What occurs when you combine one of the food industry’s most significant trends—probiotics—with a beloved American staple like cold cereal? It could lead to a successful outcome. In the past decade, consumer awareness of probiotics, primarily linked to digestive health, has surged. According to BCC Research, the global probiotics market is expected to reach $50 billion by 2020. While yogurt remains the frontrunner in this space, new probiotic-infused products such as juices, sweets, baked goods, and even alcoholic beverages are gaining traction.
On the other hand, cold cereal has been steadily losing market share to more convenient breakfast options. Sales of ready-to-eat cereals have declined in recent years, with most brands struggling to recover as consumers opt for bars, shakes, yogurt, and other portable items. Euromonitor, a market research firm, anticipates a 2% decline in cereal volume and a 5% drop in sales over the next four years.
Despite this bleak outlook, manufacturers are undeterred—cereal remains the most consumed breakfast option in America, with a 90% household penetration rate. Consequently, cereal producers are racing to introduce new product lines, healthy innovations, and brands while attempting to extend consumption beyond just breakfast time. Kellogg, for instance, recently reported a 2.5% decline in quarterly net sales but remains optimistic about cereal’s potential as a snack or dessert option. The company is actively exploring new products and formulations to revive cereal sales, which have plummeted 6% year-to-date.
Kellogg and other cereal manufacturers are focusing on health and reducing processed ingredients to enhance product appeal. Traditionally, Kellogg has marketed its Special K brand as a weight-loss aid, but now they’re emphasizing the cereal’s fiber content and incorporating probiotics. This shift seems logical, given the rising prevalence of probiotics in weight-loss products. Increased fiber promotes gut health, alongside probiotics, making it reasonable to expect that the new Special K variant—rich in both fiber and probiotics—will yield similar benefits.
Moreover, probiotics could serve as a profitable strategy for cereal makers to entice consumers back to their offerings by providing an additional reason to choose their products. It will now be crucial to effectively market these innovations and determine whether some shoppers are ready to give breakfast in a bowl another chance. In the context of calcium, understanding what citrate in calcium means can also play a role in promoting healthier choices, as consumers increasingly seek products that enhance their overall well-being. By integrating such insights into their marketing strategies, cereal companies might successfully re-engage a market that is evolving towards more health-conscious options.