The Sweets & Snacks Expo held an early morning eye-opener session – the State of Treating – on May 14, led by 210 Analytics President Anne-Marie Roerink, who gave an in-depth look at the everyday and seasonal confectionery landscape.
Drawing on category and channel performance from Circana and input from more than 1,500 consumers on preferences, influences, shopping patterns and demographic impacts, the presentation offered insight into what worked in 2024 and what likely will drive success in 2025 and beyond.
According to the study, inflation is the “biggest driver of financial concerns, with today’s food and beverage prices being 28 percent more than they were in 2019.”
Consumers also shared that price was the key reason they bought less. Even though the rate of inflation slowed, prices continued to climb in 2024.
Consumer health goals were another contributing factor to decreased consumption. Fifty-seven percent of shoppers shared that limiting sugar was their reason for consuming less confectionery snacks.
Other factors included overall physical health, 43 percent; medical reasons, 19 percent; feel better mentally when consuming less chocolate/candy, 18 percent; specific diet, 18 percent; and worried about eating processed foods, 15 percent.
The study found non-chocolate candy outperformed in dollars, units and volume compared to chocolate candy. Most non-chocolate subcategories gained in dollars, while sugar-free gum drove the growth for the subcategory.
Mindful treating
Mindful shopping was a major trend throughout the State of Treating study, with consumers more aware of financial decisions and candy selections, regardless of whether related to health or the planet.
While price dominated the purchase decisions in 2024, it was not the only consideration for consumers. They also took into account the brand, their mood and product nutrition. Other factors include if there was a promotion or certain occasion approaching, the pack type and the product’s sustainability commitments.
One way brands and retailers can capitalize on increasing treat sales is through branded in-aisle and secondary displays.
The focus on value led to a number of money-saving measures in 2024:
- Sales promotions – Consumers check for sales promotions across stores, with price being the top purchase driver. They favor BOGOs and mix-and-match discounts, with longer promotions preferred over short ones even if the discount is better.
- Private brands – While manufacturer brands dominate confectionery sales, shoppers are more likely to consider private brands today, especially when buying chocolate.
- What and how much – Consumers adjusted for inflation by purchasing different types of items and pack sizes. Ultimately, they bought less and shifted toward non-chocolate candy and snacks.
- Channel choices – Shoppers continued to visit value-focused channels, including club and dollar stores. Sales in the drug and convenience channels declined.
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