June 19, 2025 – The US breakfast cereal market continues to face headwinds despite signs of innovation rebounding. Volume sales continue to decline, while rising prices that are unlikely to see relief will influence new consumer choices.

While cold cereal struggles to retain engagement, hot cereal benefits from stronger alignment with health-led trends. Cultural shifts such as altered morning routines and fewer households with children are enhanced by increased competition from around the grocery store and foodservice providers that offer protein-based, on-the-go alternatives. There is a bright spot: influential Generation Z and Millennials are reengaging, perhaps in unconventional ways, as breakfast cereal brands refresh by expanding cereal into snacking and solo-eating moments that embrace both indulgence and function.

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