COVID-19 supplier insights

Presentations

20/05/2022
A global overview of the impact of rising costs on grocery retailers and their suppliers in major markets. How shopping habits and channel dynamics are evolving. How retailers are reacting and adapting to try to continue to deliver value to their shoppers.
08/10/2021
Building purpose provides brands with an opportunity to differentiate and elevate their position in a crowded and competitive industry.
12/03/2021
Retailers and suppliers are generating positive returns as they implement omnichannel-focused initiatives. From higher shopper spend to more efficient operations, omnichannel projects are helping companies stand out and gain share.
09/03/2021
Following a year of unprecedented change in the operating environment, this two-part report looks at the priorities of global consumer packaged companies and the capabilities they are developing as they focus on driving top line growth, operating more efficiently and reinvesting in their businesses.
09/03/2021
Following a year of unprecedented change in the operating environment, this two-part report looks at the priorities of global consumer packaged companies and the capabilities they are developing as they focus on driving top line growth, operating more efficiently and reinvesting in their businesses.

News

08 September 2022
As the cost-of-living crisis worsens, more shoppers across Europe are switching to the discount channel. Here we look at recent developments from Lidl that present opportunities for suppliers and manufacturers. Local products help drive sales growth in France Lidl France continues its sales growth, with Kantar reporting it as the largest gainer in market share in recent months. Lidl’s suc...
10 February 2022
The US annual Consumer Price Index (CPI) rose to a 40-year high of 7.5% in January, with food CPI up 7.0%. This reflects the impact of multiple price increases at retail as suppliers react to higher commodity, packaging, labour and freight costs. Key messages Although inflation is at a 40-year high, it is expected to continue rising through the first half of the year While volumes hav...
09 December 2021
We look at the steps the Campbell Soup Company is taking to mitigate accelerating cost inflation and its expectations for the year ahead. Benefiting from hybrid working The company saw organic net sales fall by 4% in Q1, against a backdrop of higher volumes last year as retailers rebuilt inventories. But the business continues to benefit from hybrid working practices and increased consumpti...
11 November 2021
Having weathered the COVID-19 pandemic, our industry continues to face new challenges. We look at what’s top of the list for the senior team at the Kellogg Company. Growth held back by supply challenges Organic sales increased 5.1% in Q3, with demand at-home remaining elevated and most of its powerhouse brands outperforming their relevant categories. Without some of the supply challenges it ...
04 November 2021
With organic net sales up 1.3% in Q3 year-on-year, and up 7.6% versus 2019, we look at how Kraft Heinz is planning to mitigate the impact of cost inflation. Delivering gains after 2020 surge The company’s sales performance in the quarter paints a familiar picture with many CPG suppliers posting moderate gains versus last year and a significant increase versus 2019. The ability of companies ...
25 October 2021
We look at Nestle’s expectations on rising input cost inflation and the prospect for further price increases next year. Broad-based growth Nestle reported a 7.6% increase in organic growth for the first nine-months of the year, driven by a 6.0% increase in real growth and a 1.6% pricing increase. The business continued to deliver a solid performance across developed and emerging markets as ...
25 October 2021
We continue to see the emergence and growth of purpose-driven brands. This includes new to market brands and the repositioning of existing ranges. Once viewed as a strategy for niche start-ups, having a strong purpose has become an important element for many major CPGs. In our new report, Building purpose-driven brands , we dig into the factors underpinning brand purpose, the drivers for ...
20 October 2021
In reporting a strong first quarter, with organic sales up 4%, following growth of 9% in the same period last year, the company noted that it expects cost headwinds of over $2bn this year. We look at some of the measures it is taking to offset these. Recovering costs over time Based on current estimates, P&G expects a $2.1bn after-tax commodity headwind and freight and transportation to add...
13 October 2021
As it gears up for the critical holiday trading period, we look at the actions Target is taking to ensure it can meet shopper demand. Cost and capacity issues US retailers are facing several supply chain challenges, related to cost and capacity issues. Congestion at ports in Asia and on the US west coast, driven by lockdowns and labour availability, along with the shortage and rapid increas...
08 October 2021
With Q1 net organic sales down 0.4%, as it faced tough comparables from last year, the business is heading into the key trading seasons facing several cost and supply chain headwinds. However, it has increased its outlook for full year as it expects at-home demand to remain elevated.  Consumer demand trending ahead of its original expectations The decrease in organic net sales was driven by...
04 October 2021
With third quarter sales up 8.3%, McCormick continues to benefit from shoppers eating and cooking more at home. However, the business is seeing headwinds in the form of higher costs and product availability, with the issues expected to persist into 2022. Growth levers The company’s growth was driven by its flavor olutions segment, up 20.8%, compared to growth of 1.2% within its consumer seg...
27 September 2021
Unilever, L’Oreal, Henkel, LVMH and Natura & Co are forming a global beauty consortium to develop together an environmental impact assessment and scoring system for suppliers in the cosmetics industry. Brand-agnostic assessment using a science-based methodology This group of five global beauty and personal care companies is inviting more cosmetic companies to join the initiative.  The aim is ...
23 September 2021
As part of its first quarter reporting, General Mills provided additional colour on three factors driving a dynamic and challenging trading environment and the actions it’s taking in response. Robust first quarter performance First quarter organic sales increased by 2%, while adjusted operating profit fell 2%, a robust performance given the tough comparables from 2020. On a two-year compoun...
16 September 2021
PepsiCo has launched pep+ (pep Positive), a strategic end-to-end transformation, placing sustainability at the centre of how it will create growth and value. We review the key elements. Changing how products are made and go to market This initiative will guide how the company will transform its business operations as it aims to operate within planetary boundaries and drive change for the pl...
02 September 2021
Although organic net sales fell 4% in the fourth quarter, the Campbell Soup Co was cycling elevated demand and partial retailer inventory recovery in the prior year. However, a more recent surge in cost inflation led to 420 basis points decrease in gross margin. We look at what this means for the business. Emerging stronger from the pandemic The sales performance for the quarter contributed...
26 August 2021
We review the outlook for The JM Smucker Co. (Smucker) as it deals with stronger cost headwinds and supply chain disruption. Facing tough comparables form 2020 The company delivered a solid sales performance in Q1, with net sales, excluding divestments and foreign currency impacts, up 1.0%. This was against tough comparables, having delivered double-digit growth in the same period last year...
09 August 2021
Having delivered a solid second quarter performance, the company’s chairman and CEO, Steven Cahillane, outlined some of the actions it is taking to mitigate the higher costs it is experiencing. Industry wide issue The Kellogg Company is not alone in aiming to mitigate the higher costs it is experiencing across a range of areas including commodities, packaging, freight and shipping. In the U...
27 July 2021
Unilever has reported strong half year results. Its performance was driven by out of home food, prestige beauty and ecommerce. However, the company expects H2 to be challenging, due to the acceleration of cost inflation, driven by rising prices for raw materials and freight. Strong performance driven by changing dynamics The first half of the year marked a shift in terms of Unilever’s perfo...
15 July 2021
As part of its fourth quarter update, Conagra Brands shared some of the measures it is taking to navigate the current inflationary environment. Four years’ worth of incremental new buyers The company delivered a solid fourth quarter. While organic net sales decreased 10.1%, on a two-year compounded annualized basis, they increased 4.5%. This reflects the lapping of the surge in demand in Q4...
14 July 2021
Following a strong second quarter, PepsiCo has increased its guidance for full year sales growth. We look at how the recovery is shaping up globally and how it expects consumer behaviour to evolve post-pandemic. Convenience and foodservice improving PepsiCo’s organic net revenue increased 12.8% in the quarter, with the business seeing a strong performance across all divisions and regions. H...