Dive Brief:
- Kellogg Co. has vowed to remove artificial colors and flavors from its cereals as well as some snack bars and Eggo frozen products by the end of 2018.
- The company said that 75% of its cereals in North America do not contain artificial colors and more than half do not contain artificial flavors.
- Kellogg follows General Mills, which made a similar announcement in June about removing artificial ingredients from its own cereal lines.
Dive Insight:
With cereal sales falling, companies with portfolios heavy in cereal brands, such as Kellogg and General Mills, have been looking for ways to reignite consumer interest in the industry. Consumers are turning toward other breakfast foods in droves, particularly the fast-growing Greek yogurt segment, so cereal manufacturers are turning to both product innovation and recipe alterations to appeal to consumers who have begun looking for healthier breakfast alternatives.
Though overall morning foods sales fell for Kellogg in the most recent quarter, the company said that its six largest cereal brands collectively increased sales and market share in the quarter, including the Special K brand. Now with the removal of artificial ingredients, Kellogg may be able to turn its cereal sales around. If Kellogg succeeds, the company could provide a blueprint for how other cereal manufacturers can adapt to consumer preferences today.