All Posts Tagged With: "folgers"
Pringles may be the next to go :(
Jennifer McClelland | RSS | Sun, Jul 12 2009 | 5 Comments
Procter and Gamble Co. has done something that only a desperate company does to a product: releasing a plethora of new flavors, shapes, sizes, and a new marketing campaign. Procter and Gamble decided to do this to the brand Pringles, and speculation is going on now that the crisp manufacturer may be the next brand to be sold off by P&G.
It’s not just consumers speculating that the company may be sold off but professionals also. The company has also given some hints that they are ready to move on from the food business altogether:
“More and more, we’re hearing from Procter & Gamble that the food business doesn’t fit in with the rest of their portfolio,” said Ali Dibadj, an analyst with Sanford C. Bernstein.
So far, Procter and Gamble has sold off Folgers, Jif, Crisco, and Sunny Delight. This makes Pringles the only major brand left for the company.
When P&G sold Folgers in November, the $3 billion sale was one of the largest consumer products to ever be sold. It was also among many moves that P&G made to focus business on higher growth potential like beauty and grooming items. It has acquired Zirh, a men’s skin care line, and The Art of Shaving grooming line in the past few months.
A.G. Lafley, P&G chairman and CEO, stepped aside July 1, but before he did, the told analysts that this year the company would “continue to prune” some brands while looking for larger positions in some other businesses and industries.
Of course, there is the loyal fans of the chip to worry about. There are several benefits to the Pringle’s chips versus other potato chips, such as:
Pringles are sold in cans, so the bags won’t get crushed. There is a flavor of Pringles for everyone
Pringles travel well (see reason 1)
P&G’s business plan leaves some brands out in the cold too, not just food, but brands like Braun and Duracell, both billion dollar brands. So, it is unlikely that these brands may be sold off.
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Tags: pringles, potato chips, crisco
Starbucks introduces instant coffee?
Jennifer McClelland | RSS | Tue, Feb 17 2009 | 1 CommentInstant coffee is typically not America’s choice for coffee drinking. In the U.S. instant coffee only makes up 9 percent of the coffee consumption for the country. So, why would Starbucks be concocting an instant coffee for test markets in Seattle and Chicago?
Well, while I’m not sure about why it is testing in those markets, I did learn that as opposed to the U.S. other markets like Japan, the United Kingdom and South Korea’s consumption of instant coffee is around 60%.
With Starbucks’ declining profits maybe this will help them in markets that it hasn’t entered before:
Related posts:The $17 billion in instant-coffee sales make up 40% of the global coffee market, with $3.4 billion accounting for the premium segment. As a comparison, Starbucks touts a packet of Via makes a cup of Starbucks coffee at less than $1, while at Safeway supermarkets a 7-ounce jar of Nescafe goes for $4.99; an 8-ounce jar of Folgers Instant goes for $6.99 and Maxwell House Instant costs $8.49.
Make your own coffee at home
Tags: folgers, nescafe, starbucks
