A Kinder Egg is costing R$90 for 150 grams of chocolate (little more than a bar) today on supermarket shelves. On social networks, jokes about the prices of Easter eggs are multiplying, which have even gained comparisons with the values charged for the piece of picanha – which is also not the friendliest for the Brazilian’s pocket. Still, this year’s Easter may be a respite for retail, after two consecutive years of decline. The National Confederation of Trade in Goods, Services and Tourism (CNC) projects that sales should reach R$ 2.16 billion, a recovery of 33% compared to Easter 2021, but still below the R$ 2.5 billion that the date moved on average in the years before the pandemic. But the jump in sales is not necessarily a sign of light at the end of the tunnel for the industry, which has been shaken by inflation, accumulated on average at more than 15% on chocolate production inputs.
Although the sector is supplied with national raw materials, cocoa, sugar and milk have not escaped the increase in operating costs and with distribution in the country. In the case of Easter eggs, the production, storage and logistics process is even more complex and expensive. The traditional bars and bonbons – alternatives to chocolate eggs – had an average increase of 10.7%. This is because, among other factors, sugar and derivatives accumulate a high of 19%. But the rise in prices this year still does not account for the impacts of the war in Ukraine, which is likely to affect the new crop of sugarcane, one of the most dependent on Russian fertilizer.
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The combination of rising costs and falling purchasing power has discouraged the chocolate industry, which saw sales of Easter eggs fall from 10,000 tonnes in 2019 to 9,000 tonnes last year, according to the Brazilian Chocolate Industry Association. , Peanuts and Candies. The perspective in a scenario of crisis and high inflation affects mainly purchases of classes C and D, the main public in retail chains. The Carrefour group bets on own-brand chocolate products, whose sales have been growing by an average of 20% per year. The São Paulo brand Village, which produced chocolates for cheaper categories, even decided to abandon the Easter line this year, according to a report in Folha de S.Paulo. And while egg vines shrink in supermarkets and stores, brands are betting on digital platforms and delivery strategies to get closer to consumers.
Therefore, in networks like Cacau Show and Kopenhagen, the scenario is different. Focused on the A and B class audience, whose purchasing power was less impacted, Kopenhagen’s Easter 2021 grew by 20% compared to 2019, and online sales represented 40% of revenue on the date. On the other hand, Cacau Show, which fights with Brasil Cacau (from the same group as Kopenhagen) for the consumer market of classes B and C, bet on expanding its portfolio, with products at more varied prices, mainly in the entry category. The company owned by businessman Alê Costa, the second largest franchise network in the country, with almost 3 thousand addresses, has the prospect of increasing Easter sales by 60% compared to last year. All three brands that operate with retail have grown their presence in the last two years on delivery platforms and even invested in their own apps, motivated to strengthen their channels in the crisis.
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