General Mills Sells New Cereal For $13 A Box
Cereal sales have been declining for years, but General Mills thinks they may have the remedy. They're going to start charging more for it.
It seems a little backwards on the surface. If people aren't willing to pay $4 a box for cereal, why would you charge more and hope that they will buy it?
General Mills is selling a cereal called Morning Summit. It's filled with dried cherries and cranberries, pumpkin seeds and whole grain cereal flakes. And the first ingredient listed on the label is almonds.
So why so much to buy it? The answer is more quality ingredients.
"We're innovating in new product forms that command premium price points, including our new Morning Summit product, which has almonds as the first ingredient and sells for $13 a box." - CEO Jeff Harmening (CBS)
Would you pay more for better quality in your cereal? How much is too much?