The Power of Sweets

Packaged sweet snacks continue to grab impulse buys and boost basket size at c-stores.

The Power  of Sweets

August 2025   minute read

By Sarah Hamaker

Packaged sweet snacks are often a go-to snack no matter what time of day—and the category’s ability to blur dayparts has contributed to its continued success and popularity among consumers. Overall confectionary sales—which include packaged sweet snacks—crested $54 billion in 2024, with a forecast that U.S. confectionery sales will exceed $70 billion by 2029, according to the 2025 State of Treating report by the National Confectioners Association (NCA).

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Sweet Sales 

While those numbers illustrate a healthy general category, data specific to convenience stores demonstrates the channel continues to be the place where consumers indulge their sweet tooth. NACS CSX data shows the category has grown steadily at c-stores year-over-year, with per store, per month gross profits growing by 7.8% in 2024. In addition, packaged sweet snacks hit the top 10 merchandise categories of 2024, coming in at No. 9, according to the NACS State of the Industry Report® (SOI) of 2024 Data. 

Retailers say the category is one that provides reliable sales. “Fresh packaged and prepackaged bakery items have always done well at our stores, and have been good so far this year,” said Babir Sultan, president of FavTrip, based in Kansas City, Missouri. The company operates four of their dozen locations. 

“Packaged sweet snacks continue to be a category that contributes positively to the retailer’s bottom line,” said Emma Tainter, NACS research analyst/writer. She pointed to the category’s year-over-year increase of 6.1% in sales as proof of its importance to convenience stores. The category also averaged $3,801 per store, per month in sales, according to NACS 2024 SOI data.

Gross margin for the category saw a slight bump to 45.37%, from 44.65% in 2023, while gross profits rose to $1,725 from $1,600 in 2023. “This shows packaged sweet snacks had a solid gross profit year-over-year bump,” Tainter said.

Within the category, snack cakes, pastries and desserts grabbed the largest share with 55.3% of sales last year, according to 2024 SOI Data. Muffins and donuts contributed about a third of the sales with 27.2% share, while cookies came in last with 17.4% of category sales. 

“While inflation contributed to the higher sales in this category, the entire packaged sweet snacks section still grew a respectable percentage in 2024 over 2023 numbers,” Tainter said.

Sweet Flavors

Packaged sweet snacks rely heavily on impulse buys, which means taste innovations in the category can drive repeat customers as well as garner fresh interest in the category. “Traditional Hispanic-style desserts are in steady demand,” said Elizabeth Sommer, customer marketing manager for Rich Products. For example, last year, Rich Products introduced Our Specialty Treat Shop Tres Leches Style Cake Cups in strawberry, chocolate and traditional flavors to meet customer requests for ethnic treats. “These treats also come in convenient grab-and-go packaging, making them an ideal solution for c-stores,” she said.

Rich Products also offers different packaging sizes to give consumers more options in sweet snacks. For instance, the company offers individual wrapped Funfetti Cheesecake Slices and individually wrapped cookies for countertop displays near the coffee counter or beverage area. “Consumers enjoy trying their favorite baked good brands in different formats, so we offer both single portions and larger sizes for sharing,” Sommer said. The individual portions also allow for customers to sample different products, which can boost basket size.

Part of packaged sweet snacks’ appeal is the nostalgia factor, which plays into childhood memories of traditional and seasonal flavors. For instance, Wonder Bread recently launched its first line of snack cakes, which play on classic indulgences like glazed honey buns, powdered mini donuts, and crème-filled chocolate cupcakes. “With the launch of our new treats, we’re excited to bring that same sense of nostalgia and joy to a new category,” said Ashley Hornsby, director of brand management, in a press release on the launch. 

Another way that retailers keep the category fresh and exciting is through limited-time offers, such as seasonal favorites. Sultan brings in seasonal flavors, like pumpkin, in the fall to spur more impulse sales. “We stock seasonal flavors based on historical data and plan ahead by making sure our vendors will bring the seasonal items at the very start of the season,” he said. For instance, as soon as he sees the first pumpkin spice ad appear in late summer, he’s confirming with his suppliers what pumpkin-flavored packaged sweet snacks and other items he wants. “We have a great online following and as soon as we post we have a seasonal flavor, we usually sell out quickly,” he said. 

“Consumers look forward to trying different flavors as the seasons change,” Sommer said. For example, Rich Products offers its Our Specialty Sweet Shop Lemon Flavored Mousse Parfait for a fresh spring flavor.

A Sweet Display

Eye-catching merchandise displays can help draw attention and sales to categories such as packaged sweet snacks. FavTrip boosted sales in packaged sweet snacks by paying close attention to its displays. “We team up with vendors to stock good displays for the category, which has a positive impact on sales,” Sultan said. “We avoid having ‘sorry displays’—those displays that only showcase a few bars or snacks and look rather sad.” 

Instead, Sultan tests different displays for categories, including packaged sweet snacks, to see how well customers respond. “We recently ran a test with a separate packaged sweet snacks display near the coffee and found it got a good response,” he said. “Overall, we want to have our packaged sweet snacks merchandised in a way that draws attention to the category and gets our customers to grab a Hostess or Little Debbie treat.”

He also regularly reviews data on which packaged sweets snacks people are buying, then puts those items on sale. “I don’t use promos to push items that aren’t selling but rather want to reward my customers with discounts on what they’re already buying,” he said.

A Sweet Challenge

One of the biggest challenges in this category for Sultan at FavTrip has been keeping the prepackaged and packaged bakery items fresh. “Each shift, I have someone in charge of that department to make sure we are rotating the product and restocking popular items in a timely fashion,” he said. 

That prevents the category from being overlooked and gives ownership to a staff member, which often generates good ideas to move products within the category. “It makes it easier to divide the categories among the staff during each shift rather than relying on a single manager for all the categories, and we’ve had positive results for packaged sweet snacks, among our other sections,” he said.

To Sommer, competition from prepared foods is a major test for the category and has impacted sales of packaged sweet snacks. “Freshly made or freshly baked foodservice items are stealing some share from the packaged space,” she said. “However, packaged sweet snacks still have a place in c-stores as customers look for snacks that are convenient, high protein and energy-boosting, like many packaged sweet snacks are.”

A Sweet Future

Despite these challenges, interest in packaged sweet snacks does not appear to be lessening among today’s consumers. “We believe the demand will continue to grow because consumers are snacking throughout the day rather than eating large meals and want grab-and-go items they can easily eat in their cars or on the go,” Sommer said. “Plus convenience stores are faced with limited labor, so they’re looking for indulgent, unique dessert options that are individually wrapped and ready to serve to meet the demand.”

Sultan sees packaged sweet snacks as a way to make a store unique. “We very much focus on each individual location and try to stock the items people care about the most in those stores,” he said. “Knowing your avatar—your ideal customer—is key to keeping packaged sweet snacks a viable category in your store.” 

Sarah Hamaker

Sarah Hamaker

Sarah Hamaker is a freelance writer, NACS Magazine contributor, and romantic suspense author based in Fairfax, Virginia. Visit her online at sarahhamakerfiction.com.

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