Milling & Baking News - December 4, 2018 - 32

KELLOGG'S CO.

Ready-To-Eat Cereal Update

Capturing consumers' taste buds
Ready-to-eat cereal makers turn to taste in effort to shift focus off food safety scares
Continued from Page 1

POST HOLDINGS

forming units) live probiotics from active sales growth (in the first quarter of fispointed to examples of the company's strains, contains 2.5 grams of prebiotics cal 2019), behind the relaunch of our
classic Trix colors, and marshmallow
cereal business stabilizing in the third and has 8 to 9 grams of fiber.
The cereals are available in coconut news helped Lucky Charms post 9%
quarter even with the recall. Both Frosted
retail sales growth on top of last year's
Flakes and Froot Loops grew consump- crunch, blueberry and strawberry.
"This new cereal provides a proactive 16% growth rate," Jeffrey L. Harmening,
tion and share in the taste/fun cereal segment, said Steven A. Cahillane, president real food solution to people who want to c.e.o., said during a Sept. 18 conference
call with analysts. "Our
and chief executive officer, in
new Cheerios Oat Crunch
an Oct. 31 earnings call.
offering already captured
"But more important for
Top-selling ready-to-eat cereal vendors
0.5 point share of category
the category will be stabilizDollar
% change
Unit
% change
in August as we continue
ing the wellness-oriented
sales from year ago
sales
from year ago
to deliver new benefits
adult segment," he said. "StaGeneral Mills, Inc. $2,580,936,050
-0.5
778,697,078
-0.4
on the country's largest
bilizing adult brands Raisin
Kellogg Co.
$2,474,056,904
-2.9
769,659,623
-1.1
cereal brand."
Bran and Mini-Wheats was a
Post Holdings, Inc. $1,665,068,528
2.1
465,227,524
1.8
In October, General Mills
priority for us this year, and
Quaker Oats Co.
$541,206,394
-3.2
177,192,551
-3.5
said it would bring back
our efforts to amplify the
Private label
$596,288,631
-6.6
246,998,661
-4.7
Classic Trix Fruity Shapes
wellness attributes of these
after receiving more than
brands are clearly resonating
52 weeks ended Nov. 4, 2018
Total U.S. multi-outlet with c-store (grocery, drug, mass market, convenience, military and
20,000 requests for the
with consumers. Both brands
select club and dollar retailers)
product over the past 18
posted growth in consumpSource: Information Resources, Inc.
months. The product detion and share this quarter."
buted in 1991 and disapKellogg recalled Honey
Smacks cereal on June 14 because the incorporate more prebiotics and probiot- peared in 2006, when the cereal returned
Centers for Disease Control and Pre- ics into their diet," said Aleta Chase, mar- to its original round shape. Classic Trix
Fruity Shapes feature raspberry red, lemvention, Atlanta, said the cereal could keting director for Hi! Happy Inside.
News also has surfaced that Kellogg on, orange, wild berry blue, grape purple
be contaminated with Salmonella Mbanand watermelon pieces.
daka and make people sick. The C.D.C. plans to introduce its first
The reintroduction folon Sept. 26 concluded its investigation new Rice Krispies cereal in
lows last year's relaunch of
into the outbreak, saying 135 people a decade: Strawberry KrispClassic Trix, featuring the
were inflicted between March 3 and ies. Although Kellogg probrand's iconic bright colAug. 29. Kellogg reintroduced Honey duced a version of Strawors, after consumers comSmacks cereal in November, but the re- berry Krispies in the 1980s,
plained about a new forcall impacted cereal consumption and the new version set to hit
mulation with colors from
store shelves in January will
share in the third quarter.
natural sources.
With the Honey Smacks recall behind, feature a new recipe, acSpeaking of taste, Post
Kellogg is free to focus on a new cereal cording to the company.
Holdings Inc., St. Louis, is
Despite I.R.I. data showbrand. In mid-November, Kellogg inplanning to give consumtroduced Hi! Happy Inside, a new well- ing a 0.5% decline in dollar
ers' taste buds the ultimate
ness brand geared toward consumers in sales in the 52 weeks ended
test with the launch of Sour
Nov. 4, Minneapolis-based
search of digestive wellness.
Patch Kids cereal. The cereThe brand initially will include three General Mills, Inc. considers
al, which is set to debut Dec.
cereal varieties that are marketed as a its cereal business to be on a
26 exclusively at Walmart,
"3-in-1 cereal," featuring prebiotics, pro- bit of a hot streak, boosted by
features pieces with a sour coating but
biotics and fiber. Kellogg said Hi! Happy strong performance from its taste brands.
"Trix posted more than 60% retail a sweet, sugary finish. Sour Patch Kids
Inside delivers 1 billion C.F.U. (colony
are a soft gummy candy with a coating
of sour sugar, so the taste of the candy
changes from sour to sweet.
The introduction of Sour Patch Kids
cereal will continue a trend in which
Post Holdings has partnered with MonCHICAGO - The Quaker Oats Co., a subsidiary of PepsiCo, Inc., on Nov. 16 initiated
delez International to shake up the cea voluntary recall of a small quantity of Cap'n Crunch's Peanut Butter Crunch cereal
real aisle. Over the past two years the
due to the potential presence of Salmonella.
companies have joined forces to introQuaker said the recall was limited to 21 boxes of one variety of the cereal distribduce a variety of cereals based off Monuted to five Target stores with Best Before dates of July 30, 2019, and July 31, 2019.
delez products, including Honey Maid
The five stores are located in Kansas, Missouri and Nebraska.
S'mores, Nutter Butter, Chips Ahoy!
"The recall was initiated as the result of a routine sampling program by the comand Oreo O's. MBN
pany, which revealed the finished product may contain bacteria," Quaker said. MBN

Quaker recalls small quantity of
Cap'n Crunch's Peanut Butter Crunch

QUAKER OATS CO.

32 / December 4, 2018

- Eric Schroeder
Milling & Baking News

bakingbusiness.com / world-grain.com

http://www.bakingbusiness.com http://www.world-grain.com

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