The Cereal Index: Is the economy turning around?

As I pointed out at the end of 2008 the recession impacts spending habits, including down the cereal aisle. Discount brands tend to do well when people are watching where every penny goes.

In recent months there have been signs that the economy is improving. And the unofficial, and purely hypothetical, "cereal index" seems to  confirm that. Kellogg recently posted double-digit quarterly growth, and CEO David Mackay confirmed the principle of the "cereal index", noting that retailer branded products are not selling as quickly as they were. (source Australian Food News) That is obviously good news for the big cereal companies.

Technorati Tags: cereal, recession, Kellogg, breakfastbowl

Cheerios and cholesterol - Take two

Only just months after the FDA reprimanded General Mills for cholesterol reduction claims with Cheerios, the company has turned up the heat, now claiming that "Cheerios can help reduce cholesterol 10 percent in one month". New boxes are beginning to appear in supermarkets boldly stating the claim, and a special website is devoted to the message.

This all comes as a result of a clinical study released in April by Provident Clinical Research that revealed these results.

There is no word as to whether the FDA will be content with this new health claim.


Technorati Tags: cereal, General+Mills, Cheerios, cholesterol, breakfastbowl

More evolution

As part of today's first-stage announcement regarding the future of Wheaties, General Mills has updated the Evolution website, providing many more details on where they're headed in the coming months.

http://www.wheaties.com/evolution

Technorati Tags: cereal, Wheaties, breakfastbowl

Wheaties Fuel - the evolution begins

The New York Times today is revealing upcoming plans about the upcoming Wheaties "evolution" that we have been expecting and speculating over. (You will notice that I was interviewed for this article, and my blog post from last year, "The Breakfast of the Mediocre", is referenced).

Wheaties Fuel will be a new type of Wheaties that will be targeted to men. Three prototype formulas have been created, and in the next few weeks selected readers of Men's Health magazine will get to try them and pick the best one, which will be announced on September 9th, the previously publicized date for the "evolution".

It looks like a deliberate marketing strategy with considerable potential. For the sake of an iconic brand I hope it works.

Technorati Tags: cereal, Wheaties, breakfastbowl

Cerealism

Everyone once in a while I come across examples of art utilizing cereal. Recently a reader passed along a link to Cerealism, the work of Michael Albert, a modern pop artist whos work includes collages made from cereal boxes.

Wildly interesting.

Technorati Tags: cereal, art, breakfastbowl

Cereal Bowl expands to Middle East

The Cereal Bowl restaurant chain is expanding, and not only in the U.S., but now to Qatar and other regions of the Middle East. As I observed previously the growth of cereal restaurants has struggled in recent years, and it appears that Cereal Bowl is taking a lead over Cereality. Their latest press release indicates that their expansion plans include at least 15 restaurants in the U.S., in additional to the expansion to the Middle East. While the Middle East seems to be a strange location for such a restaurant it may be a great move, as places like Qatar and Dubai are emerging powerhouses and a prime ground for Western companies looking for a foothold. We'll keep watching.

(Source PRLog)

Technorati Tags: cereal, restaurants, Cereal+Bowl, breakfastbowl

Time to think outside the box?

I've been away for the past few weeks, but cereal life continues...

In recent weeks a new discussion has emerged as U.K. grocer, Sainsbury, has announced that it will be using bags instead of boxes for its own brand of cereals. This is hardly innovative, as many other companies have been using bags, most notably Malt-O-Meal in the U.S.

What is significant, however, is that the discussion may be picking up, and reports are that even Kelloggs is considering it. Obviously boxes do perform a practical role, helping to preserve the physical integrity of the cereal, and they are a major part of the marketing and merchandising. But, with conventional cereal packaging there seems to be excessive waste between the box and the inner bag. Some companies have already begun experimenting with other forms of packaging, including a sharp and sturdy bag by Jordans, also of the U.K.

Maybe it is time for cereal companies to move beyond the box, and with innovation bring new life to their cereals.

Technorati Tags: cereal, packaging, breakfastbowl

Honey and Hispanics

Cereal innovations and extensions are nothing new, but this latest Corn Flakes one has a new twist. Kellogg has introduced Corn Flakes Touch of Honey which they have developed because of their belief that Hispanics prefer honey-sweetened cereal. The over-55 crowd will probably also find the addition of honey to a staple cereal enticing. In a rare U.S. move, Kellogg is also adding Spanish to the box.

This isn't the first cereal targeted to Hispanics in the U.S., but it does indicate a growing trend to meet the changing the demographics around us.

Source: Brandweek

Technorati Tags: cereal, Hispanics, Kellogg, Corn+Flakes, breakfastbowl

Kellogg adds fiber

Over the past few years we have seen cereal manufacturers modify their recipes to make them more attractive to nutrition-conscious consumers, and to avoid the negative perceptions associated with some breakfast cereals. The latest is Kellogg, who just one year ago reduced sugar in some cereals. Now, they have announced that by the end of 2010 80% of their cereals will contain at least 3 grams of fiber. Apple Jacks and Froot Loops will be the first to experience this boost. This is somewhat similar to General Mills' decision several years ago to include whole grains in most of their cereals.

In reality, adding fiber (which will likely be the insoluble type) to cereals otherwise high in sugar, and artificial flavors and colors is somewhat disingenuous. Ultimately, it's nothing more than a marketing ploy.

Technorati Tags: cereal, Kellogg, fiber, nutrition, breakfastbowl

Cereal and common sense

The U.S. is known for frivolous lawsuits, and a recent one involving cereal proves the point. A woman filed a complaint against PepsiCo (owners of Quaker) for misleading consumers with its Cap'n Crunch's Crunch Berries. Apparently this cereal does NOT contain real fruit!

Fortunately the U.S. District Court dismissed the case citing the role of "personal responsibility and common sense".

What's next? Maybe somebody will discover there's no fruit in Froot Loops!

(Source: Lowering the Bar)

Technorati Tags: cereal, lawsuits, breakfastbowl