When Daniel Kitay launched his startup, Funday Natural Sweets in March 2021, he had no idea Australia had a long lockdown ahead.
However, the timing was ripe for his ‘clean candy’ company, which creates nostalgic, natural lollies, including a version of Australia’s iconic red frogs.
Just four months after launch, Funday signed a deal with Woolworths, in addition to national listings in Chemist Warehouse Australia and a recent international listing in New Zealand.
“It’s amazing to see our range sell out in such big Australia retailers,” says Mr Kitay.
Online sales have also soared, doubling month to month, thanks to a fanbase of loyal repeat customers.
“It’s our online sales that have really taken us by surprise,” he says.
“It’s why we introduced a subscription model, where a top-up of sweets are delivered on your schedule. We have so many repeat customers who love the convenience – that’s a real growth area for us.”
The global confectionery market is estimated to hit US$227.4 billion by 2027, according to Research Dive, and ‘better for you’ confectionery is driving the upwards trend.
It’s not only about what we eat but how we access it. The same report predicts that online sales of confectionery is forecast to exceed US$15 billion by 2027. A big factor is busy professionals, who usually have a hectic lifestyle, and find it very convenient and easy to purchase from online stores.
Australian-based Funday continues to look for new opportunities in Australia and abroad, having already expanded into Singapore and Hong Kong.
“It’s been a crazy year for everyone,” says Mr Kitay.
“There’s no doubt the pandemic has impacted the confectionary market – we’re just happy that tastes have changed in our favour.”