Specialty Food Magazine is the leading publication for retailers, manufacturers and foodservice professionals in the specialty food trade. It provides news, trends and business-building insights that help readers keep their businesses competitive.
Issue link: https://www.e-digitaleditions.com/i/838473
Our new, large, soft-baked cookies (3 inches in diameter) are made with butter, whole egg and a whole lotta love. Please give them a taste. It won't disappoint. F R E S H F R O M Baked & distributed by J&M Foods, Inc. 800.264.2278 • www.jm-foods.com Summer Fancy Food Show Booth 5459 Summer Fancy Food Show Booth 5421 category spotlight The Overview According to market researcher Mintel, cold cereal sales are going to remain somewhat soggy. The 2017 "State of the Specialty Food Industry" research reports that specialty cold cereal dipped 1.8 percent in dollar sales from 2014 to 2016, to $701 million, and 2.4 percent in unit sales. In its "Hot & Cold Cereals, August 2015" report, Mintel pre- dicts total cold cereal sales will decline 21.8 percent by 2020. Mintel attributes the deterioration to consumers eating less cold cereal in favor of other breakfast items with more protein or fiber. They found that consumers also believe cold cereal has too much sugar or is too processed. More natural, better-for-you offerings will appeal to consum- ers, with greater exploration in convenience opening even more pos- sibilities. Mintel reports 12 percent of consumers who are eating less cold cereal say they lack the time to eat breakfast, and 11 percent find cereal inconvenient to eat on the go. Sales of hot cereal, on the other hand, have been anything but lukewarm. This year's "State of the Specialty Food Industry" report says they have grown 10.7 percent between 2014 and 2016, to $142 million. Unit sales were up 25.2 percent in the same time period. In further research, Mintel notes that innovative product launches, such as those that include mix-ins and on-the-go single-serve cups, helped drive the segment's growth. Supermarkets and drugstores have certainly seen dips in hot and cold cereal sales. From 2010 to 2015, supermarket sales dropped 10.5 percent, and drugstore cereal sales fell 1.9 percent, reports Mintel. The natural channel, however, has witnessed strong sales growth in the total cereal category: Hot and cold cereal grew 13.8 percent and 16.9 percent between 2013 and 2015. "There's a lot of activity in the natural and specialty channel," observes Kara Nielsen, an Oakland, Calif.-based food trend expert. "New and interesting cereals and brands that have a toehold in the aisles address cleaner ingredients and dietary needs." [Coffee flour] gives cereal an earthy, roasted flavor while adding a subtle caffeine boost and sustained energy. "It's a positive and healthful way to use a food byproduct and a new type of fortification that actually means something to consumers." 102 ❘ SPECIALTY FOOD MAGAZINE specialtyfood.com