The Beloved Freddo Frog & Caramello Koala Double in Price

It was bound to happen, but Cadbury has announced a price rise for Freddo Frogs and Caramello Koalas in Australia for the first time in a decade due to the record global price of cocoa. This has forced the price to move from its inflation-busting price of $1 to a whopping $2, representing a 100% price increase.

“Due to the record global price of cocoa, and increased input costs, we have adjusted the RRP from $1 to $2,” said Cadbury in a statement posted across its social media platforms today. “We appreciate your understanding and continued support as we strive to deliver the high-quality chocolate you love, made with the best local ingredients.”

What Caused the Price Increase?

The price increase is due to the rising cost of cocoa. The price of cocoa has been rising steadily in recent years, due to a number of factors, including climate change, disease, and increased demand. The Ivory Coast, Nigeria, Cameroon, and Ghana produce 70% of the world's cocoa supply, and these countries have been hit hard by climate change, including unpredictable weather patterns and fungal diseases that affect the cocoa trees. This has led to lower yields and higher prices. In addition, demand for cocoa has been increasing as more people around the world are consuming chocolate.

Australians React to the Price Increase

The news of the price increase has been met with mixed reactions from Australians. Some consumers have expressed anger and disappointment, with some even calling the move “outrageous.” One consumer even said, “You know the world has gone bonkers when a good old Freddo Frog is now $2.” Others have said that they will be boycotting Cadbury products or looking for cheaper alternatives. The company’s social media pages have been flooded with comments, with some people expressing their disappointment and others defending Cadbury's decision.

Alternatives to the Price Hike

If there’s anything positive to take out of this news, it’s that other classic chocolates are safe for now. Furthermore, Cadbury was quick to remind us that the share bags (loose emphasis on “share”) are still great value for money, priced from around $6 for a 12-pack (50 cents a frog) at Coles.

“Sharebags of Freddos and Caramello Koalas are also available and offer great value,” the statement reads. The price of share bags, for now, will not be impacted, and Cadbury has not made any announcements on price hikes for other chocolates.

The Future of Cadbury's Prices

The price of cocoa is likely to remain high in the coming years, so it is possible that Cadbury will have to raise the prices of other chocolate products in the future. The company has already been forced to raise the price of its Dairy Milk bar in recent years, and it is likely that this trend will continue. The impact of the rising cost of cocoa and other ingredients, as well as packaging and transport costs, are likely to affect chocolate companies’ bottom line. This may force chocolate companies to make difficult decisions about pricing and product size.

The Freddo Frog: A Barometer of Inflation?

Users on Reddit weighed in on the issue years ago, stating the Freddo Frog is a “Touchstone for price changes as they’ve been around for so long.”

“They’re up there with other price anchors such as gold, platinum and an oil barrel. We should swap the eurodollar for Freddos,” suggested one user from the UK.

Consumers often use price-set confectionary as a barometer for inflation, and this price increase to the humble Freddo Frog and Caramello Koala follows a similar theory to the infamous ‘Big Mac Index’. The Big Mac Index is a lighthearted tool used to compare the purchasing power parity of different currencies. The theory is that the price of a Big Mac should be the same in all countries, after accounting for differences in the cost of living.

Will the Freddo Frog Ever Return to $1?

It is unlikely that the Freddo Frog will ever return to $1. The cost of cocoa is unlikely to decrease in the foreseeable future, and other input costs are also likely to continue to rise. As a result, Cadbury is likely to have to continue to raise prices in order to stay profitable. It remains to be seen whether consumers will continue to purchase Freddo Frogs and Caramello Koalas at the new price. If demand falls, Cadbury may have to reconsider its pricing strategy.

The Price Increase: A Sign of the Times

The price increase for Freddo Frogs and Caramello Koalas is a reminder that inflation is a real and present threat. The cost of living is rising, and this is putting pressure on businesses to raise prices. This trend is likely to continue in the coming years, as global economic uncertainty and geopolitical tensions continue to impact supply chains and prices. It’s a reminder that the humble Freddo Frog and Caramello Koala are no longer immune to the pressures of the modern world.

The Sweetest Ending: What Happens Now?

The impact of the rising cost of cocoa and other ingredients, as well as packaging and transport costs, are likely to affect chocolate companies’ bottom line. This may force chocolate companies to make difficult decisions about pricing and product size. This could lead to a reduction in the size of chocolate bars, a shift to more affordable ingredients, or a combination of both. For now, consumers will need to adjust to the new price of Freddo Frogs and Caramello Koalas, or seek out other sweet treats that are more affordable. The future of chocolate is uncertain, but one thing is clear: the price of sweetness is rising.