The swanky side of cereal is coming to New York City, thanks to Kellogg Co. (ticker: K).
The Michigan-based company best known for its breakfast lineup is preparing to launch a cereal store, dubbed Kellogg’s NYC, in Times Square in an effort to lure consumers back to an ailing industry, The New York Times reports.
It’s not going to be for your average customer, though, as the price per bowl of cereal could reach $7.50. The store’s operator, Anthony Rudolf, says prices are justified by the quality ingredients.
Kellogg stock was up sharply on the news Thursday morning, jumping 3.7 percent to more than $80 per share.
In the New York market, Kellogg’s is in good company, joining a slew of other brands, including privately held yogurt maker Chobani and beverage giant PepsiCo (PEP), who have opened retail outlets.
In Kellogg’s case, don’t picture a cereal bar or traditional Times Square flair. Andrew Shripka, the associate director of Kellogg’s marketing, says the store will invoke the company’s history in its ambiance.
At this point, any effort to reinvigorate the cereal category is worth a shot. Sales fell for Kellogg’s U.S. morning foods segment — which includes the company’s cereal offerings — in its most recent quarter.
In the meantime, the cereal industry has relied on snack foods and “healthier” treats to weather the soggy industry storm.
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Kellogg’s To Open Fancy NYC Cereal Store originally appeared on usnews.com
