Hershey Buys Sour Strips for an Unknown Price.

In a move to diversify its product offerings and appeal to a new generation of candy lovers, Hershey has acquired Sour Strips, a famous sour candy brand.

Founded in 2019 by social media influencer Maxx Chewning, Sour Strips has quickly gained traction in the world of sweets, particularly with younger consumers.

The terms of the deal have not been disclosed, but the acquisition is set to bolster Hershey’s sweet snacks division and increase its reach in a fast-growing market.

Expanding Hershey’s Sweet Snacks Business

Hershey, known for its iconic chocolate products like Kisses and Milk Duds, has actively sought ways to expand its sweets portfolio.

With the sour candy trend growing in popularity, Sour Strips provides a unique opportunity for Hershey to tap into the $2.7 billion sour candy market, which is expected to grow 7.3% annually through 2030, according to industry research firm Industry ARC.

Sour Strips, with its catchy slogan “sour candy that doesn’t suck,” is already a favorite among sour candy enthusiasts. The brand is sold in major retailers, including Walmart, Amazon, and Target, and has built a solid presence on social media and has amassed over 400,000 followers across platforms.

This presents an opportunity for Hershey to engage with a younger demographic and expand its presence beyond its traditional chocolate offerings.

Why Hershey Chose Sour Strips

While Hershey has made several acquisitions recently, many have focused on expanding its salty snacks division, such as purchasing Dot’s Homestyle Pretzels. However, sweets remain a crucial focus for the company.

Mike Del Pozzo, Hershey’s president of U.S. confections, emphasized that the company is “relentlessly” driving growth in the sweets category. Sour Strips play a vital role in this strategy, aligning with the increasing consumer preference for sour flavors.

Another critical factor in the acquisition is Sour Strips’ strong social media presence. In today’s digital age, brand visibility online is crucial, and Sour Strips has capitalized on its following to create a loyal customer base.

Chewning’s connection with fans through social media and his innovation with the brand were critical considerations for Hershey, which plans to keep him involved in marketing and innovation efforts moving forward.

Sour Strips and the Growing Demand for Sour Candies

The sour candy market has grown significantly in recent years, driven by younger consumers increasingly seeking bold and adventurous flavors. Sour Strips fits perfectly into this trend with its tangy and intense sour profile.

As more consumers, particularly millennials and Gen Z, gravitate toward unique and fun candy options, Hershey’s acquisition positions the company to meet this demand head-on.

In addition to Sour Strips, Hershey has introduced other sour products, such as a tart version of its Shaq-A-Licious XL Gummies, which were released in collaboration with basketball legend Shaquille O’Neal.

This move shows Hershey’s commitment to diversifying its offerings and appealing to a broader audience.

Sour Strips A Smaller Brand with Big Potential

Though Sour Strips is still a minor player in the candy industry compared to Hershey’s established brands, the company has a strong track record of growing smaller acquisitions.

Hershey has used its vast distribution network, marketing expertise, and innovation to help brands like Dot’s Pretzels and SkinnyPop gain widespread popularity.

Sour Strips is expected to benefit from this same strategy, which will likely include increased distribution, enhanced marketing efforts, and new product innovations.

Sour Candy’s Popularity Among Young Consumers

Sour candy is trendy among younger generations, who seek bold flavors and unique experiences in their snack choices.

With the sour candy market expected to reach $2.7 billion by 2030, sour candies like Sour Strips are positioning themselves as significant players in the candy space.

Hershey’s focus on this growing trend aligns with broader shifts in consumer preferences and shows that the company is ready to adapt to changing tastes.

Challenges for Hershey’s Sweets Division

Despite the promising growth potential of Sour Strips and other candy acquisitions, Hershey needs help in its broader sweets division.

Recently, the company lowered its sales growth forecast for the year, citing the impact of price hikes on consumer demand. Hershey has been navigating these challenges by focusing on its snacking categories and expanding its chocolate and sweets portfolios.

However, the sour candy market is an area where Hershey sees potential for long-term growth, mainly as it attracts younger, more adventurous consumers.

Conclusion

As Hershey integrates Sour Strips, the company will likely continue focusing on growth through innovation and expansion.

By leveraging its marketing strength and distribution network, Hershey will likely enhance Sour Strips’ visibility and reach a broader audience.

With the brand’s established social media presence and appeal to younger candy lovers, Sour Strips can become a significant player in Hershey’s expanding sweets division.

FAQs

What are Sour Strips?

Sour Strips is a sour candy brand founded by Maxx Chewning in 2019. It has quickly gained popularity among younger consumers and is known for its bold, tangy flavors.

Why did Hershey acquire Sour Strips?

Hershey acquired Sour Strips to expand its sweets portfolio and tap into the growing sour candy market, which is expected to reach $2.7 billion by 2030. The acquisition also allows Hershey to engage with younger consumers attracted to bold and unique candy flavors.

How prevalent are Sour Strips?

They have a solid social media following, with over 400,000 followers across various platforms. They are sold in major retailers like Walmart, Target, and Amazon.

Who will lead Sour Strips after the acquisition?

Maxx Chewning, the founder of Sour Strips, will continue to lead the brand’s marketing and innovation efforts, ensuring that it stays connected to its audience and remains true to its unique identity.

What other sour products has Hershey introduced?

In addition to acquiring Sour Strips, Hershey launched a tart version of its Shaq-A-Licious XL Gummies in collaboration with Shaquille O’Neal, further solidifying its commitment to expanding its sour candy offerings.