A year after the worst health crisis in modern history, French champagne, chocolate novelties and tequila all soared consumer shopping lists. The current trend is not so for some of the early pandemic winners, but a good sign for liquor inventories.
At this time last year, shoppers panicked after the World Health Organization declared a pandemic on March 11. Essentials such as toilet paper, dried pasta, hand sanitizers, and canned soup have been removed from the supermarket shelves. Staple companies such as Lysol maker Reckitt and paper giant Kimberly-Clark initially struggled to meet demand.
Today, Americans and Europeans are buying less across grocery stores. According to NielsenIQ data, sales of FMCG for the four weeks to March 21 were down 10% in the five largest European markets compared to the same period in 2020. Pantry loading was more intense, with sales down 16%.
The contents of the shopping cart have also changed. The fastest growing consumer goods in Europe in the four weeks leading up to March 21 was chocolate novelties. Probably because the Easter holiday was early. Champagne, tequila, premixed alcohol and ready-to-drink coffee. In the United States, champagne and side dish sales increased 78% and 69%, respectively.
Maintaining the ferocious growth seen in the early days of the pandemic was difficult for the more mundane categories. Sales of products such as dry pasta and hand sanitizers need to be compared to last year’s unprecedented surge. In the four weeks in question, toilet paper sales fell 54% year-on-year in the United States, while hand sanitizer sales fell 27%. Bleach and soap sales are also off in Europe. Demand for hygiene products is higher than before the pandemic, but cleaning brands such as Reckitt Benquiser and Unilever, the owner of Domestos, are beginning to look poor.
Shopping cart shows pent-up party spirits
Source link Shopping cart shows pent-up party spirits