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Cereal Thrillers

By Jeff Cioletti
Publication: Supermarket Business
Date: Monday, October 15 2001
Few marriages have been as successful as those between cartoons and children's breakfast foods, and now there's a new generation of properties from both sides saying "I do" and ensuring the "Mommy, buy me that" factor remains intact in cereal aisles for years to come.

Earlier

this year, Kellogg Co. offered two products tied into Cartoon Network properties in the form of Powerpuff Girls cereal and Pop-Tarts toaster pastries. To follow up on the limited-edition products, the company recently offered kids the chance to pick the next Cartoon Network-based cereal through the network's Big Pick online poll. Kids could log onto a Web site and choose from among eight concept cereals based on Cartoon Network series such as Cow and Chicken and Courage the Cowardly Dog, all corresponding to existing Kellogg's cereals such as Corn Pops, Frosted Mini-Wheats, and Rice Krispies Treats. The winning cereal is expected to hit shelves next summer.

"It's part of our broader strategy to put fun back in, on, and outside the [cereal] box," says Kellogg's spokeswoman Meghan Parkhurst. In the box, she says, the company's focus is on innovation in product development. On the box, promotions?such as the Powerpuff Girls tie-in?come into play. Outside is where the company is "connecting with consumers."

Disney World

Kellogg's recently partnered with Disney for a cereal based on the studio's Atlantis animated film. "It's the first licensed cereal from Disney," Parkhurst notes. The cereal, available for a limited time earlier this year, featured letters of the Atlantean alphabet that were revealed when the consumer added milk. Next up, Kellogg's is launching another limited-edition Disney product tied into the upcoming Disney/ Pixar computer-animated movie Monsters, Inc., scheduled for release November 2. "Kids can go 'behind the screens' with monsterized versions of their favorite breakfast foods," says Parkhurst.

"All this is to create consumer excitement," she adds. "It's more than just licensing?it's a whole comprehensive, integrated marketing promotion."

When it comes to licensing cartoon characters, Post Cereals has over three decades under its belt thanks to Fred and Barney. The Pebbles brands have been part of the Post repertoire since 1970, leveraging the popularity of the Flintstones characters. "It's a powerful property?one that seems to stay relevant to kids," says Eric Greifenberger, category business director for Rye Brook, N.Y.-based Post. Greifenberger believes consistent marketing that evolves with the times has been key to Pebbles' longevity. "We've been able to stay true to the properties of Fred and Barney and The Flintstones itself, and put them into contemporary environments."

Post also has been involved with "in-and-out" limited-edition products. Recently it offered such short-term products as Reptar Crunch, based on a Nickelodeon property, as well as a cereal tied into last year's film Rugrats in Paris. "We try to leverage what is hot with kids and identify what is believed to be the most fun and most relevant and tap into those properties.

The demographic Post targets, especially with its perennial Pebbles SKUs, is ages 6-12, which includes the tween group (8-12) coveted by marketers. "Tweens is a big buzzword these days," notes Greifenberger. "A lot of companies are trying to tap into that market. This is a market that continues to change and we're trying to stay ahead of the curve with research into what kids are looking for. It basically boils down to presenting ways to deliver fun."

New Organics Co. is aiming a bit lower?specifically, kids 2-8?with its Richard Scarry licensed cereals, part of a line that ties in with a Nickelodeon series named after the late author. In expanding the Scarry franchise into breakfast foods, "We looked at different kinds of opportunities for a brand which had long-term equity and was wholesome at the same time," says Anthony Zolezzi, CEO of the Long Beach, Calif.-based company. "[The cereals] also had to epitomize the values of organic. Scarry was well known as an author, and the television show is aired worldwide. Every single episode has a segment on health and nutrition."

Zolezzi sees an increase in licensed products among cereal brands, at least in the near future. "There's so much clutter in the grocery aisles these days, and everyone's clamoring for attention," he says. "If we could make a box blink and do it competitively, we'd do it."

It's no different than putting a wrapped CD in a box, he adds, which has been done to varying levels of success.

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