Raising the "Bar"

Prepared Foods, March, 2005 by Christy Brinnehl

* Health & wellness defining the category

* Convenience takes its cue

* Flavorful options

Health and wellness is a trend seen throughout just about every major food and drink category these days. Therefore, it is not surprising that this is the primary trend observed throughout ready-to-eat (RTE) cereals, cereal bars and health bars. Interestingly enough, "good-for-you" products are seen more often than convenience and portability, as consumers (while still looking for convenience in products) are concerned more with health and diet. However, convenience and portability were not ruled out as top trends, and such introductions were common occurrences, as was the continued presence of products positioned toward children. Flavor differences between RTE cereals, cereal bars and health bars also provide some interesting movements of note.

Healthy Differences

In 2004, the majority of new RTE cereals, cereal bars and health bars were positioned as "low in--" (cholesterol, sugar, calories, etc.) and fortified with vitamins and minerals. These products often carry more than one claim; for example, Kraft Foods (Northfield, Ill.) launched Post Selects Cranberry Almond Crunch Cereal with Craisins. The cereal is free from cholesterol and high in folic acid, while containing 11 vitamins and minerals.

Additionally, U.S. Mills (Needham, Mass.) released Uncle Sam Cereal Bars--cereal bars free from trans fat and said to be a good source of calcium, iron and fiber. They also are low in fat and formulated with vitamins and omega-3 fatty acids from flaxseed. Regarding health bar introductions, the focus often was geared toward a "low in--" claim as well, but the addition of protein was another frequent find, as seen in EAS' (Golden, Colo.) introduction of its Myoplex Lite New & Improved Nutrition Bars. These bars contain 15g of added protein and 46% fewer calories than the original.

While some trends may overlap, there were quite a few notable differences in trends among RTE cereals, cereal bars and health bars. In regards to "low in--" claims, "low-carb" was more likely to be seen with cereal bars and health bars. This is correlated to specific eating occasions, as well as the audience to whom low-carb products are marketed--consumers looking for a "quick fix" and those on the go. Smaller companies were more prone to release these products, such as Biochem's (Hauppauge, N.Y.) introduction of its Lo Carb Breakfast Bars. The bars are low in sugar and contain only 2g of net impact carbs (available flavors include blueberry muffin, chocolate donut, cinnamon bun, chocolate croissant and banana nut). Masterfoods USA (Hackettstown, N.J.) also extended its Snickers Marathon line (first introduced in 2003) to include Marathon Low Carb Lifestyle Energy Bar, which contained only 3g of new carbs.

Oppositely, RTE cereals touted as being low-fat increased just over 50% between 2003 and 2004, while the same claim among cereal bars decreased 55% (partially due to the increase in low-carb introductions). The presence of low-fat choices in RTE cereals can be attributed to the fact that cereals often are eaten in homes where families are present. Therefore, it is a healthy choice for parents and children. Unlike low-carb cereal bar introductions, low-fat products primarily have been launched by larger companies, as well as retailers.

Dominick's Finer Foods (Oak Brook, Ill.), for example, released Oats & More Cereal with Strawberries--a low-fat, toasted, multi-grain cereal that contains honey oat clusters and real strawberries. It also provides 10 vitamins and minerals.

One additional trend seen within RTE cereals is positioning toward children. Of all RTE cereals introduced in 2004, 13% were targeted to children (in comparison to 6% in 2003). Furthermore, many of these products claimed to be low in sugar. This was especially important, as they provided a healthier alternative to the typical sugary cereals introduced in the past (particularly good news for parents!). For example, General Mills (Minneapolis) extended its popular Trix, Cocoa Puffs and Cinnamon Toast Crunch cereals to include a low-sugar variety, with 75% less sugar than the original; the cereals also have 10-12 essential vitamins and minerals, as well as calcium.

Apart from "low in--" claims, whole grains also were popular, particularly in RTE cereals. This had much to do with the new food pyramid regulations that, beginning tentatively in January 2005, were expected to focus heavily on the consumption of more whole grains. A great example of this was the inclusion of the following text on General Mills' packaging: "All General Mills cereals are made whole grain." This activity was observed with heavily in the last two quarters of 2004, and no doubt will continue through 2005. An additional introduction of note included Kraft Foods' Post Healthy Classics Bran Flakes--a whole grain wheat cereal containing 20% of the daily value for fiber. It also was said to help reduce the risk of heart disease.