The trend suggests Australians are gravitating towards more organic products and steering clear of traditional foods like breakfast cereals and conventional snack bars. It comes after cereal giant Kellogg's recorded a $US293 million ($375 million) loss for the three months to January 3, down from a profit of $US819 million ($1.05 billion) the previous year.

According to two reports from Euromonitor International, Kellogg's had a breakfast cereal market share of 40 per cent in 2010 but this number dropped significantly to 27 per cent by the end of 2014.

Nestle's value share decreased from 27 per cent in 2013 to 25 per cent in 2014.

Breakfast cereal sales in Australia were described as "stagnant" across the board, but surprisingly, there has been a 39 per cent increase in volume sales for hot cereals and 27 per cent growth for muesli in the past six years.

 

Looking beyond breakfast cereals, consumers are now opting more for energy and nutrition bars, which recorded a 104 per cent volume growth in the past six years.

"Manufacturers of sport nutrition have recognised the attractiveness that protein bars present to them," said Daniel Grimsey, senior research analyst at Euromonitor International. "The products are designed not only for fitness enthusiasts but also for mainstream consumers who are seeking a nutritional, healthy, high protein snack.

However, this trend might extend beyond the breakfast and snack bar industries as Coca-Cola Amatil Limited deals with the news of a 25 per cent slump in net profit compared with last year.

Director of the Australian Breakfast Cereal Manufacturers' Forum Leigh Reeve said the results of the report are unsurprising given Australia's proactive history when it comes to demanding healthier food alternatives.

"It's not uncommon for Australians to lead the way in healthy eating and looking for healthier products," Ms Reeve said. "And certainly when they do, the food manufacturers all respond to what they are looking for and try and produce the products that Australians are looking for."

The trend is not going undetected. Nestle in America made the call this week to remove artificial flavours and colours from 250 of its chocolate bars because of a new consumer fixation on viable healthy alternatives.

"We know that candy consumers are interested in broader food trends around fewer artificial ingredients," Nestle USAConfections and Snacks president Doreen Ida said in a statement.

A spokesperson for Nestle Australia said like in America, Nestle Australia was implementing strategies such as portion guidance icons to deal with changing consumers needs and was confident it could stay competitive in the market.

Meanwhile, Kellogg's spokesman Derek Lau said super foods such as chia seeds and quinoa added to cereals was an avenue they were exploring.

"We've definitely noticed the shift towards healthy yet tasty ingredients. Consumers don't want to compromise on either," he said.