SUDBURY, Mass. -- Sky Bar, the caramel, vanilla, peanut and fudge candy bar from the late New England Confectionery Co. (Necco), has been purchased by the owner of Duck Soup, a gourmet food store in Sudbury, Mass., for an undisclosed amount.
Duck Soup—its website is www.quackquackquack.com—sells proprietary coffee blends, curated wines and cheese, kitchenware, craft liquors, international foods and an array of chocolate and candy. The 49-year-old company also offers cooking classes and calls itself a “contemporary general store.”
This follows a hectic year for Necco, which went out of business after filing for Chapter 11 bankruptcy protection in April 2018, forcing the 117-year-old candy company into a federally required auction, seeking new owners for all its candy brands. Most of the candy brands were sold to established confectioners—the Boyer Candy Co. acquired Necco’s peanut butter and taffy candy bar brand, Clark Bar, while the Spangler Co. purchased Necco Wafers and Sweethearts—but Necco’s Sky Bar did not find a buyer until now.
“Like so many others, I was watching the evolving events at Necco with dismay,” said Louise Mawhinney, owner of Duck Soup. “I couldn’t believe that Sky Bar would never be produced again. I placed a bid and I must admit I was stunned to suddenly become the owner of the brand; however, we believe we have found a way to start small-batch production and make Sky Bar available once more. It’s very exciting. While we have not yet finalized all the details, we hope that we will be able to produce the Sky Bar that everyone knows and loves.”
Mawhinney has collaborated with Jeff Green, former vice president of research and development for Necco, to develop Duck Soup’s production plan for Sky Bar.
“Our goal is to be up and running later this year,” said Mawhinney. “We will keep everyone posted as events unfold.”
Necco, formerly based in Revere, Mass., produced brands such as Necco Wafers, Sweethearts, Clark Bars, Sky Bars, Canada Mints, Candy Buttons, Mary Jane and Haviland Thin Mints. The confectionery company previously was owned by New York-based investment firm Ares Capital.
CHICAGO -- Gone are the days of breakfast, lunch and dinner being consumers’ only meals of the day. People are increasingly snacking to cure their hunger, and they don’t seem to be stopping. More than half of consumers (55%) snack between meals at least twice a day—a 5% increase compared to two years ago, according to the 2018 Snacking Consumer Trend Report by CSP sister research firm Technomic. This year brought an onslaught of new snack and candy trends to retailers, some that may continue drawing customers down treat aisles in 2019.
Here are five snack and candy trends that could set the stage for next year …
Private-label snacks have already emerged in large c-store chains, giving these brands an opportunity to compete with their counterparts.
In March 2018, 7-Eleven expanded its line of packaged bakery items with the 7-Select private-label sweet bread. The bread, which was available for a limited time only, came in three varieties: Panquecitos, miniature vanilla loaf cakes; Roles de Canela, cinnamon rolls with raisins; and Panque con Nuez, sliced pound cake with chopped pecans.
Six months later, Yesway launched its newest private-label products, Yesway Candy and Yesway Baked Goods, in Yesway c-stores nationwide. Yesway Candy features loose-bag candies such as Mini Sour Gummi Worms and Gummi Bears, while Yesway Baked Goods features Powdered Donut Holes, Blueberry Muffins and fried pies.
Tortilla chips are dominating c-store salty snacks. The category garnered more than $1 billion in sales—good for a 10.8% increase compared to 2017—making up a fifth of the entire salty snack segment, according to data from Chicago-based research firm IRI. Cheese snacks were the only snack segment to come close to tortilla chips in terms of growth, yet the category still fell behind by more than 3%.
Popular tortilla chip brands this year included Doritos’ Marvel Guardians of the Galaxy (up 875% from 2017), Paqui (up 163%), Barcel Takis (up 63%), El Sabroso Guacachips (up 23%) and El Sabroso Salsitas (up 20%). Highlighting these brands, as well as other tortilla chip labels, may spark the snacking category altogether.
Between January and October 2017, cannabidiol, or CBD, candies accounted for nearly 11% of the total candy market in Colorado, Washington and Oregon, according to Boulder, Colo.-based research firm BDS Analytics. Moreover, CBD candy grew by nearly 170% in 2017, compared to 51% for candy overall.
CBD operators are channeling consumers’ interests in cannabis by infusing various candies with CBD, which doesn't contain the psychoactive element tetrahydrocannabino (THC). CBD products entering the c-store market include Hemptail, a flavored malt beverage made with Hemp; Instant CBD strips; and CBD Lollipops.
The U.S. chocolate market is expected to reach about $23 billion in total retail sales by the end of 2018, according to research firm Packaged Facts, Rockville, Md., and it doesn't appear to be slowing down. This is partially due to the emergence of premium chocolate—products that sway from traditional chocolate bars, the research firm said.
New premium chocolate products have emerged in c-stores this year, such as Mars Wrigley Confectionery's new line of chocolate-covered nuts for its Dove brand or the Hershey Co.’s Dipped Pretzels line, which debuted at the recent 2018 NACS Show. More recently, Mars Wrigley rebranded its American Heritage Chocolate (AHC) products, such as a Gourmet Hot Cocoa, Finely Grated Chocolate, Tablet Bars and Tasting Squares.
Nonchocolate candies such as sour worms, jelly beans and gummy bears are surging. Packaged Facts foresees total retail dollar sales of the sector hitting $11 billion by the end of the year, with sales having increased 3% from 2013 to 2018.
Specifically, sour candies have erupted in the nonchocolate category this year. Products such as Mike and Ike Mega Sour Mix, Trolli Sour Brite All Star Mix and Sour Punch Wild Bites all debut at the 2018 NACS show, ready to arrive in c-stores in 2019. These lip-puckering treats may be help spark continued growth in the candy segment for c-store operators next year.
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