Tough year for GM

MMR, May 26, 2003

NEW YORK -- This year's MMR/Information Resources Inc. General Merchandise Report shows that the past year has been a difficult one for sales of many mass retail staples.

Supermarkets, drug stores and discount stores (excluding those operated by Wal-Mart Stores Inc.) collectively posted sales gains in only five of the 26 product categories tracked in this year's report.

The biggest gains came in rather prosaic categories and were often sparked by product innovations that helped make otherwise unpleasant chores easier. Sales of household cleaner cloths advanced 14.9%, for example, as more consumers proved willing to pay a little more (versus traditional cleaning supplies) for greater convenience.

Other categories that saw double-digit dollar sales increases were floor cleaners/wax removers and laundry care. Mass retail sales of flashlights edged up 2.1% in dollar terms, and sales of pest-control products increased by 1.7%.

Drug stores as a trade class did a little better than mass retailers as a whole, posting dollar sales increases in 12 of the 26 product categories tracked. Supermarkets posted gains in nine categories.

Although drug stores did not share the success enjoyed by other retailers with the laundry care category (total mass retail sales advanced 10.2%, but drug store sales fell 6.6%), the trade class saw major gains in floor cleaners/wax removers. Drug store sales in the category rose 81.1%, versus a 14.2% increase for mass retail sales as a whole.

The category with the biggest decline in mass retail sales, meanwhile, was panty hose/nylons. Sales fell 14.4% to $453.3 million.

Selected GM Categories

By Dollar Sales

Product                       Dollar Sales

Detergent/Laundry               $3.74 bil.
Toilet Tissue                   $3.66 bil.
Diapers and Training Pants      $2.62 bil.
Paper Towels                    $2.27 bil.
Household Cleaner               $1.73 bil.
Batteries                       $1.70 bil.
Food and Trash Bags             $1.67 bil.
Film and Photo Supplies         $1.58 bil.
Detergent/Dish                  $1.17 bil.
Facial Tissue                   $1.05 bil.
Kitchen Storage                $823.1 mil.
Baby Accessories               $778.8 mil.
Light Bulbs                    $690.9 mil.
Hair Accessories               $554.9 mil.
Pest Control                   $490.4 mil.
Paper Napkins                  $488.7 mil.
Panty Hose/Nylons              $453.3 mil.
Blank Media                    $406.4 mil.
Laundry Care                   $384.6 mil.
Office Products                $379.4 mil.
Writing Instruments            $338.9 mil.
Household Plastics             $189.7 mil.
Household Cleaner Cloths       $182.2 mil.
Flashlights                     $91.0 mil.
Floor Cleaners/Wax Removers     $81.2 mil.
Household Lubricants            $10.0 mil.

Source: Information Resources Inc.

Selected GM Categories

By Unit Volume

Product                        Unit Volume

Toilet Tissue                    1.13 bil.
Paper Towels                    963.9 mil.
Facial Tissue                   700.8 mil.
Household Cleaner               679.4 mil.
Detergent/Laundry               655.9 mil.
Food and Trash Bags             639.3 mil.
Detergent/Dish                  519.4 mil.
Batteries                       369.0 mil.
Paper Napkins                   266.3 mil.
Light Bulbs                     259.6 mil.
Diapers and Training Pants      224.0 mil.
Kitchen Storage                 215.4 mil.
Hair Accessories                207.5 mil.
Film and Photo Supplies         203.2 mil,
Office Products                 198.2 mil.
Panty Hose/Nylons               167.3 mil.
Writing Instruments             164.0 mil.
Baby Accessories                137.4 mil.
Laundry Care                    130.4 mil.
Pest Control                    123.9 mil.
Blank Media                      80.0 mil.
Household Cleaner Cloths         58.1 mil.
Household Plastics               30.5 mil.
Floor Cleaners/Wax Removers      20.9 mil.
Flashlights                      15.3 mil.
Household Lubricants              4.0 mil.

Source: Information Resources Inc.

BABY ACCESSORIES

DOLLAR SALES FOR 52 WEEKS ENDING 3/23/03
$778.8 mil. *

Percent Change vs. Prior 12 Months

Total *           -3.4%
Supermarkets      -0.3%
Drug Stores        7.6%

UNIT VOLUME FOR 52 WEEKS ENDING 3/23/03
137.4 mil. *

Percent Change vs. Prior 12 Months

Total *             -5%
Supermarkets      -7.1%
Drug Stores        2.3%

* Total of supermarkets, drug stores and discount stores
excluding Wal-Mart Stores Inc.

Note: Table made from bar graph.

TOP BRANDS                 Dollar Sales **   Unit Volume ***

 1. Safety 1st               $38.1 mil.         4.4 mil.
 2. Playtex                   34.2 mil.         7.7 mil.
 3. Gerber                    31.0 mil.         9.0 mil.
 4. Avent                     22.9 mil.         3.8 mil.
 5. Cosco                     22.7 mil.         0.7 mil.
 6. Playtax Drop-Ins          20.4 mil.         3.9 mil.
 7. First Years               19.2 mil.         2.8 mil.
 8. Playtex Diaper Genie      18.6 mil.         3.6 mil.
 9. Graco                     16.6 mil.         0.4 mil.
10. Gerber Nuk                15.5 mil.         5.4 mil.

** All private label brands combined total $17.5 mil.

*** All private label brands combined total 5.2 mil.

Source: Information Resources Inc.