Hot cereals accounted for 11.7% of UK breakfast cereals market in 2012, according to Research and Markets report

Nevin Barich

Nevin Barich

Mar 10, 2014 – Business Wire

DUBLIN , March 10, 2014 (press release) – Research and Markets ( has announced the addition of the "Breakfast Cereals Market Report 2013" report to their offering.

Cereals have traditionally been the UK's favourite breakfast solution. However, changes in consumer behaviour mean that the market is facing growing external competition from other sectors, such as bakery products and breakfast biscuits. Moreover, manufacturers also have to deal with a rising level in internal competition from own labels that offer consumers similar or better quality products than brands but at better value. Competition between breakfast cereals brands themselves is also high.

Volume sales are stagnating and veering towards decline. Falling consumption is attributed to not only consumer demand for variety, but also a decline in consumer spending and the fact that a growing percentage of consumers are skipping breakfast entirely. Brands appear to be either performing very well or struggling.

The market is divided into two main sectors. Ready-to-eat (RTE) cereals make up the bulk of the industry. Staples are the sole subsector to have declined in 2012. Growth in the adult indulgence subcategory was slow. The fastest-growing subsectors were children's and health cereals. Children's is the largest subcategory in the RTE cereals segment. In 2012, health cereals overtook staples to become the second-largest subsector in the category.

This reflects growing consumer demand for healthier breakfast cereals. They want nutritious products that will keep them full until lunchtime. This trend helps to explain the popularity of the muesli subcategory, as well as the double-digit growth in the hot cereals sector. As a result of these growths the overall market increased in value by 3.4% in 2012.

Although the hot cereals category only accounts for 11.7% of the breakfast cereals market, it had a greater relative growth in 2012 in comparison with RTE cereals. This is not only due to the fact that consumers believe these cereals are healthier than traditional RTE variants, but also because of their growing availability in on-the-go and instant formats. Consumers are eating porridge and other hot cereals as they commute and at work as they no longer have time to sit down and eat a proper meal due to their busy schedules.

The authors expect that the breakfast cereals industry will continue to rise in value in the future. However, growth will slow. Overall, the market is forecast to rise by 10.6%. Successful marketing campaigns and innovation will play a critical role in this growth. The focus of innovation will be healthier breakfast cereals, premium flavours, on-the-go and instant formats, and the development of entirely new varieties of cereal to ensure the market continues to captivate consumers.

Key Topics Covered:

Executive Summary

Market Definition

Market Size

Industry Background

Competitor Analysis

Strengths, Weaknesses, Opportunities and Threats

Buying Behavior

Current Issues

The Global Market


Company Profiles

Further Sources

Companies Mentioned

- Dailycer UK Ltd

- Dorset Cereals Ltd

- Doves Farm Foods Ltd

- The Jordans & Ryvita Company Ltd

- Kellogg Company Of Great Britain Ltd

- Morning Foods Ltd

- Weetabix Ltd

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Sector: Breakfast and Cereals

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