Editor's note: This article appeared in the October 26, 2009, edition of Quirk's e-newsletter.
Private-label candy marketers are facing a scary Halloween season, with category share projected to fall from 8.1 percent to 5.6 percent in the days leading up to and including Halloween, according to New York researcher The Nielsen Company. The trend will be evident in both chocolate and non-chocolate candy segments. Perhaps due to the special festive packaging and the promotional pricing, consumers are expected to stick with the spooky celebration staples, like those made by Hershey's, Nestle and Mars.
"Without a doubt consumers continue to turn to store brands in a down economy," says Todd Hale, senior vice president, consumer and shopper insights, Nielsen. "What we see with Halloween candy sales, however, is a sign that consumers may be splurging with brand-name products for the holiday or simply taking advantage of brand-name promotions and price reductions."
Halloween candy sales are projected to total $1.9 billion and a whopping 598 million pounds of candy sold (more than Valentine's Day or Easter), and consumers cut it close when it comes to the shopping. Nearly 90 million pounds of chocolate are sold during the holiday week, with the Sunday before Halloween and the actual day being the most popular days for sales.