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General Mills is relying heavily on artificial intelligence and product innovation as the owner of Cheerios and Pillsbury seeks to reignite consumer growth.
The CPG giant is using AI to build digital personas to understand consumers and their problems, and the company will create solutions based on their feedback, CEO Jeffrey Harmening said. TUESDAY DURING CAGNY. We are also using AI in our marketing efforts to better target consumers based on brand messages.
General Mills is “transforming the way we innovate,” Harmening said, by investing in our capabilities to deliver bigger, more impactful ideas that resonate with consumers.
More shoppers are using technology to focus on using AI to reach new consumers. Create a new brand or grocery list. General Mills said e-commerce growth for its top five delivery retail partners has tripled in recent months.
In addition to technology, the CPG giant is also focused on developing new products that capitalize on consumer trends, such as the desire for more protein or fiber. Dana McNabb, group president of North America Retail, said the company plans to launch new “GLP-1 friendly” products in the second half of the year, including Honey Nut Cheerios Protein and Ghost Performance nutrition bars.
General Mills wants to increase net sales of new products by about 25%, with each of its $8 billion brands contributing.
To achieve this, the Cheerios owner is focusing on innovation to improve the brand’s “taste, nutrition, ingredients and packaging” across its portfolio. The company is planning a cheesier Annie’s Mac & Cheese and a Pillsbury refrigerated dough that bakes larger.
General Mills also said it would invest in packaging changes, noting that updates to brands like Chex Mix and Gushers have driven sales growth.
Strategic focus on innovation and AI is driving CPG giants Fiscal Year 2026 OutlookOrganic sales are expected to decline by up to 2%. General Mills’ most recent earnings report showed the company’s net sales fell 7% year-over-year to $4.9 billion, with executives noting that consumer sentiment has not yet recovered as expected.
“We’re not making any minor changes to the product this year,” McNabb said. “We are investing heavily in the areas that matter most to consumers.”
