Launching this month, the new Whole Cakes line-up comprises three products - Crunchie, Caramel and Mini Rolls – and follows strong growth in the Cadbury Cakes range that is produced by Mr Kipling owner Premier under licence from Mondelēz International.
Described by Premier as ‘mid-sized ‘, the products are designed to attract younger shoppers to the cake aisle, and open up new opportunities for cake eating. Each serves either 10 or 12 people and has a recommended retail price of £5.99 ($8).
Sales of so-call ‘occasion’ cakes have grown 5.7% year-on-year in the UK according to IRI data [52w/e July 9 2016].
Celebrating everyday moments
“Occasion cakes have become a popular choice with younger adult shoppers who enjoy celebrating the everyday moments of life, whether it’s a birthday, job promotion of simply the weekend,” said Cadbury Cakes brand director Joanna Agnew.
“Cadbury Whole Cakes will aim to attract new shoppers into the category.”
Agnew added that double-digit growth in sales of Cadbury Cakes, and 22.8% growth in overall sales of mid-tier cakes priced from £4 to £6 ($5 to $8), had given the company confidence to roll out the new range.
Cadbury acquires biscuits licence
The launch of Cadbury Whole Cakes comes three weeks after Mondelēz International announced it had bought the licence to produce Cadbury-branded biscuits from UK manufacturer Burton’s Biscuit Company.
Crunchie – Big Crunch (serves 10)
Caramel (serves 10)
Mini Roll – Mega Roll One Raspberry (serves 12)
All variants are priced £5.99 ($8).
The licence enables Mondelēz to manufacture, market and sell Cadbury-branded biscuits around the world, including in the UK, France, Ireland, North America and Saudi Arabia. Cadbury biscuits will continue to be produced by Burton’s under a co-manufacturing agreement.
Asked by BakeryandSnacks about the current position of its own licence to produce Cadbury-branded products, Premier said it has “a long-standing and positive relationship with Cadbury/Mondelēz”.
“Over the past year we've successfully grown the Cadbury brand and launched a number of new products with good results, including Amaze Bites and Hot Cakes,” it added. “As you would expect, we have ongoing discussions with Mondelēz about how we can continue to grow the brand in the future.”
Premier is supporting the launch of Cadbury Whole Cakes with in-store point-of-sale material, sampling and digital activity.