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Nerds Gummy Clusters rack up $500M in 2024 before Halloween


Straight Arrow News reported earlier this week that M&M’s have been named the most popular candy for this year’s Halloween, according to Candystore.com. But Nerds, a brand more synonymous with 1984 than 2024, is making a case for itself with its newest creation, Nerds Gummy Clusters, taking over the confectionery world.

The clusters, consisting of a chewy ball surrounded by crunchy little Nerds candies, have become so popular that they’ve been recently featured in articles for The Wall Street Journal and The New York Times.

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Nerds hit it big in the 1980s. The Willy Wonka Candy Company debuted its iconic dual chamber packaging in 1983. Nerds was named “Candy of the Year” by the National Candy Wholesalers Association in 1985.

But while being seen with Nerds was popular in the 80s — Nestle acquired the brand in 1988 — the candy lost some of its luster in the 90s and 2000s.

In 2018, Nestle sold Nerds and all its U.S. confectionary business to Ferrera Candy for $2.8 billion. The Nerds brand at the time had around $40 million in sales and was seen as a candy from a bygone era. Then, Nerds returned to the spotlight in 2020 with the invention of Nerds Gummy Clusters.

After years of testing and research groups, it was an Instagram review by influencer Kylie Jenner about the clusters that turned them into a candy sensation.

The company said Nerds Gummy Clusters brought in nearly $100 million in sales in 2021. This year, Nerds Gummy Clusters have already garnered $500 million in sales – and this is before Halloween.

The renewed love for Nerds led Ferrera to nearly double its marketing budget. The company placed its first Super Bowl ad in company history, featuring TikTok star Addison Rae.

Ferrara told The New York Times it plans to release a second Super Bowl ad next year. A TD Cowen analyst told The Wall Street Journal that Nerds sales are now rivaling those of chewy competitors Starburst and Skittles.

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[JACK AYLMER]

EARLIER THIS WEEK – WE BROUGHT YOU A REPORT ABOUT THE MOST POPULAR HALLOWEEN CANDY THIS YEAR.

CITING SALES DATA –  CANDYSTORE DOT COM SAYS M&MS ARE THE NEW KING OF HALLOWEEN — DETHRONING REESE’S PEANUT BUTTER CUPS.

THE NATIONAL RETAIL FEDERATION SAYS SHOPPERS ARE EXPECTED TO SPEND 3 POINT 5 BILLION DOLLARS ON HALLOWEEN CANDY THIS YEAR – DOWN SLIGHTLY FROM THE ESTIMATED 3 POINT 6 BILLION LAST YEAR BUT UP FROM THE 3 POINT ONE BILLION TWO YEARS AGO.   

BUT M&MS ARE NOT THE ONLY CANDY GETTING ATTENTION THIS HALLOWEEN. NERDS — A BRAND MORE SYNONYMOUS WITH 1984 THAN 2024 — IS MAKING ITS MARK ON THE CONFECTIONERY WORLD YET AGAIN.

BUT NOT THE REGULAR BOX OF NERDS – WE’RE TALKING ABOUT NERDS GUMMY CLUSTERS – A CHEWY BALL SURROUNDED BY CRUNCY LITTLE NERDS CANDIES — WHICH HAVE BECOME SO POPULAR TJAT THEY ARE NOT ONLY THE TOPIC  OF THIS STRAIGHT ARROW NEWS REPORT BUT ARE ALSO THE SUBJECT OF RECENT ARTICLES IN THE WALL STREET JOURNAL AND THE NEW YORK TIMES.

NERDS HIT IT BIG IN THE 1980S – THE WILLY WONKA CANDY DEBUTING ITS ICONIC DUAL CHAMBER PACKAGING IN 1983 – AND BEING NAMED CANDY OF THE YEAR BY THE NATIONAL CANDY WHOLESALERS ASSOCIATION IN 1985.

BUT WHILE BEING SEEN WITH NERDS WAS RADICAL IN THE 80S – NESTLE ACQUIRED THE BRAND IN 1988 — IT BECAME LESS COOL IN THE 90S AND 2000S.  

IT WAS IN 20-18 THAT NESTLE SOLD NERDS AND ALL ITS U.S. CONFECTIONARY BUSINESS T O FERRERA CANDY FOR 2 POINT 8 BILLION DOLLARS. THE NERDS BRAND AT THE TIME HAD AROUND 40 MILLION DOLLARS IN SALES AND WAS SEEN AS A CANDY FROM A BYGONE ERA.

BUT THE REVENGE OF THE NERDS CAME IN 2020 – WITH THE INVENTION OF THE GUMMY CLUSTERS.

AFTER YEARS OF TESTING AND RESEARCH GROUPS – IT WAS AN INSTAGRAM REVIEW BY INFLUENCER KYLIE JENNNER ABOUT THE NERDS GUMMY CLUSTERS THAT TURNED THEM INTO A SENSATION.

THE COMPANY SAYS NERDS GUMMY CLUSTERS BROUGHT IN NEARLY 100 MILLION DOLLARS IN SALES IN 2021. FAST FORWARD TO THIS YEAR – AND NERDS GUMMY CLUSTERS HAVE ALREADY GARNERED 500 MILLION DOLLARS IN SALES – AND THIS IS BEFORE HALLOWEEN.

THE RENEWED LOVE FOR NERDS – LED FERRA TO NEARLY DOUBLE ITS MARKETING BUDGET –  PLACING ITS FIRST SUPER BOWL AD IN COMPANY HISTORY — FEATURING TIKTOK STAR ADDISON RAE.

FERRARA TELLS THE NEW YORK TIMES IT PLANS TO RELEASE A SECOND SUPER BOWL AD NEXT YEAR.

WHILE A TD COWEN ANALYST TELLS THE WALL STREET JOURNAL THAT NERDS SALES ARE NOW RIVALING THOSE OF CHEWY COMPETITORS STARBURST AND SKITTLES.

NOT BAD FOR A BUNCH OF NERDS FROM THE 1980S.

FOR STRAIGHT ARROW NEWS I’M JACK AYLMER

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