This season, Nestlé Confectionery is launching a new range of confectionary for the convenience market in a bid to make the most of the incremental sales and profit opportunity Spring has to offer.
The key to success for any retailer wanting to capitalise next Spring is a clear focus on Easter immediate consumption early in the season.
Last Spring, confectionery sales increased by four per cent, this growth came from existing shoppers buying more often, buying more packs and spending more within the category.
Importantly it was categories, such as Easter immediate consumption, which fits with the convenience store offering, that saw the biggest sales growth.
For 2012, 60% of Nestlé Confectionery’s range will be new or renovated, aiming to create excitement with shoppers and generate incremental sales for retailers next Spring.
Next Spring the number one focus remains on immediate consumption; sales of which grew by four per cent in the convenience channel last Spring.
What’s more, Nestlé Confectionery drove growth, growing by 14% in the convenience channel.
The immediate consumption category makes up 75% of total Easter sales – making it the one category convenience retailers should invest in.
Seasonal impulse products offer retailers an incremental sales opportunity on top of their existing singles confectionery sales.
With a higher penetration than filled eggs, seasonal impulse sales soared last Spring in the convenience channel up 22%, worth £5.7m.
In Spring 2011 NPD accounted for 25% of total seasonal impulse sales.
Launched in January, Aero Lamb was the No. 1 piece of innovation across the total Spring market – generating £2.7m in sales.
New for Spring 2012, to build on the success, Aero Lamb will be back with a bubbly peppermint centre and draw on the most popular Aero flavour variant.
In response to consumer demand, the new Aero Mint Lamb (RRP 65p)aims to increase the novelty appeal of the product.
The Aero Mint Lamb will come in a smaller 30 count outer for placing at the till point to maximise impulse sales.
Joining the Nestlé Confectionery collection of springtime treats is Smarties Little Choc Chick.
Containing no artificial colours, flavours or preservatives, the new Smarties Little Choc Chick is a foiled wrapped, hollow milk chocolate chick filled with mini Smarties (RRP 65p).
Mini eggs account for almost 30% of total Easter sales within the convenience channel.
Worth £9.4m and sales growth of 17% last Easter – mini egg sales show no signs of slowing.
Sales of Nestlé Confectionery mini eggs outperformed the total sales in convenience and saw an increase of 30%.
Containing no artificial, colours or flavours, Smarties Mini Eggs and Milkybar Mini Eggs (RRP £1) aim to increase profits next Spring.
In 2012, Smarties Mini Eggs also hope to benefit from refreshed branding to increase the seasonal appeal of the product.
Small eggs have an important role at Easter, as the key format for younger families.
Small eggs meet a specific shopper need – portion controlling the amount of chocolate for younger families – and branded eggs outsell licensed eggs on a 6:1 ratio.
Milkybar small egg was the only small egg to grow in Easter 2011 – growing by 4%.
After seasonal sales last Spring –Milkybar Cow and Smarties Chicken and Egg will be back for Easter 2012.
Following the success of Smarties Chicken and Egg, Nestlé will be launching the Smarties Henhouse for Spring 2012.
With an RRP of £4.99 the Smarties Henhouse contains a hollow milk chocolate egg and a Smarties Chicken and Egg.
The henhouse shaped box offers the opportunity for kids to enjoy the theme of Easter even after the chocolate has gone.
Last Spring sales of sugar cartons grew by eight per cent in the convenience channel.
Playing on the strengths of the Randoms brand, Nestlé is introducing a Springtime Rowntree’s Randoms carton (RRP £4.07) complete with Easter inspired characters.
The Rowntree’s Randoms carton aims to capitalise on the success the brand has enjoyed since launch, now worth £19m, growing by 60%.
40% of all Easter gifts purchased are for adults, over 85% of Adult eggs are sold in the last four weeks of Easter.
Nestlé Confectionery has highlighted the three key adults eggs for convenience retailers to focus on in 2012.
An added value offering, Kit Kat Mug Egg (RRP £5.99), for 2012, the mug egg will be free from plastic fitments making it 100% recyclable.
Next, the Quality Street insider egg (RRP £5.40) is complete with its gift-worthy packaging and sweets inside the egg to set it apart from other products.
Finally and new for next year is the Easter gift for men – the retro Yorkie Digger egg (RRP£5.59).
The Yorkie Digger egg contains a hollow milk chocolate egg and two Yorkie Milk bars in a digger presentation box.
Graham Walker, Nestlé UK Trade Communications Manager, said:
“For convenience retailers to really make the most of the seasonal sales opportunity that Spring offers, they absolutely must stock the four immediate consumption products Nestlé has to offer.
“For those who can accommodate, Nestlé has designed an extended range with the convenience retailer in mind so they can win big next Spring.
“Ultimately, the boost in profits will come from immediate consumption and retailers should get off to fast start by stocking up in January and maintaining visibility throughout the season.”