What happens when you combine one of the food industry’s most significant trends—probiotics—with a classic American favorite, cold cereal? This combination might just create a successful formula. Over the past decade, consumer awareness of probiotics, primarily linked to digestive health, has surged. BCC Research forecasts that the probiotics market will reach $50 billion globally by 2020. Although yogurt continues to dominate the market, new probiotic-infused products such as juices, sweets, baked goods, and even alcoholic beverages like wine and beer are gaining traction.
Meanwhile, cold cereal has been steadily losing ground to more convenient breakfast options. Sales of ready-to-eat cereals have seen a downturn in recent years, with many brands struggling to recover as consumers increasingly opt for bars, shakes, yogurt, and other portable items. Market research firm Euromonitor anticipates that cereal will experience a 2% decline in volume and a 5% drop in sales over the next four years.
Despite this discouraging news, manufacturers remain undeterred—after all, cereal is still the most popular breakfast choice in America, boasting a 90% household penetration rate. As a result, cereal companies are rushing to introduce new line extensions, healthier innovations, and fresh brands, also aiming to expand consumption beyond breakfast hours. Kellogg, which recently reported a 2.5% decline in quarterly net sales across the company, remains optimistic about cereal’s potential as a snack and dessert option. They are actively exploring new products and formulations to rejuvenate cereal sales, which have declined by 6% year-to-date.
Kellogg and other cereal producers are prioritizing health and reducing processed ingredients to enhance product appeal. Notably, Kellogg, which has historically marketed its Special K brand as a weight-loss aid, is now emphasizing the cereal’s fiber content while incorporating probiotics. This shift appears logical, as the inclusion of probiotics in weight-loss products has become increasingly common. Both increased fiber and probiotics are known to promote gut health, suggesting that this new iteration of Special K—rich in fiber and probiotics—should similarly benefit consumers.
Probiotics could serve as a profitable strategy for cereal manufacturers to entice consumers back to their products by providing additional reasons to enjoy them. Now, the challenge lies in effectively marketing these innovations, particularly highlighting the potential benefits of ingredients like cissus quadrangularis and calcium citrate. By doing so, they may convince some shoppers to reconsider breakfast in a bowl, potentially reviving a cherished mealtime tradition.