- Kellogg may cover higher input costs due to skyrocketing inflation with higher prices and productivity, CEO Steve Cahillane told CNBC on Thursday.
- “We don’t want prices to get too high, but we’re in an environment where it’s broad-based, it’s across everything, but we’ve been able to cover it. Our pricing performance has been very solid,” he said.
- Cahillane said that price elasticity has been at historic lows, but Kellogg still plans to be cautious about raising prices this year.
Kellogg may raise prices and increase productivity to offset the skyrocketing inflation it’s seeing for input costs, CEO Steve Cahillane told CNBC on Thursday.
“As we enter 2022, we are still seeing double-digit cost inflation,” Cahillane said on “Squawk on the Street”
“We’re going to see the wraparound benefits of the pricing that we took in 2021 into 2022 … but our goal is to cover all of those input costs with pricing and productivity, and we think we’re in very good shape to do that.”
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