IRI confectionery monitor: big earnings increases during the lockdown phase

There can be no doubt that the Corona crisis lockdown phase in March and April was a major driver for revenue growth of 8.0% up to € 4.727 bn and a sales volume increase of 6.5% up to 629,141 tonnes (basis: food retailers + drug stores + hard discounters + gas station shops). According to IRI, the highest profits were gained in the already strong growth category of salty snacks with a revenue increase of 15.2% up to € 1.300 bn and a rise in sales volume of 12.0% up to 158,219 tonnes.

Consumers’ taste for chocolate products (without season) also appears to have increased in this emergency situation, outperforming the previous year’s earnings by 4.9% with € 1.898 bn and increased chocolate sales quantity by 3.8% up to 188,345 tonnes. The greatest increase rates were achieved here with small tablets (revenues + 18.0%; sales volume + 21.7%) and bars (+ 10.4%; + 9.4%). However, the IRI market researchers calculated a slight decline for Easter season chocolate products of 1.3% down to € 444.9 m (sales volume + 3.9%; 29,453 t).
The sweet baked goods and cake product group underwent growth that was far above average with revenues of € 838.7 m (+ 9.6%) and sales volume of 155,996 tonnes (+ 8.5%). In comparison, the growth with sugar confectionery was relatively mild, up 2.6% in value (€ 690.4 m) and 2.0% in quantity (126,581 t). The chewing gum segment witnessed a significant decline in the first four months of 2020, with revenues down 7.8% to € 147.3 m and sales volume falling by 10.6% to 99.4 million pieces.