Breakfast Cereal Market Size, Share, Industry Trend Report 2018-2025 (Includes Business Impact of COVID-19)

                                          
Abstract, Snapshot, Market Analysis & Market Definition: Global Breakfast Cereal Market


The global breakfast cereal market size was valued at USD 37.44 billion in 2016. It is projected to expand at a CAGR of 4.3% from 2017 to 2025. Growing popularity of on-the-go breakfasts, coupled with surging demand for organic cereals and rising health awareness among consumers, is one of the key trends accelerating market growth.
Increasing influence of westernization on food habits of middle-class population is also contributing significantly towards the demand for breakfast cereals in Asia Pacific. Advancing food retail infrastructure along with rising awareness regarding health benefits of consuming grain-based breakfasts is further supporting the growth of the market.
 
Breakfast cereals are available in different variety, but the essential ingredient is grains. Commonly used grains include oats, rice, barley, wheat, and corn. Few hot cereals such as oatmeal does not comprise any other ingredient while other variants may include coloring agents, yeast, salts, minerals, vitamins, sweeteners, and food preservatives.
Palm oil is a vital ingredient utilized in the processing stage. Sweeteners used in the manufacturing of breakfast cereals include malt, which is obtained from barley, brown sugar, white sugar, and corn syrup. A few natural cereals are also sweetened with concentrated fruit juices. A large variety of flavors is often added, including cinnamon, chocolate, spices, and fruit flavors. Other types of ingredients incorporated to enhance the flavor includes dried fruit, nuts, and marshmallows. Moreover, essential vitamins and minerals are also added to them to replace those nutrients that are lost during the process of cooking.
Emerging economies are witnessing a paradigm shift in the purchasing behavior and eating habits of customers. Rapid urbanization and growth of middle-class population in these economies are resulting in changing lifestyle and growth in demand for on-the-go options of meals. As cereals are considered to offer numerous health benefits and are easy to prepare, they are witnessing augmented demand from consumers worldwide.
Demand for breakfast cereal is restrained by huge availability of alternatives. Most consumers prefer consuming eggs, smoothies, frozen waffles, yogurt, sausage, puddings, and other traditional breakfasts, which are healthier and are made up of fresh ingredients. Moreover, easier availability of convenient low-cost and nutritious meal options is posing a threat to the demand for cereals. Few health-conscious consumers tend to prefer other breakfast alternatives on account of presence of sugar as well as other food preservatives, which are added to improve the shelf life of these products.

Market Segmentation, Outlook & Viewpoint: Global Breakfast Cereal Market


Product Market Segmentation & Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

Hot Cereal

RTE


Distribution Channel Market Segmentation & Outlook (Volume, Kilotons; Revenue, USD Million, 2014 - 2025)

Supermarket

Convenience Stores

E-Commerce

Others


Key Players, Recent Developments & Regional Insights: Global Breakfast Cereal Market


Ready to eat (RTE) was the leading product segment in 2016, accounting for over 68.0% of the global revenue share. The segment consists of bars, cornflakes, cookies & biscuits, and others. Rising demand for on-the-go meal options is driving the consumption breakfast cereal bars as well as biscuits. Moreover, increasing awareness regarding easy, fast and inexpensive meal options offered by RTE cereal category is boosting the overall market.
The market is also observing upswing in adoption of cereal bars among kids. Attractive packaging, effective advertising strategies, and improved taste are among key factors fueling its demand. However, in recent times, the demand has slowed down on account of presence of high sugar and preservative contents in cereal bars. In May 2017, Kellogg’s Company reduced to sugar content in Rice Krispies and Frosties bars by 19%, ranging from 40 grams to 32.5 grams. The company also incorporated vitamin D into its snack bars to raise the nutritional value of the product.  
Hot cereals are expected to register the fastest growth during the forecast period. Rising adoption of nutritious meal options in breakfast is spurring the demand for multi-grain cereals including grains, seeds, and beans. Vast benefits of including these organic and whole grain based cereals in the diet are further escalating the demand for hot cereals. Moreover, incorporation of exotic flavors into the product variants, resulting in innovative tastes, is anticipated to rev up the demand, especially among kids.
Distribution Channel Insights
Supermarket, convenience stores, E-commerce, and others are the major distribution channels reviewed in the report. In 2016, supermarket dominated the breakfast cereal market and is expected to maintenance its dominance until 2025.
 
The number of supermarkets across the globe has witnessed a sharp rise in last few years. Initially, their presence was concentrated in developed economies of North America and Europe, but now they have expanded their presence across Asia Pacific and the Middle East and Africa.
E-commerce is emerging as a prominent distribution channel in the global arena. The segment generates considerable revenue from developed economies of North America and Europe on account of widespread adoption of internet and mobile phones. Online channels provide better access to branded merchandise and deliver better shopping experience. They offer richer and personalized shopping experience to the buyer. Online channels are attaining popularity among lifestyle users in developed regions.

Regional Insights
North America dominated the overall market in 2016, followed by Europe. Growing health concerns and increasing health issues such as diabetes, obesity, and digestive disorders are supplementing the growth of the region. Moreover, product & packaging innovations coupled with high adoption rate of new products in countries in the region are estimated to play a key role in increasing the demand for the product over the forecast period.
Manufacturers are introducing healthier variants to attract huge consumer base. The Kellogg's Company; General Mills Inc.; Post Holding Inc.; Private Label; and Quaker Oats are among the major players operating in the U.S. market.
Rapidly growing economies in Asia Pacific are leading a widening base of the populace indulged in busy lifestyles. This, in turn, is stirring up the demand for convenience foods, which is working in favor of the regional market. Rising demand for natural nutritional products owing to increasing consumer awareness regarding healthy lifestyles is poised to trigger demand for breakfast cereals in APAC over the forecast period.
Breakfast Cereal Market Share Insights
Product reformulation, portion sizing, and consumer messaging are among the key areas of focus of the leading players. They are engaged in introducing innovative, fruit flavored, and fiber-rich products, which contain reduced fat and oil content. In addition, market players are narrowing down their brand positioning strategies to consolidate their presence in regional markets. They are focusing on various region-specific breakfast habits to target their consumers and promote their brand.
The market is highly competitive. Key participants are engaged in forward and backward integration in the value chain. These include Marico Limited; B&G Foods Inc.; Bagrrys India Ltd.; Kellogg Company; General Mills, Inc.; Nestlé S.A.; and Pepsico, Inc.

Key Insights Covered: Global Breakfast Cereal Market
1.  North America, Europe, Asia Pacific, Middle East & Africa, Latin America market size (sales, revenue and growth rate) of Breakfast Cereal industry.
2. Global major manufacturers' operating situation (sales, revenue, growth rate and gross margin) of Breakfast Cereal industry.
3. Global major countries (United States, Canada, Germany, France, UK, Italy, Russia, Spain, China, Japan, Korea, India, Australia, New Zealand, Southeast Asia, Middle East, Africa, Mexico, Brazil, C. America, Chile, Peru, Colombia) market size (sales, revenue and growth rate) of Breakfast Cereal industry.
4. SWOT analysis, New Project Investment Feasibility Analysis, Upstream raw materials and manufacturing equipment & Industry chain analysis of Breakfast Cereal industry.
5. Global market size (sales, revenue) forecast by regions and countries from 2019 to 2024 of Breakfast Cereal industry.

Research Methodology: Global Breakfast Cereal Market

Data collection and base year analysis is done using data collection modules with large sample sizes. The market data is analyzed and forecasted using market statistical and coherent models. Also market share analysis and key trend analysis are the major success factors in the market report. To know more please Request a Sample Report.
Demand Side Primary Contributors: OEMs, Industrial Professionals, Researches, Suppliers and Distributors, Group Purchasing Organizations, Associations, Insurers, Universities, Technological Writers, Scientists, Promoters, Investors among others.
Supply Side Primary Contributors: Product Managers, Marketing Managers, C-Level Executives, Distributors, Market Intelligence, Regulatory Affairs Managers among other