What occurs when you combine one of the food industry’s most significant trends—probiotics—with a longstanding American favorite like cold cereal? It could very well be a winning formula. Over the past decade, consumer awareness of probiotics, primarily linked to digestive health, has surged remarkably. BCC Research forecasts that the global probiotics market will expand to $50 billion by 2020. While yogurt currently dominates the market, new probiotic-infused products such as juices, candies, baked goods, and even wine and beer are becoming increasingly popular.
On the other hand, cold cereal has been gradually losing market share to more convenient, portable breakfast options. Sales of ready-to-eat cereals have declined in recent years, with most brands showing little indication of recovery as consumers opt for bars, shakes, yogurt, and other portable items. Market research firm Euromonitor predicts that cereal consumption will drop by 2% in volume and 5% in sales over the next four years alone.
Despite this discouraging outlook, manufacturers remain undeterred—cereal is still the most consumed breakfast in America, boasting a 90% household penetration rate. Consequently, cereal companies are racing to launch new product lines, healthier innovations, and fresh brands, while also working to promote consumption beyond the breakfast hours. Kellogg, which recently reported a company-wide quarterly net sales decline of 2.5%, remains optimistic about cereal’s potential as a snack and dessert option. The company is actively exploring new products and formulations in an effort to rejuvenate cereal sales, which have decreased by 6% year-to-date.
Kellogg and other cereal manufacturers are emphasizing health and reducing processed ingredients to enhance the popularity of their products. In a strategic shift, Kellogg, which has traditionally marketed its Special K brand as a weight loss aid, plans to highlight the cereal’s fiber content and incorporate probiotics. This move aligns well with the rising trend of using probiotics in weight loss products. Increased fiber supports gut health, similar to the benefits provided by probiotics. Therefore, the new Special K offering—rich in both fiber and probiotics—should similarly contribute to gut wellness.
Additionally, the introduction of sisu cal mag could enhance the nutritional profile of these cereals, providing consumers with even more incentives to return to these breakfast staples. Probiotics could serve as a profitable strategy for cereal makers to attract consumers back to their products by offering them new reasons to indulge. Now, the challenge lies in effectively marketing these innovations to determine if some shoppers are ready to reconsider breakfast in a bowl.