La Trobe University MKT1MDP Report: Australian Confectionery Industry

This report analyzes the Australian confectionery industry, encompassing chocolate, gum, and sugar confectionery segments. The report provides an overview of market size, growth factors, and key players such as Mondelez International, Nestle, and Mars. It explores market segmentation, including geography and distribution channels, and examines the macro-environmental factors influencing the industry. The analysis draws on secondary data from MarketLine Advantage and IBISWorld reports, focusing on market trends, challenges, and recommendations. The report highlights the dominance of chocolate sales, the importance of brand loyalty, and the impact of premiumization and innovation. The conclusion provides insights into market dynamics and future prospects.

Confectionery
Industry in Australia

 Confectionery market includes the retailing of chocolate,
gums and sugar confectionery products.
 The market is valued according to RSP which is retail
 products.
 The chocolate segment consists of all chocolate based
products, including boxed chocolates, chocolate count
lines, chocolate straight lines, molded bars and novelties.
 The gum segment consists of all bubble and chewing
gum.
 The sugar confectionery products consists of hard boiled
sweets, mints, caramels & toffees, gums and jellies,
marshmallows, fudges and medicated throat
lozenges.selling price and additional taxes.
INTRODUCTION

 Moderate growth is analyzed from last 5
years.
 Total revenues in Australian confectionery
market is $3,450.8 million in 2008.
 Reason for growth are high brand loyalty,
premiumization, innovation with sugar free
products and dark chocolates.
 Chocolate sales is considered as the lasgest
sales in Australian confectionery market
which is approx. $2,429.8 million.
Growth in market

 Mondelez International, Inc
 Nestle
 Mars, Incorporated
 Hershey
 Lindt
Brands in confectionery
industry

 Political factor
 Economic factor
 Social
 Technological
 Environmental factors
 Legal
Macro environmental analysis

 Category segmentation Chocolate is the
largest segment of the confectionery
market in Australia.
Market segmentation

Geography segmentation
In geography segmentation, Australia accounts for 8.3% of the Asia-
Pacific confectionery market value

Market distribution
In confectionery market, Hypermarkets and supermarkets are
the leading distribution channel where convieninec stores includes the
26.6% market share.

 Confectionery market sales in decreasing
from last five years in Australia
 Fluctuation in prices of raw material
 Change the technology for the production
process
 Implementation of computer directed
controls
Recommendation and
conclusion

 Vuong, B., 2019. Chocolate and
Confectionery Manufacturing in Australia:
IBIS World Industry Report
C2172. IBISWorld, Melbourne.
 Pulker, C.E., Scott, J.A. and Pollard, C.M.,
2018. Ultra-processed family foods in
Australia: nutrition claims, health claims
and marketing techniques. Public health
nutrition, 21(1), pp.38-48.
Reference