Trends/Coronavirus (COVID-19)/Supplier insights

COVID-19 supplier insights

Presentations

News

21 July 2020
We look at how The Coca-Cola Company continues to adjust to the COVID-19 trading environment and how it expects to emerge as a stronger business. Sequential improvement in the quarter The main impact on the business continues to be the shift from out-of-home to at-home consumption. Net revenue declined 28%, driven mostly by the out-of-home challenge, however, it saw sequential improvement i...
13 July 2020
We look at how population mobility, store closures, meal consumption and the economic backdrop are impacting PepsiCo’s financial performance. Top line results PepsiCo’s second quarter revenue fell by 3.1% with organic revenue down 0.3% While it saw strong growth in its Quaker Foods and Frito-Lay North American businesses, PepsiCo Beverages in the region was negatively impacted by the ...
07 July 2020
From Coca-Cola European Partners to L'Oréal and Danone, we review initiatives from suppliers as they look to embed strategies at the same time as dealing with the on-going implications of COVID-19. Coca-Cola European Partners supports HoReCa channel in Spain As it looks to support its customers in the HoReCa channel in Spain, as lockdown conditions are eased, Coca-Cola European Partners has...
02 July 2020
One of the key trends of the COVID-19 pandemic has been the surge in sales for large CPG suppliers, with a significant presence in core, centre-store categories. Conagra Brands has identified 12 consumer behaviours centred on re-discovery and discovery that are fuelling the growth of its brands. Growth across the portfolio Conagra Brands delivered strong growth in Q4, with organic sales up ...
30 June 2020
As retailers seek to reassure shoppers on hygiene and cleanliness, we look at how businesses in other sectors are enhancing their brands in this area, including partnering with two leading CPG suppliers. A safe place to work and shop Providing associates with a safe place to work and consumers a safe place to shop has become a priority for food retailers as they navigate the coronavirus pan...
26 June 2020
We look at how McCormick expects to benefit from the shift to at-home consumption and home meal prep beyond the current phase of the COVID-19 pandemic.  Second quarter performance The company saw sales increase 7.6% in the second quarter, with operating income up 24%. The sales growth was mainly driven by consumers cooking more at home, with sales through its consumer segment up 26%, althou...
10 June 2020
Leading US streaming service, Roku, has partnered with Kroger to improve targeted advertising. New shopper data programme Kroger Precision Marketing (KPM) which is Kroger's media advertising business, has data from over 60 million households. It is joining forces with Roku to launch a new shopper data programme. The aim is to improve targeting and measurement of television advertising, whic...
10 June 2020
Speaking at the dbAccess Global Consumer Virtual Conference in New York, Colgate-Palmolive’s chairman, president and CEO, Noel Wallace, outlined what it will take to win in the current trading environment. Having outlined the company’s five key growth drivers, Wallace concluded the session by outlining the three critical success factors for the company as it trades through the next phase of th...
09 June 2020
In our recent report, 10 trading priorities for CPG suppliers, we highlighted how companies are adjusting their marketing approach as the COVID-19 pandemic evolves. We look at how this is being put into practice by two leading operators, The Campbell Soup Company and J.M. Smucker Company. Initial cut-back on marketing spend During the initial phase of the COVID-19 pandemic, many suppliers c...
21 May 2020
As the food retail sector gravitates to a more normalised trading environment, we look at the issues which are top of mind for CPG suppliers. Key workstreams Over the last few weeks, several global suppliers have provided trading updates outlining their performance through the initial phase of the pandemic and their current areas of focus. While these are not all being worked on by every co...
12 May 2020
PepsiCo has launched two direct-to-consumer websites, PantryShop.com and Snacks.com, providing shoppers with access to a range of the company’s brands. Concept to execution in less than 30 days The two websites have been developed by PepsiCo’s in-house ecommerce team, moving from concept to execution in less than 30 days. The initiative was driven by the recent increase in at-home consumpti...
06 May 2020
Announcing its first quarter results, Coca-Cola European Partners discussed the challenges its country operations were facing given the shifts in demand. 1. Challenging to predict demand The company noted while the switch to more at home occasions had supported sales, the trading had been ‘ volatile ’. CCEP noted that while volumes had benefited from household stocking initially, this had f...
05 May 2020
As several retailers start to limit meat purchases, we look at how the supply chain is responding. Aiming to limit stocking-up Costco, Kroger and Albertsons are among several major US food retailers that have started to limit the number of meat purchases customers can make. In many chains, customers are being limited to two or three items. Although there does not appear to be an issue with ...
04 May 2020
We look at how Colgate-Palmolive (Colpal) is being impacted globally by the coronavirus pandemic. 1. Uncertainty on sales and profitability through 2020 Colpal’s first quarter organic sales increased 7.5%, driven by the surge in consumer demand. However, the company expects some of the additional volume in certain categories to impact sales growth in future quarters. Along with stay-at-home...
01 May 2020
We look at The Kellogg Company’s first quarter performance, the impact on its breakfast portfolio and what it expects in the second half of the year. Kellogg is another major CPG that was going into the pandemic following a major restructure of its commercial operations, with a new commercial strategy, Deploy for Growth. The words of chairman and chief executive office, Steven Cahillane, paint...
01 May 2020
As it reported like-for-like sales growth of 13.3% in its first quarter, Reckitt Benckiser underlined the challenges the business faces in terms of demand planning and understanding whether the buying habits it has seen will continue in the short term. Unclear whether buying will be maintained in rest of 2020 Although the company was able to report strong sales growth across most geographie...
30 April 2020
We review Kraft Heinz’s first quarter performance and the plans it’s making in response to the coronavirus pandemic. 1. At-home growth offset foodservice reductions Organic net sales increased 6.2% (excluding the impact of currency and divestments), driven by increased spending related to COVID-19. Growth in at-home consumption more than offset an unfavourable impact from retail inventory r...
29 April 2020
We look at the actions Mondelez International is taking to emerge stronger from the pandemic. China bounce-back - the speed of the recovery of its business in China has provided the company with a blueprint that it wants to replicate in other emerging markets. The business delivered growth in the quarter and gained share, based on the strength of its local team, fast-decision making and s...
28 April 2020
We look at how PepsiCo is responding to the current trading environment, its four identified phases of the pandemic and how it’s moving forward. 1. Strong and accelerating momentum in first quarter The company’s net revenue grew 7.7% in the first quarter as it benefited from shoppers stocking up. However, its internal analysis highlighted underlying strong growth (ex-COVID-19), with organic...
27 April 2020
As part of its first quarter results, Nestlé discussed the impact the coronavirus pandemic had had on all parts of its operations and how it had performed in China towards the end of the quarter as the country exited the worst effects of its lockdown. 1. China exiting the quarter ‘gradually’ Given China was loosening its lockdown towards the end of the quarter, Nestlé discussed what it was ...