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Less cereal, same prices

June 18, 2008

in food

No matter what Tony the Tiger says, it's not grrreat! Consumers will be getting less cereal for the same amount of money.Cereal giant Kellogg has instituted de facto price hikes for five popular cereals by making the boxes smaller without changing their prices. The new boxes began shipping this month.

A spokeswoman says the boxes were reduced by an average of 2.4 ounces for 14 items sold under the Apple Jacks, Cocoa Krispies, Corn Pops, Froot Loops and Honey Smacks brands. The move is in response to higher commodity and energy prices and is Kellogg’s second price hike this year.

In January, according to the Battle Creek Enquirer, Kellogg raised prices on a percentage basis for a single-digit increase.  And Kellogg isn’t alone with sleight-of-hand price hikes; the paper says rival General Mills shrunk its cereal boxes last year.

Kellogg’s move affects only consumers in the US.

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