The importance of gift packaging for confectionery manufacturers

2015-06-10 –

On an average, Germans spend about 116 euros a year per head on confectionery. Ipsos Observer was commissioned by the STI Group to analyse the buying behavior of 1000 consumers within this product category in July 2014. The representative online survey confirms confectionery as a ‘power category’ in impulse-driven purchases.

80% of consumers make brand decisions at the POS itself. In fact, one in two persons decides to buy a candy gift pack while at the store. Only one in five chocolate buyers planned their purchase in advance. Compared to other product categories, confectionary products registered above-average impulse buys. A similar survey conducted by Ipsos on spirits in November 2013 shows that only 28% of the products were purchased spontaneously in this product category. One in three spirit purchases was planned in advance.

There are several occasions to buy individually wrapped chocolates or pralines. 71% of the respondents purchased them as gifts. One in two bought them as gifts for their hosts. 42% preferred to have the assorted sweets themselves. Gift boxes are most commonly purchased as a token of thanks and as gifts for birthdays or for hosts. One in two puts pralines under the Christmas tree and in the Easter basket.  

When choosing the product, the premium look of the packaging played an important or very important role for nearly 2/3 of the consumers. One in two appreciated it if the product could be directly served from the pack in an attractive manner. 45% wanted a ribbon or some decorative elements on the box so that it was not necessary to gift-wrap it.

Elegant candy packaging increases price acceptance

The market researchers also tested the impact of gift packaging on consumer price acceptance, using a fictitious chocolate brand Semo. The respondents were first asked how much they would pay for the unpacked chocolate pralines. The average price for 100g was 1.21 euro. Presented in a square folding carton, the price acceptance went up by 26% to 1.52 euro/100g. For an embellished wrapping, the respondents would have paid even 50% more, that is 1.82 euro/100g. For women, the sweet items could be priced even higher. They are willing to spend up to 10% more than the average and up to 23% more than the price men would be willing to pay.