Sales of breakfast biscuits show no sign of slowing. The category has risen 78.9% to £76m year-on-year [IRI 52 w/e 17 August 2013] following an 88% increase in sales the year before.

The market continues to be dominated by Belvita. The Kraft-owned brand pioneered the category and is worth £57m after less than four years.

But the market has been boosted by the entrance of a raft of new brands in the past year, which contributed £17.5m in extra sales. Increased competition resulted in Belvita growth slowing from 82% two years ago to 39.4%, equating to £16.1m in extra sales.

The strongest new entrant has been McVitie’s porridge oats biscuits. The launch was supported by a £4m push and, despite not yet being on the market for a full year, it has taken second place in the category with sales of £6.7m.

“McVitie’s is a brand consumers know and trust and already associate with great-tasting biscuits,” said brand owner UBUK, adding that the use of wholegrain porridge oats had resonated well with consumers.

PepsiCo is also offering shoppers porridge oats in the Quaker Oat So Simple biscuits it launched in February.

Hovis entered the breakfast biscuit market last year, and is set to grow its presence in the category after Fox’s Biscuits owner 2 Sisters agreed a five-year licensing deal with Hovis owner Premier Foods in July 2013 to produce and market the biscuits.

Against this backdrop - and with sales of its All- Bran biscuits bucking the market and falling 10.7% by value - Kellogg’s has warned that the category is becoming crowded.

It added, however, that its fast-growing Nutri-Grain breakfast biscuit range was benefiting from Kellogg’s association with breakfast.