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A Review Of Kingsford Charcoal's Marketing Approach

5041 words - 21 pages


This report critically reviews Kingsford Charcoal’s (Kingsford) approach to marketing. In this report, as a marketing consultant to Kingsford, Integral Bussi have recommended an improved marketing plan to add value to Kingsford’s present market share, sales and profitability. The recommended marketing plan is formulated using a five-step process: analysing the current situations, identifying the issues, defining the objectives, determining strategies and an action plan to implement these strategies.

The report emphasises the importance of marketing in businesses. It has become clear that the companies without a marketing mindset will be at a disadvantage in ...view middle of the document...

6.4 Distribution Situation 26
6.5 Macro Environment Situation 28


Kingsford is a well known brand of charcoal in barbequing community in the United States of America. Provided case study discusses and analyses the issue of decline in sales of Kingsford in the year of 2000.

Brand managers Marcilie Smith Boyle and Allison Warren were assigned a task to analyse the market situation and come up with a robust future marketing plan to overcome the softening of the market.

Kingsford started in 1920 with the invention of charcoal by the pioneering efforts of Henry Ford and E.G. Kingsford. Since 1973, it has become one of the product group within Clorox’s portfolio. In 2000, Kingsford with $ 350 million turnover represents 9% of the total turnover of Clorox’s revenue. Kingsford in 2000 faced competition from Royal Oak and Private Labels. In addition to this a recent shift towards gas barbeque also threatened the sale results.

2.1 Current Marketing Situation

To come up with a suitable strategy to define the overall action plan for achieving Kingsford’s goals and objectives, I have carried out the analysis of the following current marketing situations of year 2000:
1) Market Situation
2) Product Situation
3) Competitive Situation
4) Distribution Situation
5) Macro-environment Situation

Refer to Appendix.1 for detailed analysis and discussion on Kingsford’s current marketing situation.


As a first step to deploy strategies to improve Kingsford’s business goals, I have carried out the following SWOT analysis of Kingsford’s current situation. The gist is to identify the strengths and weaknesses of Kingsford, pinpoint opportunities and note threats.

3.1 Internal Analysis

1) Good image of the product’s quality
2) Market leader (almost 57.7% of charcoal market)
3) Product Range (Regular and Instant)
4) Regular-20 pounds (covers 45% total sales)
5) Established distribution channels
6) Strong relationship with distribution channels
7) Backing by the parent company (approx 9% share in Clorox’s revenue)
8) Annual price increase by small percentage
1) Substantial cut-down in advertising
2) Limited scope to increase the production level to meet the growth
3) Sales are season driven
4) Falling trend of Kingsford growth

3.2 External Analysis

1) Increase in number of barbeque events in USA
2) 2 out 3 barbeque users prefer charcoal grilling
3) Charcoal barbequing is related to real barbeque experience
4) 1/3 sales are impulse based.
5) More than 50 % grill owners are medium or heavy users.
6) Approx 80% of barbeque grills are owned by younger, larger and high income family.
1) Increase in trend of gas barbequing
2) Absence of advertisement in...

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