Breakfast Cereals Market Size, Share, Forecast, & Trends Analysis by Type (Ready-to-Eat Cereals, Hot Cereals), Category (Organic, Conventional), Packaging Type (Boxes, Pouches), Distribution Channel (Convenience Stores, Online) — Global Forecast to 2031

The Breakfast Cereals Market was valued at $40.46 billion in 2023. This market is expected to reach $54.24 billion by 2031 from an estimated $41.9 billion in 2024, at a CAGR of 3.8% during the forecast period from 2024 to 2031.

Breakfast Cereals Market Size & Forecast

Key factors driving the growth of this market include the rising demand for healthy & nutritious food, an increasing preference for convenience foods, and advancements in food technology. Additionally, emerging economies and the growing popularity of online shopping are anticipated to present significant opportunities for market participants. Moreover, the demand for fortified cereals and the rising preference for personalized nutrition are prominent trends in this market.

Key Findings Breakfast Cereals Market

• By Type: The Ready-to-Eat Cereals Segment to Dominate the Breakfast Cereals Market in 2024
• By Category: In 2024, the Conventional Segment is Expected to Dominate the Breakfast Cereals Market
• By Packaging Type: In 2024, the Boxes Segment is Expected to Account for the Largest Share of the Breakfast Cereals Market
• By Distribution Channel: In 2024, the Supermarkets & Hypermarkets Segment is Expected to Account for the Largest Share of the Breakfast Cereals Market
• By Geography: North America Dominates the Breakfast Cereals Market in 2024

Breakfast Cereals Market Growth Drivers

Rising Demand for Healthy & Nutritious Food

The growing awareness of the connection between diet and health has led consumers to prioritize nutritious food choices. Many individuals are proactively seeking foods that contain whole grains, fiber, vitamins, and minerals. Breakfast cereals, traditionally viewed as a convenient meal option, are being reformulated and rebranded to align with these health-focused consumer expectations. For instance, in 2022, 53% of global consumers indicated that health was the primary reason for their preference for cereals (Source: Glanbia plc, Ireland).

Moreover, consumers are increasingly looking to incorporate high levels of fiber and protein into their diets to enhance their health and immunity. Approximately one in four consumers globally are influenced by protein claims when making purchasing decisions, while one-third are influenced by fiber claims (Source: Glanbia plc, Ireland). This growing health consciousness is driving an increase in the demand for nutritious breakfast cereals.

Furthermore, the rising prevalence of diet-related health issues such as obesity, diabetes, and cardiovascular diseases has made consumers more cautious about their food choices. As these concerns become more prevalent, individuals are eager to improve their diets and overall well-being. Breakfast cereals that are fortified with essential nutrients, low in sugar, and high in fiber can support a healthier lifestyle, offering important nutrients while helping to manage calorie intake. As health consciousness continues to rise, the demand for nutritious breakfast cereals is expected to increase.

Increasing Preference for Convenience Foods

In recent years, the demand for convenience foods has grown significantly. Products like ready-to-eat (RTE) cereals, meals, and snacks have gained popularity because they require less time and effort to prepare compared to cooking from scratch. Consumers are increasingly seeking options that save time while still offering unique flavors and high-quality ingredients. RTE cereals, in particular, provide a quick meal solution that fits seamlessly into busy mornings, requiring no cooking or extensive preparation. This segment is the most dominant in the breakfast cereals market.

Furthermore, consumers' hectic lifestyles have boosted the demand for processed foods. A survey conducted by the International Food Information Council in November 2022 revealed that 81% of the 1,000 American respondents kept shelf-stable, canned, or packaged foods in their households. Additionally, a survey by Eating Better found that 86% of adults in the U.K. consumed ready-to-eat breakfasts and dinners or ready-to-cook food, with three in ten people eating frozen packaged meals weekly in 2020.

Increasing urbanization is also expected to drive demand for convenience foods, thereby supporting the growth of the breakfast cereals market. According to the United Nations World Urbanization Prospects, as of 2021, more than half of the world’s population lived in urban areas, with this figure projected to rise from 56.6% to 68% by 2050. Urbanization often leads to improved living standards and rising incomes, which influence the affordability of convenience foods.

Moreover, the proliferation of retail channels, including supermarkets, hypermarkets, and online platforms, has enhanced accessibility, making it easier for consumers to find their preferred breakfast products. Therefore, with rising urbanization, evolving lifestyles, an increase in nuclear families, and the fast-paced nature of modern work environments, the demand for convenience food products is expected to rise rapidly. These factors are expected to drive the global demand for breakfast cereals in the coming years.

Breakfast Cereals Market Opportunities

Emerging Economies

Breakfast cereals have traditionally been more popular in North America and Europe compared to regions like Asia-Pacific and the Middle East & Africa. However, as consumers increasingly shift towards healthier and more nutritious food options and adopt Western lifestyles, breakfast cereals are gaining traction in emerging economies, particularly in Asia-Pacific and the Middle East & Africa.

In recent years, both developed and developing countries have seen a significant rise in demand for breakfast cereals. This trend can be attributed to several factors, including increasing urbanization, a growing number of working professionals, and higher disposable incomes. According to a survey by Glanbia plc (Ireland) conducted in 2022, consumers in Vietnam (47%), India (39%), Saudi Arabia (36%), and Thailand (35%) reported an increase in their breakfast cereal consumption compared to the previous year. Additionally, the fast-paced lifestyles of the younger working population have fueled the demand for ready-to-eat breakfast cereals. These factors are anticipated to offer significant growth opportunities for market players.

Breakfast Cereals Market Analysis: Top Market Opportunity:

By Type: The Ready-to-Eat Cereals Segment to Dominate the Breakfast Cereals Market in 2024

Based on type, the breakfast cereals market is segmented into ready-to-eat cereals and hot cereals. In 2024, the ready-to-eat cereals segment is expected to account for a larger share of the breakfast cereals market. The large market share of this segment is attributed to the benefits offered by ready-to-eat cereals, including convenience and minimal preparation time. The increasing consumer preference for ready-to-eat options over home-cooked meals, driven by busy lifestyles and work schedules, is fueling the growth of this segment. RTE cereals require little to no preparation and are ideal for individuals with hectic routines.

Ready-to-eat cereals are processed breakfast foods made from grains such as wheat, corn, oats, rice, and barley, and they do not require further cooking before consumption. These cereals are shelf-stable, fortified, and appeal to a wide range of age groups. They are often enriched with vitamins and minerals to support daily nutritional needs, making them suitable for health-conscious consumers.

Moreover, the ready-to-eat cereals segment is projected to register a higher CAGR during the forecast period. The growth of this segment is driven by the growing demand for fortified cereals, increased awareness of health and nutrition among consumers, the expansion of retail channels, and rising interest in sustainability, including eco-friendly packaging and production practices. Additionally, in developing regions like Asia-Pacific, the influence of Western culture is enhancing the popularity of RTE cereals, with consumers gradually shifting from traditional breakfast foods to more convenient cereal products.

Geographical Analysis

North America Dominates the Breakfast Cereals Market

Based on geography, the breakfast cereals market is segmented into five major regions: North America, Europe, Asia-Pacific, Latin America, and the Middle East & Africa. In 2024, North America is expected to account for the largest share of the breakfast cereals market, followed by Europe and Asia-Pacific. North America’s significant market share can be attributed to several key factors, such as a growing focus on health and wellness, an increasing preference for convenience foods, and rising health concerns such as obesity, diabetes, and digestive disorders.

Additionally, the rising consumer interest in plant-based diets is driving demand for vegan and gluten-free products, including breakfast cereals. In 2024, the U.S. is expected to account for a larger share of the breakfast cereals market in North America, largely due to the increasing number of fitness enthusiasts and the growing demand for ready-to-eat options.

However, Asia-Pacific is expected to record the highest CAGR during the forecast period. The growth of this regional market is driven by the increasing adoption of Western lifestyles and growing health consciousness among consumers. There is a growing interest in nutritious and fortified foods due to their health benefits. Emerging nations like China and India are expected to be the fastest-growing markets in this region, driven by rising disposable incomes and rapid urbanization, which enable consumers to spend more on premium and healthier food options, including breakfast cereals.

Key Companies

The report offers a competitive analysis based on an extensive assessment of the leading players’ product portfolios and geographic presence and the key growth strategies adopted by them over the past three to four years. Some of the key players operating in the breakfast cereals market are Kellogg Co. (U.S.), General Mills, Inc. (U.S.), PepsiCo Inc. (U.S.), Nestlé S.A. (Switzerland), Bob's Red Mill Natural Foods, Inc. (U.S.), B&G Foods, Inc. (U.S.), Post Holdings, Inc. (U.S.), Calbee, Inc. (Japan), Dr. August Oetker KG (Germany), Bagrrys India Limited (India), Associated British Foods plc (U.K.), Grupo Industrial Vida, S.A. de C.V. (Mexico), Marico Limited (India), and Nature’s Path Foods, Inc. (Canada).

Breakfast Cereals Industry Overview: Latest Developments from Key Industry Players

• In September 2024, Tata Consumer Products Limited (India) launched Tata Soulfull Masala Muesli under the Tata Soulfull brand, offering two flavors: "Mast Masala" and "Teekha Twist."
• In January 2024, WK Kellogg Co. (U.S.) launched a new cereal brand called "Eat Your Mouth Off." This puff cereal, targeting millennials and Gen Z, is available in two flavors: Fruity and Chocolate.
• In December 2023, Weetabix Limited (U.K.), a subsidiary of Post Holdings, Inc. (U.S.), acquired Deeside Cereals Ltd (U.K.) to enhance its market presence and manufacturing capacity.
• In August 2023, Tata Consumer Products GB launched Joyfull Millets, marking its entry into the breakfast cereal category outside of hot and cold beverages in the U.K. This product is available in four variants: Fruit & Nut, Honey & Nut, Fruit, Nut & Seeds, and Choco & Nut.
• In June 2023, Nestlé S.A. (Switzerland) launched two new breakfast cereal products in India: Koko Krunch Millet-Jowar and Munch.
• In October 2023, Quaker Oats Co., a subsidiary of PepsiCo, Inc. (U.S.), launched its first breakfast cereal under the Quaker Chewy brand: Quaker Chewy Granola, available in two flavors—Chocolate and Strawberry.

Breakfast Cereals Market Research Summary

Key questions answered in the breakfast cereals market report: