- Kellogg Co. may be developing a subscription snack service, according to Bloomberg sources.
- At the same time, General Mills Inc. is exiting the market, having shut down its own subscription snack service, Nibblr, last week after about a year and a half of operations.
- Kellogg still faces stiff competition in London-based Graze.com, which expanded to the U.S. early last year and is already a profitable example of how this industry can work.
General Mills and now Kellogg Co. may have both ended up at subscription snack services when determining new ways to reach consumers as the companies' predominantly processed foods-based selections continue to fall out of favor. Part of this strategy in the industry has been a revamp of the products themselves, making them healthier to fit the changing standards of today's consumers.
But another aspect involves finding new and innovative sales channels, in particular capitalizing on online ordering and other emerging technologies instead of just traditional grocery store retail.