Candy Companies Market Gum in the US as a Stress Reliever and Focus Enhancer to Boost Sales

gum Candy Companies Market Gum in the US as a Stress Reliever and Focus Enhancer to Boost Sales

Candy companies are trying to reignite interest in chewing gum in the United States by promoting it as a stress reliever and a tool to improve concentration.

During the COVID-19 pandemic, sales of gum plummeted as masks and social distancing reduced the concern about bad breath, and people were less likely to make impulse purchases. According to Circana, a market research firm, sales of gum in the U.S. dropped by nearly a third in 2020.

Although there has been a slight increase in consumer demand since then, U.S. chewing gum sales only rose by less than 1% last year, reaching 1.2 billion units, which is still 32% lower than in 2018. While sales in dollars have returned to pre-pandemic levels, this is mainly due to inflation, with the average pack of gum costing $2.71 last year, $1.01 more than in 2018, according to Circana.

Globally, the picture is similar. Euromonitor reports that worldwide gum sales increased by 5% last year to more than $16 billion, but this was still 10% below the 2018 sales figure.

In response to the sluggish demand, some manufacturers are leaving the market. In 2022, Mondelez International sold its gum business in the U.S., Canada, and Europe, including brands like Trident, Bubblicious, Dentyne, and Chiclets, to Perfetti Van Melle, based in Amsterdam.

Other American confectioners are discontinuing slow-selling brands. Ferrera Candy Co., headquartered in Forest Park, Illinois, quietly ceased production of Fruit Stripe and Super Bubble gums in 2022 after more than 50 years.

However, chewing gum faces more challenges than just recovering from the pandemic. Lynn Dornblaser, director of innovation and insight at market research firm Mintel, noted that an increasing number of consumers are trying to reduce sugar in their diets and eat foods with more natural ingredients. This limits the appeal of gum, as even sugar-free varieties often contain artificial sweeteners.

Another challenge is the issue of litter from used gum. Dornblaser pointed out that consumers in the U.S., Europe, and Asia are increasingly concerned about this. Singapore banned the sale, import, and manufacturing of chewing gum in 1992 due to littering issues, and the U.K. government recently convinced gum manufacturers to fund a street-cleaning program to tackle gum stains.

There are also generational differences in gum consumption. Dan Sadler, a principal for client insights at Circana, noted that Generation X (born between 1965 and 1980) tends to chew gum more than other age groups, while Millennials show less interest in gum and candy. Generation Z consumers are more interested in novelty candies like sour gummies.

Mars Inc., the owner of the 133-year-old Wrigley brand, believes it has a solution to revive gum sales: repositioning gum as an instant stress reliever rather than just a breath freshener. In January, the company launched a global ad campaign promoting its top-selling Orbit, Extra, Freedent, and Yida brands as tools for mental well-being.

Alyona Fedorchenko, vice president for global gum and mints at Mars’ snacking division, said the idea emerged in the summer of 2020 when the company was researching ways to boost sales. Studies by Mars showed that half of chewers reached for gum to relieve stress or boost concentration.

To attract 10 million new U.S. chewers by 2030, Mars is emphasizing wellness as part of a multi-year effort. The company is also introducing new products like Respawn by 5 gum, targeted at gamers. This gum contains green tea and vitamin B, which Mars promotes as ingredients that can help improve focus. Respawn by 5, available in three flavors, could compete with smaller brands like Rev Energy Gum, which contains caffeine.

Megan Schwichtenberg, a public relations account director from Minneapolis, finds gum to be a quick stress reliever. She often chews fruit-flavored Mentos gum while driving or at the gym, finding that it helps her avoid clenching her jaw during the workday.

However, not everyone believes that gum enhances well-being. Kylie Faildo, a pelvic floor physical therapist in Denver, stopped chewing gum two years ago because she believed artificial sweeteners and swallowing air while chewing worsened her bloating symptoms. Despite missing the convenience of popping a piece of gum into her mouth before meeting a client, she now uses mouthwash more frequently.

Caron Proschan, the founder and CEO of the natural gum brand Simply, thinks that U.S. gum sales slowed due to a lack of innovation. She believes that young customers, who have little disposable income and many distractions, need to be captivated by gum.

Simply, which makes gum from a type of tree sap called chicle instead of synthetic ingredients, has seen its sales double every year since 2021 without raising prices, according to Proschan.

Despite the challenges, Sadler and Dornblaser see growth potential for gum if it adapts to customers’ changing tastes and buying habits, including the shift from impulse sales to online shopping.

Some brands, like the U.K.’s Nuud Gum, are offering subscription plans, while others are experimenting with pop-up ads that remind customers to add gum to their food delivery orders.

About the author: Stephanie Bedard-Chateauneuf has over six years of experience writing financial content for various websites. Over the years, Stephanie has covered various industries, with a primary focus on tech stocks, consumer stocks, health stocks, and personal finance. This stock lover likes to invest for the long-term. Stephanie has an MBA in finance.