Growth is high for breakfast cereals over the forecast period, as children and teenagers increase their consumption. This trend is due to families turning to convenient breakfast options, swayed by promotional campaigns carried out by leading players, especially Nestlé SA.
The growth slowdown of breakfast cereals is attributed to maturity, as well as the anticipated increase in unit prices. The declining disposable incomes of consumers is also a potential threat to performance, nevertheless, the expected growing availability of domestic brands over the forecast period, with an improved quality, will make breakfast cereals more affordable, and accessible to most consumers groups.
Players will be focusing on breakfast cereals for adults over the forecast period, introducing healthier options in line with the rising health and wellness trend. Many breakfast cereals will be promoted for their health and functional benefits, with muesli expected to become available in supermarkets - attracting consumers who are searching for products with healthy attributes.
Nestlé continued to lead breakfast cereals in value terms in 2019. The main reason for Nestlé's leadership is its strong brand recognition, along with the excellent quality and taste of its products, especially its leading brand Chocapic.
Cérégal continues its positive performance in 2019, creeping close to leading player Nestlé. The domestic player is gaining share due to its economy brands that have competitive prices, targeting lower and middle-income consumers.
The big two global players, Nestlé and Kellogg, remained amongst the top three players in breakfast cereals in 2019, representing a significant share of value sales due to their strong brand recognition.
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This industry report originates from Passport, our Packaged Food market research database.