General Mills to focus on expansion of yogurt and cereal businesses
US-based General Mills intends to focus on expanding its cereal venture with Nestlé, as well as its yogurt business through new product development.
General Mills CEO Jeff Harmening told investors that the company identified key priorities for the 2018 fiscal year.
The company also intends to invest in differential growth opportunities.
These opportunities include the global snack bars platform, its Häagen Dazs and Old El Paso businesses, and its line-up of natural and organic brands across North America.
The company plans to deliver new cereals in the US, including new varieties of its Toast Crunch line, new Blueberry Chex and Banana Nut Cheerios, as well as expand its recent global innovations such as Lion Wild.
General Mills also aims to expand its yogurt portfolio in the country through renovation, especially its Yoplait and Go-Gurt product lines, boost its presence in organic segment with Annie's and Liberté, and build a new 'simply better' yogurt segment.
The firm recently launched Oui by Yoplait, a French-inspired product containing whole milk and real fruit.
Harmening said: "We'll remain laser-focused on knowing our consumer and what's driving them.
"While the biggest shift in our industry in the last five years was driven by changing consumer food values, I believe the most significant change that will impact the next five years will be in how consumers get their food, driven by the rapid acceleration of e-commerce.
“We see this as an exciting opportunity for General Mills."
The company plans to tap growth opportunity in online channel, which currently represents 1.5% of the company's total sales in the US. General Mills expects this number to grow to 5% by 2020.