Quaker Oats Company Case Study: Aunt Jemima Brand Rebranding Analysis

This case study examines the Quaker Oats Company's decision to rebrand its Aunt Jemima brand, analyzing the historical context, the reasons behind the change, and the timing of the decision. The study explores the company's background, the issue of racial stereotyping, and the influence of the 'Black Lives Matter' movement and a viral TikTok video in prompting the rebranding. It also discusses the triple bottom line elements, the trade-offs made by the company, and suggested alternatives, including apologies, financial aid, and campaigns to highlight the positive contributions of Black people. The case concludes with recommendations for the company's future actions to ensure the rebranding is successful and to address the brand's history of racial insensitivity.

Case Study on Quaker Oats Company
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Introduction
The case is about the altering of the name and image of Aunt Jemima, a brand of syrup and
pancake mix owned by Quaker Oats due to the fact that the origins of the brand are based on a
racial stereotype. The 130-year-old brand features a Black woman named Aunt Jemima, who
was originally dressed as a minstrel character. Due to the recent protests held formally known as
‘Black lives matter’ and a viral tiktok video, Quaker Oats decided to rebrand Aunt Jemima. By
rebranding they will remove the image of Aunt Jemima and will give the brand a new name. The
case also states about similar situations of various other companies deciding to rebrand their
brand names as they are based on racial stereotypes.
Company Background:The Quaker Oats company also known as Quaker is an American
conglomerate. It is a subsidiary company of PepsiCo since 2001. Quaker was founded in the year
1877 by Henry Parsons Crowell. Back then it was formed as a mill company. Later in 1901, the
Quaker Oats Company was founded in New Jersey with headquarters in Chicago, by the merger
of four oat mills. Quaker is the first company to introduce cookie recipes on their box. And in the
year 1920 Quaker brought a new product in the market named Quaker Quick Oats which is an
early convenience food. The production of Quaker is mainly in Canada. Their oats are also
largely from Canada. In 2001 PepsiCo bought Quaker primarily for it’s Gatorade product of soft
drink. The merger created the fourth-largest consumer goods company in the world. Along with
Gatorade, Quaker's cereal and snack food division complemented the existing Frito-Lay salty-
snacks division of PepsiCo.
Issue:Based on the questions provided there are some sections which are as follows:
1) Why did it take Quaker Oats/PepsiCo so long to change this brand?
2) Discuss the timing of the decision to move away from Aunt Jemima
3) How are triple bottom-line elements visible in this case? Where does it appear that the
company has made tradeoffs?
Evaluation of issues:
1) When the killing of George Floyd on May 25, 2020, ignited a firestorm of protests and
calls for racial justice around the world, major brands felt the heat. After years of
debating changes to its controversial Aunt Jemima brand, Quaker Oats and its parent
company, PepsiCo, initiated an extensive rebranding process. But the problem is it took
almost a century to rebrand the image of Aunt Jemima which portrays racial stereotype
according to a vast section of people. IN 1989 at the time of the 100th anniversary of the
brand a Quaker Oats spokesman admitted to be reluctant in rebranding the company
because of it’s familiarity and recognition which they considered as an asset despite its
racially charged connotations. From this we can have a clear idea about why the company
took it so long to change this brand. It’s because of the brand’s popularity and recognition

which was earning them millions and rebranding Aunt Jemima might lose its value which
Quaker Oats/PepsiCo considered as a “valuable asset”
2) As we know there has been calls for changing the image of Aunt Jemima since 1989 but
back then Quaker Oats defended the brand by arguing that “familiarity and recognition
are a valuable asset.” Even after the 2001 sale of Quaker Oats to PepsiCo, a company that
prides itself on promoting diversity, the image of Aunt Jemima remained on the cover of
every pancake box mix and bottle of syrup the company produced. Several PepsiCo
teams were tasked with reimagining the 130-year old Aunt Jemima brand in the mid-
2010s, but it was only the racial unrest of 2020 that finally tipped the balance in favor of
change. A popular singer posted a TikTok video highlighting the racist origins of Aunt
Jemima. The video racked up several million views, and Aunt Jemima began trending on
Twitter. In response Quaker Oats announced plans to revamp the brand. They also
announced several other plans for the Black community. It was now or never for Quaker
Oats/PepsiCo to change Aunt Jemima. The actionsthat the brand takes now must set it up
for success both in the short term and decades into the future [Ref: Michael Stanko]
3) The triple bottom line elements aim to measure the financial, social, and environmental
performance of a company over time. The TBL consists of three elements: profit, people,
and the planet. In this case the triple bottom line elements are visible when Quaker
Oats/PepsiCo is reluctant to rebrand their product Aunt Jemima despite the fact that it
highlights racial stereotypes. Years after years they evolved Aunt Jemima into a well-
dressed grandmother with pearl earrings and a lace collar which represents how much the
company was hesitant to fully rebrand the image. In addition to the high premium placed
on brand recognition, financial considerations represent a significant barrier to change.
The chairman of one branding company estimated a necessary investment of between $20
million and $50 million to promote a revised brand. [Ref: NC STATE UNIVERSITY]
Moreover Quaker Oats/PepsiCo considered the popularity and recognition of Aunt
Jemima as a valuable asset. From these facts we realize how the triple bottom line effects
are available in this case.
When protests broke out in various states of the United States supporting the ‘Black Lives
Matter’ movement, a popular singer posted a tiktok videohighlighting the racist origins of Aunt
Jemima. The video racked up several million views, and Aunt Jemima began trending on
Twitter. As a result, the brand gained huge publicity among people who didn’t knew about the
origins of Aunt Jemima earlier. According to me this is where the company has made tradeoffs.
Suggested Alternatives: The first step has already been taken by Quaker Oats/PepsiCo, which is
to announce the rebranding of Aunt Jemima. The company also made announcements about
contributing more for the Black community. Next, they should ensure that official apologies are
made to the family of Aunt Jemima and also to the black community. Financial aid must be
provided to the family of Aunt Jemima. Another significant suggestion that I would give is to

change the image of Aunt Jemima as soon as possible and to take this opportunity to portray
something positive about the Black community. From the recent protests we can realize that the
Black people are no longer going to tolerate the atrocities against them. For centuries they have
been tortured, humiliated and disrespected, even in this modern era they are suffering especially
from police violence. Quaker Oats/PepsiCo can take this opportunity to increase awareness
among people about the sufferings of Black people that they go through every day. They already
announced to contribute more for the community financially which is an admirable step. They
can also run campaigns and advertisements showing the positive sides of Black people and their
contributions to our society.
Conclusion: This case study delves into the history of Aunt Jemima, the complex process of
rebranding and the questions around a brand’s responsibility to leverage its influence to effect
change. IN 1889 at the time of Aunt Jemima’s creation it was a heavyset older Black woman
with a broad smile and a ready laugh, Aunt Jemima is a vestige of the “Mammy” caricature
designed to soften the legacy of slavery in modern times. But now the times have changed
especially in 2020. “Black Lives Matter” movement shed light onto many things which were
never noticed before intentionally or unintentionally. Who would have thought a tiktok video
would create a hype so big that Quaker Oats/PepsiCo would have to finally face the reality and
rebrand the image for good? All they needed to do was to acknowledge that the name is
derogatory which they did. Now their first and foremost job is to bring in the change as soon as
possible and to bring it in a way that portrays the courage and positivity of Black people. The
company’s actions and steps in 2020 will decide their future for the next 100 years. Although we
understand that the rebranding process will involve difficult decisions. It will need a healthy
investment to advertise the new image for making it familiar among the people. And as we
already know familiarity and recognition is something Quaker Oats/ PepsiCo considers as an
asset. But the investment will be so worth it as it will finally eliminate the derogatory racial
annotations towards Aunt Jemima.
Recommendations: As already suggested in the study, Quaker Oats/PepsiCo must rebrand the
image of Aunt Jemima as soon as possible. Then they can take the initiative to contribute more
for the Black community and create more working opportunities for the Black people. Aunt
Jemima has been a brand of pancake mix, syrup and other breakfast foods for the past 100+
years. And it has earned Quaker Oats/PepsiCo millions of revenues. But now it’s time to change
for good. Quaker Oats/PepsiCo must ensure that they keep their promise of rebranding the image
of Aunt Jemima within the shortest possible time.