DK Metcalf, a star wide receiver in the NFL, recently made a lasting first impression on Tony Jacobs, CEO of Bazooka Candy Brands. Metcalf, who has a passion for candy, utilized a PowerPoint presentation to showcase his $10 million investment ideas to Jacobs. Bazooka Candy Brands, known for its iconic gum with the “Bazooka Joe” comic strip, was acquired by Apax Partners from Disney CEO Michael Eisner for $700 million in August. Since the acquisition, the company has received investments totaling $14.5 million, including $10 million from New York-based merchant bank Patricof Co., which has many professional athletes as clients.
The U.S. confectionery sector is projected to reach sales of $61 billion by 2028, up from $48 billion in 2023. Gum and mints make up about 8% of the candy business, valued at approximately $5.1 billion. Bazooka reported retail sales of $395 million in 2023, with the Ring Pop brand being a significant contributor. Jacobs plans to integrate more sports figures into the company’s comic strips, believing that athletes like Metcalf bring authenticity and a strong connection to consumers. The company plans to use the new capital to enhance distribution, explore generative AI for ad campaigns, and potentially acquire other brands in the future.
Jacobs emphasized the importance of maintaining authenticity and ensuring that partnerships with athletes align with Bazooka’s brand values. He sees athletes like Metcalf as a natural fit for collaborations due to their genuine connection with fans. With the success of Mondelez International’s sale of its gum division for $1.35 billion in 2022, Jacobs is confident in the market demand for candy despite economic uncertainties. He believes that the confectionery industry will continue to thrive as consumers seek low-cost indulgences for their emotional well-being. Bazooka’s focus on leveraging athlete partnerships and exploring innovative marketing strategies positions the company for future growth and success in the competitive candy market.
The additional funding from investors like Patricof Co. will enable Bazooka Candy Brands to expand its presence in retail stores, optimize advertising campaigns through AI technology, and potentially diversify its product portfolio through strategic acquisitions. Jacobs envisions a future where the company can transform its business in significant ways by leveraging new opportunities and trends in the confectionery industry. As the company continues to evolve and adapt to changing consumer preferences, Jacobs remains committed to maintaining Bazooka’s authenticity and connection with its audience. With athletes like DK Metcalf on board as co-owners, Bazooka Candy Brands is poised for a sweet return on investment while continuing to delight consumers with its beloved candy products and engaging marketing initiatives.
