Disposable Baby Products - US - October 2007

Table of Contents

• Scopes and Themes
• What you need to know
• Definition
• Resources used for The Consumer sections
• Abbreviations and terms
• Abbreviations
• Terms
• Executive Summary
• Report highlights
• The disposable baby products market has seen sluggish growth
• Price increases in 2005 improved 2006 sales, but 2007 estimates show slowing
• Top two market leaders dominate
• Disposable diaper sales dictate market direction
• Continued migration to mass merchandisers at expense of supermarkets
• More product innovations while better private label quality stifles price increases
• Declining birth rate and smaller households slow entrance of new end-users
• Starting families later in life has created more affluent parents
• Early marketing efforts should pay off
• All products reveal high usage rates, while baby oil/lotion and body/baby powder also display high adult usage
• Race and ethnic differences in brand preference
• Johnson & Johnson is strong market incumbent in its core segments
• Mass merchandisers are most popular retail channel
• High degree of brand loyalty and desire for quality
• Future full of challenges and opportunities
• Future forecast
• Market Drivers
• Declines in birth rates slow
  • Figure 1: Number of U.S. births and crude birth rate*, 1990-2006
• Hispanics' above-average birth rate is a boon for the market
  • Figure 2: Population of kids aged 0-5, by race/ethnicity, 2000-10
  • Figure 3: U.S. population aged 0-5, by race and Hispanic ethnicity, 2006
  • Figure 4: Share of U.S. population, by race and Hispanic ethnicity, all ages and ages 0-5, 2006
• Older mothers are generally more affluent
  • Figure 5: Birth rate, by age of mother, 1990-2005
• Expanding the category to toddlers and children
• Innovation adds extra revenue channels, but private label increases competition and lowers prices
• Pros and cons of disposable versus cloth diapers
• Market Size and Trends
• Market size--total
  • Figure 6: Total U.S. retail sales* of disposable baby products, at current and constant prices, 2002-07
• Market size--FDM
  • Figure 7: FDM sales* of disposable baby products, at current and constant prices, 2002-07
• Market trends
• Natural products grow from niche to the mass market
• Segmentation by developmental stages expands from diapers/trainers to other products
• Disposable training pants and cleansing products continue to focus on learning
• Improved comfort, stretch and fit
• Market Segmentation
• Overview
  • Figure 8: FDM* sales of disposable baby products, segmented by type, 2005 and 2007
• Diapers
  • Figure 9: FDM* sales of diapers, at current and constant prices, 2002-07
• Training pants
  • Figure 10: FDM* sales of training pants, at current and constant prices, 2002-07
• Baby wipes and towelettes
  • Figure 11: FDM* sales of wipes and moist towelettes, at current and constant prices, 2002-07
• Baby cleansing and care
  • Figure 12: FDM* sales of baby cleansing and care products, at current and constant prices, 2002-07
• Supply Structure
• Companies and brands
  • Figure 13: FDM manufacturer sales of disposable baby products, 2006 and 2007
• Diapers
  • Figure 14: FDM manufacturer and brand sales of disposable baby products, 2006 and 2007
• Training pants
  • Figure 15: FDM manufacturer and brand sales of training pants, 2006 and 2007
• Baby wipes and towelettes
  • Figure 16: FDM manufacturer and brand sales of wipes and towelettes, 2006 and 2007
• Baby cleansing and care
  • Figure 17: FDM manufacturer and brand sales of baby cleansing and care products, 2006 and 2007
• Advertising and Promotion
• Overview
• Procter & Gamble
• Pampers
• Pampers Stages
  • Figure 18: Three-way fit Pampers Cruisers
  • Figure 19: Pampers Stages Baby Wipes
• Pampers Baby Dry
  • Figure 20: Pampers Baby Dry with Caterpillar Flex
• Pampers Splashers
  • Figure 21: Pampers Splashers
• Kandoo
  • Figure 22: Pampers Kandoo Wipes
• Luvs
  • Figure 23: Luvs Bear Hug Stretch leak protection
  • Figure 24: Luvs Change to Luvs Challenge
• Kimberly-Clark Corp.
• Huggies
  • Figure 25: Huggies Wipes
  • Figure 26: Huggies Natural Fit
• Pull-Ups
  • Figure 27: Huggies Pull-Ups Training Pants
• GoodNites
  • Figure 28: GoodNites Underpants
• Johnson & Johnson
• Aveeno
• Pfizer Inc.
• Desitin
• Wal-Mart, Babies R Us and Sam' s Club target parents with events and adult diaper themes
• Retail Distribution
• Introduction
  • Figure 29: U.S. retail sales of disposable baby products, by channel, 2005 and 2007
• Supermarkets
  • Figure 30: U.S. supermarket sales of disposable baby products, at current and constant prices, 2002-07
• Mass merchandisers
  • Figure 31: U.S. mass merchandiser sales of disposable baby products (excluding Wal-Mart), at current and constant prices, 2002-07
• Drug stores
  • Figure 32: U.S. drug store sales of disposable baby products, at current and constant prices, 2002-07
• Wal-Mart outsells everyone including retail channels combined
• Warehouse/Clubs offer bulk and low prices
• Online launches
• The Consumer
• Summary
• Usage of disposable baby products
  • Figure 33: Use of disposable baby products in households with children aged 0-3, 2005 and 2006
  • Figure 34: Use of disposable baby products in households with children aged 0-3, by age of child, January-October 2006
  • Figure 35: Use of disposable baby products in households with children aged 0-3, by race/ethnicity, January-October 2006
• Brand preferences
• Baby and children' s shampoo
  • Figure 36: Brand usage for baby/children' s shampoo, by age of child, January-October 2006
• Pre-moistened wipes/cloths
  • Figure 37: Brand usage for pre-moistened wipes/cloths, by age of child, January-October 2006
  • Figure 38: Brand usage for pre-moistened wipes/cloths, by race/ethnicity, January-October 2006
• Disposable diapers and training pants
  • Figure 39: Brand usage for disposabe diapers/training pants, by age of child, January-October 2006
• Baby wash and bath products
  • Figure 40: Brand usage for baby wash and bath products, by age of child, January-October 2006
• Baby oil and baby lotion
  • Figure 41: Brand usage for baby oil and baby lotion, by age of child, January-October 2006
  • Figure 42: Brand usage for baby oil and baby lotion, by race/ethnicity, January-October 2006
• Body and baby powder
  • Figure 43: Brand usage for body and baby powder, by age of child, January-October 2006
  • Figure 44: Brand usage for body and baby powder, by race/ethnicity, January-October 2006
• Frequency of use of disposable baby products
• Disposable diapers and training pants
  • Figure 45: Average number of disposable diapers used by household on an average day in last six months, by age of child, age of respondent, race/ethnicity, household income and marital status, January-October 2006
• Other disposable baby products
  • Figure 46: Frequency of use for wipes, baby lotion, body/baby powder, baby oil, baby wash/bath products, and baby/child' s shampoo, by age of child, age of respondent, race/ethnicity, level of education, marital status and region, January-October 2006
• Female respondents' purchasing habits
• Use of disposable diapers and training pants
  • Figure 47: Female respondents' purchase of disposable diapers/training pants for children in household, August 2007
• Number of children in household using diapers or training pants
  • Figure 48: Number of children in household of respondent using diapers/training pants, August 2007
  • Figure 49: Number of children in household of respondent using diapers/training pants, by household income, August 2007
• Where disposable baby products are purchased
  • Figure 50: Usual place of purchase of diapers, lotions, powders, and ointments, August 2007
  • Figure 51: Usual place of purchase of diapers, lotions, powders, and ointments, by household income, August 2007
  • Figure 52: Usual place of purchase of diapers, lotions, powders, and ointments, by race/ethnicity*, August 2007
• When disposable diapers/training pants are used
  • Figure 53: When disposable diapers and/or training pants are used, August 2007
• Opinions regarding disposable baby products
  • Figure 54: Attitudes toward disposable baby products, August 2007
  • Figure 55: Attitudes toward disposable baby products, by household income, August 2007
• Future and Forecast
• Future trends
• Even slower growth in key 0-4 age group from 2007-12
  • Figure 56: Population, by age, 2002-12
• Growth in population of women aged 18-40 varies by race/ethnic group
  • Figure 57: Women aged18-40, by race/ethnic origin, 2002-12
• Biodegradable and eco-friendly products become more mainstream
• Bundled products provide marketing opportunity
• As allergies become more widespread demand for products increase
• Market Forecast
• Disposable baby products
  • Figure 58: Forecast of total U.S. retail sales of disposable baby products, at current and constant prices, 2007-12
• FDM disposable baby products
  • Figure 59: Forecast of total U.S. FDM sales of disposable baby products, at current and constant prices, 2007-12
• Diapers
  • Figure 60: Forecast of U.S. FDM sales of diapers, at current and constant prices, 2007-12
• Training pants
  • Figure 61: Forecast of U.S. FDM sales of training pants, at current and constant prices, 2007-12
• Wipes and moist towelettes
  • Figure 62: Forecast of U.S. FDM sales of wipes and moist towelettes, at current and constant prices, 2007-12
• Baby cleansing and care products
  • Figure 63: Forecast of U.S. FDM sales of baby cleansing and care products, at current and constant prices, 2007-12
• Forecast factors
• Appendix: Trade Associations