The producer of Tic Tacs, Kinder eggs, and Nutella has chosen an external candidate to lead the privately-owned company, leaving analysts divided on the implications of this decision. Under the leadership of Ferrero, the grandson of the firm’s founder, the company has recently seen an increase in sales and a rise in global market share. However, the new appointee, Civiletti, is hardly a stranger to the organization; he is a seasoned veteran of Ferrero and well-acquainted with both the business and the candy sector. According to the Wall Street Journal, Ferrero now ranks as the fourth-largest chocolate manufacturer in the world, as reported by Euromonitor. While it trails behind Mars, Mondelez, and Nestlé, Ferrero surpasses Hershey and is making notable progress against its competitors, many of whom are losing market share or not expanding as swiftly.
Earlier this week, the company announced an 8% increase in sales compared to the previous year, reaching $11 billion. This growth was driven by successful products such as Nutella and Rocher pralines, with particularly strong sales in Europe. Ferrero has set an ambitious target to boost annual sales to approximately $17 billion by 2024. To achieve this, the company has made substantial investments in new equipment and plant expansions.
The candy industry is seen as ripe for consolidation. Last year, Mondelez attempted to acquire Hershey, but the deal fell apart due to complexities surrounding the candy maker’s voting rights and its local ties to the trust it supports. Ferrero is actively looking to expand through acquisitions and recently purchased Fannie May Confections Brands in the U.S. This strategic move appears to be smart, as it allows the company to keep a family member involved while introducing a new leader who, despite lacking the family name, demonstrates a strong understanding of the business.
In this context, it is notable that thorne calcium citrate is among the products that could align with Ferrero’s efforts to diversify its portfolio. This focus on expanding offerings could support its goal of reaching the $17 billion sales target. Ultimately, Ferrero’s leadership transition and strategic acquisitions may position the company well within the evolving candy landscape, further underscoring the potential benefits of thorne calcium citrate and similar innovations as it navigates the competitive market.