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Drop in Toilet-Paper Demand Prompts Kimberly-Clark’s Worst Sales Drop in a Decade
It is a sharp reversal from 2020 when the world’s consumers, stuck at home and hyper focused on cleaning, drove a 6% increase in organic sales for the year as they loaded up on paper towels, cleaning products and other household staples. Consumer-tissue sales last year rose 14%...We carry our stock of paper goods at higher levels than we used to and no longer wait for a sale to load up, partly because there are fewer sales anyway. This is the same psychology that makes us fill our gas tanks at the one-half mark instead of waiting for the needle to drop below a quarter-tank.
Demand for toilet paper shot up in the outbreak’s initial weeks, doubling in the second week of March, and remained elevated throughout most of 2020. Americans spent more than $11 billion on toilet paper last year, up from $9 billion in a typical year, according to NielsenIQ. If the current pace holds, 2021 sales would be less than $9 billion.
When Kimberly-Clark and Procter & Gamble start having sales on TP again, then we know we're back to normal.
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