SF-Confectionery-2020

19 COVID specialityfoodmagazine.com As you might suspect from conversations with your own customers, the data shows a distinct evolution of shopper priorities as the months since initial lockdown have passed. “The first fewmonths were about preparing for the worst,” says Rachel, “whereas as the situation has evolved we see shoppers making the best of things – ice cream, home baking, and alcohol benefitted. We see people using their grocery shopping as a way to treat themselves and bring a bit of excitement into the home.” If the data is correct, UK consumers have been reaching for mood-boosting, perspective- lightening confectionery in a big way. “If we think about chocolate, a classic category shoppers will use to treat themselves, it’s been quite positive,” points out Rachel. “In the 12 weeks to July chocolate was up 25% in value growth vs 2019, and that’s ahead of total grocery which grew at 18%.” Within that increase multipacks and larger bars have performed particularly well. Own label performed better than brands (a reversal of a trend towards known manufacturers elsewhere in grocery.” Affordable luxuries According to a report on chocolate that market analysts Mintel published in July, “premium chocolate is bought as an affordable luxury by 56% of those who buy and eat chocolate. This shows that for many, this treat is able to offer a lucrative combination of quality and price, allowing it to be seen as value for money. That this remains at 50% even among those describing their finances as tight bodes well for the segment to continue to appeal even in the income squeeze triggered by COVID-19.” What’s more, Mintel sees NPD as a key opportunity for chocolate to buck the effects of lower discretionary spend. It’s not all good news. The flip side of consumers ‘cocooning’ away Jeff Bray, principal academic in retail consumer behaviour at Bournemouth University, shares his take on winning seasonal sales when footfall is through the floor FORGET WHAT USED TOWORK It’s very clear in the current climate that if you treat this Christmas the same as last that’s simply not going to work. The old retail model is dead, and to be honest I don’t think it’s going to return. You need to rethink, and now’s the time to do it. Take more of your offer online – and that could be as simple as honest and frank updates on Facebook. Solve the customers’ problems, whether that’s gift wrapping or offering to meet shoppers who are shielding outside the shop with a package... you won’t get big retailers agreeing to do that. FACILITATE ESCAPISM People are more likely to be at home hosting or treating than they are to be going out, so ‘gifting’ is key. For me it falls into three categories: the ‘wrap it up and give it’ gift; the ‘self-gifting’ (so treating oneself) and ‘host-gifting’. People will be upgrading more this year than ever because we’ve all had such a miserable six months; people may see Christmas as their one opportunity to escape the difficulties. Despite the headlines, very many people have kept their jobs and are in a good place economically to splash out on treats. CUT THROUGH BLANDMESSAGING People go to the high street for an experience, but sadly I don’t see that happening in-store this year. However all the uniqueness independents have at creating a special experience can be replicated in a very cheaply online. In my experience there’s always somebody incredibly enthusiastic behind every fine food business; a regular, authentic chat to camera shared on social media will bring people onboard far more than the bland messaging of larger companies. HOW TO APPROACH CHRISTMAS TRADING IN 2020 from a pandemic is their concerns for the healthiness of their habits. Whilst Netflix and treats were a quick fix for pandemic anxiety, as the situation rolls on, experts see a new attitude to treating. “Although the market [for chocolate] has proven resilient in past difficulties, the economic downturn triggered by the COVID-19 outbreak will coincide with new challenges,” says Angharad Good, research analyst at Mintel. “The heightened spotlight on health will dial up the pressure from the existing sugar reduction targets. However, there is openness to reduced sugar variants and opportunities within flavour innovation and for brands that can position themselves as accessible luxuries.” With Covid causing health in general, and obesity in particular, to be big concerns among the buying public, it’s more important than ever to differentiate your confectionery from the high sugar, low nutrient sweet stuff that will increasingly be demonised. When every calorie counts indulgent treats will have to deliver an excellent taste, an ethical feel good factor and ideally even a hint of healthiness to help consumers justify the calories. People will be upgrading more this year than ever because we’ve all had such a miserable six months Premium chocolate is bought as an affordable luxury by 56% of those who buy and eat chocolate. This shows that for many, this treat is able to offer a lucrative combination of quality and price, allowing it to be seen as value for money

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