Market Overview:

In 2024, the global breakfast cereal market was valued at USD 38.12 billion. It is expected to grow steadily, reaching USD 40.01 billion in 2025 and surging to USD 58.35 billion by 2032, reflecting a compound annual growth rate (CAGR) of 5.54% over the forecast period. North America led the market in 2024, accounting for a dominant 45.64% share. In particular, the U.S. market is poised for significant growth, projected to reach USD 20.82 billion by 2032. This growth is largely driven by the continuous introduction of innovative breakfast cereal products featuring diverse flavors and unique nutritional properties.

Breakfast cereals refer to processed food products that usually feature grains, including oats, wheat, barley, and others. Western diets are growingly being adopted and consumers are exploring new products and processed foods in various flavors. The surging popularity of processed foods in emerging economies is proliferating the market’s growth.

List of Key Players Mentioned in the Report:

• Kellogg’s Company (U.S.)
• Nestle S.A. (Switzerland)
• Post Holdings (U.S.)
• General Mills, Inc. (U.S.)
• Ltd. (U.S.)
• Marico Limited (India)
• Bagrrys India Limited (India)
• B & G foods (U.S.)
• Sanitarium Health Food Company (Australia)
• Bob’s Red Mill Natural Foods (U.S.)

Source: https://www.fortunebusinessinsights.com/industry-reports/breakfast-cereals-market-100535

Segmentation:

On-the-go Consumption of Ready-to-eat Cereals to Impel Segment Growth

On the basis of type, the market is segmented into ready-to-eat cereals and hot cereals. The ready-to-eat cereals segment occupies the largest share, driven by the quick consumption of ready-to-eat cereals.

High Availability of Conventional Products to Boost Segment Expansion

In terms of category, the market is categorized into conventional and organic. The conventional segment witnesses the largest breakfast cereal market share owing to the huge availability of conventional products.

Ready Availability of Broad Collection of Products to Accelerate Supermarkets/Hypermarkets Segment Growth

Based on distribution channel, the market is divided into supermarkets/hypermarkets, convenience stores, online retail, and others. The supermarkets/hypermarkets segment holds the largest market share owing to the diverse collection of products being readily available in one place.

Regionally, the market for breakfast cereal is categorized into South America, Asia Pacific, Europe, North America, and the Middle East & Africa.

Report Coverage

The competitive strategies deployed by top companies to attain the largest share have been mentioned in the research report. Besides this, it provides a comprehensive coverage of the top trends, notable industry developments, and the impact of the COVID-19 pandemic on market growth. It further highlights the key factors propelling the market growth.

Drivers and Restraints:

Increasing Demand for Convenience Food to Expedite Market Growth

The market has witnessed a surge in the popularity and demand for portable cereals, including ready-to-eat products among consumers, driven by the rising popularity of the on-the-go lifestyle. Owing to their convenient nature and longer shelf life, processed foods such as breakfast cereals are increasingly becoming popular among consumers.

Despite such growth opportunities, the presence of sugars and carbohydrates, which are related to many diseases, discourages product adoption further stifling the breakfast cereal market growth.

Regional Insights:

North America Led Owing to Encouragement by Health Associations to Purchase Products with Lower Sugar Content

North America occupied the largest market share in 2023 as health associations are encouraging consumers to buy products with lower sugar content, which creates awareness and reduces their sugar consumption.

Asia Pacific’s market growth is fueled by the rising popularity of Western diets. Rise in disposable incomes, shift in consumer behavior, and escalating demand for processed food boasts substantial growth.

Competitive Landscape:
Key Players Leverage Partnerships to Release Innovative Products

The breakfast cereal market is experiencing growing consumer interest in affordable, portion-controlled single-serve cereal packs. To maintain a competitive edge, leading companies are adopting various strategies, including mergers, acquisitions, joint ventures, and capacity expansions. Additionally, many brands are entering into strategic partnerships to drive innovation and bring new, unique products to market.

Key Industry Development:

April 2024: Kellogg’s India launched a new breakfast cereal product offering named Froot Loops for consumers. The product is targeted specifically for kids and provides a fruity and colorful offering to consumers.