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PepsiCo, Feeling Its Oats, Will Try To Lift Breakfast Category

PepsiCo is preparing a major campaign behind its Quaker Oats brand, which was acquired a decade ago and has been languishing in the face of competition from generic labels and an overall decline in the category, Anjali Cordeiro reports.

"There is a far-longer-term issue we have to deal with, which is to get Americans to eat breakfast, [and then] to make sure it's healthy," says Quaker Foods & Snack president Jaya Kumar. Although 97% of consumers believe breakfast is the most important meal of the day, only 40% eat it.

The company plans to launch new products for both children and adults and to develop new options at cheaper prices. A line called Quaker Mix-Up Creations, which allows kids to combine different flavors in their oatmeal, is in the pipeline. It is also improving the texture of its instant oatmeal, reducing the salt and sugar, and preparing a multi-grain oatmeal targeted to adults.

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