Cereal prices to rise
AdAge.com reports that Kellogg will be hiking the price of many of its cereals by 2% and decrease packaging sizes, all for the sake of profitability and to maintain marketing budgets. Other companies are likely to follow.
Cereal is a popular commodity and I'm certainly a big fan of it, but at what point are consumers going to just stop buying the big name brands? Or, continue the trend to the generic or bulk brands? The fact is, for many people name brand cereal is getting expensive, and providing less and less value.
I am convinced that these companies would be better off focusing on innovation than pricing themselves out of the market.
Labels:
Kellogg
No comments:
Post a Comment