Walgreens has found unexpected success in its “Gummy Mango” candy, which has gone viral among Gen Z consumers thanks to social media platform TikTok. The cute and chewy fruit-shaped gummies from the retailer’s lower-priced Nice! house brand have sold out quickly due to demand since they arrived on shelves in about 2,500 stores last fall. Walgreens has had to impose a limit of one bag per customer online as it tries to replenish stocks.
The trend for peelable candy has gained momentum thanks largely to Gen Z and millennial consumers’ fascination with vintage-inspired items that they grew up on, according to industry reports by the National Confectioners Association (NCA). In 2023 alone, dollar sales in this segment increased by 12.1% compared to a year ago, reaching $19.2bn in total sales and accounting for over 30% of all confectionery sales in America.
Walgreens’ vice president Marty Esarte explained that the supplier had initially flagged up peelable candy as an opportunity because it became popular last year in Asia before being brought to Walgreens by its long-standing partner. The timing was perfect, given the trend for gummy candies and fruit flavours among younger consumers.
The success of “Gummy Mango” has come at a crucial time for Walgreens as it grapples with mounting debts, staff unrest, market share loss to competitors such as CVS Health (NYSE:CVS), store closures, customers’ reluctance to pay full price due to economic concerns and having to lock everyday items like shampoo behind counters over theft worries.
However, the mango-flavoured treat fits into Walgreens’ strategy of beefing up its front-of-store departments, said Morningstar analyst Keonhee Kim. The candy is part of a wider trend for private label merchandise in this area that tends to be more profitable than dispensing prescriptions at the back end of stores.
Walgreens has purchased a much larger amount of mango gummies and will stock them across all 8,000 US stores by May – while peelable banana candy will appear from mid-May in around half that number of outlets as part of its wider strategy to focus on the more profitable front end.
Esarte also hinted at a new pineapple flavour set for launch this summer, though he said Walgreens has not worked with any paid influencers over “Gummy Mango”. Instead, TikTok videos showcasing it have gone viral organically, attracting millions of views.
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