles, Frozen Foods and Morning Foods brands.

Kellogg to shift resources, close distribution centers.  (Btqtle Creek Enquirer, 2/8/2017)
"The consumer and retail landscape continues to change," Kellogg's Chairman and CEO John Bryant said in a statement. "We have to change the way we reach and communicate with consumers. Because our customers' and our own warehouse distribution systems have become more efficient and effective, we can now redeploy resources previously tied to DSD and direct them to the kinds of brand investments that drive greater demand with today's consumers − ultimately growing our business and our retailers' businesses."

Cereal makers have been experiencing tough times of late.  And it has everything to do with consumer choice and absolutely nothing to do with Breitbart.

Cereal, a Taste of Nostalgia, Looks for Its Next Chapter.  (The New York Times, /2/22/2016)
But breakfast cereal, both as a cultural marker and a profit center, is at a crossroads. Since the late 1990s, its popularity has been slowly fading. Sales, which totaled $13.9 billion in 2000, dipped last year to about $10 billion..  (A drop of more than 25%)

Related post:
Breitbart resorts to dog whistle headline in wrangle with Kellogg's.  (12/1/2016)

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