Author: Mintel Group Ltd.
Last saved by: HTTP server

Household Paper Products - US - September 2008

SCOPE AND THEMES
What you need to know
Definition
Data sources
Sales data
Consumer survey data
Abbreviations and terms
Abbreviations
EXECUTIVE SUMMARY
Sales tied to price increases
Mass and other low-priced channels become favored destinations
Segment results mixed; some up but most down
Toilet tissue and paper towel innovations and segmentation
Sales declines for facial tissues and paper napkins
Moist towelettes innovation led by private label
Private label, severity of flu season, and increased introduction of eco-friendly products affect competition within market
Growth in households
Hispanic and black households present opportunities
Concentrated supply structure
Big brand—ups and downs
Innovation in a mature market
Direct approach to toilet tissue and non-traditional advertising
Price is important to consumers
Environmental concerns impact consumer purchase behavior
INSIGHTS AND OPPORTUNITIES
Private label ahead of curve on affordable recycled products
Get on back-to-school lists
Soothe allergy sufferers with scents or lack thereof
Hispanic consumers and seasonal opportunities
Blacks and Hispanics value different traits than whites
FAST FORWARD TRENDS
 TREND ONE: THE VULNERABLE CONSUMER
What’s it all about?
Avoiding harsh ingredients, adding gentle ingredients
 TREND TWO: DRESS DOWN LIFESTYLE
What’s it all about?
Where did the dinner napkin go?
 TREND THREE: SUSTAINABILITY
What’s it all about?
MARKET SIZE AND FORECAST
Key points
Sales strong but slowing growth on economic concerns
Migration to Wal-Mart and warehouse stores
Household paper products sales and forecast
Figure 1: Total U.S. sales and forecast of household paper products, at current prices, 2003-13
Figure 2: Total U.S. sales and forecast of household paper products, at inflation-adjusted prices, 2003-13
Wal-Mart sales
COMPETITIVE CONTEXT
Key points
Private label driving down prices and improved quality gaining more customers
Figure 3: Private-label household paper products’ share of total FDMx household paper products dollar sales, 2005-08
Figure 4: Comparison of average prices of private-label and branded paper products in FDMx, by segment, 2007
Recycled and natural products attract consumers
SEGMENT PERFORMANCE
Key points
Mixed results—toilet tissue shows strong sales while many segments falter
Sales and forecast of household paper products by segment
Figure 5: FDMx sales and forecast of household paper products, at current prices, by segment, 2003-13
Figure 6: FDMx sales of household paper products, by segment, 2006 and 2008
SEGMENT PERFORMANCE—TOILET TISSUE
Key points
Price increases help bump FDMx sales
Ultra versions get even more segmented
Moist toilet tissue a strong gainer but plateaus in FDMx
Private label goes upscale and “green”
Toilet tissue sales and forecast
Figure 7: FDMx sales and forecast of toilet tissue*, 2003-13
SEGMENT PERFORMANCE—PAPER TOWELS
Key points
Consumers can trade down, but can’t escape price increases
Segmentation in paper towel brands
Paper towels sales and forecast
Figure 8: FDMx sales and forecast of paper towels, 2003-13
SEGMENT PERFORMANCE—FACIAL TISSUES
Key points
Declining sales
Flu season severity factors into sales
Ultras invade facial tissue as well; private label drives down the prices
Facial tissues sales and forecast
Figure 9: FDMx sales and forecast of facial tissues, 2003-13
SEGMENT PERFORMANCE—PAPER NAPKINS
Key points
Interchangeability keeps sales down; private label creates deflationary pressure
Black and Hispanic households present opportunities
Paper napkins sales and forecast
Figure 10: FDMx sales and forecast of paper napkins, 2003-13
SEGMENT PERFORMANCE—MOIST TOWELETTES FOR HANDS AND FACE
Key point
Wipes don’t share the price increase bump of other paper products
Desire for convenience helps to grow sales
Moist towelettes sales and forecast
Figure 11: FDMx sales and forecast of moist towelettes for hands and face, 2003-13
RETAIL CHANNELS
Key point
Mass and other low-price channels gaining share
Figure 12: U.S. sales of household paper products, by retail channel, 2006 and 2008
RETAIL CHANNELS—SUPERMARKETS
Key points
Higher unit prices, more private-label sales, and few new store openings produce smaller sales figures
Figure 13: U.S. sales of household paper products at supermarkets, 2003-08
RETAIL CHANNELS—DRUG STORES
Key points
Despite being unsuited to paper products, sales grow
Figure 14: U.S. sales of household paper products at drug stores, 2003-08
RETAIL CHANNELS—MASS AND OTHER
Key points
Store counts increasing
Packaging improves as well as product quality
Figure 15: U.S. sales of household paper products at mass and other, 2003-08
MARKET DRIVERS
Economy unfavorable for growth
Figure 16: Seasonally adjusted unemployment rate, 16 years and older, by month, 2000-08
Growth in total households
Figure 17: Number of households, 1998-2008
Growth in households with children and large households
Figure 18: Frequency of use of toilet paper, paper towels, facial tissue, and paper napkins in the past 30 days, by number of people in the household, February 2007-March 2008
Figure 19: Households, by presence of children under age 18, 1997-2007
Figure 20: Households, by number of members, 1996-2006
Growth in Hispanic and black households
Figure 21: Average household size, by race/Hispanic origin of householder, 2001 and 2006
Figure 22: Households, by race and Hispanic origin of householder, 1998-2008
Number of people getting colds and flu affects facial tissue business
Figure 23: Influenza vaccination among adults 18 years of age and older, percentage receiving influenza vaccination during last 12 months, 1989-2006
LEADING COMPANIES
Key points
Overview
Figure 24: FDMx sales of household paper products, by leading companies, 2007 and 2008
BRAND SHARE—TOILET TISSUES
Key points
Concentrated market
Premium and private label fare best
Figure 25: FDMx brand sales of toilet tissues in the U.S., 2007 and 2008
BRAND SHARE—PAPER TOWELS
Key points
Viva’s risky ad campaign may have worked at least in short term
Mid-price towels show mixed results
Figure 26: FDMx brand sales of paper towels in the U.S., 2007 and 2008
BRAND SHARE—FACIAL TISSUES
Key points
Kleenex losing prominence in segment
Private label
Figure 27: FDMx brand sales of facial tissues in the U.S., 2007 and 2008
BRAND SHARE—PAPER NAPKINS
Key points
Difficult sales climate drives PL
Figure 28: FDMx brand sales of paper napkins in the U.S., 2007 and 2008
BRAND SHARE—MOIST TOWELETTES FOR HANDS AND FACE
Key points
Private label consolidates share
Figure 29: FDMx brand sales of moist towelettes in the U.S., 2007 and 2008
BRAND QUALITIES
Kleenex synonymous with facial tissue; focus on moments
Three ways of green marketing
Softness in paper towels
INNOVATION AND INNOVATORS
Numbers of new products, by segment
Figure 30: Trends in numbers of new product introductions in the household paper products market, 2003-08
Positioning of new household paper products
Figure 31: Top U.S. new product claims in new household paper products, 2006-08
Flushability
Personalization
Paper products mirror food and personal products trends
Trend towards recycled household paper products
ADVERTISING AND PROMOTION
Overview
Figure 32: Adspend for selected household paper brands, 2006 and 2007
Toilet tissue
Figure 33: Charmin Ultra Soft, TV ad, 2008
Figure 34: Charmin Ultra Strong, TV ad, 2008
Figure 35: Charmin Ultra Strong, TV ad, 2008
Figure 36: Charmin Ultra Strong and Ultra Soft, TV ad, 2008
Figure 37: Kleenex Cottonelle, Be Kind To Your Behind 1, TV ad, 2008
Figure 38: Kleenex Cottonelle, Be Kind To Your Behind 2, TV ad, 2008
Figure 39: Quilted Northern, TV ad, 2008
Paper towels
Figure 40: Bounty Extra Soft Kitchen, TV ad, 2008
Figure 41: Bounty kitchen towels, TV ad, 2008
Figure 42: Bounty kitchen towels, TV ad, 2008
Figure 43: Brawny kitchen towels, TV ad, 2008
Facial tissue
Figure 44: Kleenex Dry Facial Tissue, TV AD, 2008
Figure 45: Kleenex Dry Facial Tissue, TV ad, 2008
Figure 46: Puffs Plus moist facial tissue, TV ad, 2008
INCIDENCE AND FREQUENCY OF USE
Key points
Household usage of paper products
Figure 47: Household use of paper products, 2003-08
Household frequency of using paper products
Figure 48: Household mean frequency of using paper products in the past 30 days, 2003-08
TOILET PAPER: USAGE FREQUENCY, BRANDS, AND ATTITUDE TOWARDS BRANDED PRODUCTS
Key points
Figure 49: Frequency of using toilet paper rolls in the past 30 days, by race/Hispanic origin, February 2007-March 2008
Figure 50: Frequency of using toilet paper rolls in the past 30 days, by number of people in the household, February 2007-March 2008
Toilet tissue usage by brand
Figure 51: Brands of toilet paper used, by race/Hispanic origin, February 2007-March 2008
Figure 52: Brands of toilet paper used, by region, February 2007-March 2008
Toilet paper: national brand vs. store brand
Figure 53: Use of national or store brand toilet tissue, by gender, age, household income and race/Hispanic origin, July 2008
Toilet paper: Reasons for choosing national brands over store brand
Figure 54: Reasons for choosing national brand over store brand of toilet tissue, by age, June 2006
PAPER TOWELS: USAGE FREQUENCY, TYPE, BRANDS, AND REASONS FOR CHOOSING BRANDED PRODUCTS
Key points
Household frequency of using paper towels
Figure 55: Frequency of using paper towels in the past 30 days, by number of people in the household, February 2007-March 2008
Figure 56: Frequency of using paper towels in the past 30 days, by race/Hispanic origin, February 2007-March 2008
Paper towel usage by type
Figure 57: Types of paper towels used, by race/Hispanic origin, February 2007-March 2008
Paper towel usage by brand
Figure 58: Brands of paper towels used, by race/Hispanic origin, February 2007-March 2008
Paper towels: national brand vs. store brand
Figure 59: Use of national or store brand paper towel, by age, household income and race/Hispanic origin, July 2008
Paper towels: Reasons for choosing national brands over store brand
Figure 60: Reasons for choosing national brand over store brand of paper towels, by age, July 2008
Figure 61: Reasons for choosing national brand over store brand of paper towels, by race/Hispanic origin, July 2008
FACIAL TISSUES: USAGE FREQUENCY, TYPE, BRANDS, AND REASONS FOR CHOOSING BRANDED PRODUCTS
Key points
Household frequency of using facial tissues
Figure 62: Frequency of using facial tissue boxes in the past 30 days, by number of people in the household, February 2007-March 2008
Facial tissue usage by scented/unscented
Figure 63: Types of facial tissue used, by race/Hispanic origin, February 2007-March 2008
Facial tissue usage by brand
Figure 64: Brands of facial tissues used, by race/Hispanic origin, February 2007-March 2008
Facial tissues: national brand vs. store brand
Figure 65: Use of national or store brand facial tissues, by age, household income and race/Hispanic origin, July 2008
Facial tissues: Reasons for choosing national brands over store brand
Figure 66: Reasons for choosing national brand over store brand of facial tissues, by age, July 2008
Figure 67: Reasons for choosing national brand over store brand of facial tissues, by race/Hispanic origin, July 2008
Moist towelettes: national brand vs. store brand
Figure 68: Use of national or store brand moist towelettes, by household income and race/Hispanic origin, July 2008
PAPER NAPKINS: USAGE FREQUENCY, TYPE, BRANDS, AND REASONS FOR CHOOSING BRANDED PRODUCTS
Key points
Household frequency of using paper napkins
Figure 69: Frequency of using paper napkin packages in the past 30 days, by race/Hispanic origin, February 2007-March 2008
Paper napkins usage by brand
Figure 70: Brands of paper napkins used, by race/Hispanic origin, February 2007-March 2008
Paper napkins: national brand vs. store brand
Figure 71: Use of national or store brand paper napkins, by age, household income and race/Hispanic origin, July 2008
Paper napkins: Reasons for choosing national brands over store brand
Figure 72: Reasons for choosing national brand over store brand of paper napkins, by household income, July 2008
THE PEOPLE: CHOICE OF RETAIL CHANNELS
Key points
Channel habits of household paper product purchasers
Figure 73: Choice of retail channels to purchase household paper products, by age, July 2008
Figure 74: Choice of retail channels to purchase household paper products, by region, July 2008
THE PEOPLE: ATTITUDE AND BEHAVIOR
Key points
Household paper product purchase motivations
Figure 75: Attitudes and behavior in purchasing household paper products, by age, July 2008
Figure 76: Attitudes and behavior in purchasing household paper products, by household income, July 2008
Figure 77: Attitudes and behavior in purchasing household paper products, by number of people in the household, July 2008
CLUSTER ANALYSIS
Versatile users
Opportunity
Who they are
Thoughtful Consumers
Opportunity
Who they are
National Advocates
Opportunity
Who they are
Price Insensitive
Opportunity
Who they are
Cluster characteristics
Figure 78: Clusters, July 2008
Figure 79: Choice of retail channels to purchase household paper products like paper towels, paper napkins, toilet tissue, facial tissue, and moist towelettes, by cluster, July 2008
Figure 80: Use of national or store brand toilet tissue, paper napkins, facial tissue, paper napkins and moist towelettes, by clusters, July 2008
Figure 81: Reasons for choosing national brand over store brand of toilet tissue, by clusters, July 2008
Figure 82: Reasons for choosing national brand over store brand of paper towels, by clusters, July 2008
Figure 83: Reasons for choosing national brand over store brand of paper napkins, by clusters, July 2008
Figure 84: Reasons for choosing national brand over store brand of facial tissue, by clusters, July 2008
Figure 85: Attitudes and behavior in purchasing household paper products, by clusters, July 2008
Cluster demographics
Figure 86: Clusters, by gender, July 2008
Figure 87: Clusters, by age, July 2008
Figure 88: Clusters, by household income, July 2008
Figure 89: Clusters, by ethnicity, July 2008
Figure 90: Clusters, by Hispanic origin, July 2008
Methodology
CUSTOM CONSUMER GROUPS
Key points
Target women shoppers, especially older women shoppers
Figure 91: Primary household shoppers, moms, women without children, and by women by age group, July 2008
Families with children use paper products more frequently than the average
Figure 92: Frequency of using household paper products in the past 30 days, by key user cohorts, February 2007-March 2008
Age plays a major role in Hispanic and black consumers’ branded product purchase
Figure 93: Use of national brand household paper products, by race/Hispanic origin and two major age groups, July 2008
IRI/BUILDERS PANEL DATA—KEY PURCHASE HOUSEHOLD MEASURES
 BRAND MAPS
Toilet tissue
Figure 94: Toilet tissue brand map, 2007*
Paper towels
Figure 95: Paper towels brand map, 2007*
Facial tissue
Figure 96: Facial tissue brand map, 2007*
Paper napkins
Figure 97: Paper napkins brand map, 2007*
Brand leaders: Key purchase measures by household penetration
Toilet tissue
Figure 98: Key purchase measures for the top toilet tissue brands, by household penetration, *2007
Paper towels
Figure 99: Key purchase measures for the top paper towel brands, by household penetration, *2007
Facial tissue
Figure 100: Key purchase measures for the top facial tissue brands, by household penetration, *2007
Paper napkins
Figure 101: Key purchase measures for the top paper napkin brands, by household penetration, *2007
APPENDIX: OTHER USEFUL CONSUMER TABLES
Household paper product usage
Figure 102: Household use of paper products, by age, household income, race/Hispanic origin, presence of children and region, February 2007-March 2008
APPENDIX: TOILET PAPER: USAGE FREQUENCY, BRANDS, AND ATTITUDE TOWARDS BRANDED PRODUCTS
Figure 103: Frequency of using toilet paper rolls in the past 30 days, by presence of children, February 2007-March 2008
Toilet tissue usage by brand
Figure 104: Brands of toilet paper used, by household income, February 2007-March 2008
Figure 105: Brands of toilet paper used, by presence of children, February 2007-March 2008
APPENDIX: PAPER TOWELS: USAGE FREQUENCY, TYPE, BRANDS AND ATTITUDE TOWARDS BRANDED PRODUCTS
Household frequency of using paper towels
Figure 106: Frequency of using paper towels in the past 30 days, by presence of children, February 2007-March 2008
Figure 107: Frequency of using paper towels in the past 30 days, by region, February 2007-March 2008
Paper towel usage by brand
Figure 108: Brands of paper towels used, by region, February 2007-March 2008
FACIAL TISSUES: USAGE FREQUENCY, TYPE, BRANDS, AND REASONS FOR CHOOSING BRANDED PRODUCTS
Household frequency of using facial tissues
Figure 109: Frequency of using facial tissue boxes in the past 30 days, by race/Hispanic origin, February 2007-March 2008
Facial tissue usage by type
Figure 110: Types of facial tissue used, by number of people in the household, February 2007-March 2008
APPENDIX: PAPER NAPKINS: USAGE FREQUENCY, TYPE, BRANDS AND REASONS FOR CHOOSING BRANDED PRODUCTS
Household frequency of using paper napkins
Figure 111: Frequency of using paper napkin packages in the past 30 days, by number of people in the household, February 2007-March 2008
Paper napkins usage by brand
Figure 112: Brands of paper napkins used, by household income, February 2007-March 2008
APPENDIX: THE PEOPLE: CHOICE OF RETAIL CHANNELS
Figure 113: Choice of retail channels to purchase household paper products, by presence of children, July 2008
APPENDIX: THE PEOPLE: ATTITUDE AND BEHAVIOR
Figure 114: Attitudes and behavior in purchasing household paper products, by race/Hispanic origin, July 2008
APPENDIX: TRADE ASSOCIATIONS

This report is supplied in accordance with Mintel's terms and conditions.  
© Mintel Group Ltd.