Soggy cereal
ZEENAT MOORAD: How Kellogg is combating cereal's declining reputation
There’s a new sheriff in town
For the first time in 10 quarters, Kellogg Company reported revenue growth. It wasn’t a shoot-the-lights-out kind of gain, but it was enough to make the market think the big daddy of cereal makers could well halt the descent of its share price and keep the firm in touch with evolving trends towards healthier breakfasts. Kellogg is one of many legacy consumer businesses that are suffering because tastes are changing. As an aside, not all of them are food companies. Procter & Gamble’s Gillette business is taking a knock, both from the ongoing vogue for beards and the rising popularity of niche shave clubs, a craze started by online market leader Dollar Shave Club, which offers a razor and supply of blades by subscription service for just US$3. Similarly, indie brands such as Glossier and Huda Beauty are transforming the cosmetics market as women shy away from mass-market products. Moving on. In the year to date, Kellogg’s share is down nearly 20% — worse than that of other packaged-fo...
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