Jessica DiNapoli, Maytaal Angel, and Richa Naidu of Reuters report that confection-makers are pitching non-chocolate items as cocoa prices continue to soar. They write:
Hershey, Mondelez, and other confection-makers are employing promotions and pitching more non-chocolate Easter treats like cookies ‘n’ cream bunnies at a time when soaring cocoa prices threaten their profits and shoppers balk at high prices.
With shoppers’ “impulse buys” of chocolate and candy at convenience stores and in grocery checkout lines down, according to industry data, special occasions like Easter and Halloween are increasingly important to the companies’ sales. […]
But he added: “Even they will see sales volume pressure, its not going to be an easy year for them.”
Mass-market chocolatiers like Mondelez are also more likely to invest in brands not tied to cocoa, consultant Ament said. The Chicago-based company also sells crackers, cookies and other snacks.
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