CHOCOLATE BARS
CHOC-A-BLOCK One of the most impulsive purchases in the P&C channel, how does chocolate stay front of mind for consumers, asks Thomas Oakley-Newell.
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long-time staple in the petrol and convenience (P&C) channel, chocolate continues to deliver sales growth for many companies in the segment and is one of the most impulsive products in the market. Available in a variety of forms – blocks, bags, and bars – consumers have consistently enjoyed the category. The AACS State of the Industry Report 2021 revealed that while chocolate growth wasn’t as strong as in 2020, the category still delivered 1.9 per cent growth, delivering +$6 million in value to retain the largest share of the confectionery category overall. Anna Matheson, Channel Manager from Nestlé, said during the pandemic sharing formats were positively impacted as consumers were looking for new ways to indulge. “Chocolate bags and chocolate blocks experienced significant growth and expanded their presence in-store. Blocks have maintained momentum as we transition post-Covid, with Nestlé blocks +2.4 per cent in the quarter, growing ahead of the segment.1” Tom Wild and David Walpole, spokespersons from Mondelēz, said the company had noted a 15 per cent increase in basket penetration in the P&C channel and bars remain a growth focus. 44 June/July 2022 | C&I | www.c-store.com.au
“We’ve seen strong sales value growth in the channel, which outperformed the likes of hot dispensed beverages and grocery items. “Along with beverages (inc. coffee), bars are one of the most impulsive and expandable products within the channel and deliver on multiple missions and occasions throughout the day – we also see bars being the anchor for us to unlock additional activation points both in-store and online.” Another growing consumer trend noted by Sheri Juchau, Category and Trade Marketing Director for Ferrero Australia, was the desire for sustainably created products. “We are seeing steadily-increasing consumer demand for chocolates with more sustainable ingredients, so we are proud of the ongoing progress of our sustainability initiatives; for example, since January 2021, Ferrero has sourced 100 per cent certified-as-sustainable cocoa for all our products through independently managed standards including Fairtrade and Rainforest Alliance.” Juchau spoke of the importance of the P&C channel to Ferrero, saying that given P&C is a high impact channel where consumers actively seek out new products, it is able to deliver increased awareness and the trial of new products, such as