Tuesday, 3 May 2011

Easter sales down?

If your Easter chocolate sales have not been quite as you would like, be consoled by the fact that you are not alone.

The Grocer has reported that supermarket Easter egg sales were “hammered” by the hot weather as shoppers swapped chocolate for a cold beer over the Easter Bank Holiday.
The Grocer reported:

"Easter got hammered by the hot weather," said one senior confectionery source. "Everyone was very comfortable in the run-up to Easter, but two weeks prior to the weekend, we saw the first of the good weather and instantly saw a significant dip in like-for-likes." Some sales were down 20%, he added.

Data from Assosia revealed promotions were hastily switched as the hot weather began. The number of ambient confectionery promotions offered by the big four, Waitrose and The Co-op Group slumped 14.1% in the two weeks leading up to Easter Sunday, against the equivalent two weeks the year before.

The switch was most pronounced at Tesco, with confectionery promotions down 36.2% but beer deals up 262.5%. Morrisons was the only retailer to increase confectionery promotions during the period.

Retailers had cancelled their Easter egg orders, resulting in a "buoyant season" for branded eggs in the residual market, revealed another source.

"There has been a slush of job stocks available through wholesalers with brands such as Lindt, Cadbury and Milky Way," the source said. "The type of egg offered and the time they are being offered has been marginally earlier than usual due to the discounting by the multiples and cancellations by a wider base of retailers."

In addition to the supermarkets, The Telegraph has just reported that Thorntons has not had the best of times over the bank holidays where chocolate sales are concerned.

The company said sales at its 371 company-owned stores were down 13.9pc to £31.4m in the 16 weeks to April 30, a 12.6pc like-for-like decline.

But the company did see sales in its commercial channel - selling through supermarkets - increase 25.1pc in the face of strong competition.

Keep an eye on Sweet Retailing to be up to date on confectionery retailing activities!

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