Sector Insight: Sugar confectionery and gum

Be the first to comment
Still from Ferrero ad
Still from Ferrero ad

Health messages and price rises appear to have had only a partial impact on consumer attitudes; most people say they share their sweets, but regular consumption is high.

MEET THE MAIN PLAYERS

DARYL FIELDING - Vice-president, marketing, Kraft Foods

Fielding joined Kraft in 2010, her earlier career having been spent in ad agencies, bar a brief stint at The Independent as commercial director. Based in Zurich, she was brought in by chief executive Irene Rosenfeld to boost marketing across Europe.

 

HERWIG VENNEKENS - Managing director and marketing director, Haribo

Vennekens joined Haribo in 2007, having previously worked for McCormick and Procter & Gamble. At Haribo he was behind the Starmix 'interrogation' ad and the successful launch of seasonal ranges.

 

DAVID RENNIE - Managing director, Nestle Rowntree

All Nestle confectionery marketing departments report to Rennie. He joined Nestle from Procter & Gamble in 2005 and was promoted from marketing director to managing director in 2009.

 

DANIELA CAMPARI - UK and Ireland marketing director, Wrigley, Mars

Campari took over the role in June 2011 following the departure of Toby Baker, who left to join Burton's Foods. A former Coca-Cola global marketing director, Campari was brought in to reinvigorate and expand the gum category, which has been under pressure in recent years.

WINNERS AND LOSERS


Recent Haribo campaign

Haribo - Sales up almost 50% since 2008 due to upward trend for soft gums, jellies and sharing bags.

Randoms - A big success for Nestle, which started the trend for flavour combinations.

Tic Tac - The revival of the mint market added about £4m to the brand in 2010.

Starburst - The brand has struggled in recent years, but owner Mars is fighting back with NPD such as Tongue Tangles.

Trident - Sales fell after a promising launch. Kraft streamlined the gum line and pulled ads in 2010/11. Global campaign due in 2012.

KEY TRENDS

- Health Only one-third of sweet-eaters feel guilty about consuming them; 85% of parents are happy to give their kids sweets as treats. Much NPD has focused on no additives/preservatives.

- Trends Regular consumption is high: 15% eat sweets daily and 35% two or three times a week.

- Costs The rising price of sugar has hit brands. Margins have been under pressure and retail prices have had to increase.

- Demographics Falling numbers in socio-economic group D, the heaviest users, may challenge brands. An ageing population will hit gum and chewy sweets most.

- Sharing Brands are tapping into the popularity of £1 price-marked packs and sharing bags.

Source: Mintel

SUBSCRIBE TO CAMPAIGN

Only £57 for 3 months

Includes every print & iPad edition, plus full access to Campaign online and other Brand Republic sites.

SUBSCRIBE

Campaign Jobs

Thousands of jobs across advertising, creative, marketing and media

Happy 12th birthday, Facebook - what's next for the world's most powerful tween?
Share

1 Happy 12th birthday, Facebook - what's next for the world's most powerful tween?

The social network celebrates its latest birthday this week, and there is no sign that its dominance will dwindle any time soon, writes Daniel Price, head of social operations at Lost Boys.

Just published