Published By : 03 Aug 2016 | Published By : QYRESEARCH
The increasing adaptation to western culture and luxury food habits in emerging economies are the major factors driving the demand for breakfast cereals. Consumers in developing countries are shifting towards packaged cereals from routine heavy food for breakfast. Due to rigorous schedule and changing lifestyle, consumers have shifted their focus towards easy breakfast food products. The growing number of convenience stores and retail chains in developing regions has augmented the growth of the global breakfast cereals market. Asian countries have the maximum sales of breakfast cereals owing to the mounting urbanization and flourishing middle class.
Growing Number of Convenience Stores in Emerging Markets to Bolster Sales of Breakfast Cereals
People in developing economies are shifting their focus towards Western dietary habits and accepting convenience foods. Due to a busy schedule, consumers prefer ready-to-eat, canned, and preserved food. This is encouraging companies to expand their business through convenience stores and other retail chains. The rapidly increasing number of convenience stores in developing regions is expected fuel the brand visibility of breakfast cereals.
India and China are the leading consumer markets for breakfast cereals due to change in food habits, increasing personnel, and rising concern for nutritious breakfast.
Availability of Substitutes to Impede Demand for Breakfast Cereals
As consumers are shifting their breakfast preferences towards Western food, the rise in substitutes have in turn created a barrier regarding the sales of breakfast cereals. Regional manufacturers of breakfast food products and breakfast food chains are coming up with alternative options for breakfast for the working class consumer. The availability of these luxury substitutes in affordable cost is likely to highly impede the market growth of the global breakfast cereal market.
New Consumer Class with Varied Taste Preference to Provide Competitive Opportunities to Manufacturers
The markets in developing regions are witnessing the rise of a new class of consumers with new taste preference. This has encouraged breakfast cereals manufacturers to focus on product innovation by introducing new flavors and attractive packaging. This will also provide them with opportunities for future growth and innovations.
Asia Pacific is projected to lead the breakfast cereals market due to the growing urbanization and changing lifestyle.
Some of the leading companies in the global market for breakfast cereals are Cereal Partners Worldwide, Post Holdings, Kellogg CO., General Mills, and PepsiCo.
The global breakfast cereals market is projected to rise at a CAGR of 4.10% between 2013 and 2019 and is likely to touch a valuation of US$43.2 bn by the end of 2019.