Overview
- Retailers expanded markdowns on Hershey products ahead of the holiday, with Datasembly reporting more than half of one mass retailer’s Hershey items on sale by early October and Jefferies noting a sharp rise in discounted volume.
- Overall Halloween candy prices are up about 10.8% from last year, while Circana data show chocolate unit prices rose 8% over the 12 weeks ended October 5 as per-unit sales were flat.
- Shoppers are shifting toward non-chocolate treats: Circana reported chocolate volumes down 6% in the 12 weeks to October 5, while non-chocolate seasonal candy volumes rose 8.3%.
- Manufacturers are countering higher costs with smaller packages, reduced cocoa content and more non-chocolate seasonal items, even as cocoa futures have eased from 2024 peaks but remain elevated.
- NRF projects record Halloween spending of roughly $13.1 billion this year, and Hershey’s CEO said Halloween results have been disappointing and the company will adjust seasonal product and marketing strategies.