A recent Wall Street Journal article announced that Febreze has joined the “$1 Billion Club,” noting the company’s recent success. While the housing market has certainly brought a lot of home products down with it, certain small aspects of daily home life are in fact flourishing. Febreze has managed to prosper during a stark decline in the industry, which has some people in the field scratching their heads.
What caused the trend? Some experts have suggested that more people are spending more time in their homes as a way to save money; as part of the aftermath of the recession, eating out less, driving less and spending less time at the mall have become increasingly important for a lot of families. Still, data suggest that people still splurge from time to time… just not in the same ways.
Many families have started to spend their money on accessories for the home, giving reason to Febreze defying market trends lately with its recent profit gains. It seems perfectly reasonable that a family that spends most evenings indoors will want the home to look, feel and, as we’re seeing now, smell nice. The recent movement to all things green may also be at play here, as Febreze has been effectively labeled as a green product: simple and clean.
This news confirms the fact that Procter & Gamble are on a serious roll. The company reported just last year that it had acquired Ambi Pur, which would allow the corporate giant to spread its fresh air from 17 countries to 84. The expansion may prove to be a wonderful business decision, since many developing markets have been showing an ever-increasing demand for products like Febreze, which has helped to offset the slump in sales surrounding more developed markets.
Regardless of what the future holds for Febreze, businesses and consumers should take note: new consumer trends are reshaping industries in unexpected ways. This could be just the kind of push back that the home product market needs.