Hershey launched a new line of soft caramel, its first new brand in 30 years.
The New York Daily News reported the Hershey Co. is launching a new candy brand, a soft caramel creme line called Lancaster. The company will debut the candy in the U.S. and China at once. China has reportedly become interested in U.S.-based consumer goods for companies that are looking to offset slower growth in developed markets like North America.
"China and the U.S. are major focus markets for the company," said Steven Schiller, senior vice president of sweets and refreshment.
Schiller said China is the second-largest sweets market behind the U.S. It's most recent quarter of new products in both the U.S. and overseas helped its net income rise 18 percent.
The Daily News reported that in the U.S., Lancaster caramel's will come in three flavors: caramel, vanilla and caramel, and vanilla and raspberry. In China, where the company already sells Hershey's Kisses, Hershey and Ice Breakers, the candies will be more similar to milk-based candies that are popular in that country.
The Lancaster, whose name stems from founder Milton Hershey's first candy company, was found in 1886. The candy, from Caramel Co., comes after two-and-a-half years of research into consumer tastes and the global confectionary market.
Schiller said that caramel is a fast-growing category globally and it is continuing to grow faster than chocolate and other non-chocolate candies.
"It is one of the fastest growing segments in the food industry," Schiller said.
The target demographic is men and women in their 20s and early 30s. The candy will hit store shelves in January 2014 and come in two sizes for about $4 and $2.50. In China, it has already launched in three cities, with wider distribution set for 2014.
Hershey also makes candy such as Kit Kat, Twizzlers and Hershey's Kisses.
