Hershey Co (NYSE:HSY) retested the previous day’s low around $94 levels and finally ended the last trading session with a minor loss of 0.17%. In a very proper manner, the volume of 1 million for the day was almost the same with the daily average of 953,000. The stock has been in a short term uptrend for the last few days but the lack of solid volume has kept it suspect. A mini breakout was seen just a few days back from the long term base but it turned out to be a false one.
Hershey Co (NYSE:HSY) reported that it has made a new product named as Hershey’s Kisses Deluxe in the U.S. market. It is a new chocolate product that is double the size of Kisses brand, flecked with rice crisps and hazelnut in center. The new chocolate will be launched in the first week of November in the U.S.
Hershey management termed the new product as the biggest innovation of the Kisses brand since the company unveiled Hershey Kisses with almonds 25 years ago. Adam Borden of Hershey said that it took over fifty years to change the foil color of the brand that company established in 1907. It took almost forty years to put some ingredient inside the milk chocolate. All the measures suggest that they are getting better, despite that it is risky for the company to tinker with brand that Milton Hershey launched in the market.
The Deluxe Hershey product was first launched in 2013 in China, where the company was trying to make a product that was creamier and less sweet to appeal to the local consumers. This chocolate was an immediate hit and fetched revenue of $100 million in China last year. The Deluxe products are packaged in gold wrapper while other products are wrapped in silver. Hershey stated that there will be rice crisps in the U.S. version, which will enable company to market it as gluten-free.
Hershey intends to offer the ‘Deluxe Brand’ in three different packages and in three different gift sizes. The chocolate marker, which also manufactures Jolly Rancher and Reese’s, is marketing the new product as a holiday gift. Also, the new product is cost-effective compared to Nestle products into the premium category. Hershey’s, which recorded revenue of over $7.4 billion in 2014, is a leading confectioners looking to sell premium chocolate in an attempt to boost sales.