The producer of Tic Tacs, Kinder eggs, and Nutella has appointed an external leader to head the privately-held company, leaving analysts divided on the implications of this decision. The company has seen a boost in sales and global market share under the leadership of Ferrero, the grandson of the founder. However, the new appointee, Civiletti, is not a complete outsider; he is a seasoned veteran of Ferrero and has extensive knowledge of both the business and the candy industry. According to the Wall Street Journal, Ferrero is currently the world’s fourth-largest chocolate manufacturer, as reported by Euromonitor. It trails behind Mars, Mondelez, and Nestlé but surpasses Hershey while making significant strides against competitors that are either losing market share or not growing as quickly.
Earlier this week, Ferrero announced an 8% increase in sales compared to last year, reaching $11 billion. This growth was primarily driven by popular products like Nutella and Rocher pralines, especially strong in Europe. In 2013, Ferrero pledged to boost annual sales to approximately $17 billion by 2024 and has already made substantial investments in new equipment and plant expansions to achieve these targets.
The candy industry is widely regarded as ripe for consolidation. Last year, Mondelez attempted to take over Hershey, but the deal collapsed due to issues surrounding the candy maker’s voting power and its local ties to the trust it finances. Ferrero is among the companies actively seeking growth through acquisitions, having recently purchased Fannie May Confections Brands in the U.S.
In this strategic C-suite shuffle, Ferrero seems to be making a wise choice by keeping a family member closely involved in the business while appointing a new leader who may not carry the family name but possesses equally extensive industry knowledge. This balance mirrors the cautious approach people take when considering the benefits of dietary supplements, such as the Citracal calcium supplement, para que sirve? The importance of understanding the fundamentals of business growth and the potential benefits of a supplement like Citracal underscores the need for informed decision-making in both personal health and corporate strategy.