South America Breakfast Cereals Market Research Report, 2027

Across the South America region, breakfast cereals are increasingly gaining acceptance among consumers, especially those in the upper and middle-upper income segments. This is largely due to the fact that more consumers are being exposed to American diets through increased holiday or business travel to the US, and they are becoming ever more aware of the benefits of healthy eating and living. On the other hand, consumption of breakfast cereals among lower-income earners is still very restricted, due to their high unit price. In addition, manufacturers have been actively launching a wide variety of cereal products to cater to the demands of their young consumers. Latest findings have revealed that chocolate-based cereals are very popular, especially in Brazil. According to the report, "South America Breakfast Cereal Market Research Report, 2027," published by Actual Market Research, the market size is anticipated to grow with more than USD 0.90 Billion from 2021 to 2027. The factor that is driving the South American breakfast cereal market is the growth of consumers who are becoming more health conscious and increasing demand for healthier food, wherein the breakfast cereal market is considered to be the best choice due to its high nutrition value. The South American breakfast market is anticipated to gain momentum in the forthcoming years, backed by an increase in the consumption of grain-based breakfast as it contains high nutrition, which is witnessing a high demand for breakfast cereals in the market. Furthermore, the growing number of working women in the region who do not have time to prepare breakfast increases the purchase of ready-to-eat food with nutritional value, thus the purchase of breakfast cereals, which has been rising and is expected to leave a positive growth in the breakfast cereal market in the next six years. However, sales of breakfast cereals in other South American countries are still relatively insignificant due to the attachment most South American consumers have to their traditional breakfast habits. Generally, Argentineans still prefer biscuits, bread, toasts, or pastries with coffee or tea, while Chileans are still in love with their traditional bread. To deal with this hurdle, cereal brands are embracing creative tactics to boost consumption in South America so as to keep consumers engaged in the category. One such strategy is to reposition cereal from a breakfast food to an "anytime" convenience food that can be consumed as a snack or dessert. In South America, Kellogg’s is considered the most powerful brand, with a higher market share across the market, whereas Zikaritas, Choco Krispies, and Froot Loops are some of the major brands across the region. Further, Pringles is accounted for as the top-third brand in potato chips, with Parati being second in Brazil for cookies and crackers. Ready-to-eat breakfast cereals dominate the breakfast and cereal market owing to the convenience they offer to consumers. As these are processed grain formulations suitable for consumption without further cooking, the market is primarily driven by consumers with a busy lifestyle. Whole grain-based ready-to-eat cereals are leading the market owing to the value addition in terms of micronutrients in these products. Also, the leading companies are trying to blend organic and healthy ingredients in order to boost the sales of breakfast cereals. Furthermore, manufacturers are incorporating traditionally grown cereal grains such as quinoa into breakfast cereal products to create innovation. This factor will promote the growth of organic breakfast cereal. Further, in the South American market, online retail sales constitute a very small share of the market but are growing at a steady rate. Organic, natural, and health claims on breakfast cereals offer a potential future for baked products. Furthermore, the expansion of retail distribution channels is another factor contributing to rising sales in rural and Tier II cities. However, increased competition from artisanal food services offering a variety of fresh breakfast cereals impacted the region's packaged breakfast cereal sales. Recent Developments: • In February 2018, Kellogg’s introduced a novel snacking product with two new Duoz varieties, "Cheez-It Duoz," that creates real cheese flavour and texture. • In March 2018, Cascadian Farm, a subsidiary of General Mills, invested in soil health research on organic oat farms to help advance environmental and efficient outcomes. Covid-19 Impacts: The outbreak of the COVID-19 pandemic has had a negative impact on the growth of the breakfast cereal market, which is expected to recover over the next few years. The outbreak had led to double-digit growth in the sales of breakfast cereals, which has been a proliferation factor for the product. Owing to the rising consciousness about health and nutrition and a healthy breakfast intake to sustain good health and immunity during pandemic times, breakfast cereals have registered high growth prospects amidst the COVID-19 outbreak across the South America region. Major Companies present in the market: PepsiCo, Inc., Nestlé S.A., General Mills, Inc., The Kellogg Company, Associated British Foods plc, Dr. Oetker, Family Cereal (Custom Food Group) Considered in this report • Geography: South America • Historic year: 2016 • Base year: 2021 • Estimated year: 2022 • Forecast year: 2027 Aspects covered in this report • South America Breakfast Cereal market with its value and forecast along with its segments • Country-wise Breakfast Cereal market analysis • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation Countries covered in the report • Brazil • Argentina • Columbia By Product Type • Hot Cereals • Ready-to-Eat (RTE) By Ingredient type • Wheat • Rice • Corn • Barley • Oats • Others By Distribution Channel • Supermarkets & Hypermarkets • Convenience Stores • E-commerce/Online • Others By Nature Type • Conventional • Organic The approach of the report: This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third party sources such as press releases, annual report of companies, analysing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources. Intended audience This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to food & beverage industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.