Nappies and Baby Wipes - UK - April 2008

Table of Contents

• Issues in the Market
• Key themes
• Definitions
• Market in Brief
• The numbers game
• Promoting parental spend
• Going green
• Branding and the parental bond
• Future
• Internal Market Environment
• Key points
• Changing babies
• Convenience culture
• Disposable culture vs. carbon footprints
  • Figure 1: Agreement with environmental statements, 2003-07
  • Figure 2: Estimated retail sales for selected infant care categories, 2002-07
• Health and wellness
• Broader Market Environment
• Key points
• Variable waste charges
• More bottoms = more nappies
  • Figure 3: Number of births, UK, 2003-13Figure 4: Children aged 0-4, trend data, 2003-13
• Migration
  • Figure 5: International inflow of migration into the UK, 2000-06
• The maturing mother
  • Figure 6: Average age of women at childbirth, UK, 1971-2001
• A changing role
  • Figure 7: Working status -- women with own children aged under 5, by socio-economic group, 2007
• Left holding the baby
  • Figure 8: Number of registered childcare places in daycare in England, 1997-2006
• Competitive Context
• Key points
• The only alternative?
• Reusable dynamics
• Spreading the word
• Money talks
• The health debate
• The war on waste
• Pressure from the top
• Disposables fight back
• Conclusions from the government
• Conclusions from the pro-reusables
• Conclusions from the consumer
• Strengths and Weaknesses in the Market
• Strengths
• Weaknesses
• Market Size and Forecast
• Key points
• Growth
  • Figure 9: UK value sales of disposable nappies and baby wipes, 2003-07
  • Figure 10: UK retail value sales of nappies and wipes, by sector, 2003-07
• The green smokescreen?
• The future of the market
• Forecast
  • Figure 11: Forecast of total UK value sales of disposable nappies and baby wipes, at current and constant 2008 prices, 2008-13Figure 12: Annual percentage growth in total UK number of births, compared with annual percentage growth for UK sales of Nappies and Baby wipes, 1997-2007 and 2008-13 (projected)
• Nappies and wipes
  • Figure 13: Forecast of UK retail value sales of nappies and baby wipes, by sector, at current and constant 2008 prices*, 2008-13
• Factors used in the forecast
• Segment Performance
• Key points
• Segmentation and premiumisation driving market values
• Disposable nappies by sector
  • Figure 14: UK retail value sales of disposable nappies, by sector, 2003-07
• Juniors losing out to training pants
  • Figure 15: UK retail value sales of disposable nappies, by sector, 2007
• Premium on training
• Conscience vs quality
• Baby wipes
• Diversity and evolution
• Refills driving the market
  • Figure 16: UK retail value sales of disposable baby wipes, by pack type, 2003-07
• Under the green gaze
• Market Share
• Key points
• Between price and innovation
  • Figure 17: Brands' value shares of disposable nappies, 2005-07
• Beating the budget
• Brands fight back
• Tapping into the maternal pound
• Wipes
• J&J remains market leader
• Lacklustre loyalty
  • Figure 18: Brands' value shares of wipes, 2005-07
• Enriching the category
• Companies and Products
• Johnson & Johnson
• Kimberly-Clark
• Procter & Gamble
• Eco brands
• Naty
• Ontex
• Hain Celestial
• Others
• Boots
• Brand Communication and Promotion
• Key points
• Above-the-line spend down -- sales on the up
  • Figure 19: Main monitored media advertising spend on nappies and wipes, 2003-07
  • Figure 20: Main monitored media advertising spend on nappies and wipes, by advertiser, 2005-07
• Advertising strategy
• Getting digital
• Pampers.com
• Mailing
• Up close and personal
• Good will hunting
• Huggies.com
• Spreading the word
• Channels to Market
• Key points
• Price promotion and own-label
  • Figure 21: Retail distribution of disposable nappies, 2003-07
• Advantage Boots
  • Figure 22: Retail distribution of baby wipes, 2003-07
• The Consumer -- Brand Usage
• Key points
• Nappy usage
  • Figure 23: Nappy usage by all nappy users, past and current, November 2007
• Pamper power
• Own-label appeal
• Today' s parents
  • Figure 24: Nappy usage amongst parents, 2005 and 2007
• Holding back the market
• The social divide
  • Figure 25: Nappy usage amongst parents, by age/socio-economic group, November 2007
• Not the one and only
  • Figure 26: Variations of disposable versus reusable nappies ever used, November 2007
• Appendix
• Advertising data
• Abbreviations
• Definitions
• Consumer Brand Usage -- Detailed Consumer Demographics
  • Figure 32: Nappy usage amongst parents, by demographic sub-groups, November 2007
• Usage summery
  • Figure 33: Nappy usage amongst parents, by demographic sub-groups, November 2007