General Mills is Selling a Box of Cereal for $13

With how much grocery items have already increased in price in recent years, it’s hard to imagine that paying over $10 for a box of cereal could be considered okay.

General Mills seems to think it’s fine because the company is reviving cereal sales by pricing Morning Summit Cereal at $13. The new Morning Summit cereal was launched in late 2019.

After several years of declining sales trends, the $8 billion U.S. cereal market’s sales were flat last year.

“Our strategy to drive continued cereals growth is centered on launching compelling innovation that offers taste, convenience and health benefits, while investing in brand building,” CEO Jeff Harmening said at the annual Consumer Analyst Group of New York (CAGNY) investor conference on Tuesday. “That engages consumers and gives them another reason to walk down the aisle.”

“We believe this category improvement has been driven by a combination of our stronger performance and some improving macro and demographic trends, including a stabilization in the balance of breakfast at home versus away from home, as well as a return to growth and the number of households of kids in the U.S.,” Harmening also said.

Shares of General Mills are up 18% over the last 12 months.

Disclaimer: We have no position in General Mills, Inc. (NYSE: GIS) and have not been compensated for this article.