September 22, 2010

Gas?.... Or Chocolate?

As everyone will agree we need gas but we want chocolate, especially after reading this article.

Every year we watch the gas prices fluctuate between seasons, but did anyone ever stop to see the price changes in chocolate? According to this article, chocolate companies in San Diego, CA haven’t seen too much of a deviation in sales, maybe a few dips here and there between months as a result of the economic downturn, but other than that business is good!

The U.S. market for premium chocolate has enjoyed 20 percent annual growth for the last seven years and is projected to hit $1.7 billion in sales next year. Promising to put the box away “after just one more piece,” we later regret eating almost 13 pounds a year each — the equivalent of 100 Hershey bars!” Most companies can only dream of a 20% annual growth in seven consecutive years. What does that say for gas as a necessity, despite the BP incident?

A big thing that this article leaves out is what are the projections for quantities demanded over the last seven years, with 2010 being the specific year in question? Now I know as a chocolate supplier they can only see supply side of things but how can you say that there is a 20% growth when all you see is the supply side of things and be giving an accurate account for sales and the quantities purchased by customers in these hard times?

The company owners interviewed for this article said “There will always be room for chocolate in a moment of crisis; it’s a small indulgence that delivers a very important pleasurable and emotional release.” But that doesn’t explain if this year the industry saw nearly a 20% growth this year. Sure maybe it grew a little bit, I know I’m guilty of picking a packet of chocolates over a gallon of gas or healthy food on some occasions, but not often with things so tight. Sure the utility anyone gains from consuming chocolate is great, but fleeting at best. It wouldn’t win over putting car in my gas to get to work tomorrow. As amazing as these owners claim their chocolate to be, I think anyone who can stand to go without for awhile will when it comes to necessities over frivolous things especially if it means paying the bills or is a complimentary solution to getting the bills paid like having a running car.

Katie Compher

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