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Hotel Chocolat to open 25 new stores with Mars backing

British luxury chocolatier Hotel Chocolat plans to open 25 new stores across the UK, supported by its new owner, US confectionery giant Mars.

British luxury chocolatier Hotel Chocolat plans to open 25 new stores across the UK, supported by its new owner, US confectionery giant Mars.

Purchased last year for £534 million, Hotel Chocolat will expand its presence in cities such as Belfast and Glasgow, and market towns including Ilkley, West Yorkshire, and Morpeth, Northumberland. The company will also expand existing locations in Nottingham and Chichester, West Sussex.

In addition to retail expansion, Hotel Chocolat will invest £10 million to enhance its manufacturing facility in Royston, Hertfordshire, creating 250 new jobs. Co-founder and CEO Angus Thirlwell said, “It’s definitely a signal of our belief in the British consumer. Demand for our products is greater than ever and we’re opening stores across the UK, allowing us to bring our ‘more cocoa, less sugar’ products to those that love them.”

Thirlwell emphasised that physical stores are the company’s most effective sales channel for acquiring new customers. “Pitching up, opening our doors, telling our stories, doing tastings — we find that’s the most effective,” he explained.

Launched in 2003 as an online retailer, Hotel Chocolat now operates over 120 outlets in the UK. The company also owns a 140-acre cacao farm and a boutique hotel in St Lucia. Despite experiencing a boost in online sales during the pandemic, Hotel Chocolat reported an £800,000 loss last year due to inflationary pressures, restructuring costs, and a 10 per cent decline in sales to £204.5 million.

Since its acquisition by Mars, Thirlwell acknowledged some customer anxiety about potential changes to the brand. He reassured customers, stating, “Our intention is to deepen our commitment behind all brand pillars, not to dilute them. Judge us by our actions, not by our words.”

Mars, one of the world’s largest food companies, plans to leverage its international presence to expand Hotel Chocolat’s brand globally.

The rising cost of cocoa has also impacted Hotel Chocolat, driven by below-expected harvests and speculative trading. Thirlwell noted that while cocoa prices have recently decreased, they have been historically low.

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Hotel Chocolat to open 25 new stores with Mars backing