"kellogg" news and stories

Remember those Rice Krispies cereal boxes from 2009 that claimed the "Snap, Crackle, Pop" breakfast would "support your child's immunity?" This was right around the time parents were vaccine-crazy over the bird flu? As you might have guessed, that claim wasn't true. Neither was the company's claim that their Frosted Mini Wheats were "clinically shown to improve children's attentiveness by nearly 20%." And for that, Kellogg's is paying.

Last week, the Federal Trade Commission (FTC) -- which regulates U.S. advertising -- announced a class-action settlement brought to the century-old, $13 billion company in the U.S. District Court of California, thanks to the laws of advertising that ban misleading and inaccurate marketing claims (or what we like to call the "That just ain't right!" ruling).

In 2006, Treehugger.com wrote about the introduction of a line of organic cereals by Kellogg's. The article talked about concerns surrounding "organic" being taken over by a mega-corporation, but decided that ultimately organic of any sort was a good thing.

At the same time, a Rice Krispies-loving consumer (me) discovered Organic Rice Krispies on the shelf at her local supermarket. To say I was excited might be an understatement. I love the Snap, Crackle, and Pop, but I do not love high fructose corn syrup and pesticides - neither of which were found in the organic version. Sure, it was more expensive and sure, they didn't make it in the large box that I preferred due to my frequent cereal consumption, but I was willing to splurge.

Alas, one day, Organic Rice Krispies was no longer on the shelves. I assumed it had to do with lack of consumer interest at my particular store. Today, after much time had passed, I decided to find out where I could buy them by emailling Kellogg's. I will credit them for their speedy response, but it did not make me happy: "This product is no longer marketed by our company, since consumer demand simply does not warrant its continued production. At this time, there are no plans to reintroduce this product."

I didn't specifically ask about any of the other cereals in their organic line, but I assume the worst. Does anyone else miss them?

When you want chocolate in the morning, once you're over the age of 10 or so, you're probably going to opt for hot chocolate, a mocha or maybe even a small piece of your favorite candy bar long before you reach for a box of chocolate cereal. But cereal makers are counting on the fact that their newest products will change that.

At the beginning of next year, Quaker Oats will launch Life Chocolate Oat Crunch and Kellogg will release Special K Chocolatey Delight. Both cereals are low in fat and are targeted towards nutrition-minded consumers who want to have their chocolate and eat it too. Quaker will be promoting the fact that their cereal is high fiber and full of whole grains, while Kellogg will be sponsoring a two-week weight loss challenge centered around the cereal, just as they offer with regular Special K. Reps from Kellogg have also noted that the cereal is not necessarily going to be promoted as just a breakfast item and that it is designed to appeal to those who like to snack on cereal as well.

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Since Kellogg's cereals are about to go up in price, taking a look at some of the lower-priced alternatives to name brand cereals seems prudent. This month's Consumer Reports happily obliges us with their taste test of store brand frosted flakes (Kellogg's Frosted Flakes), toasted oats (GM Cheerios), and frosted mini wheats (Kellogg's Frosted Mini Wheats).

Frosted flake cereals are the least nutritious of the bunch, with about 120 calories, 12 grams of sugar and only 1 gram of fiber. Kellogg's well-known brand topped the taste test, tied with the lower-priced Malt-O-Meal version of the cereal. Other brands tasted slightly bitter. CR also noted that a few turned the milk bright yellow. Sounds like it's best to stick to the familiar in this case.

Kellogg's is planning to raise prices and decrease package sizes for its ready-to-eat boxed cereals this fall. The cereal giant is expected to increase its marketing budget, or at least maintain it, to make sure that customers keep buying their products in spite of pricing changes. After all, they have to convince the consumer that it is worth paying more money for less cereal for their profits to remain the same.

But is it worth it? The two main reasons that people eat cold cereal are convenience and price. A bowl of cereal takes seconds to prepare and you can get several meals out of one box. But, if given all the time and luxury of a relaxing Sunday, cereal might not be the first thing that breakfasters would reach for. A small price hike, about 2%, might not make a big difference in buying habits, but it will certainly set the stage for other cereal companies to follow in the footsteps of the largest cereal company and could even lead to further changes in pricing. When consumers realize that they are getting less than what they think they're paying for, some might stop buying cereal on a regular basis and the companies could be hurt more in the long run.

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