Breakfast cereal

Breakfast cereal is a category of food, including food products, made from processed cereal grains, that are eaten as part of breakfast or as a snack food, primarily in Western societies.

Although warm, cooked cereals like oat meal, maize grits, and wheat farina have the longest history as traditional breakfast foods, branded and ready-to-eat cold cereals (many produced via the process of extrusion) appeared around the late 19th century. These processed, precooked, packaged cereals are most often served in a quick and simple preparation with dairy products, traditionally cow's milk. These modern cereals can also be paired with yoghurt or plant-based milks, or eaten plain. Fruit or nuts are sometimes added, and may enhance the nutritional benefits.

Some companies promote their products for the health benefits that come from eating oat-based and high-fiber cereals. In the United States, cereals are often fortified with vitamins, but can still lack many of the vitamins needed for a healthful breakfast, and so initial marketing focused on making the new products "part of a complete breakfast". A significant proportion of packaged cereals have a high sugar content ("sugar cereals" or even "kids' cereals" in common parlance). These cereals are frequently marketed toward children (in television ads, comic books, etc.) and often feature a cartoon mascot and may contain a toy or prize.

Between 1970 and 1998, the number of different types of breakfast cereals in the United States more than doubled, from about 160 to around 340; as of 2012^[update], there were roughly 5,000 different types (estimate based on the mass customization of online shopping). In this highly competitive market, cereal companies have developed an ever-increasing number of varieties and flavors (some are flavored like dessert or candy). Although many plain wheat-, oat- and corn-based cereals exist, a great many other varieties are highly sweetened, and some brands include freeze-dried fruit as a sweet element. The breakfast cereal industry has gross profit margins of 40–45%, In 2009, market researchers expected the market to grow at a CAGR of 7.4% (in the next 5 years); it has had steady and continued growth throughout its history.

Cereal grains, namely porridge (and especially oatmeal), became an important breakfast component in North America. Barley was a commonly used grain, though other grains and yellow peas could be used. In many modern cultures, porridge is still eaten as a breakfast dish.

Native Americans had found a way to make ground corn palatable, later called grits (from the Old English word grēot, meaning "gravel"). Hominy was another preparation. While this became a staple in the southern U.S., grits never gained popularity in the northern states. Food reformers in the 19th century called for cutting back on excessive meat consumption at breakfast. They explored numerous vegetarian alternatives. Late in the century, the Seventh-day Adventists based in Michigan made these food reforms part of their religion, and non-meat breakfasts were featured in their sanitariums and led to new breakfast cereals.

Ferdinand Schumacher, a German immigrant, began the cereals revolution in 1854 with a hand oats grinder in the back room of a small store in Akron, Ohio. His German Mills American Oatmeal Company was the nation's first commercial oatmeal manufacturer. He marketed the product locally as a substitute for breakfast pork. Improved production technology (steel cutters, porcelain rollers, improved hullers), combined with an influx of German and Irish immigrants, quickly boosted sales and profits.

In 1877, Schumacher adopted the Quaker symbol, the first registered trademark for a breakfast cereal. The acceptance of "horse food" for human consumption encouraged other entrepreneurs to enter the industry. Henry Parsons Crowell started operations in 1882, and John Robert Stuart in 1885. Crowell cut costs by consolidating every step of the processing—grading, cleaning, hulling, cutting, rolling, packaging, and shipping—in one factory operating at Ravenna, Ohio. Stuart operated mills in Chicago and Cedar Rapids, Iowa. Stuart and Crowell combined in 1885 and initiated a price war. After a fire at his mill in Akron, Schumacher joined Stuart and Crowell to form the Consolidated Oatmeal Company.