How are Americans getting by in this belt-tightening economy? Well, apparently lots of us have traded dining out for the luxury of pizza rolls and Betty Crocker cake mixes.
General Mills reported today that sales increased more than 8 percent this fall as thrifty consumers shifted spending from restaurants to the grocery store. The gains were led by baking products (up 16 percent), yogurt (up 14 percent) and its Pillbury division (up 12 percent), which includes Totino’s pizza and pizza rolls.
However, the cost of ingredients and the amount of money spent promoting its products also increased. As a result, profits for the three months ending Nov. 23 fell 3 percent from a year ago.
“We’re continuing to see strong consumer demand for our products in markets around the world,” CEO Ken Powell said in a statement. “The economic environment is challenging, but our brands are a good fit with consumers’ need for great-tasting, healthy, convenient foods at good value.”