Unilever expects return of poverty to Europe.
Monday 27 August 2012
Anglo-Dutch food to detergents group Unilever expects poverty to return to Europe and is adapting its strategy accordingly, European chief Jan Zijderveld told the Financial Times Deutschland on Monday.
Unilever is introducing smaller packaging for its cleaning, detergent and hygiene products which sell at a lower price than in the usual larger packets and containers.
'If a Spanish shopper has €17 for the shopping, I cannot sell him a detergent that costs half his budget,' Zijderveld told the paper.
The new strategy is based on one Unilever has been successfully using in Asia where, for instance, they sell individual amounts of shampoo for one wash at 2 or 3 cents. 'We still make money, but we've forgotten how to do this in Europe,' said Zijderveld.
In Spain, Unilever is already selling smaller packets of detergent with enough content for five washes. And in Greece the company is selling small packs of mayonnaise and apple sauce.
Where food products are concerned, Zijderveld says there is still profit to be made so long as the presentation is attractive. 'Why does no one sell chicken like Apple sells its products?' he told the paper.
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