Global Market Study on Breakfast Cereals: Hot Cereals to Witness Highest Growth by 2019


  • Published On : Sep-2014 |
  • Pages : 118 Pages |
  • Format :

The need for convenience and busy schedules of people has been propelling the processed food industry, which includes breakfast cereals. Developed nations already have breakfast cereals as part of their regular course of meals. Increasing per capita income in developing countries is further giving the breakfast cereal industry a new dimension to look for. However, the breakfast cereals market in developed economies tends to saturate mainly due to the search for other traditional breakfast as well as some on-the-go breakfast alternatives such as cereal bars.

The saturating market is compensated with growing breakfast cereals markets in Asia as well as some of the countries in Latin America. Some of the markets such as China and India offer high growth potential due to their large population. People in these countries are including breakfast cereals in their regular meals due to changing food habits. Breakfast cereals are broadly marketed under two segments: RTE cereals and Hot cereals. The market for RTE cereals is much bigger as compared to that of Hot breakfast cereals.

The major restraint for the breakfast cereals market is manufacturers facing the issue of raw material procurement due to environment-related concerns. This includes the procurement of palm oil, one of the basic ingredients used in the processing of breakfast cereals. While increasing numbers of convenience stores in developing economies is accelerating the breakfast cereals market, rising commodity and energy prices are emerging as key concerns. The shift in consumer trend towards various alternatives, such as fruits, toasts and eggs and time saver snacks such as cereal bars, is emerging as yet another restraint for the breakfast cereals market.

Special emphasis on healthy living has prompted market players to introduce new products, which suit all age groups and lifestyles. International players in breakfast cereals market are also focusing on reformulating their products by replacing harmful hydrogenated fat and oils with healthier ingredients such as fiber and fruits. Demand for gluten-free cereals has increased in the market, especially in North America and Europe. There also has been an increase in demand for whole-grain cereals worldwide.

Kellogg’s is the global market leader in breakfast cereals market, while General Mills and PepsiCo are the other key players. The breakfast cereals market is dominated by top three players that control over 50% of the market. Their influence in the global breakfast cereals market is increasing due to established brands, knowledge for innovation and economies of scale. Among other players, Cereal Partners Worldwide (CPW), a joint venture company between General Mills and Nestle, has grown multifold and is expanding at a faster rate. 

The report is a study of the global breakfast cereals market, its present and forecast positions. It discusses factors affecting market movements, changing consumer tastes and trends. It also elaborates companies’ planning and strategies for growth, including their investment plans and new product launches. 

The report includes a competitive landscape section to map the competitive position of companies based on maturity and growth of the breakfast cereals market in several regions. Company profiles are included at the end of the report. These cover company overview, product and services, financial overview and the latest strategic developments of the company.

The change in breakfast habits and shift towards healthier breakfast alternatives in Asian countries is expected to drive the breakfast cereals market in the region during the forecast period. Rising per capita income and changing lifestyles in Asia are also expected to boost the market share in the region. The market in developed economies tends to saturate mainly due to the search for other traditional breakfast as well as some on-the-go breakfast alternatives such as cereal bars.

The middle class population in China and India according to the World Bank, which was reported to be 430 million in 2010, is expected to reach to 1.2 billion by 2030. The Asian breakfast trend is moving away from the customary local food to the packaged breakfast cereals. The importance of breakfast is increasing being realized globally due to rising health concerns. Some of the benefits of having a regular nutritional breakfast are improvement in memory, balanced cholesterol and insulin levels, physical activeness and low risk of obesity. The practice of skipping breakfast has been reducing and the per capita consumption of breakfast has been increasing globally over the past few years. Cereals are considered to be an ideal breakfast category due to their high nutritional and low calorific value. Breakfast cereals are produced from processed grains. Depending upon the type, they are consumed in hot, cold and dry forms. Kellogg’s introduced the first patented breakfast cereal in the form of cornflakes in 1895. With recognition of its health benefits, cornflakes became one of the main breakfast foods in the U.S. and later on in other parts of North America and Europe.

The market is broadly categorized into two segments: Hot cereals and RTE cereals. Hot cereals are expected to have a higher growth rate as compared to RTE cereals. The major restraint for the industry is manufacturers facing the issue of raw material procurement due to environment-related concerns. This includes the procurement of palm oil, one of the basic ingredients used in the processing of breakfast cereals. While increasing numbers of convenience stores in developing economies is accelerating the market, rising commodity and energy prices are emerging as key concerns. Consumers as well as governments are getting serious on the gluten content in cereals, compelling companies to increase their gluten-free range. The shift in consumer trend towards various alternatives, such as fruits, toasts and eggs and time saver snacks such as cereal bars, is emerging as yet another restraint for the industry.

North America was the global leader in the breakfast cereals market in 2012 which is expected to retain its leadership through 2019. However, it is expected to lose its share to Asia Pacific which is growing a fast pace.

Company Profiles:

  • Kellogg Co.
  • General Mills.
  • PepsiCo.
  • Cereal Partners Worldwide (CPW).
  • Post Holdings.
  • The Weetabix Food Company.
  • Other

Table of Content

Chapter 1 Preface 11

1.1 Report Description 11

1.2 Scope and Definition 11

      1.2.1 Product segments covered in the report 11

      1.2.2 Regions covered in the report 11

1.3 Research Methodology 11

Chapter 2 Market Synopsis 13

Chapter 3 Porter’s Five Forces Analysis 16

      3.1.1 Bargaining power of suppliers 16

      3.1.2 Bargaining power of buyers 17

      3.1.3 Threat of new entrants 17

      3.1.4 Threat from substitutes 17

      3.1.5 Degree of competition 17

Chapter 4 Industry Overview 18

4.1 Introduction 18

4.2 Market Drivers 19

      4.2.1 Fast growth in Asia Pacific breakfast cereal market to drive the global market 19

      4.2.2 Growing number of convenience stores are increasing brand visibility and changing breakfast habits in emerging markets 19

4.3 Market Restraints 20

      4.3.1 Sourcing of palm oil is developing into big threat for cereals manufacturers 20

      4.3.2 Availability of alternative breakfast options undermines market growth 20

4.4 Opportunities 21

      4.4.1 New tastes and new consumer groups offer market growth opportunities 21

4.5 Key Challenges 21

      4.5.1 Expensive production of gluten-free products is expected to increase production cost 21

      4.5.2 Rising energy and commodity prices pose a big challenge for the market 22

Chapter 5 Market Size and Forecast by Product 24

Chapter 6 Market Size and Forecast by Region 27

6.1 North America 28

      6.1.1 The U.S. 30

               6.1.1.1 Market Overview 30

               6.1.1.2 Competitive Landscape 32

      6.1.2 Canada 35

               6.1.2.1 Market Overview 35

               6.1.2.2 Competitive Landscape 36

       6.1.3 Mexico 39

               6.1.3.1 Market Overview 39

               6.1.3.2 Competitive Landscape 41

6.2 Europe 43

      6.2.1 The U.K. 45

               6.2.1.1 Market Overview 45

               6.2.1.2 Competitive Landscape 47

      6.2.2 Germany 49

               6.2.2.1 Market Overview 49

               6.2.2.2 Competitive Landscape 52

       6.2.3 France 53

               6.2.3.1 Market Overview 53

               6.2.3.2 Competitive Landscape 55

       6.2.4 Italy 57

               6.2.4.1 Market Overview 57

               6.2.4.2 Competitive Landscape 59

      6.2.5 Spain 61

               6.2.5.1 Market Overview 61

               6.2.5.2 Competitive Landscape 64

6.3 Asia Pacific 65

      6.3.1 Australia 68

               6.3.1.1 Market Overview 68

               6.3.1.2 Competitive Landscape 69

       6.3.2 Japan 72

               6.3.2.1 Market Overview 72

               6.3.2.2 Competitive Landscape 74

       6.3.3 South Korea 76

               6.3.3.1 Market Overview 76

               6.3.3.2 Competitive Landscape 79

       6.3.4 China 80

               6.3.4.1 Market Overview 80

               6.3.4.2 Competitive Landscape 83

       6.3.5 India 85

               6.3.5.1 Market Overview 85

               6.3.5.2 Competitive Landscape 87

6.4 Rest of the World 89

      6.4.1 Brazil 89

               6.4.1.1 Market Overview 89

               6.4.1.2 Competitive Landscape 92

      6.4.2 Russia 93

               6.4.2.1 Market Overview 93

               6.4.2.2 Competitive Landscape 96

       6.4.3 Turkey 97

               6.4.3.1 Market Overview 97

Chapter 7 Competitive Scenario 99

7.1 Company market share 99

7.2 Company presence across different markets 100

Chapter 8 Company Profiles 103

8.1 Kellogg Co. 103

      8.1.1 Company Overview 103

      8.1.2 Products and Services 103

      8.1.3 Financial Performance 104

      8.1.4 Strategic Developments 104

8.2 General Mills 106

      8.2.1 Company Overview 106

      8.2.2 Products and Services 106

      8.2.3 Financial Performance 107

      8.2.4 Strategic Developments 107

8.3 PepsiCo. 108

      8.3.1 Company Overview 108

      8.3.2 Products and Services 108

      8.3.3 Financial Performance 109

      8.3.4 Strategic Developments 109

8.4 Cereal Partners Worldwide (CPW) 110

      8.4.1 Company Overview 110

      8.4.2 Products and Services 110

      8.4.3 Financial Performance 110

      8.4.4 Strategic Developments 111

8.5 Post Holdings 113

      8.5.1 Company Overview 113

      8.5.2 Products and Services 113

      8.5.3 Financial Performance 114

      8.5.4 Strategic Developments 114

8.6 The Weetabix Food Company 116

      8.6.1 Company Overview 116

      8.6.2 Products and Services 116

      8.6.3 Financial Performance 116

      8.6.4 Strategic Developments 117


List of Tables

TABLE 1 Global breakfast cereals market snapshot, 2012 & 2019 15

TABLE 2 Drivers for breakfast cereals market: Impact Analysis 20

TABLE 3 Restraints for breakfast cereals market: Impact Analysis 21

TABLE 4 Global breakfast cereals market size, by segment, 2010-2012 (Million Kg) 24

TABLE 5 Global breakfast cereals market size, by segment, 2013-2019 (Million Kg) 25

TABLE 6 Global breakfast cereals market size, by segment, 2010-2012 (USD million) 25

TABLE 7 Global breakfast cereals market size, by segment, 2013-2019 (USD million) 25

TABLE 8 North America breakfast cereals market size by segment, 2010-2012 (Million Kg) 28

TABLE 9 North America breakfast cereals market size by segment, 2013-2019 (Million Kg) 28

TABLE 10 North America breakfast cereals market size by segment, 2010-2012 (USD million) 29

TABLE 11 North America breakfast cereals market size by segment, 2013-2019 (USD million) 29

TABLE 12 The U.S. breakfast cereals market size by segment, 2010-2012 (Million Kg) 30

TABLE 13 The U.S. breakfast cereals market size by segment, 2013-2019 (Million Kg) 31

TABLE 14 The U.S. breakfast cereals market size by segment, 2010-2012 (USD million) 31

TABLE 15 The U.S. breakfast cereals market size by segment, 2013-2019 (USD million) 32

TABLE 16 Canada breakfast cereals market size by segment, 2010-2012 (Million Kg) 35

TABLE 17 Canada breakfast cereals market size by segment, 2013-2019 (Million Kg) 35

TABLE 18 Canada breakfast cereals market size by segment, 2010-2012 (USD million) 36

TABLE 19 Canada breakfast cereals market size, by segment, 2013-2019 (USD million) 36

TABLE 20 Mexico breakfast cereals market size by segment, 2010-2012 (Million Kg) 39

TABLE 21 Mexico breakfast cereals market size by segment, 2013-2019 (Million Kg) 39

TABLE 22 Mexico breakfast cereals market size by segment, 2010-2012 (USD million) 40

TABLE 23 Mexico breakfast cereals market size by segment, 2013-2019 (USD million) 40

TABLE 24 Europe breakfast cereals market size by segment, 2010-2012 (Million Kg) 43

TABLE 25 Europe breakfast cereals market size by segment, 2013-2019 (Million Kg) 44

TABLE 26 Europe breakfast cereals market size by segment, 2010-2012 (USD million) 44

TABLE 27 Europe breakfast cereals market size by segment, 2013-2019 (USD million) 45

TABLE 28 U.K. breakfast cereals market size by segment, 2010-2012 (Million Kg) 45

TABLE 29 U.K. breakfast cereals market size by segment, 2013-2019 (Million Kg) 46

TABLE 30 U.K. breakfast cereals market size by segment, 2010-2012 (USD million) 46

TABLE 31 U.K. breakfast cereals market size by segment, 2013-2019 (USD million) 46

TABLE 32 Germany breakfast cereals market size by segment, 2010-2012 (Million Kg) 50

TABLE 33 Germany breakfast cereals market size by segment, 2013-2019 (Million Kg) 50

TABLE 34 Germany breakfast cereals market size by segment, 2010-2012 (USD million) 51

TABLE 35 Germany breakfast cereals market size by segment, 2013-2019 (USD million) 51

TABLE 36 France breakfast cereals market size by segment, 2010-2012 (Million Kg) 53

TABLE 37 France breakfast cereals market size by segment, 2013-2019 (Million Kg) 54

TABLE 38 France breakfast cereals market size by segment, 2010-2012 (USD million) 54

TABLE 39 France breakfast cereals market size, by segment, 2013-2019 (USD million) 55

TABLE 40 Italy breakfast cereals market size by segment, 2010-2012 (Million Kg) 58

TABLE 41 Italy breakfast cereals market size by segment, 2013-2019 (Million Kg) 58

TABLE 42 Italy breakfast cereals market size by segment, 2010-2012 (USD million) 58

TABLE 43 Italy breakfast cereals market size, by segment, 2013-2019 (USD million) 59

TABLE 44 Spain breakfast cereals market size by segment, 2010-2012 (Million Kg) 62

TABLE 45 Spain breakfast cereals market size by segment, 2013-2019 (Million Kg) 62

TABLE 46 Spain breakfast cereals market size by segment, 2010-2012 (USD million) 62

TABLE 47 Spain breakfast cereals market size by segment, 2013-2019 (USD million) 63

TABLE 48 Asia Pacific breakfast cereals market size by segment, 2010-2012 (Million Kg) 66

TABLE 49 Asia Pacific breakfast cereals market size by segment, 2013-2019 (Million Kg) 66

TABLE 50 Asia Pacific breakfast cereals market size by segment, 2010-2012 (USD million) 67

TABLE 51 Asia Pacific breakfast cereals market size by segment, 2013-2019 (USD million) 67

TABLE 52 Australia breakfast cereals market size by segment, 2010-2012 (Million Kg) 68

TABLE 53 Australia breakfast cereals market size by segment, 2013-2019 (Million Kg) 68

TABLE 54 Australia breakfast cereals market size by segment, 2010-2012 (USD million) 69

TABLE 55 Australia breakfast cereals market size by segment, 2013-2019 (USD million) 69

TABLE 56 Whole grain labeling of foods in Australia 71

TABLE 57 Japan breakfast cereals market size by segment, 2010-2012 (Million Kg) 73

TABLE 58 Japan breakfast cereals market size by segment, 2013-2019 (Million Kg) 73

TABLE 59 Japan breakfast cereals market size by segment, 2010-2012 (USD million) 73

TABLE 60 Japan breakfast cereals market size by segment, 2013-2019 (USD million) 74

TABLE 61 South Korea breakfast cereals market size by segment, 2010-2012 (Million Kg) 77

TABLE 62 South Korea breakfast cereals market size by segment, 2013-2019 (Million Kg) 77

TABLE 63 South Korea breakfast cereals market size by segment, 2010-2012 (USD million) 77

TABLE 64 South Korea breakfast cereals market size by segment, 2013-2019 (USD million) 78

TABLE 65 China breakfast cereals market size by segment, 2010-2012 (Million Kg) 81

TABLE 66 China breakfast cereals market size by segment, 2013-2019 (Million Kg) 81

TABLE 67 China breakfast cereals market size by segment, 2010-2012 (USD million) 82

TABLE 68 China breakfast cereals market size by segment, 2013-2019 (USD million) 82

TABLE 69 India breakfast cereals market size by segment, 2010-2012 (Million Kg) 85

TABLE 70 Indian breakfast cereals market size by segment, 2013-2019 (Million Kg) 85

TABLE 71 Indian breakfast cereals market size by segment, 2010-2012 (USD million) 86

TABLE 72 Indian breakfast cereals market size by segment, 2013-2019 (USD million) 86

TABLE 73 Brazil breakfast cereals market size by segment, 2010-2012 (Million Kg) 90

TABLE 74 Brazil breakfast cereals market size by segment, 2013-2019 (Million Kg) 90

TABLE 75 Brazil breakfast cereals market size by segment, 2010-2012 (USD million) 91

TABLE 76 Brazil breakfast cereals market size by segment, 2013-2019 (USD million) 91

TABLE 77 Russian breakfast cereals market size by segment, 2010-2012 (Million Kg) 94

TABLE 78 Russian breakfast cereals market size, by segment, 2013-2019 (Million Kg) 94

TABLE 79 Russian breakfast cereals market size, by segment, 2010-2012 (USD million) 94

TABLE 80 Russian breakfast cereals market size, by segment, 2013-2019 (USD million) 95

TABLE 81 Post Holdings Breakfast Cereals Product Line 113


List of Figures 

FIG. 1 Global breakfast cereals market, 2010 – 2019 (USD Billion) 14

FIG. 2 Breakfast cereals market: Porter’s five forces analysis 16

FIG. 3 Global Maize and Soybean Price Trend, 2007 – 2012 (USD / Kg) 22

FIG. 4 Global breakfast cereals market share, 2012 and 2019, by region, (by value ) 27

FIG. 5 The U.S. breakfast cereals market share by company (by value), 2012 – 2019 33

FIG. 6 The U.S. breakfast cereals market share by distribution channel, by value, 2012 34

FIG. 7 Canada breakfast cereals market share by company (by value) 2012 and 2019 37

FIG. 8 Canada breakfast cereals market share, by distribution channel, by value, 2012 38

FIG. 9 Mexico breakfast cereals market share by company (by value) 2012 and 2019 42

FIG. 10 Mexico breakfast cereals market share by distribution channel (by value) 2012 43

FIG. 11 U.K. breakfast cereals market share by company (by value) 2012 and 2019 47

FIG. 12 U.K. breakfast cereals market share by distribution channel (by value) 2012 49

FIG. 13 Germany breakfast cereals market share by company (by value) 2012 and 2019 52

FIG. 14 Germany breakfast cereals market share by distribution channel (by value) 2012 53

FIG. 15 France breakfast cereals market share by company (by value) 2012 and 2019 56

FIG. 16 France breakfast cereals market share by distribution channel (by value) 2012 57

FIG. 17 Italy breakfast cereals market share by company (by value) 2012 and 2019 60

FIG. 18 Italy breakfast cereals market share by distribution channel (by value) 2012 61

FIG. 19 Spain breakfast cereals market share by company (by value) 2012 & 2019 64

FIG. 20 Spain breakfast cereals market share by distribution channel (by value) 2012 65

FIG. 21 Australia breakfast cereals market share by company (by value) 2012 and 2019 70

FIG. 22 Australia breakfast cereals market share by distribution channel (by value) 2012 72

FIG. 23 Japan breakfast cereals market share by company (by value) 2012 and 2019 75

FIG. 24 Japan breakfast cereals market share by distribution channel (by value) 2012 76

FIG. 25 South Korea breakfast cereals market share by company (by value) 2012 and 2019 79

FIG. 26 South Korea breakfast cereals market share by distribution channel (by value) 2012 80

FIG. 27 China breakfast cereals market share by company (by value) 2012 and 2019 83

FIG. 28 China breakfast cereals market share by distribution channel (by value) 2012 84

FIG. 29 India breakfast cereals market share by company(by value) 2012 – 2019 88

FIG. 30 India breakfast cereals market share by distribution channel (by value) 2012 89

FIG. 31 Brazil breakfast cereals market share by company (by value) 2012 and 2019 92

FIG. 32 Brazil breakfast cereals market share by distribution channel (by value) 2012 93

FIG. 33 Russia breakfast cereals market share by company (by value) 2012 and 2019 96

FIG. 34 Russia breakfast cereals market share by distribution channel (by value) 2012 97

FIG. 35 Global market share, 2012, by company, by value 99

FIG. 36 Competition in the clustered markets 101

FIG. 37 Kellogg’s Net Sales, 2010 – 2012 (USD Million) 104

FIG. 38 General Mills Net Sales, 2010 – 2012 (USD Million) 107

FIG. 39 PepsiCo. Net Sales, 2010 – 2012 (USD Million) 109

FIG. 40 CPW Worldwide Net Sales, 2010 – 2012 (USD Million) 111

FIG. 41 Post Holdings Net Sales, 2010 – 2012 (USD Million) 114

FIG. 42 The Weetabix Food Company Net Sales, 2010 – 2012 (USD Million) 117

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