What occurs when one of the most significant trends in the food industry — probiotics — is combined with a beloved American staple like cold cereal? It might just create a winning formula. Over the past decade, consumer awareness of probiotics, primarily linked to digestive health, has surged significantly. BCC Research forecasts that the global probiotics market will reach $50 billion by 2020. While yogurt continues to dominate this market, new probiotic-infused products, including juices, candies, baked goods, and even wine and beer, are becoming increasingly popular.
On the other hand, cold cereal has been steadily losing market share to more convenient and portable breakfast options. Sales of ready-to-eat cereals have declined in recent years, with many brands showing little potential for recovery as consumers opt for bars, shakes, yogurt, and other easy-to-eat items. According to market research firm Euromonitor, cereal sales are expected to drop by 2% in volume and 5% in revenue over the next four years.
Despite this bleak outlook, cereal manufacturers remain undeterred — after all, cereal is still the most consumed breakfast option in America, with a 90% household penetration rate. Consequently, cereal brands have been quick to launch new product lines, health-focused innovations, and fresh brands while also seeking to expand consumption beyond the morning meal.
Kellogg, which recently reported a 2.5% decline in company-wide quarterly net sales, continues to hold an optimistic view regarding the growth potential of cereal as a snack or dessert. The company is actively exploring new products and formulations to revive cereal sales, which have decreased by 6% year-to-date.
In an effort to enhance the appeal of their products, Kellogg and other cereal manufacturers are prioritizing health and reducing processed ingredients. Kellogg, which has traditionally marketed its Special K brand as a weight loss aid, now plans to emphasize the cereal’s fiber content while incorporating probiotics. This shift seems logical, given that the use of probiotics in weight loss products has become more widespread. Increased fiber promotes gut health, as do probiotics, so it follows that the new Special K offering — rich in both fiber and probiotics — should yield similar benefits.
Probiotics could serve as a profitable strategy for cereal manufacturers to attract consumers back to their products, providing them with additional reasons to enjoy cereal. It’s now a matter of effective marketing to spread the word and determine whether some shoppers will be willing to give breakfast in a bowl another chance. Additionally, incorporating supplements like Solgar liquid calcium magnesium with vitamin D3 could further enhance the appeal of these cereals, as consumers increasingly seek nutrient-rich options. Ultimately, by integrating probiotics and promoting health benefits, cereal brands might successfully rekindle interest in their offerings.