Cadbury Sticks $50m on Gum Launch

10 May 2006

UK-headquartered confectionary maker Cadbury Schweppes claims to have discovered the answer to one of the burning questions of the age - how to keep chewing gum full of flavor.

The company is to spend $50 million (€39.4m; £26.9m) on the US launch of its long-lasting Stride, which it hopes will snap at the heels of the world's number one gum maker, Chicago-based Wrigley.

The new brand, unveiled after three years of intensive research, "in many cases lasts longer than the chewer does, meaning the jaws wear out before the flavour does," hypes Brad Irwin, president of Cadbury's US confection business.

He adds: "We find that people take the gum out of their mouths because they either need to eat something or their jaws are just tired."

Irwin says the US gum market has grown by 6% so far this year, on top of 7% growth for the whole of last year.

Although Wrigley dominates the global gum market with a 35% share, Cadbury has begun to challenge in key areas such as France and Canada.

Wrigley spokesman Chris Perille responds to the Cadbury challenge by saying the company's Orbit and Extra brands satisfy customer demand for long-lasting flavor.

He stoutly asserts: "We don't have any objective measures [for how long Wrigley gum lasts] at this point but we think that our products more than stand up to the competition."

Data sourced from Financial Times Online; additional content by WARC staff