CStore Decisions

  • Home
  • Today on CSD
  • Categories
    • CBD
    • Foodservice
    • Fuel & Gas
    • Health & Beauty
    • Independent Operators
    • Operations & Marketing
    • Technology
  • CStore Playbooks
    • CBD Playbook
    • Foodservice Playbook
    • Technology Playbook
    • Alcoholic Beverage Playbook
    • Tobacco Playbook
  • Products
    • Hot New Products Contest
    • Beverages & Cold Vault
    • Candy, Gum & Mints
    • Snacks
    • Tobacco
  • Resources
    • Digital Issues
    • Research & Downloads
    • Podcasts/How To Series
    • On Location
    • FAQ
    • 2022 Top 111 Chains
    • Leaders in Convenience
    • Rack Prices
    • Sponsored Content
    • Videos
    • Webinars / Digital Events
    • White Papers
  • Events
    • 2021 Chain of the Year
    • Convenience Directions
    • NAG Convenience Conference
    • Young Executive Organization
  • Join
    • National Advisory Group
    • Safe Shop Assured
    • Young Executive Organization

Chocolate Still Sweet as Sales Stay Steady

By CSD Staff | March 31, 2015

Share

Chocolate piecesChocolate candy sales totaled $2.66 billion for the 52 weeks ending Dec. 28, 2014, according to Information Resources Inc. (IRI) data. That’s a jump of 3.2% compared to same period the previous year. Unit sales for the same period totaled 1.83 billion, up 0.47% over the same period.

Meanwhile, non-chocolate candy brought in dollar sales of $1.98 billion for the same period, a rise of 4.37%, while unit sales of 1.55 billion, were up 1% over the previous year.

“Non-chocolate is benefiting from very high growth in the biggest segment, which is chewy candy,” said Jenn Ellek, senior director, trade marketing and communications for the National Confectioners Association (NCA). “Taking up more than one-third of total non-chocolate sales, chewy candy has been on fire. For instance in the last two months of the year, chewy candy grew a whopping 9.5%, compared with breath fresheners at 4%, hard candy at 0.8% and novelty at 1.6%.”

When it comes to chocolate, Ellek noted that gourmet chocolate continues to be a very hot segment of the market, having featured double-digit growth for several fiscal quarters.

Regarding popular flavor trends in 2015, Ellek pointed to sour and tart salts; alternative, natural sugars like coconut; locally-sourced ingredients on the label; and increasingly bolder flavor pairings—“think curry and toffee in one bite and far out spices originating from Japan and the Middle East,” Ellek said.

PRICING WOES
Price increases in 2014 continue to impact the chocolate and non-chocolate categories at the retail level in 2015.

“In the first half of the year, units will be soft,” said Tim Cote, vice president of marketing at Beaverton, Ore.-based Plaid Pantry, which operates 109 locations. “The price increase and promotional spending cuts from some candy companies combined with generally weak innovation will be a drag on units until we cycle last year’s price increase.”

The promotion-driven Millennial is always looking for a deal, and that extends into the candy category.

“Pricing is up and the customer is not sure that there is value at the new price point,” Cote said. “We have performed well with items that have been willing to price promote as aggressively with us as they do with grocery.”

Candy customers today, he noted, like bigger sizes.

“We recently added SUP (stand up poly) bags,” Cote said. “There is a general trade up around the store that could extend into candy, but bar sizes are a little off. A 3.5-ounce tablet bar is a little too big.”

SKU count is up slightly at Plaid Pantry stores. As theater boxes have been cut back, bags of all sizes have gained share of shelf.

“People see value in the bigger sizes. The continuing downtrend in standard bars will lead to SKU reductions soon unless something changes,” Cote predicted.

As for non-chocolate sales, sour candy is in high demand from Plaid Pantry customers, but hard candy struggles with shoppers. Meanwhile, seasonal products and other limited-edition items are doing better than they have in years, Cote said. That should lead to more shelf space.

Retailers can capitalize on the extra dollars customers are saving now that gas prices have dropped about $1 per gallon compared to around the same time last year.

“Convenience stores have a great opportunity to market and merchandise against those savings with reminders at the fuel pumps,” Ellek said.

Related Articles Read More >

7-Eleven Expands Convenience Through Tech
Samco Expands Family Business
Candy, Gum & Mints Rebound
Technology Is Raising the Bar for Food Programs
Safe Shop Assured

CStore Decisions Newsletter

Sponsored Content

  • Create Some Positivity at the Pump: 3 Ways to Fuel Customer Experiences
  • How Minuteman Food Mart Ensures a Consistent Customer Experience Across 44 Stores
  • Three Challenges Disrupting C-Store Operations and How to Overcome Them
  • Why Wait? Converting to E15 is easy.
  • It’s time you profited from your checkout line

Get the Magazine

Subscribe Now!
Subscribe Now!

Manage Current Subscription
CStore Decisions
  • New CSD Print Subscription
  • Manage current print subscription
  • CBD Retail Trends
  • CStore Products
  • NAG Convenience Conference
  • Convenience Directions
  • Rack Prices
  • Subscribe to CSD’s E-Newsletter
  • About CStore Decisions
  • Advertise

Copyright © 2022 WTWH Media LLC. All Rights Reserved. The material on this site may not be reproduced, distributed, transmitted, cached or otherwise used, except with the prior written permission of WTWH Media
Privacy Policy | Advertising | About Us

Search CStore Decisions

  • Home
  • Today on CSD
  • Categories
    • CBD
    • Foodservice
    • Fuel & Gas
    • Health & Beauty
    • Independent Operators
    • Operations & Marketing
    • Technology
  • CStore Playbooks
    • CBD Playbook
    • Foodservice Playbook
    • Technology Playbook
    • Alcoholic Beverage Playbook
    • Tobacco Playbook
  • Products
    • Hot New Products Contest
    • Beverages & Cold Vault
    • Candy, Gum & Mints
    • Snacks
    • Tobacco
  • Resources
    • Digital Issues
    • Research & Downloads
    • Podcasts/How To Series
    • On Location
    • FAQ
    • 2022 Top 111 Chains
    • Leaders in Convenience
    • Rack Prices
    • Sponsored Content
    • Videos
    • Webinars / Digital Events
    • White Papers
  • Events
    • 2021 Chain of the Year
    • Convenience Directions
    • NAG Convenience Conference
    • Young Executive Organization
  • Join
    • National Advisory Group
    • Safe Shop Assured
    • Young Executive Organization