The cereal maker, Kellogg Company (K - Analyst Report), is promoting its new ‘To Go’ breakfast drinks for the fast American lifestyle where skipping breakfast has become very common. It has partnered with ‘EXTRA’ television host and New York Times best-selling author, Maria Menounos, to add celebrity power to its new drink.
In June, Kellogg launched its ‘To Go’ breakfast shakes which give all the necessary nutrients and are very convenient for those with a busy schedule. It targets growing number of health-conscious consumers who prefer easily-available nutritious food given their busy schedule, particularly for breakfast. These cereal options particularly capitalize on the increasing awareness about the importance of breakfast as the first meal of the day.
The healthy ‘To Go’ breakfast shakes are loaded with 21 vitamins and minerals, 10 grams of protein and 5 grams of fiber. The nutritious, portable option can also be served with a cup of skimmed milk to enhance their protein and vitamin contents.
To promote its drinks, Kellogg, on Aug 29, 2013 supplied free ‘To Go’ breakfast shake samples at a "Skip Stop" in New York City's Flatiron Plaza.
‘To Go’ breakfast shakes come in three flavors – milk chocolate, strawberry and vanilla. They are available in packs of four, priced at $6.49, and in packs of six at $4.49.
The Drinkable nutrition is a category with great potential and is becoming increasingly popular among people who prefer convenient and nutritious options to help avoid skipping breakfast due to their busy schedules. The nutritious drinks are also gaining popularity among consumers who are looking for anytime nutrition solutions to satisfy hunger without consuming extra calories.
Headquartered in Battle Creek, Michigan, Kellogg has focused on brand building through product innovations and improved product mix through optimal price/mix combinations. Recently, it introduced several breakfast options like Special K Nourish hot cereal and bars, Pop-Tarts Gone Nutty toaster pastries, Raisin Bran Healthy Heart Omega 3 cereal, Special K Multigrain cereal, Kashi Golean Vanilla Graham Clusters cereal and Kashi Heart-to-Heart cereal.
Significant innovation and brand building investments led to a solid 2012 performance as net sales, operating profit and earnings were all in line with the company’s expectations. In fact, net sales improved sequentially throughout 2012. Growth in 2013 is expected to be achieved on the back of higher advertising investments and consumer promotions and solid innovation launches.
Other Stocks to Consider:
Kellogg carries a Zacks Rank #3 (Hold). Other consumer staples stocks that are worth considering include Pinnacle Foods Inc. (PF - Snapshot Report), Kraft Foods Group Inc. and Dole Food Company Inc. . While Pinnacle carries a Zacks Rank #1 (Strong Buy), Kraft Foods and Dole Food carry a Zacks Rank #2 (Buy).