Preheat oven to 350 degrees F. Grease and flour a 9" x 13" pan.
Prepare cake batter as directed on package.
Pour cake batter into prepared cake pan and bake 32 to 38 minutes or until toothpick inserted into cake comes out clean. While cake is still slightly warm, crumble into large bowl. You should have fine crumbs with no chunks of cake remaining. Let cake cool completely.
Pour 1 packet of Duncan Hines(R) Frosting Creations(TM) Cotton Candy Flavour Mix into 1 can of Duncan Hines(R) Frosting Creations(TM) Frosting Starter. Stir until evenly blended. Repeat with second packet and can.
Add one-half of 1 can of the Cotton Candy frosting you just created to crumbled cake and stir with a fork until frosting disappears and is completely incorporated into cake crumbs. Test your mixture by picking up a handful and squeezing it together. It should hold together without breaking apart. If mixture is too dry, add more frosting.
Roll mixture into oval-shaped cake balls and transfer to a wax paper-lined baking sheet. Make sure balls are tightly packed and look smooth with no cracks. If they appear cracked, you may need to add more frosting.
Transfer baking sheet with cake balls to freezer for 15 to 20 minutes.
Place candy melts in a small, deep, microwave-safe bowl. Microwave for 30-second bursts, stirring each time until candy melts are completely melted.
Remove cake balls from freezer. Dip tips of lollipop sticks into candy coating and insert sticks no more than halfway into the centre of your cake balls. Let them set for 1 to 2 minutes resting on the cake ball, sticks in the air. Refrigerate for 15 minutes.
Remove cake pops from refrigerator. Generously spread Cotton Candy frosting onto cake balls. Use the tip of a knife to create a swirled pattern in the frosting, creating a cotton candy effect.
Sprinkle with decorating sugar.
Keep refrigerated until ready to serve.
To help form the cotton-candy-like swirls with your frosting, chill the frosting for 15 minutes before using.