Halloween candy prices rise 71% since 2021 as Hershey’s reports lower sales volume

A FinanceBuzz analysis finds the average 100-piece candy bag now costs $16.96, with Hershey’s citing consumer cutbacks

Halloween candy prices rise 71% since 2021, according to a recent analysis by FinanceBuzz, with the average cost of a 100-piece bag of assorted treats reaching $16.96. This sharp increase, more than three times the 22% rise in overall U.S. consumer prices over the same five-year period, is impacting American families as they prepare for Halloween celebrations. FinanceBuzz’s study, which examined archived supermarket advertisements and current retail listings, also found candy prices rose another 3.5% compared with last Halloween.

The financial effects of these higher prices are reflected in the latest results from Hershey, the largest chocolate maker in the United States. In its third-quarter earnings report released on 29 October, Hershey disclosed that sales volume and product mix in its North American confectionery business declined by approximately 11% from a year earlier. The company attributed about 13 percentage points of its sales growth to price increases over the same period.

Despite the drop in volume, Hershey’s North American confectionery division saw revenue rise 1.6% to $2.66 billion for the quarter ended 27 September. The company said the decline in volume was due to consumers’ response to higher prices and normal fluctuations in shipment timing. Total quarterly revenue for Hershey, which produces brands such as Reese’s, Kit Kat, and its namesake chocolate bars, reached $3.28 billion, up 3% from a year earlier.

CEO Kirk Tanner stated that Hershey was making progress on its business priorities, even as consumers became more cautious about spending. Americans are expected to spend a record $13.5 billion on Halloween this year, but recent surveys indicate that some households are looking for ways to cut costs amid rising prices in the candy aisle.

Source: https://www.ibtimes.com/halloween-candy-prices-have-jumped-over-70-five-years-hersheys-says-shoppers-are-cutting-back-3809165