Twenty-nine million children, most from low-income families, eat federally funded lunch in school. But only nine million eat school breakfast. To federal and state officials, that gap is a big reason for the persistence of childhood hunger in America.
To entrepreneur Gary Davis, it’s also a business opportunity. Those 20 million unserved breakfasts translate into nearly $2 billion in federal money that could be claimed from school-feeding programs, but has been left on the table each year. In the summer of 2004 Mr. Davis wondered: What if he could get all the children who eat lunch in school to eat breakfast, too?
His answer: a grab-and-go meal of cereal, crackers and fruit juice, in small boxes that could be distributed on buses, in the cafeteria or in the first-period classroom. He launched his product at the beginning of last school year, and by the end, he says he was selling three million of them a month.
Long-neglected, school breakfast is becoming a sought-after market for business. At the same time, that business is driving participation in an underused government social program. Earlier this month, Kellogg Co. began selling its own breakfast-in-a-box to schools, which includes cereal, a Pop-Tart or graham crackers, and juice. Tyson Foods Inc. is adapting its popular lunchtime chicken nuggets and patties into smaller sizes for breakfast. Scores of other companies also are pitching breakfast items to schools.