Breakfast cereal leans toward alternative meal occasions, hybrid flavors and healthier grains
27 Oct 2020 --- The evolution of eating patterns sees a category blurring between the breakfast cereal and snacking segments. Cereals are a staple food in North America, with 60 percent of households saying they are a regular part of their grocery basket, according to Innova Market Insights.
Alongside these shifts, buzzwords in cereal positioning have expanded to include artisanal production, plant-based formulations, health ingredients and hybrid flavors.
“There has been some indulgent brand extension into this market with the Dunkin’ Donuts and Hershey’s Kisses candy brands both having arrived on the breakfast scene within the past year,” says Lu Ann Williams, global insights director at Innova Market Insights.
Buzzwords in cereal positioning include artisanal production, plant-based formulations, health ingredients and hybrid flavors.
Product mashups are pegged as a prominent theme in Innova Market Insights’ newly unveiled Top Ten Trends 2021.
The market researcher underscores that times have never been more challenging for these core products. Competition for the breakfast dollar has intensified considerably over the past decade or so.
According to a new report from Innova Market Insights, which assesses cereal trends in the US and Canada, there has been polarization between healthy and indulgent products in recent years.
This is evident in ingredient trends. For example, cereal launches containing turmeric rose at a CAGR of 50 percent over 2014 to 2019. Meanwhile, those containing marshmallow increased at a CAGR of 104 percent.
Blurring of the breakfast occasion
Snackability is a growing focus, as over 10 percent of consumers now eat breakfast cereals as either a morning or evening snack, according to Innova Market Insights data.
Over 10 percent of consumers now eat breakfast cereals as either a morning or evening snack, according to Innova Market Insights.On-the-move snacking may have slightly stalled during the COVID-19 crisis. However, it is still the case that higher levels of home working have opened up new snacking opportunities for cereals that could persist in the coming years.
With over 40 percent of US and Canadian consumers saying that convenience is a reason why they buy breakfast cereals, there is ongoing pressure to deliver ever more convenient formats.
Starting your day right
Consumers are seeking out indulgent ways to integrate nutrition into their morning routines with ease. This manifests in heightened interest in healthier breakfast cereals – particularly wholegrain granolas.
These products are increasingly supported by messages related to sustainable or organic sourcing, artisanal production and plant-based formulation.
More indulgent cereals tend to concentrate on their sweet ingredients in order to occupy a taste-driven platform, outlines Innova Market Insights.
Edited by Benjamin Ferrer
