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Healthy growth demands attention

Steady growth and healthy profits mean retailers should always be paying attention to their gum fixture, looking at current trends and considering secondary sitings to make the most of a category that perfectly illustrates impulse purchasing.

After a period of flatness the gum market’s return to growth is showing no signs of stopping. Value sales are up 3.1% and it will be of no surprise to anyone that Wrigley is driving this growth. The company’s £247m UK sales grew ahead of the market at 4.6%. Whatever recent competition might have done to generate interest in the sector, it is the reaction of Wrigley that has impressed most. Sales of Extra and in particular Extra White are driving this growth, with Extra White currently worth £26m in values sales and is growing by 91.1% year on year.

Katie Codd, Oral Care Brand Manager, Wrigley UK, says: “The great news for our UK customers is that the growth potential for gum is anything but mature, and Wrigley will continue to keep the category fresh and alive with well researched and developed NPD.”

Recent NPD has worked effectively for Wrigley – and for retailers – include Extra pellet bottles. Last month, Wrigley launched a new-look and rrp for its Extra 60 Pellet Bottle – available in Extra Peppermint and Extra Spearmint variants. A 46 pellet smaller bottle, launched back in January, has also risen to the challenge, posing sales of £4.4m.

Codd says: “The gum category has enormous potential, which we’re continuing to tap into with our 46 and 60 pellet bottles, designed to cater for the growing number of consumers choosing to eat on the go. Research indicates that snacking at work and eating and drinking in cars is on the rise, with two out of three office workers regularly eating lunch at their desk and 70% of drivers eating and drinking on the road.”

Sue Cobbledick, Senior Brand Manager for Oral Care, Wrigley UK adds that oral care is another trend with mass potential. She says: “The oral health care benefits of gum are what drive the majority of chewers; it is one of our key focuses.”

A further trend identified by Wrigley is for fruit flavoured gum. While fruit flavours have ebbed and flowed through the gum fixture over recent year, Cobbledick says the trend is strong: “Not only is it a great way of recruiting new, younger chewers into the category, but is also gives consumers variety.”

In this area, Wrigley has been pushing its Extra White Bubblemint. Its success looks to be incremental too, with 38% of purchasers new to the gum category.

Minted sales

The UK mints market is worth over £149m with Mondelez International’s Trebor brand leading the way. Individual variants are performing strongly, with the number one selling mint, Trebor Extra Strong Peppermint, and Trebor Extra Strong Spearmint in 9.6% and 12% growth respectively.

Susan Nash, Trade Communications Manager at Mondelez International, comments: “There is a range of core products across the Trebor brand that we would recommend retailers stock. Within the mints and gum category these are Trebor Extra Strong Peppermint and Trebor Softmints Peppermint which are the number one and three selling mints respectively.”

To achieve the best results, it is important to stock the right range and flag the mints and gum category with key brands, according to Nash. She says: “The mints and gum categories are not usually top of mind for shoppers when entering a store and can be easily forgotten. However, extensive research demonstrates that when consumers see these products, the majority of them go on to purchase10, so we recommend retailers do all they can to maximise presence and location of mints and gum in their stores.”

Secondary sitings

Depending on store size, secondary gum sitings are also an important and profitable opportunity for retailers, according to Wrigley. However, its research shows that 88% of retailers are missing out on this huge opportunity by not utilising secondary gum displays in store.

“Where possible, it’s vital that retailers take every opportunity to maximise the visibility of gum”, says Tom Jarratt, Wrigley Customer Marketing Director. “Next to the till point is where every gum display should be, but retailers should also look to secondary sitings to increase rate of sale.” A second display can be anywhere a retailer chooses. Next to another till or at the end of an aisle is recommended, but retailers can get creative by placing gum, such as sugarfree Extra, with other oral care items, or near ‘food to go’.”

 

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This publication contains images and information relating to tobacco products. Please do not view if you are under the age of 18 years old.

This website contains images and information relating to tobacco products. Please do not view if you are under 18 years of age.

This website contains images and information relating to tobacco products. Please do not view if you are under 18 years of age.

This publication contains images and information relating to tobacco products. Please do not view if you are under the age of 18 years old.