Blog July 18, 2025

Why Food is Fashion: Kellogg’s Sale and Del Monte’s Fall Reveal Shifting Tastes

Kellogg’s Sells to Ferrero and Del Monte Files for Bankruptcy: What Does it Mean?

By: Jeremy Rotenberg

July 18, 2025 | 3 Minute Read

In business, few industries feel as stable as the food sector. After all, everyone needs to eat. Yet, two recent headlines involving century-old brands prove that the food industry is far from boring; it’s a turbulent and dynamic space where giants can fall. The acquisition of Kellogg’s by Ferrero and the bankruptcy of Del Monte are not isolated incidents. They are powerful signals of a fundamental truth: in the modern era, food is fashion.

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The Fickle Modern Palate

The core reason for these shake-ups lies in shifting consumer habits. Iconic pantry brands are finding themselves on the wrong side of today’s health and wellness trends.

The War on Cereal: Once a cornerstone of the American breakfast, cereal now faces scrutiny from health-conscious consumers. The simple reason, as one analyst puts it, is the belief that “carbs are sugar”.
The Image Problem of Canned Goods: Del Monte’s struggles highlight another trend: the obsession with fresh food. Canned goods now carry a “bad image,” leading to diminishing demand despite the effectiveness of the preservation process. For Del Monte, this meant paying for massive inventory storage and increased promotional spending just to move the product.

A Preservation Method with a Royal History

Ironically, the canning process that has fallen out of favor is a remarkable piece of technology with a storied past. It’s a very good process to capture vegetables at their peak and preserve them. In fact, canning was invented by Nicolas François Appert in response to a prize offered by Napoleon Bonaparte, who needed a way to bring stable supplies of vegetables and meat with his army on campaigns to places like Egypt and Russia. This breakthrough allowed his war machine to operate without having to rely solely on the countryside it was invading.

The Bottom Line: Adapt or Be Devoured

The stories of Kellogg’s and Del Monte serve as a critical reminder for every brand in the food space. Consumer tastes are not static. What was a pantry staple for one generation can become a health pariah for the next. Success in today’s fickle market requires more than a legacy; it demands agility, an ear to the ground, and the willingness to adapt before your brand becomes a relic of a bygone era.

The consultants at LIDD work with organizations across the food supply chain to build more efficient, sustainable, and resilient operations. If you’re looking to turn your business into a powerhouse of operational excellence, reach out to LIDD today.

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