P&G Pushing Environment Friendly Refills

By John Heerdink LinkedIn

The Procter & Gamble Company (PG), a Dow 30 component,  supplies branded consumer packaged goods to consumers across the globe.

As an initiative to reduce environmental waste from the use of single-use containers retail giants, Procter & Gamble Co, Unilever, and The Body Shop are offering products in refillable form. Over the years, P&G who has been testing refills for detergents is now testing beauty and body care refills. The company recently began selling Olay face-cream jars with refill pouches on Olay.com. Similarly, The Body Shop and Unilever have been initiating and rolling out “refill stations”, “refill sticks”, however, the moves have received mixed reaction so far as many shoppers prefer living in a “throwaway culture” and have failed to fully adopt the refill culture.

The retail industry is also facing operational issues apart from low demand on the refill initiative. Reportedly, in 2010 Unilever had set-up 20-liter tanks to dispense detergents in Walmart Inc’s (WMTT) British supermarket chain Asda, but was disappointed with issues such as leaky machines, maintenance, high costs of upkeep, and space issues leading to the withdrawal of the initiative. Secondly, some products like Pantene shampoo and Olay creams are apparently complicated to sell in refill mode, also the look and the feel of the products are compromised which may hurt customer loyalty.

To learn more about Procter & Gamble (PG) and to continue to track its progress please visit the Vista Partners Procter & Gamble Coverage Page.

Vista Partners LLC (”Vista”) is a California Registered Investment Advisor based in San Francisco. Vista delivers timely and relevant insights via the website: www.vistapglobal.com with daily stories, weekly market updates, monthly macroeconomic newsletters, podcasts, & Vista’s proprietary equity and market research to help you stay informed and stay competitive. Vista’s mission is to invest partner capital while arming investors with a comprehensive global financial perspective across all market sectors. Vista also seeks to provide select issuers with actionable advice regarding fundamental development, corporate governance, and capital market directives.

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(Read Original Story: Procter & Gamble, rivals take refills into beauty aisle in Reuters)


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