As 2025 comes to a close, it brings us to that time of year where we reflect on how much has changed in recent years. By the end of January 2026, the UK will be six years on from Brexit; nearly four years since the start of the war in Ukraine, and over five years since Covid. How are we all doing?
Many predicted it would take 10 years for the changes following Brexit to settle, as production and service businesses adapted across borders and navigated new trade rules. I feel like there is still much work to do and the cost of change has perhaps been higher than we expected, but there are signs that we are past the peak.
The cumulative effect of these global events has pushed much of the world into economic downturn. It may sometimes feel that the UK is in a worse position, but in reality, we aren’t so different to similar socio-economic circumstances around the world - and in some cases, better off.
When we reflect on the past trading year, the numbers are always the starting point. They tell us whether we can sustain the business, invest for the future, and continue delivering the quality our customers expect. Antonelli remains in a healthy position thanks to prudent growth and investment over our 113 years.
Just as important to us is the question: “Have we made our customers happy?” Like our forefathers, David and I are running a business based here in the heart of the UK, serving the UK ice cream industry. We can only succeed if our customers are happy.
David is working hard at delivering improvements in our Eccles bakery, as well as our Irlam site where the warehouse and administration is based. I have been out and about meeting as many customers as I can, as it is your views that steer our actions. We are grateful for the feedback we have received throughout the year and encourage you to continue to let us know how we can better serve you.
An Unusual Market Scenario
This year presented an unusual market scenario. The first half of the season brought great ice cream weather and consumption was giving great cheer to retailer and producers alike - “Just like a normal year” or so we thought.
Then July and August arrived with equally excellent weather, but consumer spending curtailed. Inflation and smaller-than-expected reductions in interest rates meant households prioritised essentials, leaving sweet treats impacted. Some areas reported as much as a 20% reduction in ice cream sales volume due to price increases, while areas with more modest increases saw much less impact.
Hot Topics for Autumn and Winter
As our sales team meet up with customers this autumn and into the winter, there are several hot topics being discussed:
Recent cocoa price reductions are welcome from the hikes of 2024/5. We urge caution though, as the unstable global weather that caused the crop losses that forced up prices in the first place could happen again. It is wise to have a plan in place should this occur.
High increases in hazelnut prices due to the crop loss in Turkey, which supplies 70% of the world’s hazelnut crop. Although the late frost last winter was the reason for the loss, the impact has worsened due to price controls from major global traders. More details can be found online for those interested in commodity news.
2026 retail volume recovery. The record price increases of 2024–25 are believed to have reduced buying frequency. Many retailers have for the past 40 years or more followed the philosophy of “get the average spend up!”, offering larger, added value portions. Is it worth taking a leaf out of the global food producers' book? Think about the size changes of the Mars bar, Cornetto, packets of crisps, etc. Has the time come for a U-turn in the scooping ice cream sector? During Covid Antonelli introduced a slightly smaller tall waffle cone (Atina), now also available in our Smoothy® range. Moving from a Medium Waffle to the slightly smaller Verona can also help control portion size for two scoops, pause price increases in 2026, and even recover some margin.
Our Commitment
Every business knows the holy grail is small: MOQs, fast delivery, highest quality and lowest prices; reality is more complex. Antonelli aims to serve all parts of the market, offering flexibility to business while giving the option of lower prices or more frequent deliveries. We repeatedly ask how we can add value, and if there is an ingredient you need that we do not currently supply, we will look to make it for you.
Alongside our usual new season offerings, we are investing in additional cone ovens to meet growing demand for “Cones for the Connoisseur.”
Our new ICA exhibition stand will be ready for the NEC in Birmingham on 3-4 February 2026. If you would like a VIP tour, please book an appointment with the office. We will always do our best to see everyone, but even with 17 team members attending, it can be challenging to meet every customer individually.
The Gelato Academy has now been running for 11 years, our social media presence continues to grow, and our new website - with a shop for online orders – is due to go live by the end of January, providing increasingly useful information and services to support a more profitable and enjoyable business.
From David, me, and the entire Antonelli family, we wish you a very Merry Christmas and a prosperous New Year.
Mark Antonelli
