Shop Talk

Retailers, consumers and prices

Check Out Line: Staying home hits sales both ways

July 30, 2009

Check out the impact of staying at home. 
 
kellogg-cerealDining in and watching movies from the comfort of your couch may help sales trends for food makers, but it hurts some other companies in the consumer space.

Kellogg on Thursday posted a higher quarterly profit as consumers ate more meals at home.
 
TRESemme, Nexxus and Alberto VO5 maker Alberto Culver felt the opposite impact in its results earlier this week, as sales missed analysts’ expectations.

“The fact is, the consumer is stretching the usage of our products and, in general, consumers just aren’t going out as often,” Alberto CEO James Marino told analysts on a conference call on Monday. “And if you don’t go out on Friday or Saturday night you’re not getting yourself all beautified, if you will.” 
 
coca-cola-bottles1Coca-Cola Enterprises also mentioned this week that sales of soft drinks have not fared as well at “on-premise” locations such as restaurants.  Sales of 2-liter bottles and other packages for at-home consumption are doing better.
 
Also in the basket:

Avon posts higher-than-expected profit, adds reps

Newell Rubbermaid beats estimates, lower costs help

Colgate-Palmolive profit tops view; sales short

(Reuters photos)

Comments

Recession or not, I love to watch a movie from the comfort of my couch enjoying a nice pizza quatro fromaggi and some more tasty snacks on the side. Its not a money thing.

 

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