Here is an excellent example of how changes in customer behavior can affect a company. As this story discusses, Campbell Soup is facing tough times and this appears to be attributed to consumers’ desire for fresher products. It seems especially to be an issue with consumers in the under-30 year-old market, commonly identified as the millennial generation. Apparently this group is not all that interested in canned products, which is the heart of Campbell’s product offering.
To be fair, Campbell is aware of this shift and has recently introduced new products. Yet, in the minds of many younger consumers, these products are still not seen as meeting the test of freshness.
A noteworthy comment in this story, is that many younger customers entering supermarkets are likely to spend much of their time on the perimeter of a food store, where the freshest products are available. Campbell and many other leading brands cannot compete against this trend with their existing product lines. So it will be interesting to watch if major food marketers like Campbell go on a shopping spree and acquire companies in the fresh food business.
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