5Q: Victor Mehren, GM of Mars Chocolate Canada

Just before Halloween Victor Mehren stocks up on Mars brand chocolates and decorates his Oakville, Ont., home with M&M's characters, inside and out. His goal, like so many other Halloween enthusiasts, is for his house to be the one kids count down to visit.
 
It should be. Mehren is general manager of Mars Chocolate Canada and knows well it's that kind of thinking that has helped push to the top of global rankings tasty brands such as M&M's, Snickers and Dove/Galaxy, made by privately-held Mars, Inc, the global manufacturer of confectionery, pet food, and other food products.
 
Mehren and others at the Bolton, Ont., office have been busy over the past months prepping for Halloween, a time when competition is especially fierce for the roughly $2.7-billion Canadian chocolate confectionery market, though Mehren, in a rare interview, preferred to keep things hush about hard numbers and growth strategies.
 
Not surprising since the global chocolate confectionery landscape is dominated by a handful of powerhouses including Mars, Hershey, and Nestle SA.
 
You moved into the chocolate business after about 10 years at Wrigley. How did you get into the gum business?
 
I grew up a Chicago boy. I was a Chicago Cubs fan and learning about the Wrigley history. One thing led to another and it seemed a perfect fit to work at Wrigley. That fit with my Chicago background and even my childhood love for the Chicago Cubs.
 
So what happened?
 
You may remember Mars purchased Wrigley some four years ago. When Mars bought it, it kind of afforded opportunities in other parts of the business. I thought gum was fun, but chocolate is even more fun. When you say you work in chocolate they say: "Really? What do you do every day? It sounds like fun." It's a great conversation starter, particularly when you're attached to such well-known, household brands like M&M's and Mars and Snickers.
 
How important is Halloween to your business?
 
I don't want to get into the percentage of our business, but it is significant. About  40 per cent of chocolate purchases only happen during the seasons (for example Halloween, Valentine's, Christmas). So 40 per cent of people who buy chocolate only do so during the seasons.
 
How do you boost your brands during Halloween?
 
We're working with retail customers almost 12 months earlier, starting the conversations. The forecasting, the collaborative conversations you're having with the customers, the production of all that chocolate and the logistical supply chain, shipment of that chocolate is all critical.
 
Are there any big Halloween buying trends?
 
There's this concept we've been playing with called "best house on the block." When we talk to Halloween shoppers, we find out that many times she wants to have the best brands so that after people come trick or treating their house is well thought of. They also want to make sure they're going to buy just enough to have some left over so they can keep snacking post-season.
 
Globally, there's a few trends out there that stand out like spicy chocolate, a move to luxury chocolate. What do you see as a big trend for chocolate in Canada?
 
The biggest one is around bite-sized (chocolate versus bar-sized). M&M's has been there for a long time. We call them pieces. There's a growth around pieces.
 
Why is that?
 
It does allow for portion control. I think it creates the ability to have a few and put it back in the pantry.
 
On brands, data from market research firm Euromonitor shows Mars and Hershey dominate global rankings when it comes to chocolate brands. For Canada, it seems Hershey and Nestle have an edge. How do you change  that?
 
Sell more chocolate. Canada is a very competitive market with a number of chocolate manufacturers actively present. Mars is one of those. Our objective is focused on building the best brands for our consumers.
 
Also on competition, of course, there is the recent news on chocolate manufacturers including Mars Canada paying a $23-million lawsuit alleging price-fixing. How does that impact your brand?
 
Our position is we intend to vigorously defend ourselves against the allegations. Beyond that, it's not our policy to comment on pending litigation.
 
Back to Halloween, how much chocolate do you produce for the day?
 
That is the essence of the seasonal business. You're making a lot of chocolate -- and I don't have specific numbers to give you -- that's sold in a very narrow window. You have to be right about the amount of chocolate that you put on display because after Halloween it doesn't sell.
 
Have you read Charlie and the Chocolate Factory?
 
Absolutely. I'm reading the second Charlie book (Charlie and the Great Glass Elevator) to my youngest daughter right now.
 
*This interview has been edited and condensed.