Sorry for interrupting, this website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Learn more
Accept & Close

Breakfast Cereals - UK - August 2013

“Considering the widespread associations of protein and building muscle, protein-focused recipes could also help to boost usage of cereals before or after exercising, with usage on these occasions so far remaining niche.”

– Heidi Lanschützer, Food and Drink Analyst

Some questions answered in this report include:

  • How can the RTE cereal market drive usage beyond the traditional breakfast occasion?
  • Do manufacturers need to further increase their efforts to improve the market’s health image?
  • Is there scope for using natural sweeteners in breakfast cereals?
  • What measures can be taken to attract more young people to the porridge market?

 

With nine in ten (92%) consumers having eaten breakfast cereals in the past six months, they can comfortably be called a household staple in the UK, their popularity transcending all ages and socio-economic groups. Given the maturity of the market, product innovation is rife, making this a dynamic and highly competitive marketplace. Valued at £1.6 billion, sales of breakfast cereals achieved growth of 4% in 2012, while volumes declined by 1%. This value/volume dichotomy reflects the pressure the market is facing from rising input costs. Accounting for an estimated 85% of value sales in 2012, RTE cereals determine the fortunes of the overall market.
 
The segment continues to see volumes falling, largely as a result of the growing competition from breakfast alternatives (eg breakfast biscuits, cereal bars, pastries) as well as due to consumers switching to porridge. In fact, the hot cereal segment has flourished in recent years as it has successfully tapped into the rising consumer demand for more convenient breakfast options with the portable instant pot format. This report looks at the breakfast cereals market in 2012/13, analysing what cereals consumers buy, what factors they look for when choosing cereals and their attitudes towards these products.

 

For the purposes of this report, breakfast cereals are segmented into ready-to-eat (RTE) cereals and hot cereal products.
The former group comprises any cereals that are served without heating them, such as corn flakes or muesli and include ready-to-serve snack packs such as Rumblers and Kellogg’s To Go.
The hot cereal segment consists of porridge, oatmeal and instant hot oat products.

 

 

Liqueurs - UK - January 2012

Take a look inside a sample report

Mintel’s consumer reports deliver insight and expert analysis into key consumer trends and behaviour in your marketplace, in addition to an overview of the market data and key brands. Mintel’s consumer reports provide you with easily digestible information to guide your future innovation and move your business forward.

Download now

 

What you get

What's included

Why buy from us?

Succeed

Our reports will provide you with market data, consumer research and competitive intelligence to succeed in your market.

Instant Access

Buy now and you'll have instant access to the information you need to make the right decisions.

Opportunities

Find out what's next in the markets that matter to you: where opportunities lie and what challenges you will face.

Trusted

A business Superbrand, Mintel is a source you can trust. We have been defining and refining the Market Intelligence mix since 1972.

Table of contents

  1. Introduction

      • Definitions
        • Abbreviations
        • Executive Summary

            • The market
              • Forecast
                • Figure 1: UK retail value sales of the total breakfast cereals market, 2008-18
              • Market factors
                • Busy consumer lifestyles impact breakfast eating habits
                  • Breakfast cereals in the line of fire from health bodies
                    • Wheat prices expected to fall
                      • Demographic changes in favour of the market
                        • Figure 2: Trends in the age structure of the UK population, 2008-18
                      • Companies, brands and innovation
                        • Kellogg’s leads in RTE cereals, while PepsiCo/Quaker Oats dominates hot cereals
                          • Figure 3: Leading manufacturers’ shares in the UK RTE breakfast cereals market, by value, 2012/13*
                          • Figure 4: Leading manufacturers’ shares in the UK hot breakfast cereals market, by value, 2012/13*
                        • Hot cereals continue to gain share of total NPD
                          • Adspend drops sharply in 2012
                            • The consumer
                              • Nine in ten people eat RTE cereals, while only one in two eat porridge
                                • Figure 5: Types of breakfast cereals eaten in the last six months, June 2013
                              • Eating occasions beyond breakfast remain niche
                                • Satiety, energy provision and natural ingredients most important factors
                                  • Figure 6: Factors taken into consideration when buying breakfast cereals, June 2013
                                • Majority of cereal shoppers are habitual shoppers
                                  • Figure 7: Attitudes towards breakfast cereals, June 2013
                                • Trust in cereals’ health benefits is strikingly low
                                  • Families want cereal boxes that are more convenient to store
                                    • Figure 8: Breakfast cereals that users report being interested in, June 2013
                                  • One in three users are keen on high-protein cereals
                                    • What we think
                                    • Issues in the Market

                                        • How can the RTE cereal market drive usage beyond the traditional breakfast occasion?
                                          • Do manufacturers need to further increase their efforts to improve the market’s health image?
                                            • Is there scope for using natural sweeteners in breakfast cereals?
                                              • What measures can be taken to attract more young people to the porridge market?
                                              • Trend Application

                                                  • Trend: Snack Society
                                                    • Trend: Sense of the Intense
                                                      • Mintel Futures: Old Gold
                                                      • Market Drivers

                                                        • Key points
                                                          • Increasingly busy consumer lifestyles have been impacting the market
                                                            • Breakfast cereals remain under fire from health bodies
                                                              • Pressure from soaring grain prices expected to ease
                                                                • Figure 9: Weekly commodity prices of wheat and oats, England and Wales, January 2010-May 2013
                                                              • Demographic changes likely to benefit the market
                                                                • Ageing population should bode well for hot cereals
                                                                  • Figure 10: Trends in the age structure of the UK population, 2008-18
                                                                • Rising number of children should benefit the RTE cereals market
                                                                • Strengths and Weaknesses

                                                                  • Strengths
                                                                    • Weaknesses
                                                                    • Who’s Innovating?

                                                                      • Key points
                                                                        • Hot cereals continue to gain share of total NPD
                                                                          • Figure 11: New product development in the UK cereals market, by category, 2009-13
                                                                        • Brands strike back in terms of NPD
                                                                          • Figure 12: New product development in the UK cereals market, branded vs private label, 2009-13
                                                                        • Kellogg’s drives innovation
                                                                          • Figure 13: New product launches in the UK breakfast cereals market, by top ten companies, 2010-13
                                                                        • Weetabix and Jordans also upped their NPD activities in 2012
                                                                          • Tesco was most active own-label innovator
                                                                            • Chocolate and strawberry flavours on the rise
                                                                              • Figure 14: New product launches in the UK breakfast cereals market, by top ten flavours, 2010-13
                                                                            • High-fibre claims become more popular
                                                                              • Figure 15: New product launches in the UK breakfast cereals market, by top 15 claims, 2009-13
                                                                          • Market Size and Forecast

                                                                            • Key points
                                                                              • Value sales rise, however, volumes continue to decline in 2013
                                                                                • Figure 16: UK retail value and volume sales of the total breakfast cereals market, 2008-18
                                                                              • Forecast
                                                                                • Figure 17: UK Retail value sales of the total breakfast cereals market, 2008-18
                                                                                • Figure 18: UK retail volume sales of the total breakfast cereals market, 2008-18
                                                                              • Forecast methodology
                                                                              • Segment Performance

                                                                                • Key points
                                                                                  • Fourth consecutive year of declining volume sales for RTE cereals
                                                                                      • Figure 19: UK retail value and volume sales of RTE cereals, 2008-18
                                                                                    • Hot cereals continue their strong performance
                                                                                        • Figure 20: UK retail value and volume sales of hot cereals, 2008-18
                                                                                    • Market Share

                                                                                      • Key points
                                                                                        • Top three manufacturers hold 70% of the RTE cereals market
                                                                                          • Figure 21: Leading manufacturers’ shares in the UK RTE breakfast cereals market, by value, 2012/13*
                                                                                        • Kellogg’s faces challenging times
                                                                                          • Figure 22: Leading brands in the UK RTE breakfast cereals market, by value and volume, 2011/12 and 2012/13
                                                                                        • Own-label outpaces growth of RTE cereals segment
                                                                                          • PepsiCo dominates the hot cereals market
                                                                                            • Figure 23: Leading manufacturers’ shares in the UK hot breakfast cereals market, by value, 2012/13*
                                                                                          • Oat So Simple is the engine behind hot cereals
                                                                                            • Figure 24: Leading brands in the UK hot breakfast cereals market, by value and volume, 2011/12 and 2012/13
                                                                                          • Own-label fails to keep pace with the wider hot cereals segment
                                                                                          • Companies and Products

                                                                                              • Figure 25: Selected leading companies in the breakfast cereals market in the UK and their brands, 2013
                                                                                            • Cereal Partners UK
                                                                                              • Background
                                                                                                • Product range and innovation
                                                                                                  • Recent activity and promotion
                                                                                                    • Dorset Cereals
                                                                                                      • Background
                                                                                                        • Product range and innovation
                                                                                                          • Recent activity and promotion
                                                                                                            • Jordans
                                                                                                              • Background
                                                                                                                • Product range and innovation
                                                                                                                  • Recent activity and promotion
                                                                                                                    • Kellogg’s
                                                                                                                      • Background
                                                                                                                        • Product range
                                                                                                                          • Innovation
                                                                                                                            • Recent activity and promotion – Special K
                                                                                                                              • Recent activity and promotion – other brands
                                                                                                                                • PepsiCo
                                                                                                                                  • Background
                                                                                                                                    • Product range
                                                                                                                                      • Innovation
                                                                                                                                        • Recent activity and promotion
                                                                                                                                          • Weetabix
                                                                                                                                            • Background
                                                                                                                                              • Product range
                                                                                                                                                • Innovation
                                                                                                                                                  • Recent activity and promotion
                                                                                                                                                  • Brand Research

                                                                                                                                                    • Brand map
                                                                                                                                                        • Figure 26: Attitudes towards and usage of brands in the breakfast cereal sector, June 2013
                                                                                                                                                      • Correspondence analysis
                                                                                                                                                        • Brand attitudes
                                                                                                                                                          • Figure 27: Attitudes, by breakfast cereal brand, June 2013
                                                                                                                                                        • Brand personality
                                                                                                                                                          • Figure 28: Breakfast cereal brand personality – macro image, June 2013
                                                                                                                                                          • Figure 29: Breakfast cereal brand personality – micro image, June 2013
                                                                                                                                                        • Brand experience
                                                                                                                                                          • Figure 30: Breakfast cereal brand usage, June 2013
                                                                                                                                                          • Figure 31: Satisfaction with various breakfast cereal brands, June 2013
                                                                                                                                                          • Figure 32: Consideration of breakfast cereal brands, June 2013
                                                                                                                                                          • Figure 33: Consumer perceptions of current breakfast cereal brand performance, June 2013
                                                                                                                                                        • Brand index
                                                                                                                                                          • Figure 34: Breakfast cereal brand index, June 2013
                                                                                                                                                        • Target group analysis
                                                                                                                                                          • Figure 35: Target groups, June 2013
                                                                                                                                                          • Figure 36: Breakfast cereal brand usage, by target groups, June 2013
                                                                                                                                                        • Group One – Conformists
                                                                                                                                                          • Group Two – Simply the Best
                                                                                                                                                            • Group Three – Shelf Stalkers
                                                                                                                                                              • Group Four – Habitual Shoppers
                                                                                                                                                                • Group Five – Individualists
                                                                                                                                                                • Brand Communication and Promotion

                                                                                                                                                                  • Key points
                                                                                                                                                                    • Adspend drops off in 2012
                                                                                                                                                                      • Figure 37: Total above-the-line advertising expenditure in the UK breakfast cereals market, by segment, 2009-12
                                                                                                                                                                    • Top spender Kellogg’s halves its expenditure
                                                                                                                                                                      • Figure 38: Total above-the-line advertising expenditure in the UK breakfast cereals market, by top ten advertisers, 2009-12*
                                                                                                                                                                    • TV remains the preferred medium for ATL advertising
                                                                                                                                                                      • Figure 39: Total above-the-line advertising expenditure in the UK breakfast cereals market, by media type, 2009-12*
                                                                                                                                                                  • Channels to Market

                                                                                                                                                                    • Key points
                                                                                                                                                                      • Supermarket giants dominate sales
                                                                                                                                                                        • Figure 40: Retail distribution of breakfast cereals in the UK, by outlet type, 2010-13
                                                                                                                                                                    • Consumer – Usage of Breakfast Cereals

                                                                                                                                                                      • Key points
                                                                                                                                                                        • RTE breakfast cereals enjoy almost universal appeal
                                                                                                                                                                            • Figure 41: Types of breakfast cereals eaten in the last six months, June 2013
                                                                                                                                                                          • Promising prospects for hot cereals
                                                                                                                                                                              • Figure 42: Usage of porridge oats, by agreement with selected statements towards health and healthy lifestyles, June 2013
                                                                                                                                                                            • Almost half of consumers limit their cereal usage to two types at most
                                                                                                                                                                              • Figure 43: Repertoire of consumption of types of breakfast cereals in the last six months, June 2013
                                                                                                                                                                            • Porridge lags significantly behind RTE cereals in terms of usage frequency
                                                                                                                                                                                • Figure 44: Frequency of eating breakfast cereals in the last six months, June 2013
                                                                                                                                                                            • Consumer – Occasions for Eating Breakfast Cereals

                                                                                                                                                                              • Key points
                                                                                                                                                                                • Driving usage beyond the breakfast occasion is key for RTE cereals
                                                                                                                                                                                    • Figure 45: Occasions for eating breakfast cereals, by type, June 2013
                                                                                                                                                                                • Consumer – Choice Factors

                                                                                                                                                                                  • Key points
                                                                                                                                                                                    • Satiety and energy provision of particular importance to families
                                                                                                                                                                                        • Figure 46: Factors taken into consideration when buying breakfast cereals, June 2013
                                                                                                                                                                                      • Low sugar is a key concern for parents
                                                                                                                                                                                        • Using superfoods to communicate naturalness and health
                                                                                                                                                                                        • Consumer – Users’ Attitudes Towards Breakfast Cereals

                                                                                                                                                                                          • Key points
                                                                                                                                                                                            • Money-off coupons to encourage trial of new cereals
                                                                                                                                                                                                • Figure 47: Attitudes towards breakfast cereals, June 2013
                                                                                                                                                                                              • Limited editions in summer flavours may help to drive usage of porridge in warmer weather
                                                                                                                                                                                                • Younger consumers tend to seek more technical nutritional information
                                                                                                                                                                                                  • Tapping into the treat occasion appears promising
                                                                                                                                                                                                    • Trust in cereals’ health benefits is strikingly low
                                                                                                                                                                                                    • Consumer – Users’ Interests in Selected Product Attributes

                                                                                                                                                                                                      • Key points
                                                                                                                                                                                                        • Smaller boxes could help to facilitate storage of cereals for families
                                                                                                                                                                                                            • Figure 48: Breakfast cereals that users report being interested in, June 2013
                                                                                                                                                                                                          • Fortification of porridge sparks interest among one in three users
                                                                                                                                                                                                            • Using protein to justify a satiety and energy positioning
                                                                                                                                                                                                            • Appendix – Who’s Innovating?

                                                                                                                                                                                                                • Figure 49: New product launches in the UK breakfast cereals market, by top ten brands*, 2010-13
                                                                                                                                                                                                            • Appendix – Market Size and Forecast

                                                                                                                                                                                                                • Figure 50: Best- and worst-case forecasts for the total UK breakfast cereals market, by value, 2013-18
                                                                                                                                                                                                                • Figure 51: Best- and worst-case forecasts for the total UK breakfast cereals market, by volume, 2013-18
                                                                                                                                                                                                            • Appendix – Segment Performance

                                                                                                                                                                                                                • Figure 52: Best- and worst-case forecasts for the UK RTE breakfast cereals market, by value, 2013-18
                                                                                                                                                                                                                • Figure 53: Best- and worst-case forecasts for the UK RTE breakfast cereals market, by volume, 2013-18
                                                                                                                                                                                                                • Figure 54: Forecast of UK retail value sales of the RTE breakfast cereals market, 2008-18
                                                                                                                                                                                                                • Figure 55: Forecast of UK retail volume sales of the RTE breakfast cereals market, 2008-18
                                                                                                                                                                                                                • Figure 56: Best- and worst-case forecasts for the UK hot breakfast cereals market, by value, 2013-18
                                                                                                                                                                                                                • Figure 57: Best- and worst-case forecasts for the UK hot breakfast cereals market, by volume, 2013-18
                                                                                                                                                                                                                • Figure 58: Forecast of UK retail value sales of the hot breakfast cereals market, 2008-18
                                                                                                                                                                                                                • Figure 59: Forecast of UK retail volume sales of the hot breakfast cereals market, 2008-18
                                                                                                                                                                                                            • Appendix – Market Share

                                                                                                                                                                                                                • Figure 60: Leading manufacturers in the UK RTE breakfast cereals market, by value and volume, 2011/12 and 2012/13
                                                                                                                                                                                                                • Figure 61: Leading manufacturers in the UK hot breakfast cereals market, by value and volume, 2011/12 and 2012/13
                                                                                                                                                                                                            • Appendix – Brand Research

                                                                                                                                                                                                                • Figure 62: Brand usage, June 2013
                                                                                                                                                                                                                • Figure 63: Brand commitment, June 2013
                                                                                                                                                                                                                • Figure 64: Brand momentum, June 2013
                                                                                                                                                                                                                • Figure 65: Brand diversity, June 2013
                                                                                                                                                                                                                • Figure 66: Brand satisfaction, June 2013
                                                                                                                                                                                                                • Figure 67: Brand image – macro image, June 2013
                                                                                                                                                                                                                • Figure 68: Brand image – micro image, June 2013
                                                                                                                                                                                                                • Figure 69: Profile of target groups, by demographics, June 2013
                                                                                                                                                                                                                • Figure 70: Psychographic segmentation, by target groups, June 2013
                                                                                                                                                                                                                • Figure 71: Brand usage, by target groups, June 2013
                                                                                                                                                                                                              • Brand index
                                                                                                                                                                                                                • Figure 72: Brand index, June 2013
                                                                                                                                                                                                            • Appendix – Brand Communication and Promotion

                                                                                                                                                                                                                • Figure 73: Total above-the-line advertising expenditure in the UK breakfast cereals market, by top five brands, 2009-12*
                                                                                                                                                                                                            • Appendix – Consumer – Usage of Breakfast Cereals

                                                                                                                                                                                                                • Figure 74: Types of breakfast cereals eaten, June 2013
                                                                                                                                                                                                                • Figure 75: Repertoire for types of breakfast cereals eaten, June 2013
                                                                                                                                                                                                                • Figure 76: Frequency of eating ready-to-eat cereals (excluding porridge/oats), June 2013
                                                                                                                                                                                                                • Figure 77: Frequency of eating porridge/oats, June 2013
                                                                                                                                                                                                                • Figure 78: Most popular types of breakfast cereals eaten, by demographics, June 2013
                                                                                                                                                                                                                • Figure 79: Next most popular types of breakfast cereals eaten, by demographics, June 2013
                                                                                                                                                                                                                • Figure 80: Repertoire for types of breakfast cereals eaten, by demographics, June 2013
                                                                                                                                                                                                                • Figure 81: Frequency of eating ready-to-eat cereals (excluding porridge/oats), by demographics, June 2013
                                                                                                                                                                                                                • Figure 82: Frequency of eating porridge/oats, by demographics, June 2013
                                                                                                                                                                                                            • Appendix – Consumer – Occasions for Eating Breakfast Cereals

                                                                                                                                                                                                                • Figure 83: Occasions for eating ready-to-eat cereals (excluding porridge/oats), June 2013
                                                                                                                                                                                                                • Figure 84: Occasions for eating porridge/oats, June 2013
                                                                                                                                                                                                                • Figure 85: Occasions for eating ready-to-eat cereals (excluding porridge/oats), by demographics, June 2013
                                                                                                                                                                                                                • Figure 86: Occasions for eating porridge/oats, by demographics, June 2013
                                                                                                                                                                                                            • Appendix – Consumer – Choice Factors

                                                                                                                                                                                                                • Figure 87: Factors considered when choosing breakfast cereals for oneself, June 2013
                                                                                                                                                                                                                • Figure 88: Factors considered when choosing breakfast cereals for one’s family, June 2013
                                                                                                                                                                                                                • Figure 89: Most popular factors considered when choosing breakfast cereals for oneself, by demographics, June 2013
                                                                                                                                                                                                                • Figure 90: Next most popular factors considered when choosing breakfast cereals for oneself, by demographics, June 2013
                                                                                                                                                                                                                • Figure 91: Most popular factors considered when choosing breakfast cereals for one’s family, by demographics, June 2013
                                                                                                                                                                                                                • Figure 92: Next most popular factors considered when choosing breakfast cereals for one’s family, by demographics, June 2013
                                                                                                                                                                                                                • Figure 93: Factors considered when choosing breakfast cereals for oneself, by most popular types of breakfast cereals eaten, June 2013
                                                                                                                                                                                                                • Figure 94: Factors considered when choosing breakfast cereals for oneself, by next most popular types of breakfast cereals eaten, June 2013
                                                                                                                                                                                                            • Appendix – Consumer – Users’ Attitudes towards Breakfast Cereals

                                                                                                                                                                                                                • Figure 95: Attitudes towards breakfast cereals, June 2013
                                                                                                                                                                                                                • Figure 96: Most popular attitudes towards breakfast cereals, by demographics, June 2013
                                                                                                                                                                                                                • Figure 97: Next most popular attitudes towards breakfast cereals, by demographics, June 2013
                                                                                                                                                                                                                • Figure 98: Attitudes towards breakfast cereals, by most popular types of breakfast cereals eaten, June 2013
                                                                                                                                                                                                                • Figure 99: Attitudes towards breakfast cereals, by next most popular types of breakfast cereals eaten, June 2013
                                                                                                                                                                                                            • Appendix – Consumer – Users’ Interests in Selected Product Attributes

                                                                                                                                                                                                                • Figure 100: Users’ interests in selected product attributes, June 2013
                                                                                                                                                                                                                • Figure 101: Most popular attitudes towards breakfast cereals, by demographics, June 2013
                                                                                                                                                                                                                • Figure 102: Next most popular attitudes towards breakfast cereals, by demographics, June 2013

                                                                                                                                                                                                            Companies Covered

                                                                                                                                                                                                            • Asda Group Ltd
                                                                                                                                                                                                            • Channel 4
                                                                                                                                                                                                            • Facebook, Inc.
                                                                                                                                                                                                            • ITV plc
                                                                                                                                                                                                            • J. Sainsbury
                                                                                                                                                                                                            • Kallo Foods Ltd
                                                                                                                                                                                                            • Kellogg Company
                                                                                                                                                                                                            • LEGOLAND Windsor Park Ltd
                                                                                                                                                                                                            • Nestlé UK Ltd
                                                                                                                                                                                                            • Ofcom
                                                                                                                                                                                                            • PepsiCo Inc
                                                                                                                                                                                                            • Quaker
                                                                                                                                                                                                            • Ryvita Company Ltd (The)
                                                                                                                                                                                                            • Tesco (UK)
                                                                                                                                                                                                            • Thorpe Park
                                                                                                                                                                                                            • W Jordans (Cereals) Ltd
                                                                                                                                                                                                            • Waitrose
                                                                                                                                                                                                            • Weetabix Ltd.
                                                                                                                                                                                                            • Westfield Group
                                                                                                                                                                                                            • Whole Earth Foods

                                                                                                                                                                                                            Breakfast Cereals - UK - August 2013

                                                                                                                                                                                                            £1,995.00 (Excl.Tax)