Magic Spoon is the “healthy cereal that tastes too good to be true.”
Almost anyone who has tried to eat healthier, whether it be gluten-free, organic, ketogenic, or other, quickly realizes the financial strain that follows.
It often appears that for a food to truly be healthy, it must have a healthy price tag attached to it.
Magic Spoon follows this trend, with one case of four boxes of their delicious cereal selling for $39+.
Why is it so expensive?
Why Is Magic Spoon so Expensive? (10 Reasons It Is)
Magic Spoon boasts high-quality ingredients, high protein, gluten free, grain free, low carb, 0 grams of sugar, and has no artificial colors or sweeteners.
For cereal, those kinds of high-quality ingredients have been basically unheard of until Magic Spoon.
Nutritionally, Magic Spoon is light years ahead of other brands.
To successfully create this healthier and tasty alternative, market it as a health food, and ship it to their consumers both within the United States and internationally, it only makes sense that the price tag will be slightly higher than the average box of Frosted Flakes purchased at your local grocery store.
1. Natural Ingredients
Unlike any other cereal brand, Magic Spoon’s ingredients are completely natural.
Ingredients in all of their cereal options include:
- Milk Protein Blend—Whey Protein Concentrate and Casein
- Sweetener Blend—Monk Fruit, Allulose, and Stevia
- Oil Blend—Sunflower, Peanut, and Avocado Oils
- Tapioca Starch
- Chicory Root Inulin
- Peanut Flour and Extract
- Cocoa Powder
- Natural Flavors
- Vegetable Juice (for color)
- Turmeric and Spirulina Extract
Compared to other brands that use fake, processed ingredients, these natural ingredients are more costly to procure and utilize.
In particular, the ingredient Allulose is a relatively new sweetener option on the market that has health benefits without spiking blood sugar.
Its relative newness makes it a novelty and therefore costs more to use in products.
2. Designed With Health In Mind
Beyond just eating a healthy cereal for the sake of health, most customers also like to know why what they are eating is healthy and how it will benefit them.
Magic Spoon was created to replace those sugary, addictive cereals many of us have grown up eating while providing the consumer with additional health benefits beyond the afternoon sugar crash.
The ingredients are combined to provide health benefits to the consumer while mimicking childhood favorite cereals like Reese’s Puffs, Frosted Flakes, Froot Loops, and Cocoa Puffs.
The sweeteners used in the cereal have been chosen for their lower impact on blood sugar.
For those who have diabetes or other preconceived health conditions, blood sugar is a very important factor that must be paid close attention to.
It is a big reason many adults avoid eating cereal as they age.
The oils used in the cereal provide the human body with healthy fats and antioxidants.
The natural Chicory Root Inulin acts as a prebiotic and aids in gut health.
It also helps to keep the consumer feeling full for a longer time and prevents them from feeling the need to continue eating to satisfy their hunger cravings.
The flours and protein blends used provide protein, zinc, potassium, iron, and magnesium.
Turmeric Extract acts as a powerful anti-inflammatory.
3. Fits A Wide Variety Of Nutritional Requirements
Whether or not the ingredients used are considered natural or healthy, it is an impressive feat that Magic Spoon is able to fulfill so many different nutrition requirements at the same time.
Magic Spoon’s cereal is:
- Certified Kosher by Orthodox Union Kosher
- Keto-Friendly and Low Carb—4 g net cards and only 0.5–1.5 g saturated fats from their oil blends
- Certified Gluten Free
- Avoid Nuts and Peanut Allergens
They also do their best to avoid any potential peanut allergens by manufacturing their Peanut Butter flavored cereal in a completely separate facility.
All of their cereal (besides Peanut Butter) is manufactured in facilities that handle other types of nuts.
They do advertise that besides the Peanut Butter option, they do not actively use any nuts within their products.
Anyone with an ingredient intolerance or allergy understands how difficult it can be to find food that meets those requirements and actually tastes good.
Often, these same individuals will turn to a much less healthy alternative to satisfy their cravings.
It is an added bonus that Magic Spoon fits these dietary requirements and tastes good at the same time.
4. It’s Comparable To A High-End Protein Bar Or Keto Smoothie
If you’re a member of a high-end gym or live in an area that caters to the health fanatic, it is common to see impressive smoothie bars and protein shakes being offered.
These types of health shakes are great to satisfy cravings and help the consumer to feel healthier, but they come with a high price tag.
Does that stop us from being a patron of those places?
Absolutely not, because we recognize that we are purchasing high-quality ingredients.
In fact, it is often expected and accepted that smoothies at one of these health food bars will be more expensive.
Magic Spoon is very similar to this idea.
The owners suggest thinking of it as “more of a high-end protein bar or keto smoothie.”
Compared to other healthy breakfast options you may grab while on the go, Magic Spoon comes out to $1.95 per bowl.
5. You Can’t Just Purchase One Box At A Time
Depending on the size of the family you’re attempting to keep fed and happy, it is common when grocery shopping to only buy one or two boxes of cereal to last until your next grocery haul.
However, Magic Spoon does not offer the ability to purchase just one box of their product.
Rather, the minimum order is one case of cereal, which is made up of four boxes.
From our previous points made above, we understand that the healthier, more natural ingredients utilized mean this cereal is more expensive than the standard box of Cocoa Puffs.
Because of their one-case purchasing requirements, we have no choice but to spend more money to get our Magic Spoon order.
6. They Don’t Make Cereal Exclusively
On-the-go moms will appreciate that Magic Spoon also makes bars.
With extracurricular activities that require frequent on-the-road meals or snack times, Magic Spoon’s bars offer the same healthy goodness of their cereal in a mess-free bar form with no milk or bowl required.
The bars boast 10 grams of protein, four to five grams of carbs, and one gram of sugar.
Each bar is estimated to be 40 grams in size, which is larger than many common granola bars on the market.
Let’s compare this to Quaker Oats Chocolate Chip granola bars, a very commonly purchased alternative in grocery stores.
Quaker Oats bars have one gram of protein, 17 grams of carbs, and seven grams of added sugar.
Magic Spoon has four options for their bars: S’mores, Cinnamon Roll, Cocoa Peanut Butter, and Cookies and Cream.
They are more expensive than the cheaply made comparisons.
However, they are similar to if not cheaper than a high-end protein bar purchased for around $2–4 at a grocery store.
7. They Take Part In The Subscription Trend
If you’re a regular social media user, you probably see advertisements for various subscription services every day.
These subscriptions range in variety, including makeup, clothing and shoes, magazine and book clubs, and outdoor or fitness equipment.
Subscription services are very trendy and popular among young adults in particular.
The companies often boast special discounts for members and can be customized to meet the needs or interests of the consumer.
As well as the convenience factor is attractive to those who enjoy not having to think about their day-to-day purchases, the products just arrive at a set day or time of each month without requiring much effort on the part of the consumer.
Magic Spoon is following this trend, which makes perfect sense since their target population is young millennials.
To combat their price and appear more attractive to their target population, Magic Spoon offers benefits for those who set up a recurring subscription.
A cereal subscription gives members a 25% off discount on their cereal bundles.
As well, subscription holders receive exclusive early access to new launches, discounts, and more.
They occasionally release limited-time flavors which are only available to those subscription holders.
In addition, they drop new flavors monthly, with first-time access available to those members or those subscribed to their newsletter.
Additionally, Magic Spoon capitalizes on social media influencers to encourage consumers to join the subscription service.
Influencers who focus on health, fitness, or nutrition are often sought out by Magic Spoon or can apply to become affiliates.
These affiliates are offered a $5 off code that they can offer to their followers who sign up for a subscription.
Affiliates also benefit by receiving a 20% commission for their promotions on social media.
To receive the commission, they must follow Magic Spoon’s affiliate requirements of selling a minimum of 10 cases or $400 in revenue every month.
8. Extra Fees For Shipping And Packaging Add To The Cost
The $39+ price point mentioned previously is just for the cereal itself.
Customers also have to pay for any taxes and shipping added on.
Domestic orders within the United States and Puerto Rico ship for $4.99.
If you’re from Hawaii or Alaska, that fee jumps significantly to $24.99.
International orders are charged $7.99+, depending on how many cases are ordered.
Shipping adds up quickly, and everyone will do what they can to avoid it.
Those not interested in the subscription service may try to save on shipping by submitting a bulk order one time, rather than paying monthly.
This tactic may indeed save on shipping right away, however, the likely $100+ spent on that one bulk order of cereal may or may not make up for it in the end.
9. Marketing And Branding Tactics Utilized To Give The Appearance Of A High-End Brand
An additional reason behind the price of Magic Spoon is simply that they work to make their product look expensive to help justify the high price tag.
They use marketing and branding strategies to appeal to their customers.
These tactics lure customers in and make them more likely to spend more money.
Magic Spoon’s branding appeals to adults because of their nostalgic packaging designs.
They appeal to the inner child of an adult.
Their designs and coloring of their packaging also look responsible and minimalistic, which appeals to adults who don’t want to feel like they are purchasing “childlike” food.
The brand uses their messaging and designs to speak to consumers’ emotions and therefore makes them more likely to purchase from Magic Spoon.
As mentioned above, the company also uses social media influencers to market their products.
These influencers utilize Instagram, Facebook, and TikTok to advertise and give their testimonials about the products.
This type of marketing tactic is advantageous because consumers are more likely to purchase a more expensive product when someone they know and trust is recommending it.
Social media advertising has become especially popular since the onset of the Coronavirus pandemic when many people were forced to purchase their food through online orders.
10. The Company Is Still In Its Infancy
While there is no doubt that the company’s website receives a lot of traffic and seems to be a successful start-up thus far, the fact is that it is still a relatively new company.
It is a privately owned company that has relied on investors to aid in its initial setup.
The company also does not yet have any stock for sale or trade, as they are not a public company.
They have high investor confidence, which can be a double-edged sword in a way.
Investor confidence means that investors are willing to finance because they foresee a good return on their investment.
Investors are often needed to get many new companies running, to pay for initial production and procurement of ingredients.
According to Food Business News, the company received an $85 million series B venture capital investment used to expand their business.
However, as we mentioned above, these investors then expect a portion of the revenue to return to them.
This can play a role in the pressure experienced by the company to set a higher price on the product(s) to have a higher income.
In the future, as the company continues to succeed and become more profitable there is a chance they will be able to lower their prices.
Magic Spoon is already selling their cereal in some Sprouts and Target retail stores, which you can find here using your location.