Jordan Zimmerly
Mrs.Straub
Insight
5th October, 2015
Smarties Candy is Thriving
Halloween is coming up, and you know what that means. Candy! Not just any candy, but America’s personal favorite, Smarties. Smarties is a candy company that was established in America in 1949. In fact, the company just got passed down to a third generation of 3 granddaughters and the business is doing better than ever. These three Millennial women are bringing new innovation to the company with: improved manufacturing methods, advertising, and best of all, a new product.
Right away, the Millennial women have increased sales by 15%, which is especially impressive because the company has previously done little to no advertising. Although with the new leadership the company has found it important to emphasize that there products are: peanut free, gluten free, fat-free, vegan, and 25 calories. Simply by pointing out simple perks, the demand has increased tremendously.
In addition, the women have created a new Smarties product called, Smarties ‘n Creme. These new candies are about the size of a quarter and are filled with flavor. In the past Smarties has stuck strictly to strawberry and creme flavors but with it’s new product it has expanded to: strawberry, peach, blueberry, raspberry, and orange. So far this new product has gotten great reviews and has created a new customer base.
On the other hand, many other candy companies productions moved ahead of Smarties due to their decision to relocate their companies abroad. Smarties has always taken pride in creating jobs in America even if there opportunity cost results in larger manufacturing fees. It is clear that Smarties prefers quality over quantity.
To fix this problem without moving the company, the 3 Millennials had to put their heads together. The main goal was to increase efficiency, so they’d keep up with other companies. They finally decided to invest in new machines to supply more candy. Originally with the old machines they were able to make 125 rolls of Smarties per minute. With the new technology they bumped it up to 200 Smarties per minute. Due to the increase in rolls, the company was finally able to meet demand deadlines.
Overall, if it weren’t for the three new female Millennials the company would eventually flatline instead of thriving like it is now. All it takes to build a company is new people with fresh ideas. Most people taking over a business would crack under the pressure, but for these ladies it was quite the opposite. All in all, these women were truly the key ingredient to get Smarties back on the map and to stores near you.
Works Cited
\Smarties, The Trio Run. "Three Millennial Women Are Revolutionizing Smarties." CNNMoney. Cable News Network, 5 Oct. 2015. Web. 06 Oct. 2015.
Wilson, Laurnie. "Candy Favorites – Wholesale Candy & Bulk Candy Suppliers Since 1927." A
Smarties History. Candy Favorites, 1 Oct. 2015. Web. 06 Oct. 2015.
What interested my the most about this topic is how the Smarties company in not a bureaucratic company, however, it is still thriving just as well as other companies. Most companies in the nation hire people who have been properly educated to do the job of being president and/ or CEO of the company, however, Smarties is a family business. Though I am unaware of their formal education, the three granddaughters obviously know what they're doing; coming out with a new product, especially this time of year. Because of Halloween, in October the demand for candy increase, shifting the demand curve to the right. This is the perfect time to come out with a new candy product because, when people are shopping for new candy, they will notice the new Smarties and pick them up to try them out. In all, I feel as though the Smarties company has always been consistent in their sales, however, they are on the verge of a breakthrough.
ReplyDeleteI really like that fact that the 3 women in charge of the company have decided to keep the company in America. I think that if other companies did what they did and figured out a way to boost production they might be just as profitable so they don't have to move overseas. They also made a candy that pretty much everyone can have so they can advertise that and make even more of a profit over the Halloween season.
ReplyDeleteWhat got my attention was the fact that the Smarties company would eventually fail without the creation of the Smarties N' Creme, I had always thought that the demand for the sugary snack on Halloween would be popular enough for the company not to fall short. It's clear to me that the three women who own the company now understand how the business world works in the fact that you've got to up the ante in what you sell in order to keep buyers interested in the products you're selling. Glad to see that it's not just a one trick pony anymore, because more options are better than one. This is what is going to give the Smarties Company an edge in the candy making world, especially since it is already a fan favorite in the U.S.
ReplyDeleteIt's very interesting that a shift in ownership can produce such drastic results! These three girls clearly were smarties themselves; they implemented new strategies where old ones were creating a flatline in sales, and assessed which aspects of the company caused problems. By creating advertising where Smarties used to have none, they were able to display their product on a platform much higher than a store shelf alone. A switch in machinery to increase efficiency clearly helped as well. Were Smarties struggling to make enough supply to meet their demand before this switch in ownership, or did the advertising that was put in place after the three women took over cause a much higher demand that couldn't be met by antiquated machinery?
ReplyDeleteIt is obvious from the article that smarties is a great American company who takes pride in their product and who they employ. I think its great that although the opportunity cost of keeping the company in America may be less efficient manufacturing, it takes priority over the opportunity cost of going overseas which would be cutting down on millions of American's jobs. It just shows that the trade-off between more manufacturing and more American jobs was tough yet they chose the moral choice. In addition, because the company has opened the consumers to more flavors, it has caused an increase in the demand curve. People that normally didn't like the strawberry and creme flavors may now like the new flavors making the demand increase.
ReplyDeleteI had no idea the smarties were so old and that even now they are still thriving today and are even creating new products to help draw in sales and ha have new machines brought in to help boost efficiency. I'ts also weird to see that such a large company is being run by 3 women when most companies are just run by 1 person and people in the background to help make decisions, the 3 millennials must be doing something right if they are still making a profit and are growing
ReplyDeleteThis was a very interesting article. I really like how you pointed out that the Smarties company prefers quality over quantity. Nowadays, most companies are doing the opposite because it is more efficient. It makes total sense that this company would want to keep production in America because it they would outsource the company, there would be no guarantee of the quality. A lot of things can happen in the shipment and delivery process. I wonder how much longer Smarties will be able to afford to stay in the US? Given that these three new owners have already increased sales by 15%, wouldn't they want to make more money? Regardless, I hope this company sticks to their word but it is something to watch.
ReplyDeleteI found it surprising that Smarties’ sales have gone up by 15% since the Millennials took over the company. I have never considered Smarties to be one of the most popular candies compared to Skittles or Twix, but it makes sense because I always see a big bulk of them in stores. It was a smart choice for the Millennials to come up with a new Smarties candy to keep consumers interested in the product. Purchasing the new technology to speed up the production will also help their company keep up with competitors. I believe that it was a smart move to keep the Smarties company in the United States because many consumers will only buy American made products. If Smarties were to locate their company to another country, they would lose many sales. Great article!
ReplyDeleteI never knew that Smarties were only 25 calories, or that they were peanut-free, gluten-free, and vegan! You mentioned how there was an increase in demand once the statement about all of Smarties' benefits was released; I understand why this would happen due to people with allergies who have to refrain from eating certain types of food. For example, I am gluten-free and am not able to eat a lot of candies. Now that I am aware that Smarties candy is indeed gluten-free, I plan on buying some this upcoming Halloween! This shows that marketing is important in a successful business---especially when a product being sold has been improved. Overall, great analysis of Smarties'; who knew there could be a "healthy" candy!
ReplyDeleteI found it very interesting that Smarties were a pretty decent candy, being only 25 calories, peanut free, gluten free, and vegan. Which is why there was an increase in demand once consumers found out this information, which makes perfect sense. Also sales went up 15% once they switched over to Millennials. Another reason for that could be because Millennials created new types of smarties which helped keep consumers interested and possibly try the new kind and continue buying the original. Overall I thought that the switching of companies and the nutrition facts was very interesting.
ReplyDeleteRight away you were able to capture my interest with the first sentence. It was very attention grabbing and I was excited to read more. When you stated all the characteristics about Smarties, I really didn't know any of them. I became very surprised with the characteristics they had. It is very smart for the three women to advertise the characteristics because to me, I feel that no one would know about them. Along with that, I didn't realize the company has been family run and I find that very cool. Since Smarties cares about keeping the company in America, they need to make sure to keep their advertising up as well as the supply, because the demand is so high. With the new technology that the women thought of, the company will be able to stay in America and keep providing jobs. Finally, I really enjoyed how you showed what can happen to a company with a few new ideas.
ReplyDeleteSmarties today without the three sisters would probably be in the same place it was before low efficiency and still high manufacturing costs. If this company didn't see the much needed innovation the company would probably have sunk and lost a great deal of money essentially when owning a company that has prehistoric roots it's necessary to keep up with the consumers as apart of the 5 parts of demand you need to keep the consumers taste in mind and that's exactly what the millennial sisters did.
ReplyDeleteSmarties today without the three sisters would probably be in the same place it was before low efficiency and still high manufacturing costs. If this company didn't see the much needed innovation the company would probably have sunk and lost a great deal of money essentially when owning a company that has prehistoric roots it's necessary to keep up with the consumers as apart of the 5 parts of demand you need to keep the consumers taste in mind and that's exactly what the millennial sisters did.
ReplyDeleteNice topic J! You grabbed my attention with Halloween because who doesn't love Halloween? I found it very interesting that Smarties are 25 calories, peanut free, gluten free, and vegan that is a good way to attract customers. I'm glad that the three sisters came into the company to be able to ensure the company will flourish. In order to meet demand, they updated technology and made sure the company did not sink due to this. I'm glad Smarties kept the customers in mind while trying to make their company grow as well.
ReplyDeleteThanks giormad16! I agree I think it was a great idea to point of the extreme benefits that come from the candy. In terms of Halloween, I think more people will buy the product now that they know of the benefits. Especially the parents who have children will bad allergies who may not usually be able to have candy. Also, I agree that without these sisters the business would have definitely not been as successful.
ReplyDeleteI sorta get why smarties is only 25 calories, its a small package of candy! But I didn't know that they were peanut-free, gluten-free, and vegan (which I believe is rare). I wonder how big the demand was when the smarties released their benefits; I'd imagine it wasn't a huge difference because of the candy preference. I never knew smarties would be a healthy candy type and that more people would benefit from eating that instead! I think that once more people know about the smarty release there will be a small increase in demand and production. Good job on the paper, really interesting topic!
ReplyDeleteI think that's great that smarties are coming back into the game. They were slowly dying out, but now that they are coming back that is awesome. Not only is it great that they are back and better than ever, that means that more jobs are created from this, and hopefully smarties will be able to expand even more, for more jobs than they already have created. America needs more companies to be like this and build the economy back up.
ReplyDeleteI was surprised to hear that Smarties are creating a new product because they have specialized in their sugary product for so long. However, this new product can only increase profits because their current customers will still buy the original product but the new product may bring in more customers. Hopefully expenses of the new machinery will provide for more profit. The opportunity cost of the new product would be the original smarties, because if they're making more of the new product they won't be able to create more of the original. The company will have to decide how to divide up production because they are used to only making one product.
ReplyDeleteThis cross generation company I believe will continue to thrive. Even though the trade-offs of keeping their factories in America are not the best of results, the pride of being an all-american company will keep this candy company afloat. Many americans refuse to buy from companies that outsource their production. The recent oreo's upset is a big evidence of that.
ReplyDeleteIt's interesting that once the company gets handed down to the next generation can change the company so quickly. The new generation is also able to keep the core beliefs of the company up and running as well. They can guarantee solid business by keeping their production in the United States.
ReplyDeleteSmarties have been around forever, I'm surprised that it's taken so long for them to start expanding their flavors as all other candy companies do. Without there three ladies running the company with their fresh ideas, the demand would probably be in the middle, and the price still a bit high. I think its awesome that they took something America is in love with, and made it even better.
ReplyDeleteNice topic, definitely a relevant one with Halloween right around the corner! The first thing that comes to anyone's minds when they are thinking of Halloween is candy, and why not incorporate that with a company which is thriving.
ReplyDeleteI agree that new people with fresh ideas are key to a business, however the customers who have been loyal to the company are just as important. Smarties have been around for years, and it's the combination of old and new consumers that make the brand flourish. I found it interesting that up until now, they only had one product. It's a good idea to create a new candy while still producing the classic smarties.
ReplyDeleteSmarties have been around forever, I'm surprised that it's taken so long for them to start expanding their flavors as all other candy companies do. Without there three ladies running the company with their fresh ideas, the demand would probably be in the middle, and the price still a bit high. I think its awesome that they took something America is in love with, and made it even better.
ReplyDeleteIts crazy how fast things travel down from generation to generation. If it wasn't for the smarties being handed down to three sisters there could have been a possible chance that smarties wouldn't even exist today. Once things are passed down from generation to the next things can spread quickly.
ReplyDeleteIt's interesting how Smarties is coming back and creating a new product. I think that the new generation will thrive and continue to have success by keeping the foundation of the company the same. I believe that if they keep their business to inside the United States they will keep making profit.
ReplyDeleteIt is really awesome that as the Smarties Company was passed on to different generations, it thrived. This isn’t always the case. I also think it is really cool how 3 granddaughters were able to put their heads together and come up with ideas for their company. They were able to adapt to the competitive market and work hard to keep up with their popular brand name.
ReplyDeleteIt's refreshing to read about a company wanting to stay in the states. All companies now a days are fleeing due to cheaper production elsewhere. I agree that they have chosen quality over quantity by staying in the United States. Although I feel like when you said "it just takes new idea's to run a company" that was a little off.
ReplyDeleteLove the topic, especially since Halloween is coming up. I, myself personally love smarties out of all the candy so I can totally relate! Smarties are an all-time favorite for a lot of people and it's cool to see how much it has grown over the years.
ReplyDeleteI think it’s a good idea that the three women are introducing a new product because it will draw interest and attract a bigger consumer base. They should highlight in their advertisements that their candies are only 25 calories because many people in current day are focusing on diets and calorie counting and a low calorie candy will be an incentive for consumers to eat Smarties rather than a candy bar. Smarties should have commercial advertisements to attract the most attention of consumers.
ReplyDeleteI thought this was a really good topic to choose especially with Halloween right around the corner. Smarties has always been one of my favorites and now I can't wait to try the new flavors. It's amazing how much technology can affect a company. As you said in your article, just by getting new machines they are now making 50 more smarties a minute. Also, advertising is a huge factor into world. Just by changing a few things about the company these women are making the smarties company thrive. Overall, I think you found a really interesting topic to write about that brings up some key factors that affect the business world today.
ReplyDeleteThis was really interesting to read about because I've never thought much about the economics of Smarties. One question I have is how elastic is the demand for smarties? They aren't necessarily a need, but the are cheap. With all the competition from other large candy companies like Hershey's and Mar's, I'm surprised that Smarties are still in the market. However, maybe people demand Smarties because they like the idea that it is a family business and only operates in America. Whatever the reason is, it looks like the market for Smarties is seeing some positive rightward shifts in demand and supply.
ReplyDeleteThis is really interesting, I never knew smarties were america's favorite candy. I think it makes sense that the demand increased after they pointed out those qualities which I was surprised by and wouldn't expect Smarties to be. As someone who enjoys smarties it is good to hear that they are growing and prospering. Does the smarties company make smarties only because if they are I am really surprised they are able to compete with other major candy producers who have a variety of products.
DeleteColin Marks
ReplyDeleteI too like Griffin never knew Smarties we're America's favorite candy. But, it does make sense because they are ohh so tasty and it makes me happy that they are doing so well. Its impressive how the different generations effect the sales so much.
Of course everyone in America knows about smarties, however I didn't know about the Smarties Creme candies until I read your article. With many other companies choosing to take the less expensive way out, it's impressive and reassuring that they choose quality over quantity. It's also amazing that while choosing quality over quantity, that they were able to meet the 15% increase in sales that they also achieved.
ReplyDeleteOverall, I thought you did a nice job on your post, and it was a really interesting topic. I had no idea that Smarties was America's favorite candy. I think that if you would have included data, that your statements would have been far better supported. Also, when you stated that the machinery was improved, you should have included the determinant and how the supply curved would have shifted. Also, when you mentioned the new customer base due to the new candy, you should have mentioned that the increase in consumers shifted the demand curve. Despite these factors to fix, I thought that your post was very interesting and well thought out.
ReplyDeleteI enjoyed reading this post. It was a very interesting topic to talk about. You could have used a little more facts to back your statements up, but did include some, like the 15% increase in sales. Maybe you also could have talked about the shifts in the demand and/or supply curves. But overall, I thought you did a great job.
ReplyDeleteWay to represent such an amazing company. Its awesome to talk about how the company has gotten passed down from generation to generation and that the new granddaughters are placing in new and better innovations to the company. And I like how you talk about how they have emphasized that there products are peanut free, gluten free, fat free, vegan, and low calorie. I thought overall this was an amazing topic to talk about. But one thing that I would have added was showing us their growth charts instead of stating it in the writing to give us more of a visual effect about the topic.
ReplyDeleteWay to represent such an amazing company. Its awesome to talk about how the company has gotten passed down from generation to generation and that the new granddaughters are placing in new and better innovations to the company. And I like how you talk about how they have emphasized that there products are peanut free, gluten free, fat free, vegan, and low calorie. I thought overall this was an amazing topic to talk about. But one thing that I would have added was showing us their growth charts instead of stating it in the writing to give us more of a visual effect about the topic.
ReplyDeleteI think it is awesome that three young women from a family are taking on a company as big as Smarties. Obviously the demand for the candy was going to go up due to Halloween, but it is fantastic that they were able to implement the needs of the consumers into their product, increasing sales without any advertisement. I like how you talked about their opportunity costs and how they are working to make more products as well. Great article!
ReplyDeleteIt is really cool that three younger women all run this company. A company as big as smarties that is something that popular you would not really think that three women would be the owners of this company. Since Halloween is coming up this is a good topic to read about since this type of candy will be very popular this month. You included different vocab words to explain to us the importance of the smarties company.
ReplyDelete