As inflation continues, shoppers are more budget-focused, especially at the grocery store. But often times, independent retailers can't compete with national chains on price alone, especially in center store. Enter ready-to-eat cereal like Post Consumer Brands' Malt-O-Meal (MOM), a low cost and high quality product that is a perfect fit for independent retailers looking to best serve their customers during these times.
“With inflation and grocery costs rising, value and ready-to-eat cereal is becoming more and more important in the cereal aisle,” says IGA Vice President of Business Partnerships Heidi Huff in a video interview with Malt-O-Meal Senior Brand Manager Ryan Titus.
In fact, ready-to-eat cereal is a $9.4 billion category with over 95% household penetration, and is one of the lowest cost per serving breakfast foods on the market. According to Post's data, the average basket size is 2.5 times bigger when cereal is present than when cereal is not, so there is a big opportunity for independents to double down on the value afforded by a brand like Malt-O-Meal, especially during this inflationary period.
“Shoppers don’t see inflation returning to normal, with 30 percent doubtful that it will return to normal in the next year and another 19 percent who don’t feel we’re heading in the right direction to alleviate inflation. The result? We’ll see shoppers making long-term changes in their purchasing habits,” Spencer Baird, interim CEO of INMAR Intelligence, states.
The best way for independent grocers to differentiate during this time is to demonstrate their position as shoppers' partners in seeking value, whether that value comes in the form of high quality local produce or budget-friendly center store items like ready-to-eat cereal.
Watch Huff and Titus speak about the increasing value of ready-to-eat cereal as grocery costs rise, and learn more about the Malt-O-Meal brand, how it remains low cost, and why there are so many repeat buyers.