This vast and various category continues to grow, and benefits from its highly impulsive nature during the summer season when so many people are out and about, enjoying the fine weather
Even – or perhaps especially – during challenging economic times, the chocolate and confectionery category offers consumers an affordable treat. Chocs and confectionery have always been one of the pillars of independent store revenue and ever-improving NPD mean that the future looks full of flavour.
The confectionery market has continued to grow (+14.3 per cent value) and is now worth £8.5 billion [Circana], demonstrating that the nation’s love of confectionery remains strong. In fact, 75 per cent of recent treats and snacking growth is coming from confectionery directly [Nielsen].
For independent retailers, confectionery remains a strong category, particularly in impulse buying, which has seen a value growth of 12.8 per cent and is worth £2.2bn [Circana]. In other words, there are ample opportunities for convenience stores to boost sales in the category.
“Well-loved and popular brands continue to perform well as consumers naturally gravitate towards brands they know and trust,” comments Andy Mutton, managing director, Storck UK.
Sharing and gifting
Matt Boulter, UK sales director at Mars Wrigley, highlights a noteworthy trend, “At my convenience, not yours”, which underscores the increasing consumer demand for convenient shopping experiences.
“Convenience is key for consumers, as they want to be able to enter a store and easily find what they are looking for. The trend has a particular resonance for us and our retail partners, with our continuous approach to delivering the best results for consumers,” Boulter says.
Even during economic uncertainty, treating and snacking remain high priorities for consumers, with 96 per cent of these products chosen for pleasure [Kantar].
“Incremental sales remain strong, with two-thirds of products being bought on impulse, allowing retailers to lean into this by placing them on main fixtures,” Boulter says. “Year after year, entertainment occasions continue to be a large profit-driver for grocery retailers, particularly during seasonal celebrations. Gifting remains a key consumer trend for the sector.”
Mark Roberts, marketing and trade marketing director at Perfetti Van Melle (PVM), concurs, as he cites a survey by Lumina Intelligence, which has shown that 60 per cent of UK consumers buy sweets in order to lift their mood, with a further 23 per cent making confectionery purchases as gifts [Lumina Intelligence].
“Position this against an economically challenging and politically gloomy landscape and it is likely that sweet items perceived to provide ‘little lifts’ to be gifted to loved ones or enjoyed yourself,” he says, recommending PVM’s selection of sharing bags for gift-giving occasions.
For instance, Fruit-tella’s number one product, Strawberry Stick, has found great success with its delicious strawberry taste – the top flavour among Perfetti fans. The new Simply Strawberry Sharing Bags offer Fruit-tella’s iconic strawberry-flavoured soft chew in an easy-to-share, individually wrapped toffee-shaped sweet. These tempting treats are perfect for a sharing bowl or a thoughtful seasonal gift.
Gifting has emerged as the fastest-growing segment within the confectionery category, with an 18.1 per cent increase in value sales [Circana]. “[This] demonstrates an opportunity for retailers as consumers are prioritising convenience and purchasing gifts on impulse missions,” comments Mutton.
Chocolate stands out
The chocolate category has been a stand-out performer in the confectionery market, growing an extra 2.7 per cent year on year. Boulter notes that Mars Wrigley’s leading brands across the chocolate sector, including Mars, Maltesers, Galaxy, Snickers, and Bounty, continue to drive this growth.
“While chocolate is a part of the broader confectionery market, it stands out due to its specific ingredients, processing methods, variety, nutritional profile, consumer perception, and market dynamics,” he comments.
As the category contains various formats including multipacks, sharing bags, tablets and gifting products, stocking the right range for diverse shopper needs is essential for retailers to make the most out of the category.
“Retailers should champion new products in store to help raise sales and capitalise on early consumer demand – allowing them to get ahead of the game,” Boulter suggests.
“Taste is the number one reason to buy chocolate confectionery, but one in five people don’t buy it due to a lack of healthier options [Kantar 2020, HIM 2018]. To complement this trend, Mars Wrigley launched the Triple Treat Bars in 2023. They are not only meeting consumer demand for healthier, low-sugar treats, but they are also HFSS compliant – two trends that will continue to inform confectionery and chocolate NPD this year,” he adds.
The chocolate category has seen substantial value growth of 12.7 per cent, now worth £1.36bn. Mutton says both singles and sharing formats are key within the convenience channel, with value sales increasing by 13.7 per cent and 13.4 per cent, respectively.
“Interestingly, singles are also in slight volume growth of +1.1 per cent which demonstrates the significance of impulse purchases within the category and presents a real opportunity for retailers,” he adds.
Multipacks have grown the fastest, with a 16.4 per cent increase in value sales, presenting another lucrative opportunity for retailers to drive sales.
“Stocking up on these formats ensures that retailers cater to diverse consumer needs while also driving sales. Chocolate gifting – which includes boxed chocolate and seasonal novelty products – also remains important and shouldn’t be forgotten by retailers with value sales growth of 8.2 per cent,” he advises.
Cadbury has meanwhile expanded its popular Duos range by bringing another one of its leading singles bars into this growing format. The launch of Cadbury StarBar Duo is expected to help retailers demonstrate even more value to their shoppers by offering them something new in this range.
The duos format offers a unique proposition for shoppers and is currently growing by 36 per cent in the category, with Cadbury Duos outpacing this growth even further at almost 54 per cent. Research also shows that consumers are not only choosing duos for themselves but are also sharing them so this latest addition to the Cadbury Duos range is well positioned to help retailers expand into sharing occasions too.
The brand has also launched a new addition to the popular Dairy Milk range: Cadbury Dairy Milk &More.
With two flavours to try, Nutty Praline Crisp and Caramel Nut Crunch, the Cadbury Dairy Milk &More bars come with larger chunks, packed full of textures and flavours.
Sugar innovations
The UK’s sugar confectionery market, valued at £1.6bn in 2022 [IRi Unify], continues to thrive, and in the convenience sector, the sugar category has remained stable, growing by 12.2 per cent and now worth £659m [Circana].
Sharing formats dominate category sales, with an 11.9 per cent increase in value, while single formats also remain popular, with a 13.2 per cent growth in value sales.
“While consumers continue to treat themselves with impulse purchases, sharing bags remain popular as consumers spend more time entertaining and socialising with family and friends at home to save money. Stocking both formats will ensure that retailers meet these consumer needs,” Mutton suggests.
Storck’s Werther’s Original continues to be a popular and trusted brand, now worth £9.3m in the convenience channel with an 11.7 per cent value growth over the past year, aligning with the sugar category performance.
Last year, the brand launched its Chocolate Covered Caramels, capitalising on the popularity of caramel as a flavour and the growth in chocolate-covered caramels, which outperformed category growth at 20 per cent YoY [IRI, excl. Discounters]. This year, the brand plans to introduce new innovations to attract more customers and drive growth, Mutton reveals.
Riesen has also shown strong performance, worth £5.3m in retail sales value within the sugar confectionery segment. The brand has enjoyed a strong performance in convenience, seeing double-digit value (+45.3 per cent) and volume (+21.9 per cent) growth, and is growing well ahead of the category.
“This offers a good opportunity for retailers to tap into the increased demand for Riesen as a brand,” Mutton says. “With dark gavoa cocoa chocolate on the outside and rich chocolate caramel on the inside, Riesen provides a long-lasting chewy treat and, as a brand, welcomes a loyal existing customer base.”
Earlier this year, Riesen expanded its range by introducing a limited-edition flavour: Riesen Espresso. With the coffee shop market growing by 7.3 per cent and 61 per cent of consumers now preferring it to tea [CBI], the NPD caters to the rising demand for coffee, while offering consumers that classic combination of chocolate and coffee in the form of an indulgent treat.
PVM, the world's second-leading confectionery manufacturer, is at the forefront of the sugar category with a robust portfolio of household brands like Mentos, Fruit-tella, Chupa Chups, and Smint, worth over £100 million.
Roberts highlights that the company's comprehensive range of products adheres to the government's HFSS guidelines, offering under 150 kcal per pack. This strategic positioning allows PVM to be closer to impulse purchases, he notes.
Mentos, now worth £38.2 million, continues to captivate customers through innovation. The new Mentos Discovery offers a category-first with 14 different flavours in one roll, catering to the growing appetite for exotic tastes.
“Mixed fruit flavours dominate the Hard Chews Sweets category, worth £71m in L52w, with recent research proving there is a burgeoning appetite among sweet eaters for exotic flavours,” Roberts says. “Mentos Discovery is primed to break new ground in the category with 14 flavours including passion fruit, lychee, blueberry, blackcurrant, lime, strawberry, raspberry, orange, lemon, watermelon, banana, grape, cherry and pineapple.”
Following the success of the Mentos Fanta launch, awarded Product of the Year 2023, the brand remains a consumer favourite, merging iconic candy and soft drink flavours. The product is now within the bestselling fruit single lines in convenience, petrol, and travel, Roberts reveals.
The Chupa Chups lollipop brand has diversified its offerings with the new Flavour Playlist XXL and Mini Lollipop Bag. The former provides a fusion of five flavours in one lollipop, while the latter offers a selection of 30 mini lollipops, each infused with Vitamin C and natural colourings.
“Chupa Chups is a £17.7m brand, growing at five per cent, so it’s fruitful timing for this new launch,” Roberts says. “At an RRP of 50p, Flavour Playlist XXL offers a delightful medley of Cola, Cherry, Lemon, Lime, with Strawberry bubble-gum at its core, promising a multi-sensory experience that will leave taste buds tingling.”
Chupa Chups has also ventured into the extruded jellies market with the launch of Belts and Laces. This new range includes Sour Mixed Belts, Sour Apple Belts, Sour Strawberry Belts, and Strawberry Laces, available in vibrant, playful packaging designed to attract new shoppers.
“With an assortment of flavours, this new format is ideal for sharing amongst friends - fruitful timing ahead of the summer months – and makes the perfect addition to any social gathering,” Roberts explains.
“With the overall laces, belts and wands category now valued at £91m and experiencing a remarkable growth rate of 19 per cent, Chupa Chups is poised to capture an even larger share of this expanding market and advises buyers to stock up now.”
Chupa Chups has also diversified its Big Babol chewing gum portfolio, with the introduction of Green Apple flavour. This new addition caters to the growing demand for apple-flavoured gum, which has seen a significant increase in popularity. With its soft, chewy texture and long-lasting flavour, Big Babol Green Apple is perfect for on-the-go snacking.
“As the second highest-performing brand in the bubble-gum category, Big Babol’s sales are ripe for this refreshing new flavour to bolster the existing portfolio,” Roberts says.
“Retailers and consumers alike have been clamouring for innovative flavours, with apple flavoured gum a popular trend, growing 595 per cent vs LY [Circana Unify], and Perfetti have listened! As Chupa Chups continues to go from strength to strength, with Big Babol Gum currently occupying a 10 per cent share of the Kids Gum Category and growing at a rapid rate of 51 per cent YoY, there’s never been a better time for retailers to stock up and invest.”
In June, Chupa Chups launched colour changing Big Babol Magic Cubes bubble gum, once again displaying innovation in the category.
Soft and chewy in texture, the moreish Magic Cubes [86g, 10u in a display, £1.75 RRP] are set “to deliver excitement with every bite”. With three different colour combinations to explore, these mouth-watering, tutti-fruity flavoured cubes are not only tasty but transform as you chew – adding an element of surprise and fun.
Leading confectionery wholesaler Hancocks has launched a new range of products from Barratt, which has been significant year on year growth. The summer launch includes taste-tingling releases like the Wham Flash Dip & Pop, a new novelty line from the original sour brand, Wham Rope and Fruit Salad Rope.
Hancocks has also announced a new novelty line under the Dip Dab brand. Available mid-August, the Dip Dab Duo Twist has a delicious lemon flavour sherbet alongside a tasty strawberry flavour candy spray.
“Novelty confectionery is a top seller for many convenience stores – the products appeal to both children and adults shopping for presents or treats for their young ones,” comments Kathryn Hague, head of marketing at Hancocks.
“Their strong appeal, attractive packaging and pocket money-friendly price points make them popular impulse purchases. Convenience retailers can merchandise novelty products on aisle ends or near till points to maximise sales.”
Meanwhile, Bebeto, the leading confectionery challenger brand, has introduced a super sour NPD, aiming to set to send super sour sales soaring. New Fizzy Whizzy Weenie Worms are deliciously sour fizzy sweets which contain three exciting flavours in every 150g sharing pack: Apple & Lemon, Strawberry & Orange, and Blackcurrant & Raspberry.
The new sweets are made with real fruit juice, using only natural colours and Halal certified.
Fizzy Whizzy Weenie Worms are available in £1 PMP and standard packs making them extremely competitively priced and well-positioned to capitalise on the sour trend. These affordable sweets are good for treating and gifting this summer as well as driving all-year-round sales.
And Chewits has shaken up its confectionery offering with the biggest launch to its line-up in recent memory: Chewits Jewels.
Combining the pillowy softness of a gummy sweet with the chewiness of a classic Chewit, the pyramid-shaped, sugar-dusted chews are Chewits’ very first soft gummies, heralding a new chapter in their long history.
Owned by Nordic confectionery leader Cloetta, the UK brand says the Jewels have also been carefully produced to comply with the government’s HFSS regulations while delivering a delicious, fruity sweet that can “stand confidently against full-sugar and other HFSS-compliant items and not be perceived by consumers as reduced-sugar”.
Initial customer surveys suggest that they have managed to do so, with 82 per cent of respondents in a blind taste trial unable to tell that the Jewels were lower in sugar (WSS Product Testing Report: Chewits Fruity Jewels, Feb 2023).
Available in both Fruity and Xtreme Sour varieties, Chewits Jewels will be the brand’s new flagship product, launched to the fanfare of a multichannel marketing campaign touting the gems as “Chewier than real jewels. Tastier, too.”
Candy Americana
Mars Wrigley is set to launch the “most playful variant” of its M&M’s brand yet: M&M’s Minis. The UK launch follows the success of M&M’s Minis in the US, where the product leads the category with an unprecedented 6.4 per cent compound annual growth rate.
Hitting shelves on 15 July, M&M’s Minis measure a whole 3.6mm smaller than regular M&M’s tapping into the trend for finding joy in small things. Mars Wrigley said the range extension is set to unlock shopper penetration by recruiting younger consumers into the bitesize sub-category, where Mars Wrigley already leads with a 42 per cent market share [Nielsen Scantrack].
Available in multiple pack formats, 70g PMP, 115g Core Pouch, 176g More-To-Share Pouch and 800g Party Pack, M&M’s Minis is a permanent addition to the core M&M’s range, joining Peanut, Chocolate, Crispy and Salted Caramel variants.
Another candy favourite arriving this side of the pond is Nerds Candy, with Fox’s Burton’s Companies UK (FBC UK), securing a new partnership with the Ferrara Candy Company as sole importer of Nerds Candy in the UK and Republic of Ireland.
Ferrara has driven the largest amount of growth in sugar confectionery in the US market over the last year. The company now moves to unlock growth in this category for retailers in the UK and Ireland by launching new products and leveraging the new route to market via FBC UK.
Through this exclusive partnership, FBC UK now supplies the nostalgic US candy brand Nerds and in the coming weeks, will bring to market some game-changing candy innovations that will officially land for the first time in the UK & Ireland. These new innovations will also be available from leading wholesalers, including Booker and Bestway.
Since 1983, Nerds has built its fame as a fun and quirky candy brand, with perfectly imperfect shapes that are better together. Over the last year Nerds has outperformed the UK Non-Chocolate Confectionary market with value sales +65 per cent year on year and annual sales of £6.7m.
And, Hancocks has a large range of exciting kids novelty products from across the pond, with lines from some of the biggest kids confectionery brands, including Crazy Candy Factory and Sweet Bandit.
One of the top selling Crazy Candy Factory launches from this year is the Fruity Gummy Noodles. The novelty pot of sweetie noodles includes candy gel and chopsticks. Other popular food-themed launches include the Squeezie Hot Dog Pop, Giant Gummy Pizza and Fast Food Big Mix.
Their Nickelodeon range includes PAW Patrol, Teenage Mutant Ninja Turtles and Spongebob Squarepants - which are sure to demand the attention of customers. The PAW Patrol Candy Container and SpongebobSquarepants Candy Container are reusable plastic containers including fruit-flavoured sweets, a sticker and a cable accessory.
New sweet Bandit launches include the Soda Razzle, a super fizzy and crunchy candy available in cherry cola, lemon lime and orange. Wacky Shark and Wacky Monkey fruit flavoured hard candy are also new alongside Flip Phone Pop, Pooplets, Sour Blast and Sour Flush.
“Super sour sweets are a popular choice with customers with a 50 per cent increase in search queries over the last 12 months,” Hague notes.
Health and taste
Health remains a significant consideration for consumers, yet the nation's love for confectionery persists. Mutton says they expect this to continue as consumers look to treat themselves as well as family and friends, particularly during key seasonal moments.
“Known and loved brands like Werther’s Original and Riesen continue to attract shopper interest in confectionery displays. Stocking a strong core range will help provide retailers with relevance all year round,” he suggests.
For those seeking healthier options, Werther’s Original offers a sugar-free range, worth £1.6 million in the convenience channel and growing at 21.4 per cent. These sugar-free, HFSS-compliant treats are crafted from real butter and fresh cream, delivering the expected taste without added sugar and fewer than 20 calories per sweet.
Mars Wrigley's recent launch of the Galaxy Vegan Salted Caramel bar, part of a refreshed Galaxy Vegan product range, responds to growing consumer interest in vegan and free-from products. The new bar, which is gluten-free and dairy-free, along with other flavours like Galaxy Vegan Classic, Orange, and Crumbled Cookie, offers a taste and texture comparable to traditional chocolate, catering to evolving consumer preferences.
Fruit-tella, a top ten candy brand from PVM, has made a significant transition to a fully vegan recipe. This change extends across its best-selling chews, including Simply Strawberry, Duo Stix, and Berries & Cherries. Maintaining its commitment to quality, these chews still contain real fruit juice and natural colourings and flavours. Individually wrapped, they promote hygiene and portion control, making them ideal for on-the-go snacking or sharing during family activities.
“Fruit-tella has been synonymous with the highest quality sweets since 1931. We are delighted that those who favour a plant-based diet can now join in the fruity fun too,” Roberts says.
“We have worked hard to perfect a vegan recipe that replicates the taste and texture of our beloved chews, and we are certain that the new formulation will be a surefire hit with existing consumers and new shoppers alike.”
Expanding into the jellies market, Fruit-tella introduced Curiosities, an interactive product line that invites consumers to explore themed worlds such as By the Sea, In the Snow, Out in Space, and On a Safari. These HFSS-compliant jellies contain 30 per cent reduced sugar, real fruit juice, and natural ingredients, embodying the attributes that make Fruit-tella a family favourite.
Taste is paramount when purchasing confectionery. Caramel continues to hit the spot with UK consumers and remains one of the most popular flavours for sweets growing at 6.8 per cent YOY in value sales [Circana, excl Discounters].
BNI and PMPs
The Big Night In occasion remains popular as consumers look to save money while enjoying time with family and friends. Mutton advises retailers to capitalise on this trend by stocking larger pack sizes of popular sweet treats.
“2024 is set to bring even more opportunities for retailers to make the most of the Big Night In occasion. Retailers have many opportunities to maximise their confectionery sales as consumers tune in to watch matches from home,” he notes.
PMPs continue to offer retailers a strong opportunity to grow sales, accounting for over 34 per cent of sugar confectionery sales in convenience stores.
“While consumers still have to make difficult decisions about their spending, they continue to look for ways to treat themselves. Not only do PMPs reassure consumers of value, but they also help retailers offer an accessible price point that builds trust,” Mutton points out.
“PMPs also cater to multiple occasions and shopping missions, and therefore, retailers should ensure that they stock a variety of price-marked pack formats from leading brands to cater to multiple confectionery occasions and signpost value for their shoppers.”
Across Storck’s brands, several PMPs are available in different pack sizes to meet various consumer demands and needs.
“Alongside the growth (+6.1 per cent) of our Werther’s Originals Butter Candy PMP, our Chewy Toffee PMP (+30 per cent in value) and Creamy Filling Butter Candy PMP (+15 per cent in value) are also performing very well [IRI Unify Convenience],” he says.
Increase visibility
With 45 per cent of confectionery products picked up from main fixtures [Lumina Intelligence], Boulter advises retailers to place confectionery items on or nearby to increase visibility and drive sales.
“Cross-merchandising can be useful for retailers looking to boost basket spend and generate impulse sales. By pairing items together, retailers can offer some inspiration for those mini moments,” he adds.
Boulter also emphasises the importance of secondary placements, such as by the till, to increase awareness and sales. Displaying point-of-sale (POS) materials that highlight new products can also be effective.
Gemma Allanson, national field sales manager at confectionery distributor World of Sweets, also highlights the importance of tills, especially for sugar confectionery.
“Sugar confectionery is often seen as a treat for customers but also as a gift to family and friends on special seasonal occasions. To boost the amount of potential sales, we encourage stores to stock sugar confectionery near tills to encourage unplanned purchases,” she says.
“If there are special offers and promotions for sugar confectionery, retailers should make an effort to put clear signage in place to drive up sales figures for these products.”
She also urges retailers to make use of their experienced field sales team who can advise on trends, merchandising solutions, POS materials and space-saving solutions in store.
“They can tailor their advice to each store’s individual needs, as they’re working with retailers in different areas, including forecourts, independents and convenience,” she says.
“Our field sales reps meet up with retailers in-person which enables them to build stronger relationships. They can use their expertise and resources to come up with the best stocking solutions that can ultimately help retailers increase sales.”
As the confectionery market continues to thrive, driven by well-loved brands and innovative products, retailers can maximise their sales by understanding consumer trends and stocking a diverse range of formats. Whether through impulse purchases, sharing formats, gifting options, or healthier alternatives, the opportunities for boosting confectionery sales in convenience stores are plentiful.
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