Trying to counter squishy cereal sales, General Mills is launching its first totally new brand in 15 years, a fruity oat and corn concoction dubbed "Tiny Toast."
It's the type of innovation the U.S. cereal market could use, analysts say, but like all new cereals, it faces big obstacles. Building a new brand is usually more expensive and riskier than simply adding a new variety under an established brand — think Chocolate Cheerios.
The last totally new cereal from General Mills with staying power was Reese's Puffs, a solid seller launched in 1994 and made under license with candy maker Hershey.
But then there was "Harmony," an oat clusters and flakes cereal that debuted in 2001 but tanked within two years. Designed to meet women's nutritional needs, Harmony's slogan was "made just for a woman's body," according to "The Great American Cereal Book," a chronicle of breakfast cereal brands.
Indeed, for every hit such as Mills' Cheerios or Lucky Charms, there are a lot of flakes that flop. Remember "Wackies"? Probably not, the banana-flavored Lucky Charms spinoff lasted all of a year in the 1960s. Or how about "Powdered Donutz," a General Mills whiff from the early 1980s.
Tiny Toast, which will arrive on store shelves this month, features pieces of crunchy "toast" covered with tiny pieces of fruit. It's one of only a few breakfast cereal offerings flavored with real fruit, according to General Mills, which unveiled Tiny Toast on Monday. It comes in two flavors, strawberry and blueberry.
The whole grain oats and corn cereal is covered in strawberry or blueberry powder, and contains no artificial flavors or colors. It has nine grams of sugar per serving.
Tiny Toast, in development for more than a year, sprung from the idea of "real tasteful fruit cereals," said Alan Cunningham, General Mills' senior marketing manager for cereal innovation. "The reason for doing this product now is that it's really different. There are a lot of fruity cereals, but not one that smells and tastes like real fruit."
