Coronavirus taking big bite out of Easter candy sales for region's makers

Coronavirus-related business closures are taking a hefty bite out of area confectioners’ Easter candy sales.

With chocolate bunnies, eggs and other seasonal sweets accounting for about half of annual revenue, it’s a situation that could put some companies out of business.

“It’s devastating, actually,” said John Mandak, owner of Valos Chocolates in Arnold. “About 50% of our business is at Easter. It’s not like you can sell Easter candy in July. If you pick a perfect storm, this is it.

“I’m concerned we might not make it through.”

It’s no easier for Wilson Candy Co. in Jeannette.

“This is killing me,” owner Robert Kane said. “If (Easter sales are) a bust, it’s going to be tough to start up next year.”

Adding to the problem, Kane said, is schools and other groups he regularly supplies aren’t having spring candy fundraisers, either.

“Everything I had going on is pretty much done,” he said. “Easter is the money-maker of the year. I have all this product and nowhere to go.”

Going nonstop

Adding insult to injury is the shutdowns came without much advance warning. Easter candy production can start anywhere from the beginning of the year to mid-February.

“I’m looking at a fully stocked showroom right now,” said Rose Keefer, owner of Brown’s Candy Kitchen in Mt. Pleasant. Keefer said sales have been about 10% of normal so far.

“Our factory has been going nonstop since Valentine’s Day,” said Eric Ferguson, owner of Perryopolis-based Gene & Boots Candies. “We rely on Easter to help pay the bills all year. It couldn’t be any worse, to be honest. The percentage (of lost business) is hard to say right now, but it’s pretty high.”

“We had most of our Easter inventory made before it all happened,” said James Paras, owner of West View-based Betsy Ann Chocolates. “We’re cutting back on what’s left and probably will wind up early.”

One saving grace might be sales traditionally pick up as the holiday approaches, peaking in the week prior to Easter.

“We’re hoping every week gets a little better,” Ferguson said. “The week before Easter is usually the busiest with call-in orders and online sales.”

“Things do pick up in the last two weeks before Easter,” said Robert Gastel, owner of Dorothy’s Candies in White Oak. “I looked at the numbers for the comparable period last year, and we’re down about 70%. Needless to say, this might be the end for us.

“Few people understand that the candy business — especially chocolate — is extremely seasonal. For us, it’s about 40% at Easter and 40% at Christmas. We have to make it on these two times,” he said.

“Easter is our profit for the year,” Keefer said. “It’s tough. It’s probably going to put us under.”

Skeleton crews

A larger manufacturer like Canonsburg-based Sarris Candies has an advantage in selling to a large number of supermarkets and other vendors, but it still is affected by the shutdowns, said owner Bill Sarris.

“We’re never going to have a season (this year) like our previous seasons,” he said. “Percentage-wise, we’re maybe 25% down. We’re producing the things that we need as we go.”

Most owners say they’re handling direct sales through phone or online ordering and are getting the goods to those customers through pickups curbside or at the door of factory outlets or their retail locations that are open.

In addition to curbside pickups, Marion McFeely said she will make free deliveries to areas “within reason” of her McFeely’s Gourmet Chocolate stores in Greensburg and Irwin.

Employees obviously are affected as production slows or stops.

Of his 24 employees, Mandak said, “Some don’t want to come in, some are fearless and want to help in any way they can. Everyone works seasonally, though, so they’re used to being laid off.”

“We have a skeleton crew in the factory. Production is mostly shut down,” Ferguson said. Gastel said he also has a skeleton crew working in the chocolate dipping room.

Wilson said only one of his nine employees is working.

‘Do the best we can’

“We’ve actually been hiring some employees, because some have decided they need to stay home,” Sarris said.

Betsy Ann has about 30 workers in its factory, Paras said, and up until recently “we’d been short-staffed all year, because typically a few people call off each day.”

McFeely said when the state ordered businesses to close, “I thought, OK, we’re just going to be closed. Then I saw others (offering direct sales), and I said, we’ve gotta get this candy out there. We’re going to do the best we can going forward.”

“The amount of inventory and labor costs that went into producing for Easter is huge,” Gastel said. “I’m afraid to even look at the numbers. We stand to have inventory of $200,000 left when this is over.

“This is huge to a small business. Everyone is hurting, but that’s the story with these small chocolate companies,” he said.

“I don’t care where people are getting their candy, from us or somebody else. I just want them to be buying,” Sarris said. “It’s important to keep those family Easter traditions going. That’s what we want.”