The market size, measured by revenue, of the Chocolate & Confectionery Production industry is £3.8bn in the UK, however, changing consumer habits and the need for healthy alternatives have contributed to falling demand for confectioneries.
5. Kinder
In fifth place for another year is Kinder, with sales of £151.6m. Despite a salmonella outbreak prompting recalls in April 2022, Kinder is the fastest growing kids confectionery brand in the UK after the launch of the egg-shaped Kinder Joy in 2017 brought millions of pounds in sales and recognition.
4. Maltesers
In fourth place for another year is Maltesers, which currently holds 4% of the UK’s chocolate confectionery market. Owned by Mars, the first Maltesers product was introduced to the UK in 1937 and the company now sell a total of 187 million treats a year generating growth of 28.7% in 2018; above the industry average of 1.2%.
3. Galaxy
In third place is Galaxy (down one place, overtaken by Lindt Lindor from second place) worth £180m, a 12% share of the total market. Galaxy is made and marketed by Mars and was first manufactured in the UK in the 1960s. The chocolate is cooked using traditional methods with a touch of natural vanilla, giving the bar its distinctive flavour.
2. Lindt Lindor
Lindt Lindor is second place (up one from last year). The Swiss chocolatier and confectionery company use a ‘closely guarded manufacturing secret’ to give Lindt chocolate its special taste. The Lindor range stocks 14 different flavours including Citrus, extra dark, mango & cream and hazelnut.
1. Dairy Milk
Keeping the top spot for another year is Dairy Milk, a British brand of milk chocolate manufactured by Cadbury, with a vast market share of 34.1%, selling more than 350 million bars every year. The bars include over 85 flavours e.g. fruit and nut, Oreo, fizzing cherry and honeycomb. They also offer a create and name your own chocolate bar. Every product in the Dairy Milk line is made exclusively of milk chocolate.
In conclusion, with falling demand for confectionaries due to factors such as rising health consciousness, HFSS and the cost of living crisis, traditional products have been forced to adapt to changes in trends by bringing out reduced-sugar and vegan alternatives to popular products. Own label is already gaining ground in value terms, up 1% despite a 7.5% drop in volume, this is due to high inflation levels and low disposable incomes which are creating a demand for cheaper products.
How do you see the market changing over the coming years?
