Another surprising pandemic victim, chewing gum sales fell in the early days of Covid as pedestrian traffic in grocery stores slowed and more people stayed home. And who needs fresh breath when you wear a mask?
And even before the pandemic, Mondelez’s chewing gum revenue fell in certain markets.
The company has just started looking for a buyer and there is no timeline for a sale yet, a spokesman told CNN Business. The decision comes after Mondelez launched a review of its chewing gum business last year.
It also plans to completely divest its Halls cough drops business.
“Mondelez International is transforming its portfolio with a long-term vision to accelerate growth and generate 90% of revenue in chocolate and biscuits, including baked snacks,” the company said in a statement Tuesday.
The company has increased its baked goods portfolio with a number of acquisitions in recent years.
Earlier this year, for example, it completed its acquisition of Chipita, a company that sells croissants and other baked goods in Europe. Mondelez plans to use brands like Chipita to develop new products that combine chocolate with baked goods.
The latest Acquisitions have helped drive sales. In the first quarter, the company reported a 7.3% increase in net sales, thanks in part to the addition of more brands to the fold.