The latest Fast Moving Consumer Goods (FMCG) industry trends report reveals a decline in the volume of confectionery sales over the last year in the UK, despite events like the Diamond Jubilee and the Olympic Games.
For the 36 week period up to 1 September, volume sales of confectionery dropped 1.3% compared to the same period in the previous year-the second highest decrease across all food categories. At the same time sales value is increasing – up 1.3% in the first 9 months of 2012 – indicating that the price of confectionery is rising, forcing consumers to cut back to make savings. The price of confectionery is however rising more slowly than in any other food category.
Confectionery manufacturers have responded to declining sales volumes and competitive pressures by increasing the amount of product they sell on promotion – up from 64% of all products sold in the year up September 2011 compared to 66% in the year up to September 2012.