Ferrero beats out Hostess Brands for the Kellogg cookie asset
Published Date | 2019 April 5
Kellogg plans to sell Keebler, Famous Amos and fruit snacks businesses to Nutella-owner Ferrero for USD 1.3 Billion which will drive the biscuits market globally.Global: Ferrero Group, the confections giant best known for Nutella and Tic Tac, will acquire a number of iconic American brands from Kellogg for $1.3 billion. The deal encompasses Kellogg’s cookie, fruit and fruit-flavored snack, ice cream cone and pie crust businesses. With the deal, Ferrero is also acquiring six U.S. food manufacturing facilities across the U.S. and a leased manufacturing plant in Baltimore. Kellogg Co.’s cookie, fruit snack, ice cream cone, and pie crust businesses are an excellent strategic fit for Ferrero as they continue to increase their overall footprint and product offerings in the North American market. According to BlueWeave Consulting, The fast-paced lifestyle and impact of urbanization have increased the demand for crackers and other baked goods. The consumers are more conscious than ever before and the availability of biscuits with functional ingredients such as wheat, oats, and multi-grains, honey, etc. appeal to health-conscious consumers who choose such biscuits as a healthy snacking option. Rise in the innovation of biscuits product offerings, increasing per capita household income, the surge in consumer spending on food products will lead the market over the forecast period. Bakery Industry is one of the largest segment of the food processing industry. The availability of innovative bakery products containing multi-grains and whole wheat with low trans-fat and calorie content has further facilitated their consumption. Characteristically, biscuits being easy to carry, store, can be consumed as per choice. Every person of each age group can enjoy biscuits as a conventional food product. The worldwide dynamics for biscuit market share seems to get influenced by product innovation in the form of new flavors, shapes, taste and attractive packaging. According to the upcoming report by BlueWeave Consulting on “Global Biscuits Market By Product Type (Sweet Biscuits, Savory, Crackers, Filled/Coated, and Wafers), By Ingredients (Wheat, Oats, and Millets), By Flavor Type (Plain, Chocolate, Sour Cream, Cheese, and Spiced, and Fruits and Nuts),By Sales Channel (Supermarket/Hypermarket, Convenience Store & Others), by Region ((North America, Europe, Asia Pacific, Middle East & Africa and Latin America)), Size and Forecast, 2014-2025,” Global Biscuits Product market is projected to grow with a significant growth rate during the forecast period 2018-2025 due to the innovative packaging, new flavors, shapes, technological advancement. Biscuits are one of the most important snacks used in an average household. The major factors driving the growth of the biscuits market are the increasing preference for convenience and snacking, rising demand for healthy snacks and the augment in the per capita food consumption in emerging countries. According to recent published report by BlueWeave Consulting on “India Bakery Products Market, By Product Type (Biscuits, Cakes & Pastries, Bread & Rolls, Rusks and others), By Biscuits Type (Cookies, Cream Biscuits, Milk Biscuits, Glucose Biscuits, Marie biscuits, Salt Crackers Biscuits, Non-Salt Crackers Biscuits and others), By Distribution Channel(Retail Stores, Specialty Retailers and Online Distributors), By Region(North, South, East and West), Size and Forecast, 2014-2025,” India Bakery Products market is expected to grow with a significant growth rate during the forecast period 2018-2025 owing to their pleasant taste and health-benefits as they are made from a variety of grains like maize, wheat, and oats. India is the second largest producer of biscuits (cookies) in the world after the USA. Bakery industry is one of the oldest businesses in India, which is modernizing and is constantly changing in terms of product range and services due to the high nutrient value and affordability bakery products will drive the bakery market over the forecasted period.