Hoarding to extend sell-by date of tired brands [Reuters]
Unilever PLC (UL)
US:NYSE Investor Relations:
unilever.com/investor-relations
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Source: Reuters
Breakingviews - Hoarding to extend sell-by date of tired brands LONDON (Reuters Breakingviews) - Frantic stockpiling has given unfashionable food brands a new lease of life. Widespread lockdowns sent consumers rushing to hoard humdrum products like PG Tips tea or frozen Hot Pockets. The shift is forcing chief executives of consumer giants such as Unilever and Nestlé to rethink their priorities. Empty supermarket shelves in Britain and elsewhere during parts of the lockdown testify to the enduring popularity of cupboard and freezer foods. According to market researcher Nielsen, sales of long-life groceries jumped compared with 2019 after years of sluggish growth. That’s a sharp contrast with the pre-pandemic world, when customers favoured healthier and less-processed foods. The shift could prompt a value reassessment. Unilever may find there are more eager buyers for its tea business, which has revenue of around 3 billion euros from brands including Lipton and PG Tips, once its bankers
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