Beset by Falling Sales, Babycare Marketers Increasing Turning to Older Kids To Boost Revenue.

Suffering from the effects of a long-term, bruising price war, manufacturers of baby care supplies are increasingly turning to toddlers and even pre-schoolers to boost revenue, according to The U.S. Market for Babycare Supplies, a new report from publisher Packaged Facts, a division of MarketResearch.com.

Sales for babycare products, such as disposable diapers, wipes, bottles, washes and pacifiers, have been falling for five years, the report found. In 2004, retail sales of babycare products reached $6.1 billion, down from $7.5 billion in 2000.

Several factors have contributed to declining sales, with perhaps the most significant being constant price slashing from the top marketers, Kimberly Clark and Procter & Gamble. Adding to the babycare market woes has been the lack of a true boom in births; instead, the U.S. has had a series of “boomlets” that have been insufficient to generate growth.

Out of necessity, marketers of babycare supplies are issuing more products for toddlers and even older kids. Most of these products are designed to assist kids to become more responsible—and independent—in the bathroom. Thus there is strong appeal from parents desperate for their kids to learn proper hygiene.

“Examples of such new products abound,” said Don Montuori, publisher of Packaged Facts. “Pampers came out with ‘Kandoo’ trainers. Huggies Pull-Ups training pants have been extended with a version imprinted with colorful Learning Designs, which fade when wet, thus motivating a trip to the bathroom. Johnson & Johnson has issued Johnson’s Buddies haircare and skincare products emblazoned with original characters that kids can call ‘buddies.’”

The U.S. Market for Babycare Supplies covers five product areas: disposable diapers, wipes/moist towelettes, baby body care, feeding accessories, and pacifiers/teethers. The report charts historical sales and projections; analyzes marketing and new product trends; provides a detailed listing of new products; and profiles key market players and consumers.

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