Mondelez’s CEO has hailed gum the company’s problem child. We believe it’s only a phase and given the right environment this kid can flourish.
That environment would seem to be closer to developing Asian and Latin American markets and further from Western Europe and North America where gum sales have been falling.
We’ve compiled an infographic using data provided by Euromonitor International outlining some key stats and lessons from the two biggest firms.
Asia Pacific – the largest market for gum
Asia-Pacific overtook Western Europe to be become the largest global market for gum in 2010. The Far East market has since skyrocketed ahead to become worth $6.68m in 2012, as the Western European market slumped to $5.4bn.
The Middle East and Africa is the smallest region for gum sales, but Euromonitor expects it to have the fastest compound annual growth rate (CAGR) of all regions up to 2017, up 4.6% per year.
Latin America is another developing region to look out for. The market value is far larger than Middle East & Africa at $5.3bn and Euromonitor expects a CAGR of 3.7% in the next five years.
Mars owned Wrigley is the dominant player in global gum with a 33.7% share.
Mondelez, owner of the Trident brand, trials on 28.5%, followed by Mentos maker Perfetti Van Melle on 7.8%. But there are some large geographic discrepancies.
In Asia for example, Mondelez is third behind Wrigley on 25.8% and Korean confectioner Lotte on 22.2%
However, Mondelez makes up for this share loss with commanding leads in the emerging Latin American and Middle East & African markets.