The global breakfast cereals market is expected to reach USD 56.54 billion by 2033, at a CAGR of 3.70% from 2024 to 2033. Breakfast cereals market growth would be driven by rising consumer demand for breakfast cereals attributed to the rise in disposable income of the population. The affordable, accessible, easy and tasty nature of breakfast cereals can be considered the prime factor for market development. The rising awareness about the health benefits of breakfast cereals will also aid in the market's growth. Introducing new cereal variants with multiple flavors in different sizes customized to the local taste of the region/country will also provide an impetus to the market's growth.

Market Overview:

Cereal can be defined as a grain that is grown for food. The components of the grain are edible. Cereal or breakfast cereal is a roasted grain cooked in water or milk or consumed directly with milk. Wheat, maize, oats, corn, barley, quinoa, buckwheat, and rye are some types of cereals. Cereals have carbohydrates, proteins, vitamins, and minerals. They are a rich source of fiber as well. Cereals are processed to provide them as a ready-to-eat breakfast option. There are multiple kinds of breakfast cereals. For example, porridge, cornflakes, muesli, granola, bran flakes, and oats. Some of the most popular breakfast cereals are cheerios, frosted flakes, lucky charms, froot loops, frosted mini wheats, and honey nut cheerios. Breakfast cereals are nutrient-rich, boost energy, regulate the heart, promote bone strength, and are fulfilling. A new line of organic products with no added sugar, no added preservatives, and low sugar content are being introduced to cater to this health-conscious population. These products are available in a wide variety of flavors; they are available at any nearby supermarket/hypermarket or even online, making them accessible.

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Market Dynamics:

Drivers

• The increasing popularity of breakfast cereals

The busy and hectic schedules of the population have increased the popularity of ready-to-eat products as they are convenient, quick, affordable & accessible, which is a positive development for the breakfast cereals market. However, even with hectic schedules, individuals today do not want to compromise on product quality and demand healthier products. Breakfast cereals are high in fiber and provide proteins, carbs, vitamins, minerals, and other essential nutrients. They are fulfilling, nutritious, reduce disease risk, improve body health, boost metabolism, and give daily energy. Breakfast cereals also aid in improving bone and nerve health. The growing awareness about the benefits of breakfast cereals will positively contribute to the development of the market. Furthermore, breakfast cereal variants are becoming healthier – with low to no sugar or added preservatives or sweeteners, low sodium levels, organic, vegan, gluten-free, and nutrient-rich. They are also available in a variety of forms and flavors. These features will further provide an impetus to the market's growth as the health-conscious target audience will gravitate towards these products.

Restraints:

• Market players face difficulty in procuring raw materials.

Breakfast cereals market growth would be hampered by supply chain bottlenecks, trade restraints, wars, and other uncertainties that make raw material procurement difficult for the market players. For instance, Russia and Ukraine are the top barley, wheat, oats, and corn producers. However, the Russia-Ukraine war has made it difficult for the market players to procure surplus produce from these countries.

Opportunities:

• Growing western influence in the Asia Pacific and the Middle East and Africa regions

With the growing influence of western food culture in Asia, the Middle East, and Africa, the demand for breakfast cereals will witness a rise. The increasing work population has contributed to busy lifestyles that demand quick and healthy breakfasts like cereals in the morning to sustain energy throughout the day. The growing gym culture popularized by social media influencers has also encouraged the consumption of healthy oats and oatmeals with various recipes to choose from, increasing the demand for breakfast cereals in the eastern world. Furthermore, the market players are exploiting these regions by offering breakfast cereals customized for the local audience according to their tastes and preference. Therefore, the breakfast cereals market's development in the Asia Pacific, Middle East, and African region has attracted numerous market players, expanding the product base and allowing customers to choose from the best brands. The saturated breakfast cereals market has increased the competition among the players. Market players are introducing innovative products with multiple flavors and packaging to attract new customers. Market players have introduced new flavors like caramel, apple cinnamon, fruit pops, Oreo crunchies, nutter butter, strawberry pops, ice cream pebbles, etc. Innovative marketing strategies have translated into the skyrocketing popularity of high-fiber, healthy, premium, and high-quality cereals. The popularity of these breakfast cereals has picked up as they are easy to make, quick, affordable, accessible, and available in various flavors. Such endeavors will expand the consumer market and provide lucrative opportunities to the industry players.

Challenges:

• Rising concerns about the false messaging and misleading marketing tactics used by the market players

The rising health awareness has encouraged consumers to check their food and beverages' ingredients, calorific and nutritional values. Industry players are increasingly deploying marketing gimmicks of advertising their products as gluten-free, sugar-free, and high in fiber while hiding the added ultra-processing, preservatives, and artificial sweeteners. Awareness about such misleading information is growing, given the conscious shopping habits of the population, thereby challenging the market's growth. The growing concern about the ill effects of overeating cereal will also challenge the market's growth. When consumed in moderate quantities, breakfast cereals have no significant ill effects. However, at times, due to misinformation, it is ignored by consumers leading to many customers avoiding cereals altogether. This ignorance, with a lack of proper messaging by the market players about the composition and benefits of breakfast cereals, can hamper the market growth.

Segmentation Analysis:

The global breakfast cereals market has been segmented based on product type, ingredient type, distribution channel, and region.

• The product type segment is divided into hot cereals and ready-to-eat cereals. The ready-to-eat cereals segment dominated the market with a market share of around 73.44% in 2023. The busy and hectic schedules of today's population have increased the popularity of ready-to-eat products as they are convenient, quick, affordable & accessible. The growing popularity of ready-to-eat products will drive the growth of the segment. Furthermore, the rising popularity of cereals as breakfast will also contribute to the development of the segment. Even with hectic schedules, individuals today do not want to compromise on the quality and nutrition of their food and demand healthier products. Ready-to-eat cereals are high in fiber, carbs, vitamins, proteins, and zinc, among other things. The growing trend of developing a healthy morning routine to start the day in the right manner with a healthy breakfast that is quick yet nutritious will also propel the growth of the segment.

• The ingredient type segment is divided into rice, oats, wheat, corn, and barley. Over the forecast period, the oats segment is expected to grow at the fastest CAGR of 5.43%. Oats are cereal grains prepared from the seeds of the Poaceae plant of the grass family. Oats as breakfast cereal dominate the market given its numerous benefits. Oats are highly nutritious; they have protein, carbs, fiber, vitamins, amino acids, minerals, and antioxidants. It also contains a fiber called beta-glucan, which is soluble in water and helps reduce cholesterol levels, and blood sugar and is filling. Oats are available in multiple variants. They can be whole grain, steel-cut, rolled, instant, Scottish, and more. Furthermore, the growing number of oat and oatmeal recipes enables consumers to choose from a wide range of options. They are easy to prepare, tasty, and nutritious.
• The distribution channel segment is divided into supermarkets/hypermarkets, online, specialty stores, convenience stores, and others. In 2023, the supermarkets/hypermarkets segment dominated the market, accounting for around 68.43% of global revenue. Supermarkets/hypermarkets are convenient for shopping for everyday essentials. They are large and offer every high-quality brand at their stores. They are widely distributed given their extensive retail chains, expanding into tier 1 and tier 2 cities, making them more accessible for consumers. The convenience, choice, affordability, and accessibility offered by supermarkets/hypermarkets are responsible for the segment's dominance in the breakfast cereals market.

Regional segmentation analysis:

The regions analyzed for the market include North America, Europe, South America, Asia Pacific, and the Middle East and Africa. North America emerged as the largest market for the global breakfast cereals market, with a 37.43% share of the market revenue in 2023.

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• North America currently dominates the breakfast cereals market. Breakfast cereals are the conventionally established breakfast of Americans. It is quick, tasty, affordable, nutritious, and accessible, contributing to its high demand in the fast-paced American lifestyle. The market players in the region offer a wide variety of breakfast cereals that cater to every audience in the market. The growing social media presence of food bloggers, gym enthusiasts, and other influencers who encourage the consumption of cereals with their innovative, tasty, and authentic cereal recipes contributes to the market's growth. The extensive marketing campaigns undertaken by food producers in the American market in the last few decades to present cereals as the ultimate breakfast have also significantly influenced the region's dominance in the breakfast cereals market. Asia-Pacific is expected to rise in the forecast period due to the increasing western influence on eating cereals for breakfasts, given the growing social media influence on the region's young population. The region's growth will also be driven by the rising disposable income of the people and the increasing presence of major market players.

Competitive Analysis:

The key players are now concentrating on implementing strategies such as adopting new technology, product innovations, mergers & acquisitions, joint venture, alliances, and partnerships to improve their market position in the global breakfast cereals industry.

Cheerios Vanilla O's, a low-sugar cereal with no artificial colors or flavors, was introduced by Nestlé Cereals in October 2021. The new cereal's main component is whole grains, categorized as non-HFSS (high in fat, salt, or sugar) under new UK government standards. With added vitamins and minerals, Cheerios Vanilla O's feature less than 5% sugar without sacrificing flavor and are designed to give customers a nutritious, savory morning option.

List of Key Market Players:

• Attune Foods LLC
• B&G Foods Inc.
• Bagrrys India Ltd.
• Bob’s Red Mill Natural Foods Inc.
• Generals Mills Inc.
• Kellogg Co.
• Marico Ltd.
• Nature’s Path Foods
• Nestle SA
• PepsiCo Inc.

Key Target Audience

• Market Players
• Investors
• End-users
• Retail Market Chains
• Venture capitalists
• Third-party knowledge providers
• Value-Added Resellers (VARs)

Report Description:

• Global Breakfast Cereals Market, Industry Analysis, Trends, Analysis and Forecast, 2024 to 2033 is a forthcoming/imminent research report which is to be published by The Brainy Insights.
• 2023 is considered as the base year of the report. 2020, 2021 and 2022 are considered as the historic years and 2024 to 2033 are the forecast years. The global breakfast cereals market is based on revenue (USD Billion). The report incorporates the market study based on revenue. The study covers the market share revenue/market share/volume for each of the segments, regions, and countries catering to the global breakfast cereals market. The regions analyzed for the market are Europe, Asia Pacific, North America, South America, and Middle East & Africa. Furthermore, the regions are further analyzed at the country level.
• The report encompasses with the relative data & information, which have been validated by the leading industry professionals and experts across the globe. The research report also delivers an outline of the attractiveness of breakfast cereals based on product type, ingredient type, distribution channel and regions which are deduced and formulated based on their growth rate (CAGR), market size, and attractiveness by analyzing the present and prospects to fathom market growth and development in future.
• The report illustrates the detailed (both quantitative and qualitative) analysis of historical data, revenues, key developments, along with the crucial strategies adopted by key organizations catering to the global breakfast cereals market. This offers vital and in-depth insights to depict the overall market scenario.
• The report offers the detailed study for the company profiles of key organizations operating in the global breakfast cereals market and a comparative assessment based on their product offering, business overviews, geographic presence, business strategies, segment market share, product development & innovations, recent developments, joint venture, partnerships, mergers & acquisitions, strategic alliances, SWOT analysis, and key financial information. This helps in evaluating the overall competition present in the market scenario.
• The report provides an elaborative assessment of the porter's five forces analysis coupled with SWOT analysis to provide business related data and information. Porter's five forces model is analyzed to understand the overall competitive scenario that is prevailing in the market. Additionally, the SWOT analysis identifies both the positive and negative attributes of the market development which influences the company's growth and development to sustain and survive in the long run.
• Along with that, the report also focuses on the market related driving factors, growth limitations (restraints), potential industry opportunities, significant trends and development which act as a key potential for the investors.
• Potential growth prospects along with the penetration rate analysis of the product (market related, i.e., global breakfast cereals market) is covered to comprehend the adoption rate and evaluate the market size.