Kellogg rolls out new cereal and snacking options

By Catherine Boal

- Last updated on GMT

Related tags New product Breakfast cereal Kellogg company

Global cereal and snack maker Kellogg is set to rejuvenate consumer
interest in core brands with a raft of new products for 2007.

This year's new product development is aimed at both adults and children and targets trends such as health and convenience. According to analysts Leatherhead International, the cereal snack bar category had sales growth of 9.6 percent in the US, Japan, Australia and the five largest European countries last year and is expected to rise around 4.8 percent per annum over the next five years to reach $3bn (€5.9bn) by 2010. And figures published by US researcher Packaged Facts reveal that breakfast foods gained $367m (€283m) in retail value in 2004 to approach the $24.5bn (€18.9bn) mark, following a $985m (€760m) gain the previous year. The group projected that the breakfast foods market will enjoy considerably greater growth in the second half of this decade than it did in the 2000-2004 period, reaching $28.1bn (€21.6bn). Analysts predict the market will see consumers turning to more traditional forms of breakfast while still prioritising convenient ready-to-eat options - driving manufacturers to combine the two in the form of instant hot cereals and snack bars. In a statement, senior vice president for innovation in the company's North American sector Graham Petersen said: "We have a proven track record of innovation with more than 15 per cent of our sales coming from new product innovations this year."​ Kellogg's new product portfolio sees an emphasis on 'health and wellness' with the introduction of Smart Start, a cereal containing ingredients designed to lower blood pressure cholesterol. The company's high profile diet range, Special K, will also be extended to include Special K Protein snack and meal bars for weight management. Core children's brands Rice Krispies and Cocoa Krispies are set to include new flavours such as Rice Krispies with strawberry pieces and Cocoa Krispies ChocoNilla. Also in the pipeline are products which will take core cereal brands further into the snacking industry. These include All-Bran crackers and Special K Honey Cereal Nut bars.

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