Convenience Key to Breakfast for Consumers
The 2024 “Future of Morning” report from consumer research firm Circana has found that convenience is still a top priority for U.S. consumers, with 90% of breakfasts prepared in under 15 minutes. While quick heat-and-eat options are expected to remain a morning must-have for home consumption through 2027, each demographic shows particular preferences: Younger consumers will choose potatoes and breakfast sandwiches, while older consumers will go for frozen pancakes, waffles and French toast.
While most morning meals are made at home, on-the-go and away-from-home breakfast occasions are expected to see some growth through 2027, driven mainly by Gen Z and Millennial consumers. As inflation retreats to lower levels, consumers, while still facing higher prices, are finding it easier to budget and are more confident spending at restaurants. This shift is especially significant for Gen Zers, who are going to restaurants more often due to life changes and limited cooking skills. This cohort’s reliance on restaurants for breakfast is projected to grow at a pace faster than its population.
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Beverages continue to play a key role in the breakfast occasion. Beverage-only mornings sourced from home/retail have increased by 16 occasions per capita since 2020 and are expected to remain a critical growth area through 2027. Water, tea, coffee and energy drinks are popular with all generations for their sought-after benefits of hydration and energy. Health-conscious consumers, particularly older Gen Zers and younger Millennials, are also increasingly choosing such nutrition-focused beverages as protein shakes and diet drinks as part of their wellness routines.
“Marketers will need to prioritize delivering value more than ever to capture consumer spending in the coming years,” noted Darren Seifer, industry advisor, consumer goods and foodservice at Chicago-based Circana. “Although inflation has stabilized, consumers remain conscious of their spending. They’re looking for quality in both taste and reliability. Beyond quality, it’s crucial to address consumer needs — particularly convenience. Products that are easy to use, mess-free or those that can be used for multiple meals will help consumers feel like they’re getting more for their money.”
Consumers are still traveling, going to events and seeking unique experiences in spite of higher costs. According to Circana, foodservice operators and consumer packaged goods manufacturers can differentiate by offering something consumers can’t easily recreate at home, whether it’s a particular flavor, a novel presentation or a great dining experience. Success will come from identifying the target audience, understanding its changing needs and providing solutions that meet them.
An advisor on the complexity of consumer behavior, Circana provides technology, advanced analytics, cross-industry data and deep expertise to help almost 7,000 brands and retailers take action and unlock business growth.
