The Hershey Company (HSY): Modelo de Negócios Canvas [Jan-2025 Atualizado]

Mergulhe no Sweet World of the Hershey Company, um império de chocolate que se transformou de uma pequena fábrica de chocolate da Pensilvânia em uma potência global de confeitaria. Com uma rica herança que abrange mais de um século, a Canvas de modelo de negócios da Hershey revela uma abordagem estratégica que combina inovação, sustentabilidade e desenvolvimento de produtos centrados no consumidor. Desde o fornecimento de grãos de cacau premium na África Ocidental até a criação de marcas de chocolate icônicas que ressoam com gerações, essa exploração desembalará como a Hershey continuará a encantar o paladar e manter sua vantagem competitiva no sempre evolução do mercado global de confeitaria.

A Hershey Company (HSY) - Modelo de Negócios: Principais Parcerias

Fornecedores de cacau na África Ocidental e na América Latina

A Hershey recebe o cacau de várias regiões com detalhes específicos de compras:

Região	Volume anual de cacau	Porcentagem de oferta
Côte D'ivoire	38.000 toneladas métricas	45%
Gana	25.000 toneladas métricas	30%
Equador	12.000 toneladas métricas	15%

Fabricantes de equipamentos agrícolas

• John Deere - Fornecedor de equipamentos agrícolas primários
• Agco Corporation - Parceiro de equipamentos secundários
• Aquisição anual de equipamentos: US $ 42,6 milhões

Empresas de embalagem e distribuição

Parceiro	Valor do contrato	Serviços prestados
Westrock Company	US $ 87,3 milhões	Materiais de embalagem
FedEx Freight	US $ 63,5 milhões	Logística de distribuição

Parceiros de varejo

As principais parcerias de varejo incluem:

• Walmart - vendas anuais de US $ 425 milhões
• Target - vendas anuais de US $ 210 milhões
• Kroger - vendas anuais de US $ 185 milhões
• Costco - vendas anuais de US $ 160 milhões

Agências de marketing e publicidade

Agência	Valor anual do contrato	Serviços
Publicis Groupe	US $ 35,7 milhões	Estratégia de marketing global
WPP plc	US $ 28,4 milhões	Publicidade digital

A Hershey Company (HSY) - Modelo de Negócios: Atividades -chave

Fabricação de produtos de chocolate e confeitaria

A Hershey Company opera 7 instalações de fabricação na América do Norte, com uma capacidade total de produção de aproximadamente 1,3 milhão de pés quadrados. Em 2022, a empresa produziu mais de 90 milhões de libras de chocolate e produtos de confeitaria.

Local de fabricação	Capacidade de produção anual
Hershey, Pensilvânia	500.000 pés quadrados
West Hershey, Pensilvânia	350.000 pés quadrados
Hazleton, Pensilvânia	250.000 pés quadrados

Pesquisa e desenvolvimento de produtos

A Hershey investiu US $ 214 milhões em pesquisa e desenvolvimento em 2022, com foco em inovação e desenvolvimento de novos produtos.

• Média de 250 novos conceitos de produto desenvolvidos anualmente
• 25-30 lançamentos de novos produtos por ano
• Centros de inovação localizados em Hershey, PA e Cingapura

Gerenciamento global da cadeia de suprimentos

A empresa gerencia uma complexa cadeia de suprimentos global com gastos anuais de compras de aproximadamente US $ 2,8 bilhões em 2022.

Métrica da cadeia de suprimentos	2022 dados
Número de fornecedores	1,200+
Países de fornecimento global	35+
Países de compra de cacau	12

Marketing e promoção de marca

A Hershey alocou US $ 579 milhões às despesas de publicidade e marketing em 2022.

• Orçamento de marketing representa 8,2% da receita total da empresa
• O marketing digital é responsável por 40% dos gastos de marketing
• Presença ativa em mais de 80 países

Iniciativas de sustentabilidade e fornecimento éticas

A empresa comprometeu US $ 500 milhões a programas de fornecimento sustentável até 2030.

Iniciativa de Sustentabilidade	2022 Progresso
Investimento de sustentabilidade de cacau	US $ 27,5 milhões
Fornecimento sustentável de cacau	62% do cacau de fontes certificadas
Alvo de redução de carbono	Redução de 25% até 2025

A Hershey Company (HSY) - Modelo de Negócios: Recursos -Principais

Instalações de fabricação

A Hershey Company opera 6 instalações de fabricação nos Estados Unidos, com locais primários em:

• Hershey, Pensilvânia
• West Hershey, Pensilvânia
• Stuarts Draft, Virgínia
• Robinson, Illinois
• Hazleton, Pensilvânia
• Xangai, China

Localização	Capacidade de produção (anual)	Produtos primários
Hershey, Pa	70 milhões de libras de chocolate	Beijos, bares, Reese
West Hershey, PA	85 milhões de libras de chocolate	Os bares de Hershey, beijos
Xangai, China	25 milhões de libras de chocolate	Produtos do mercado local

Propriedade intelectual

Portfólio de marcas comerciais: Mais de 130 marcas comerciais registradas em todo o mundo, incluindo:

• Hershey's
• Reese's
• Kit Kat
• Twizzlers
• Jolly Rancher

Rede de distribuição

Abrangência de distribuição extensa:

• 50 estados nos Estados Unidos
• Mais de 70 países em todo o mundo
• Mais de 200.000 pontos de venda

Tecnologia e equipamento

Tipo de tecnologia	Investimento (2023)	Propósito
Sistemas de embalagem automatizados	US $ 85 milhões	Eficiência de produção
Controle de qualidade da IA	US $ 45 milhões	Consistência do produto
Sensores de fabricação de IoT	US $ 30 milhões	Monitoramento em tempo real

Força de trabalho

Total de funcionários: 19.000 a partir de 2023

• Fabricação: 12.500 funcionários
• Pesquisar & Desenvolvimento: 650 funcionários
• Posse média dos funcionários: 8,5 anos

A Hershey Company (HSY) - Modelo de Negócios: Proposições de Valor

Produtos de chocolate e confeitaria de alta qualidade

A Hershey Company produz 90 milhões de beijos de Hershey por dia. As vendas líquidas anuais em 2022 foram de US $ 9,98 bilhões. O portfólio de produtos inclui mais de 80 marcas diferentes de chocolate e confeitaria.

Categoria de produto	Volume anual de vendas	Quota de mercado
Barras de chocolate	US $ 3,4 bilhões	44.2%
Sacos/sacos de chocolate	US $ 2,6 bilhões	36.7%
Chocolate sazonal	US $ 1,2 bilhão	19.1%

Patrimônio da marca icônico e reconhecível

Fundada em 1894, a Hershey tem um valor de marca estimado em US $ 6,8 bilhões. A taxa de reconhecimento global da marca é de aproximadamente 92%.

Ampla gama de ofertas de produtos

• Portfólio total de produtos: mais de 90 marcas
• Categorias de produtos: barras de chocolate, doces, bebidas, spreads
• Presença do mercado global em 85 países

Compromisso com o fornecimento ético e sustentável

Investiu US $ 500 milhões em programas sustentáveis ​​de agricultura de cacau. CASO CERTIFICADO 100% Certificado de 100% até 2020.

Métrica de sustentabilidade	2022 Performance
Cacau sustentável certificado	100%
Programas de apoio aos agricultores	US $ 75 milhões investidos
Redução de emissão de carbono	Redução de 22% desde 2018

Desenvolvimento inovador de produtos

Investimento anual de P&D de US $ 124 milhões. Lançou 35 novas variações de produtos em 2022.

• Novo sabor introduções: 12 por ano
• Desenvolvimento de produtos orientado ao consumidor
• Inovação digital em embalagens e marketing

A Hershey Company (HSY) - Modelo de Negócios: Relacionamentos do Cliente

Programas de fidelidade e recompensas

O Programa Hershey Rewards oferece membros:

• Pontos para compras de produtos
• Descontos exclusivos
• Recompensas de aniversário

Métrica do programa	2023 dados
Membros do programa de fidelidade	1,2 milhão
Redenção de pontos médios	US $ 15,50 por membro
Investimento anual do programa	US $ 3,7 milhões

Engajamento ativo da mídia social

Plataforma social	Seguidores	Taxa de engajamento
Instagram	2,1 milhões	3.8%
Facebook	3,5 milhões	2.9%
Twitter	850,000	1.5%

Feedback e personalização do cliente

Canais anuais de feedback do cliente:

• Pesquisas online: 125.000 respostas
• Feedback direto de e -mail: 87.000 envios
• Interações de mídia social: 62.000 comentários

Comunicação consistente da marca

Canal de comunicação	Pontos de contato anuais
Marketing por e -mail	24 campanhas
Publicidade digital	1.800 anúncios direcionados
Recomendações personalizadas	8,5 milhões

Iniciativas comunitárias e de caridade

Iniciativa	2023 Investimento	Impacto
Programa de Sustentabilidade de Cacau	US $ 12,5 milhões	37.000 agricultores apoiados
Subsídios de educação comunitária	US $ 2,3 milhões	89 programas educacionais
Doações de banco de alimentos locais	US $ 1,7 milhão	2,4 milhões de refeições fornecidas

A Hershey Company (HSY) - Modelo de Negócios: Canais

Lojas de varejo e supermercados

A Hershey Company distribui produtos através de mais de 85.000 locais de varejo nos Estados Unidos. Os principais parceiros de varejo incluem:

Varejista	Número de lojas
Walmart	4.742 lojas
Kroger	2.742 lojas
Alvo	1.948 lojas

Plataformas online de comércio eletrônico

Os canais de vendas on -line da Hershey incluem:

• Amazon.com
• Walmart.com
• Target.com

As vendas on -line representam 12.4% da receita total da empresa em 2023.

Sites direta ao consumidor

A Hershey opera plataformas de vendas diretas, incluindo:

• Hersheys.com
• Reeses.com
• Beijos.com

Distribuidores por atacado

Distribuidor	Volume anual de vendas
McLane Distributores	US $ 47,3 milhões
Supervalu	US $ 36,8 milhões

Mercados de exportação internacionais

Hershey exporta para 75 países Com os principais mercados, incluindo:

• Canadá: vendas anuais de US $ 543 milhões
• México: vendas anuais de US $ 276 milhões
• Japão: vendas anuais de US $ 186 milhões

A Hershey Company (HSY) - Modelo de Negócios: Segmentos de Clientes

Crianças e famílias

Tamanho do mercado para o segmento de confeitaria infantil: US $ 4,2 bilhões em 2023

Faixa etária	Porcentagem de consumo	Gastos anuais
Crianças (4-12)	38%	US $ 620 milhões
Famílias	52%	US $ 845 milhões

Jovens adultos e millennials

Demografia-alvo: idades de 18 a 40

• Valor total do segmento de mercado: US $ 3,7 bilhões
• Frequência de compra: 2,4 vezes por mês
• Gastos médios anuais: US $ 275 por pessoa

Entusiastas de chocolate e confeitaria

Tipo de consumidor	Quota de mercado	Consumo anual
Amantes premium de chocolate	22%	US $ 1,6 bilhão
Consumidores de chocolate regulares	65%	US $ 3,9 bilhões

Presente e consumidores sazonais

Valor de mercado sazonal: US $ 2,5 bilhões em 2023

• Compras de presentes de feriado: US $ 780 milhões
• Segmento do Dia dos Namorados: US $ 420 milhões
• Mercado de doces de Halloween: US $ 680 milhões

Consumidores preocupados com a saúde

Segmento de produto focado na saúde: US $ 1,2 bilhão

Categoria de produto	Crescimento do mercado	Preferência do consumidor
Chocolate com baixo teor de açúcar	12.5%	35% dos consumidores preocupados com a saúde
Chocolate escuro	8.3%	42% dos consumidores preocupados com a saúde

A Hershey Company (HSY) - Modelo de Negócios: Estrutura de Custo

Aquisição de matéria -prima

Custo total de compras de feijão de cacau em 2022: US $ 1,15 bilhão

Matéria-prima	Custo anual	Porcentagem do custo total
Feijão de cacau	US $ 652 milhões	32.4%
Açúcar	US $ 287 milhões	14.3%
Leite	US $ 214 milhões	10.6%

Despesas de fabricação e produção

Total de despesas de fabricação em 2022: US $ 2,01 bilhões

• Custos operacionais da instalação de produção: US $ 678 milhões
• Manutenção de equipamentos: US $ 214 milhões
• Custos de mão -de -obra: US $ 512 milhões
• Consumo de energia: US $ 186 milhões

Custos de marketing e publicidade

Despesas totais de marketing em 2022: US $ 571 milhões

Canal de marketing	Gastos	Porcentagem de orçamento de marketing
Marketing digital	US $ 187 milhões	32.7%
Publicidade na televisão	US $ 214 milhões	37.5%
Publicidade impressa e externa	US $ 170 milhões	29.8%

Investimentos de pesquisa e desenvolvimento

Gastos totais de P&D em 2022: US $ 124 milhões

• Desenvolvimento de novos produtos: US $ 68 milhões
• Inovação do processo: US $ 42 milhões
• Tecnologia de embalagem: US $ 14 milhões

Despesas de distribuição e logística

Custos totais de distribuição em 2022: US $ 412 milhões

Componente de logística	Custo anual	Porcentagem do orçamento de distribuição
Transporte	US $ 218 milhões	52.9%
Operações de armazém	US $ 124 milhões	30.1%
Gerenciamento de inventário	US $ 70 milhões	17%

The Hershey Company (HSY) - Modelo de negócios: fluxos de receita

Vendas de produtos de varejo

Em 2023, a Hershey Company registrou vendas líquidas de US $ 11,2 bilhões. As vendas de produtos de varejo em vários canais incluem:

Canal de vendas	Contribuição da receita
Supermercados	38% do total de vendas no varejo
Lojas de conveniência	22% do total de vendas no varejo
Comerciantes de massa	18% do total de vendas no varejo
Lojas de drogas	12% do total de vendas no varejo

Distribuição por atacado

A distribuição por atacado é responsável por US $ 4,5 bilhões em receita anual, com os principais segmentos, incluindo:

• Vendas de doces em massa para varejistas
• Distribuição da máquina de venda automática
• Foodservice por atacado

Exportações do mercado internacional

As vendas internacionais atingiram US $ 1,2 bilhão em 2023, com mercados primários:

• Canadá: US $ 450 milhões
• México: US $ 280 milhões
• Outros mercados internacionais: US $ 470 milhões

Linhas de produtos sazonais e de edição limitada

Receitas sazonais de produtos:

Temporada/feriado	Receita
Halloween	US $ 600 milhões
Natal	US $ 450 milhões
Páscoa	US $ 380 milhões
Dia dos Namorados	US $ 250 milhões

Licensagem e parcerias de marca

Detalhes da receita de licenciamento:

• Receita total de licenciamento: US $ 120 milhões em 2023
• Principais parcerias com a Disney, Warner Bros. e Marvel
• Mercadoria de marca e linhas de produtos da marca co-

The Hershey Company (HSY) - Canvas Business Model: Value Propositions

You're looking at what The Hershey Company actually delivers to its customers right now, late in 2025. It's not just about the classic chocolate bar anymore; it's a full snacking strategy built on a few key pillars.

Affordable, nostalgic, and high-quality indulgent treats.

The core value proposition still hinges on that familiar, high-quality indulgence. You see this play out in their pricing strategy, which has been a major driver of growth. For the third quarter ended September 28, 2025, The Hershey Company reported that its North America Confectionery segment achieved net sales growth of 5.6%, largely supported by approximately 7 points of net price realization. This price realization, even as volume declined approximately 1 point, shows they are successfully passing on costs while maintaining the premium perception of their treats. Furthermore, their U.S. candy, mint, and gum (CMG) retail takeaway grew 21.8% for the 12-week period ending June 29, 2025, indicating strong consumer pull for their core offerings, even at higher price points. They are also using value-focused tactics, like the Everyday Multiples (EDM) bundle deal strategy, to encourage multi-unit purchases.

Diversified portfolio spanning chocolate, salty, and protein snacks.

The shift to a broader snacking company is evident in the segment performance data. The Hershey Company is actively balancing its traditional confectionery business with high-growth salty and protein categories. For Q3 2025, consolidated net sales hit $3,181.4 million, up 6.5% year-over-year, showing the combined strength of the portfolio. The North America Salty Snacks unit was a standout performer, posting a 10% increase in net sales and an 11% volume increase in that same quarter. This diversification is key to weathering volatility in any single category, like the cocoa market.

Here's a quick look at how the main segments contributed to that Q3 2025 momentum:

Segment	Q3 2025 Net Sales Growth (YoY)	Key Driver/Metric
North America Confectionery	5.6% increase	Volume declined ~1 point; Price realization ~7 points
North America Salty Snacks	10.0% increase	Volume increased ~11 points
International	12.1% increase	Volume increased ~6%; Price realization ~7 points

Better-for-you (BFY) options (Lily's, LesserEvil) for health-conscious consumers.

The investment in health-conscious snacking is now a material part of the revenue base. As of 2025, revenue generated from better-for-you snacks rose 12% year-over-year. Honestly, this category now accounts for 22% of The Hershey Company's total sales. The planned acquisition of LesserEvil, a producer of organic, clean-label snacks, is set to further bolster this commitment in late 2025. This focus helps capture the market where 68% of U.S. consumers prioritize snacks with "clean labels."

Seasonal and limited-edition product excitement (e.g., Reese's OREO Cup).

Innovation drives excitement and trial, which is crucial for maintaining relevance. The Reese's OREO Cup is cited as a top growth driver, with a robust pipeline extending into 2026-27. While the Halloween selling period got off to a "somewhat soft" start due to weather and timing, strong execution on innovation helps offset these seasonal fluctuations. The company is using new product launches to keep consumers engaged across its confectionery lines.

Wide availability and convenience across all retail formats.

You can find The Hershey Company's products almost everywhere you shop. Their chocolate is available in 60 countries worldwide. Domestically, they are pushing hard in convenience channels; for instance, their salty brands saw a 9.5% Year-to-Date sales increase in C-stores (convenience stores). To support this massive footprint, the company operates three large distribution centers utilizing modern labor management systems. This infrastructure is designed to ensure that when a consumer wants a treat, it's right there on the shelf.

The Hershey Company (HSY) - Canvas Business Model: Customer Relationships

You're looking at how The Hershey Company (HSY) keeps its massive customer base engaged, from the biggest grocery chains to the youngest TikTok users. It's a complex mix of high-volume automation and targeted, personal outreach.

Automated, high-volume transactional relationship with retailers.

The foundation of The Hershey Company's volume relationship is its deep penetration across traditional retail. This means a high-volume, automated transactional flow with major partners. The company maintains a significant presence in supermarkets, convenience stores, mass merchandisers, drugstores, and wholesale clubs. This scale necessitates efficiency, which was a focus area, especially following the 2024 ERP system implementation, which aimed to create a more efficient and flexible global chain network. The company's ability to drive sales growth through net price realization, seen in Q3 2025 with an approximate 7 points of net price realization in the North America Confectionery segment, relies on these smooth, high-volume transactions.

Dedicated sales teams managing key account relationships.

For the largest retailers, the relationship moves beyond simple transactions. Andrew Archambault, as President of U.S. Confection, leads brand and commercial strategies, execution, and P&L oversight, which inherently involves managing the most critical customer relationships. This dedicated management structure is crucial for negotiating shelf space and promotional displays, especially as The Hershey Company pushes for changes like moving more snack-size confections into stand-up bags. The company's focus on omnichannel integration suggests these teams are aligning execution across both physical and digital retail touchpoints.

Direct-to-consumer (DTC) engagement via Hershey's Chocolate World.

While the bulk of revenue flows through third-party retailers, direct engagement is a key relationship lever. The Hershey Company utilizes e-commerce platforms and its own website for DTC sales. The physical locations, like Hershey's Chocolate World, serve as high-touch brand experiences, though specific foot traffic or DTC revenue figures for late 2025 aren't public. The overall digital sales strategy is designed to meet changing consumer needs, focusing on seamless availability.

Social media marketing targeting Gen Z (e.g., Sour Strips).

Targeting younger consumers requires a different relationship style, one built on digital conversation. The acquisition of the chewy candy brand Sour Strips in November 2024 specifically targets this demographic by leveraging the brand's strong social media presence. This brand, known for its social media savvy, posted an impressive nearly 50% surge in total sales over the previous fiscal year (as of May 2025). As of June 2025, The Hershey Company executives, like Paige Walker, were presenting on how they turn social data into smart business decisions, showing active management of these digital relationships.

Loyalty built on over a century of brand trust and nostalgia.

The deepest relationship asset is brand equity, built over more than 125 years. This heritage is actively used in marketing, such as the relaunch of travel retail exclusives with new graphics that celebrate the company's American heritage to drive consumer engagement. This trust allows The Hershey Company to maintain strong consumer loyalty, which is evident in the salty snacks category where research shows 70% of consumers are loyal to their favorite multipacks. This long-standing trust helps offset current headwinds; for instance, in Q3 2025, volume declined by approximately 1 point in North America Confectionery, which was partially offset by price elasticity, suggesting brand loyalty helps absorb price increases.

Here's a snapshot of the retail landscape supporting these relationships:

Relationship Channel Focus	Metric/Data Point	Source Context Year
Salty Snack Multipacks Household Penetration	73.4% household penetration	2025
Salty Snack Multipacks Growth Rate (4-Year)	Up 14%	2025
Sour Strips Sales Growth (YoY)	Nearly 50% surge	2025
North America Confectionery Price Realization (Q3 2025)	Approximately 7 points	2025
Brand Heritage Tenure	Over 125 years	2025

Finance: draft the Q4 2025 customer acquisition cost analysis by next Tuesday.

The Hershey Company (HSY) - Canvas Business Model: Channels

You're looking at how The Hershey Company (HSY) gets its products-the chocolate bars, the salty snacks, the mints-into consumers' hands as of late 2025. This is all about the physical and digital pathways they use to move product from their plants to your shopping cart.

The core of The Hershey Company (HSY)'s distribution relies heavily on established, high-volume retail partners. This includes the mass merchandisers and large grocery chains, which are the backbone of their North America Confectionery segment sales. For the 12-week period ending September 28, 2025, the U.S. candy, mint, and gum retail takeaway across the multi-outlet plus convenience channels (MULO+C) saw a year-over-year increase of 5.4%.

The channel mix is critical, and you see the difference in growth rates between categories. For instance, the convenience stores (C-stores) and gas stations, which are part of that MULO+C figure, saw strong performance, though the salty snacks category within those channels grew even faster. For the 12 weeks ending September 28, 2025, The Hershey Company (HSY)'s U.S. salty snack retail takeaway in the multi-outlet plus convenience channels rose by 14.2% year-over-year.

The Hershey Company (HSY) also maintains a direct-to-consumer presence through e-commerce platforms and a company-owned online store. While specific revenue percentages for this channel aren't broken out in the latest reports, the company uses these platforms for offering exclusive bundles and personalized gifting options, helping control the brand experience directly. This digital push complements the traditional routes.

The structure of their sales across major segments in Q3 2025 clearly shows the scale of these channel operations:

Segment/Channel Focus	Q3 2025 Net Sales (Millions USD)	Year-over-Year Growth
North America Confectionery (Mass/Grocery/C-Store)	$2,615.6	5.6%
North America Salty Snacks (Mass/Grocery/C-Store)	$321	10%
International Retail (Key Growth Markets)	$244.8	12.1%

The International segment, which includes markets like Brazil and Mexico, is a key growth driver, with Q3 2025 net sales reaching $244.8 million, a 12.1% increase over the prior year. This international volume growth was approximately 6%, with Brazil showing double-digit growth.

The company's overall channel execution is tied to its financial guidance. For the full year 2025, The Hershey Company (HSY) raised its net sales outlook to approximately 3% growth. To support this scale, they forecast capital expenditures of $425 million for 2025. Furthermore, the company is actively managing costs across its supply chain, expecting its Agility & Automation Initiative to deliver $150 million in savings during 2025, which helps offset input cost pressures that affect pricing strategies across all channels.

The wholesale distributors and foodservice channels are integrated within these segment results, facilitating placement in non-retail locations. The overall consolidated net sales for Q3 2025 hit $3,181.4 million, reflecting the combined output of all these distribution methods.

You should keep an eye on the Q4 shipment timing, as volume increases in Q3 were partially due to a shift of shipments from the fourth quarter in Europe and Mexico, which is expected to reverse. That's a near-term channel risk to watch. Finance: draft 13-week cash view by Friday.

The Hershey Company (HSY) - Canvas Business Model: Customer Segments

You're looking at the core groups The Hershey Company targets to drive its sales across confectionery and its growing salty snacks portfolio. This isn't just about candy anymore; it's a multi-faceted approach to snacking.

The primary segment remains mass-market consumers seeking everyday and seasonal indulgence. This group drives the core business, as seen in the North America Confectionery segment, which reported net sales of $2,615.6 million in the third quarter of 2025, and $2,300.1 million in the first quarter of 2025.

A significant and growing focus is on health-conscious snackers. This segment now accounts for 22% of total revenue for The Hershey Company as of 2025, a notable increase from 15% in 2023. Revenue from better-for-you snacks saw a rise of 12% year-over-year in 2025. This aligns with the broader consumer trend, where 68% of U.S. consumers prioritize snacks with clean labels.

The Hershey Company also heavily relies on its wholesale and retail partners (B2B). These partners are crucial for distribution across various channels. For instance, in convenience stores (C-stores), confectionery promotions using the Everyday Multiples (EDM) strategy deliver a 56% average unit lift, and standard bars achieve a 92% promotional lift. The company maintains a 47% market share in snack size confections, a key area for retail shelf space.

Targeting younger consumers and Gen Z is being executed through strategic innovation and acquisitions. The acquisition of Sour Strips in late 2024 is specifically noted for boosting appeal among Gen Z shoppers. Furthermore, a limited-edition "Dubai chocolate" bar launch, priced at $8.99 with only 10,000 bars produced via GoPuff, directly targets this demographic, as roughly 85% of GoPuff users fall into the Gen Z category. For branded desserts overall, 63% of Gen Z consumers will choose a restaurant specifically for one they love, and 70% of Gen Zers are likely to return to a restaurant where they enjoyed a Hershey-branded dessert.

Here is a look at the market context for these segments:

Market Segment	2025 Valuation/Metric	Projected 2030/2035 Value	Projected CAGR
Global Candy Market (Valuation)	$73.4 billion	$97.6 billion (by 2030)	4.6% (through 2030)
Global Salty/Savory Snack Market (Valuation)	Approximately $250.5 billion (in 2021)	$386.8 billion (by 2030)	4.9% (through 2030)
Global Better-For-You Snacks Market (Valuation)	$32.7 billion (in 2024)	$70.3 billion (by 2035)	7.2% (through 2035)

The willingness to pay a premium by these younger consumers is quantifiable:

• One-third of Gen Z and Millennial consumers will pay between $0.50 and $1.50 more for a Hershey-branded dessert.
• The North America Salty Snacks segment margin reached 21.1% in the second quarter of 2025.
• The North America Salty Snacks segment margin was 15.1% in the first quarter of 2025.

The Hershey Company (HSY) - Canvas Business Model: Cost Structure

The Cost Structure for The Hershey Company is heavily weighted toward input costs and significant brand investment. You see this pressure acutely in 2025, especially with commodity volatility.

High variable costs for raw materials (cocoa, sugar, dairy).

The cost of goods sold remains a primary driver of expense, with cocoa being the most volatile input. To manage this, The Hershey Company hedges over 40% of its annual cocoa requirements to try and mitigate some of that price swing. For the latest twelve months ending September 2025, Cost of Sales was reported at $2.14B.

Significant manufacturing and logistics expenses.

Manufacturing and supply chain efficiency are key levers to offset input cost inflation. The company is actively pursuing productivity improvements, targeting approximately $150 million in savings from its Advancing Agility & Automation Initiative for the full year 2025, an increase from the previously stated $125 million goal. The longer-term goal is to achieve $300 million in productivity savings by 2026.

You can see a snapshot of the key cost components and projections here:

Cost Component	Latest Reported/Projected Value (2025)	Reference Period/Context
Cost of Sales (TTM)	$2.14B	Twelve Months ending September 2025
Selling, General & Admin Expenses (TTM)	$2.385B	Twelve Months ending September 30, 2025
Interest Expense (Projected)	$190 million to $195 million	Full-Year 2025 Outlook (as of Feb 2025)
Interest Expense (Projected)	$200 million	Full-Year 2025 Outlook (as of July 2025)
Capital Expenditures (Projected)	$425 million to $450 million	Full-Year 2025 Outlook
Full Year 2024 Cost of Sales	$5,901.4 million	Fiscal Year Ended December 31, 2024

Sales, advertising, and promotional spending.

Brand building is a substantial, ongoing cost. For the second quarter of 2025, advertising and related consumer marketing expenses jumped 35.5% compared to the same period last year. Overall Selling, marketing and administrative expenses increased 11.5% in Q2 2025 over Q2 2024, though expenses excluding advertising only rose 2.2%.

Capital expenditures for automation and capacity expansion.

The Hershey Company is investing in its future operational base. The projection for capital expenditures, including capitalized software, for the full year 2025 is set between $425 million and $450 million. This spending is intended to bring capital spending as a percentage of sales back to historical levels. For context, actual CapEx in 2024 was $605.9 million.

Debt servicing costs from recent note offerings.

Financing costs are clearly rising due to the general interest rate environment. The full-year 2025 interest expense is projected to be approximately $200 million, reflecting higher leverage and interest rates on note issuances. This compares to the actual interest expense of $174.3 million recorded for the full year 2024. Long-term debt stood at $3.49 billion at the end of 2024.

You need to watch that interest expense projection closely; it's a fixed commitment.

The Hershey Company (HSY) - Canvas Business Model: Revenue Streams

You're looking at how The Hershey Company actually brings in the money, which, as of late 2025, is still heavily weighted toward its core. The North America Confectionery sales remain the primary engine for revenue generation, which you can see clearly when you look at the third-quarter numbers.

Here's a quick look at the segment net sales performance for the third quarter ended September 28, 2025, compared to the prior year period:

Revenue Stream Segment	Q3 2025 Net Sales Amount	Year-over-Year Growth Rate
North America Confectionery	$2,615.6 million	5.6%
North America Salty Snacks	$321.0 million	10.0%
International Segment	$244.8 million	12.1%
Consolidated Total Net Sales	$3,181.4 million	6.5%

The North America Salty Snacks stream, which includes brands like SkinnyPop and Dot's, delivered robust growth in that same quarter. That segment posted net sales of $321.0 million, marking a 10.0% increase versus the third quarter of 2024. Honestly, that growth rate outpaced the core confectionery business for the quarter.

The International segment, while smaller in absolute terms, showed the strongest percentage growth rate in Q3 2025. Net sales for this stream increased by 12.1% year-over-year, reaching $244.8 million. Still, that segment reported a loss of $13.6 million in Q3 2025, showing profitability challenges despite the top-line acceleration.

When you look at the full-year expectations based on that Q3 momentum, management raised the guidance. The overall revenue picture for The Hershey Company for the full year 2025 is now projected at approximately 3% net sales growth, up from the prior guidance of at least 2%.

The complete set of revenue streams contributing to The Hershey Company's top line includes:

• North America Confectionery sales (primary stream).
• North America Salty Snacks sales (e.g., SkinnyPop, Dot's).
• International segment sales (Q3 2025 growth of 12.1%).
• Full-year 2025 net sales growth projected at approximately 3%.
• Licensing and royalty income from brand usage.