Confectionery Market Essay Example

  • Category:
    Marketing
  • Document type:
    Essay
  • Level:
    High School
  • Page:
    1
  • Words:
    397

Confectionery Market

Market overview

  • Definition of the market

Chocolate Bar is one of the products offered by SubWay Restaurant. This is a product that is found in the confectionery market (Richardson 2002). The confectionery market refers to the market that deals in those delicacies or sweetmeats that contain sugar, coloration and nuts as the main ingredients (Stroud 2008). The confectionery market comprises such products as chocolate bars, prunes, wafers, candies, boxed chocolates, kinder surprise for the children, confectionery bags and cookies (Nieburg 2013). The chocolate confectionery accounts about 70 percent and about 20 percent of this is for the chocolate bar. While the chocolate bar represents about 20 percent of the total confectionery market and continued to grow between 7.5 and 10 percent each year, the overall growth rate of the confectionery market, has remained between below 6 percent per year (NCA 2008).

  • Market Size

In the confectionery market, about 15.0 tonnes of confectionery products are produced. The value of annual sales for the market according to Amato and Horan (2012), is estimated to be about $150 billion. Further, according to the NCA International Strategic Report of 2012, the confectionery market is worth between $105 and $125 billion.

  • Market Potential

This is actually a growth market with small opportunities in different parts of the world. Going as per the global economic trends, it is possible to point out that the market is not likely to go beyond the 5 percent market in the next 5 years. This is attributed to the high cost of production. Despite the fact that this a grown market, there are some opportunities in regions such as Asia Pacific, Latin America and Eastern Europe (Amato and Horan 2012). Based on this analysis, therefore, it can be concluded that the confectionery is at the maturity stage given its growth rate.

References

Amato, F and Horan, K. 2012. International Strategic Report Plan (ISP) Update report compiled by Euromonitor International, accessed on August 11th 2013, available online: http://www.candyusa.com/files/EMI%20ISM%20pres%20%28NCA%29%20- %202.9.12.pdf.

NCA. 2008, World and U.S. Confectionery Market report compiled by Euromonitor, accessed on Agust 12th 2013, available online: http://www.nclcworld.com/pdf/Confectionery%20Market%20by%20Jim%20Corcoran.p df.

Nieburg, O. 2013. UK bitesized confectionery market ‘thriving’, says Mars, accessed on August 12th 2013, available online: http://www.confectionerynews.com/Markets/UK-bitesized- confectionery-market-thriving-says-Mars.

Richardson, T 2002. Sweets: A History of Candy. Bloomsbury USA.

Stroud, J. 2008. The Sucker’s Guide: A Journey into the Soft Centre of the Sweet Shop, Summersdale.