Breakfast Cereals Market Research Report and Outlook by 2028

The breakfast cereals sector is anticipated to achieve a market value of US$ 57,482.17 million by 2028, rising from US$ 44,831.48 million in 2022. This growth trajectory indicates a compound annual growth rate (CAGR) of 4.2% from 2022 to 2028.

The expansion of the breakfast cereals market is primarily fueled by an increase in the variety of products offered by manufacturers. There is a growing health consciousness among consumers, especially among younger demographics, which has led to a heightened demand for packaged and ready-to-eat food items that are rich in protein, gluten-free, and devoid of artificial additives. Consequently, leading companies are actively innovating their product lines to appeal to a broader audience. The forecast period is expected to witness a surge in demand for breakfast cereals, driven by rising awareness about health and nutrition. Consumers are becoming more discerning about their food choices, paying close attention to the levels of fat, sugar, and the overall quality of ingredients in packaged foods. This shift in consumer preferences has compelled businesses in the breakfast cereal sector to develop healthier and more innovative offerings.

The global breakfast cereals market is categorized by product type into low sugar and regular segments. In 2021, the regular segment dominated the market share, while the low sugar segment is projected to experience a higher CAGR during the forecast period. The increasing prevalence of diabetes, obesity, and other health issues has driven demand for breakfast cereals that are low in sugar and high in whole grains. Additionally, rising disposable incomes have contributed to a greater consumption of nutritious food products that are rich in vitamins, minerals, and other essential nutrients. According to the NHS, adults in the UK should limit their intake of free sugars to no more than 30g per day.

There is a notable increase in the consumption of breakfast cereals among children, attributed to a growing awareness of health and wellness. For example, the US Department of Health and Human Services (HHS) and the US Department of Agriculture (USDA) release dietary guidelines for Americans every five years, emphasizing the significance of healthy eating patterns throughout various life stages. Companies like Kellogg have made strategic moves, such as acquiring Chicago Bar Company LLC, the producer of RXBAR, and launching a new plant-based protein bar called RX Cereal in 2021, which features low sugar content. This focus on added protein and the exclusion of artificial colors, flavors, and preservatives positions the company favorably in the market, potentially attracting a larger consumer base.

Regionally, the breakfast cereals market is divided into North America, Europe, Asia-Pacific (APAC), Middle East & Africa (MEA), and South & Central America (SAM). In 2020, North America held the largest market share; however, the APAC region is projected to exhibit the highest CAGR during the forecast period. This region includes populous countries like China and India, where the consumption of breakfast cereals is on the rise. The perception of ready-to-eat meals is evolving, with consumers increasingly valuing convenience and quick cooking times. Online distribution channels have emerged as the most recognized means for marketing ready-to-eat meals. Major players are concentrating on online retail strategies to enhance their market presence and expand their customer base. As a result, the demand for these convenient packaged meals is expected to grow significantly in the coming years.

Key players in the breakfast cereals market include Kellogg Company, WEETABIX, Bob's Red Mill Natural Foods, General Mills Inc., Nestl? SA, Nature's Path Foods, The Quaker Oats Company, Carman's Fine Foods Pty Ltd., Calbee, Inc., and Guilin Seamild Foods Co Ltd.. These companies offer a diverse range of products and have established a presence in developing regions, creating significant opportunities for market growth. They are focused on developing high-quality, innovative products to meet the evolving needs of consumers.

The global breakfast cereals market size has been determined through a combination of primary and secondary research methods. The research process began with extensive secondary research utilizing both internal and external sources to gather qualitative and quantitative data related to the market. Additionally, numerous primary interviews were conducted with industry stakeholders to validate the findings and gain deeper analytical insights. Participants included industry experts such as VPs, business development managers, market intelligence managers, and national sales managers, as well as external consultants like valuation experts, research analysts, and key opinion leaders specializing in the breakfast cereals market.