Milling & Baking News Corporate Profiles - 2017 - 16

flavors while helping consumers understand where their food
comes from."
In January, General Mills, Inc. said it was looking to help
schools elevate their sandwich selection with two new Pillsbury
bread options for food service: panini and ciabatta. The new
bread options allow K-12 schools to offer a variety of hot and
cold sandwiches without extra equipment or labor, General
Mills said. The panini bread comes pre-grilled and needs only
to be heated in an oven while the pre-sliced ciabatta may be
thawed and served.
Another food service innovation came from Subway in
September 2016. At the time, the sandwich chain said it was
adding multigrain flatbread to its permanent menu. The product
contains chia and flax seeds, with 50 grams of whole grains in
each 6-inch sandwich. The new flatbread features the Whole
Grain Stamp from the Whole Grains Council. In April 2015,
Subway introduced the Whole Grain Stamp on its 9-Grain Wheat
bread and 9-Grain Honey Oat bread.

R.-T.-E. cereal combats weakness
The ready-to-eat cereal category struggled to find its footing
throughout much of 2017, as dollar sales in the category fell
2.2% to $8,564 million in the 52 weeks ended July 9, according
to I.R.I. Industry leaders General Mills, Inc. and Kellogg Co.
sustained dollar sales declines of 3.7% and 2.6%, respectively,
during the period, while private label fell 6%, according to I.R.I.
To combat weakness in the "adult health-oriented segment,"
which is dragging down the R.-T.-E. cereal category, Kellogg is
planning to launch cereal innovation geared toward gut health.

LEADING

ready-to-eat cereal vendors
1
2
3
4
5
6
7
8
9

General Mills, Inc.
Kellogg Co.
Post Holdings, Inc.
Quaker Oats Co.
Kashi Co.
Nature's Path Foods, Inc.
Small Planet Foods, Inc.
Bear Naked, Inc.
Kind L.L.C.
Private label
Total

Dollar sales
$2,552,129,536
$2,546,567,424
$1,638,719,488
$552,731,968
$145,923,520
$90,132,160
$75,109,616
$62,853,188
$52,021,416
$643,678,208
$8,564,164,096

% change
from
year ago
-3.7%
-2.6%
1.7%
-3.1%
-5.7%
7.7%
-12.7%
8.9%
6.3%
-6.1%
-2.2%

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Grain-based foods

"What encourages me as I look forward in where science and
nutrition is going and where the trends are, clearly what is big
and right in front of us now and I think will be really important
is gut health and the gut-brain connection, the importance of
the microbiome and the importance of fiber coming back into
people's diets, either prebiotic or probiotic benefits," Paul
Norman, senior vice-president and president of Kellogg North
America, said during an Aug. 3 conference call with analysts.
"Those things, considering 9 out of 10 Americans don't get
enough fiber today, I think are going to position our category
extremely well to grow as we go forward."
Another priority for Kellogg in reviving the cereal category is
repositioning its brands for all-day consumption.
At General Mills, executives said the company is ready to battle

LEADING

ready-to-eat cereal brands
1
2
3
4
5
6
7
8
9

Honey Nut Cheerios
Frosted Flakes
Honey Bunches of Oats
Cinnamon Toast Crunch
Cheerios
Lucky Charms
Froot Loops
Frosted Mini-Wheats
Raisin Bran
Private label
Total

Dollar sales
$491,824,512
$399,124,032
$396,372,864
$365,590,080
$328,534,272
$261,975,632
$257,951,248
$244,524,352
$182,413,200
$643,678,208
$8,564,164,096

% change
from
year ago
-2.4%
-2.1%
-3.4%
2.9%
3.8%
7.5%
1.8%
-5.9%
-4.3%
-6.1%
-2.2%

Data for 52 weeks ended July 9, 2017
Total U.S. - Multi-outlet with C-Store (Supermarkets, Drugstores and Mass Market Retailers, Gas/C-Stores, Military Commissaries and Select Club & Dollar Retail Chains)
Source: Information Resources, Inc.

16 \ October 2017

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