Sugar Confectionery - US - June 2007

Table of Contents

• Scope and ThemesWhat you need to know
• Definition
• Abbreviations and terms
• Abbreviations
• Terms
• Executive Summary
• The bottom line: Sales down in dollars and volume
• Several factors explain poor sales
• Private labels success
• Sugar-free not saving the category
• Suppliers balance new innovations with respect for brand history
• Chewy candy best performing segment
• Oh, look! Candy!: impulse purchasing and retail patterns
• The case for holiday inventions
• Market forecast to edge up to $3.2 billion by 2011
• Market Drivers
• Introduction
• In general, consumption of sweets declining
  • Figure 1: Whether frequently eat sweets and whether feel guilty after eating sweets, April 2000-March 2001, January-September 2004 and January-October 2006
  • Figure 2: Reasons for not eating non-chocolate candy, March 2007
• Competition
  • Figure 3: Items eaten when craving something sweet, March 2007
  • Figure: Television ad: Kellogg' s Yogos, 2007
• Kids and candy
• Demographics
  • Figure 4: Incidence of children' s and teen' s candy consumption, January-October 2006
  • Figure 5: U.S. population of children under 18, 2002, 2007 and 2012
• Childhood obesity and oral health
• Candy marketing
  • Figure 6: Where children spend their disposable income, 2003
• The 18-24 market
  • Figure 7: Items eat when craving something sweet, by age, March 2007
  • Figure 8: U.S. population of adults 18 and older, 2002-12
• Sugar-free options
  • Figure 9: Number of new low/no/reduced sugar non-chocolate confectionery products released by year, 2001-06
  • Figure 10: FDM sales of sugar-free/diet candy, at current and constant prices, 2001-06
  • Figure 11: Purchase of sugar-free gum, mints and candy for self or others, March 2007
• Private labels
  • Figure 12: Private label volume (in pounds) FDM sales of sugar confectionery, segmented by category, 2001-06 and 2006
• Market Size and Trends
• Market size
  • Figure 13: U.S. retail sales of sugar confectionery, at current and constant prices, 2001-06
  • Figure 14: Total volume (in pounds) FDM sales of sugar confectionery, segmented by category, 2001-06
• Wal-Mart estimate
• Market trends
  • Figure 15: New product releases in sugar confectionery, 2001-06
• Specific innovations
  • Figure 16: Television ad for Wonka' s SweetTarts Squeez, 2007
  • Figure 17: Werther' s Original Caramelts, 2007
• More traditional candies become sugar-free
  • Figure 18: CVS Sugar-free Assorted Fruit Candy, 2007
  • Figure 19: Guava Paste Rolls from columbia, Trader Joe' s, 2007
• Healthy candy
• Market Segmentation
• Introduction
• Sugar confectionery
  • Figure 20: FDM sales of sugar confectionery, segmented by type, 2004 and 2006
• Non-chocolate chewy candy
  • Figure 21: FDM sales of non-chocolate chewy candy, at current and constant prices, 2001-06
• Seasonal non-chocolate candy
  • Figure 22: FDM sales of seasonal non-chocolate candy, at current and constant prices, 2001-06
• Hard sugar candy package/roll
  • Figure 23: FDM sales of hard sugar candy package/roll, at current and constant prices, 2001-06
• Novelty non-chocolate candy
  • Figure 24: FDM sales of novelty non-chocolate candy, at current and constant prices, 2001-06
  • Figure 25: WonkaZoid 3-in-1 candy, dispenser and video game set, 2007
• Licorice boxes/bags
  • Figure 26: FDM sales of licorice boxes/bags, at current and constant prices, 2001-06
• Supply Structure
• Companies and brands
  • Figure 27: Manufacturer FDM sales of sugar confectionery in the U.S., 2004 and 2006
• Non-chocolate chewy candy
  • Figure 28: Manufacturer FDM brand sales of non-chocolate chewy candy in the U.S., 2004 and 2006
• Seasonal non-chocolate candy
  • Figure 29: Manufacturer FDM brand sales of seasonal non-chocolate candy in the U.S., 2004 and 2006
• Hard sugar candy package/roll
  • Figure 30: Manufacturer FDM brand sales of hard sugar candy/pkg and roll candy in the U.S., 2004 and 2006
• Novelty non-chocolate candy
  • Figure 31: Manufacturer FDM brand sales of novelty non-chocolate candy in the U.S., 2004 and 2006
• Licorice boxes/bags
  • Figure 32: Manufacturer FDM brand sales of licorice box/bag in the U.S., 2004 and 2006
• Advertising and Promotion
• Introduction
• Masterfoods USA
  • Figure 33: Starburst--TV ad: toxic, 2007
  • Figure 34: Starburst--TV ad: whale, 2007
  • Figure 35: Skittles--TV ad: leak, 2007
  • Figure 36: Skittles--TV ad: beard, 2007
• Nestlé USAFigure 37: Wonka Laffy Taffy--TV ad: "stretch out the fun," 2007
  • Figure 38: Wonka Nerds--TV ad: so many nerds, 2007
• William Wrigley Jr. Co.
  • Figure 39: Altoids--TV ad: Altoids Sours challenge, 2007
  • Figure 40: Lifesavers--TV ad: acting class, 2007
  • Figure 41: CrèmeSavers--TV ad: "CrèmeSavers, yum," 2007Cadbury Adams USA
  • Figure 42: Sour Patch Kids--TV ad: "pigtail," 2007
• Storck USA
  • Figure 43: Werther--TV ad: nostalga, 2007
• Perfetti Van Melle
  • Figure 44: Airheads--TV ad: "Out of control," a tie-in with the Pixar movie "Cars," 2007
• Jelly Belly Candy
  • Figure 45: Jelly Belly--TV ad: 50 flavors, 2007
  • Figure 46: Jelly Belly--TV ad: Buttered Popcorn variety, 2007
• Retail Distribution
• Introduction
  • Figure 47: U.S. retail sales of sugar confectionery, by channel, 2004 and 2006
• Convenience stores
  • Figure 48: U.S. convenience sales of sugar confectionery, at current and constant prices, 2001-06
• Supermarkets
  • Figure 49: U.S. supermarket sales of sugar confectionery, at current and constant prices, 2001-06
• The Consumer: Adults
• Introduction
• Summary
• Consumption of sweets
  • Figure 50: Items eaten when craving something sweet, March 2007
• Purchase of non-chocolate candy
  • Figure 51: Whether purchase non-chocolate candy for self or others, by gender, March 2007
  • Figure 52: For whom non-chocolate candy is bought, by gender, March 2007
  • Figure 53: For whom non-chocolate candy is bought, by number of children in the household, March 2007
• Adult purchases of non-chocolate candy for children
  • Figure 54: Ages of the children for whom non-chocolate candy is bought, March 2007
  • Figure 55: How non-chocolate candy is bought when bought for children: planned vs. on impulse, March 2007
  • Figure 56: How non-chocolate candy is bought when bought for children: planned vs. on impulse, by the ages of children for which candy is bought, March 2007
• Adult purchases of non-chocolate candy for self
  • Figure 57: How non-chocolate candy is bought when bought for self: planned vs. on impulse, March 2007
  • Figure 58: How non-chocolate candy is bought when bought for self: planned or on impulse, by gender, March 2007
  • Figure 59: How non-chocolate candy is bought when bought for self: planned or on impulse, by age, March 2007
• Brands of non-chocolate candy eaten among adults
  • Figure 60: Brands of non-chocolate candy eaten, by age, January-October 2006
• Times of day when non-chocolate candy is eaten
  • Figure 61: Times of day when non-chocolate candy is eaten among adult candy eaters, March 2007
• Interest in new flavors of candy
  • Figure 62: Whether enjoy trying new flavors of non-chocolate candy, by key demographics, March 2007
• Attitudes toward sugar-free candy
  • Figure 63: Attitudes toward sugar-free candy, by age, March 2007
• The Consumer: Teens and Children
• Introduction
• Summary
  • Figure 64: Incidence of teen candy consumption, by gender, January-September 2005 and January-October 2006
  • Figure 65: Brands of candy eaten by teens, January-October 2006
  • Figure 66: Incidence of children' s candy consumption, by gender, January-September 2005 and January-October 2006
  • Figure 67: Brands of candy preferred by children, January-October 2006
• Candy promotions children and teens prefer
  • Figure 68: Types of candy promotions children like, as reported by adults who buy non-chocolate candy for children, March 2007
  • Figure 69: Types of candy promotions children like, as reported by adults who buy non-chocolate candy for children, by age of children for which candy is bought, March 2007
• Future and Forecast
• Future trends
• Redefining the candy experience
• Ethics and candy: Sweets that are sweet
• The future of candy: Less mass, more class?
• Market forecast
• Sugar confectionery market
  • Figure 70: Forecast of U.S. retail sales of sugar confectionery in convenience stores and FDM channels (excluding Wal-Mart), at current and constant prices, 2006-11
• Non-chocolate chewy candy
  • Figure 71: Forecast of U.S. FDM sales of non-chocolate chewy candy, at current and constant prices, 2006-11
• Seasonal non-chocolate candy
  • Figure 72: Forecast of U.S. FDM sales of seasonal non-chocolate candy, at current and constant prices, 2006-11
• Hard sugar candy package/roll
  • Figure 73: Forecast of U.S. FDM sales of hard sugar candy package/roll, at current and constant prices, 2006-11
• Novelty non-chocolate candy
  • Figure 74: Forecast of U.S. FDM sales of novelty non-chocolate candy, at current and constant prices, 2006-11
• Licorice boxes/bags
  • Figure 75: Forecast of U.S. FDM sales of licorice box/bag, at current and constant prices, 2006-11
• Forecast factors
• Appendix: Trade Associations