US candy makers haunted by Halloween discounts as retailers scare up sales

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Customer more frugal worries about Shrinklation

Discounts this year were mega started earlier.

Candy companies attempting to restor profits after cost spikes.

US retailers are discounting some Hershey candy before Halloween on Friday the confectioner mega holiday after it hiked prices this summer due  to cocoa inflation according to third party data.

The data from investment bank jeffries and Datasembly showed Hershey was among food makers with highest volume of product sold at discount in four weeks to October
4 compare to before year and one mass retailer put more than half of company season candy onsale by October.
halloween

halloween candy

US consumers are tightening spending in general due to uncertain economy and government shutdown and rising cost of sweet has prompted them to shave their candy budgets.
This is forcing confectioners and retailers to turn to discounts.
Datasembly said Halloween discounts on all candy brands started earlier this year  were deeper and covere more itmes than in past.
These consist of products from Mondelex which makes Sour Patch kids sweets and Mars home of M M and Skittles Hershey famous for Kisses and Kitkat bars.
A Hershey media person said that its seasonal candy like pumpkin shaped Reese had fewer discount this year than past year.
Hershey told retailer in july it would be implementing a double digit price spike on average on its candy and media reports said this would be about 10%.
The media person added Halloween candy was not consist in price hike and the company has changed its spending on Halloween discounts.
Halloween candy shopping continue throughout October and data cited by Jeffries covered all Hershey product which consist of salty snacks.
Chocolate candy sales per unit were flat in 12 week ended October 5.
Price rose 8% according to Circan a market research firm.
halloween

halloween candy

Halloween is Make or Break For Candy Companies

Hershey CEO Kirk Tanner added on Thursday that Halloween sales were somewhat soft and citer warmer weather and timing of holiday later in week.

The Price of cocoa the main ingredient in chocolate has moderated but remain high at about triple its pre 2022 level.

Halloween and season occassion like Valentine Day and Easter are important for confectioner because consumer budget for holiday treats.

It is make or break for our seasonal busines said Chantal Butle Mondelez president of North American confectionery.

Hershey is among 31 food makers tracked by investment bank jeffries that had biggest increase in volume of goods sole with discount in four weeks ended.

October 4 according to jeffries research note that cited Nielsen data consumers love holiday treats righ now want they want the best bang for their  buck and are waiting for promotions.

They opt out of holiday said Katie Thomas the lead of Kearney Consumer Institute.

Chocolate prices have spiked almost 30% since last Halloween due to inflation tariffs and global cocoa shortage.

halloween

halloween candy

Shoppers are shifting toward cheaper tendier candies like gummies and sour treats with Chocolate Halloween market share drop from 52$ to 44$ according to Circana.

Candy makers are adapting with cocoa free choices smaller bars and expanded gummy liners to offset cost and appeal to Gen z tastes.

halloween

halloween candy

 

Halloween this year is not a ghost goblin or ghoul its price of chocolate.

From Snickers to Reese To Twix one of American favorite indulgences is getting expensive as tariffs inflation and high cocoa prcies sequeeze profit margins and consumers pocketbooks possibly leading to fewer chocolate bars landing in trick or treat buckets this year.

Almost 4 in 5 American purchase candy for Halloween holiday accordin gto YouGov.

this time of year makes up almost 18% of annual US confectionary sales second only to Christmas according to National Confectioners Associations.

halloween

halloween candy