Kellogg’s CEO under fire for cereal for dinner remarks.
Kellogg’s year-old campaign promoting cereal for dinner got some new life last week after the company’s CEO, Gary Pilnick, mentioned it seems to be “landing really well” with American consumers.
His remarks, made in a live interview with CNBC, caught the attention of some shoppers whose response has been anything but grrreat.
“Advertising ‘Cereal for Dinner’ is a way to deal with the steep cost of groceries right now,” Pilnick said. “If you think about the cost of cereal for a family versus what they’d otherwise do, that’s going to be much more affordable.”
The interview followed a report from the Wall Street Journal that Americans are spending 10% or more of their income on food, the most they have in 30 years. Previous reporting from USA TODAY
has found that the average family is spending more than $1,000 on groceries each month.
Kellogg, which owns cereals like Frosted Flakes, Froot Loops, Corn Flakes and Raisin Bran, “tends to be a great destination when consumers are under pressure,” Pilnick said, adding that the price of cereal with milk and fruit “is less than a dollar.”
Pilnick was asked if he thought his comments would sit well with Americans. “It’s landing really well,” Pilnick said, adding that 25% of cereal consumption is outside of the “breakfast window” anyway.
“Cereal for dinner is something that is probably more on trend now, and we would expect to continue as that consumer is under pressure.”
The “Cereal for Dinner” campaign, of higher inflation at the grocery store. which ends with the slogan “Give chick- Food prices increased by 9.9% in en the night off,” began more than a year 2022, faster than any year since 1979, according ago as Americans were feeling the effect to the Economic Research Service
with the U.S. Department of Agriculture. That number includes food consumed outside of the home. In-home food increased by 11.4% last year.
The internet isn’t reacting favorably to Pilnick’s comments, however.
“This fool is making $4 million a year. Do you think he’s feeding his kids cereal for dinner?” one TikTok user said in a video response circulating online.
Pilnick’s annual income includes a $1 million base salary and more than $4 million in incentive compensation, according to a September 2023 SEC filing published by Business Insider.
“And how do you think consumers became under pressure?” TikTok user James Li, said adding that companies like Kellogg have used the excuse of inflation to price-gouge consumers.
And it seems that the company is “enriching its shareholder,” Li said.
USA TODAY has reached out to Kellogg’s for comment.