- Hershey is upping its game at convenience stores, where it already has a strong presence, as evidenced by the company's appearance at the National Association of Convenience Stores Show this week.
- About 63% of Hershey's confection sales come from the in-line set, and 37% of sales are derived from merchandising and secondary placement. "Priority No. 1 is getting the in-line set correct followed by ensuring confection is present under the counter and in secondary locations," David Nolen, Hershey's senior director of CSI, told Food Business News.
- The company is also focusing on beefing up space for take-home package types, which are growing at double the speed of the category due to consumers' increasing preference for shopping for everyday items in smaller format stores.
"Hershey leverages consumer insights and data in planning effective floor displays and product mixes to help convenience stores increase sales velocity," Food Business News reported.
Seasonal items are one specialty product that has been successful for Hershey in the c-store format. Nielsen data shows that seasonal confectionery sales in convenience stores saw an annual category growth rate of almost 20% in the last four years.
"For Hershey, which has more than 78% share and all 10 of the top 10 seasonal items, increased distribution of such holiday-themed products as the Reese’s 1-lb Peanut Butter Cup is expected to drive higher sales," according to Food Business News.
Snacks are also a key driver for Hershey's sales in convenience stores, which has led to product developments like Brookside Fruit & Nut Bars and Hershey’s, PayDay, and Mr. Goodbar Snack Bites.