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The disposable diaper market continues to be dominated by two multinational companies—Kimberly-Clark and Procter & Gamble—however, these two giants continue to feel pressure from competing store brands as cash-strapped consumers are favoring private label products.



By Karen McIntyre
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A combination of a global economic crisis with stagnant innovation from the brand leaders has put some serious pressure on the disposable diaper market in recent months. While Procter & Gamble and Kimberly-Clark continue to dominate with respective shares of 36% and 20.5%, respectively, they have been working overtime to retain their loyal customer base with sales promotions, couponing and other marketing efforts.

“The major brands are very concerned about maintaining share when the consumer’s pocketbooks are squeezed,” said Pricie Hannah of nonwovens industry consultancy John Starr, Inc.

In the past decades, Procter & Gamble and Kimberly-Clark have basically controlled the disposable diaper market, fighting each other on price increases and other marketing efforts. During the past 18 months, however, rising raw material prices and retailers’ resistance to price increases have limited innovation among these major brands, giving private label competitors the chance to bring their products up to speed. Innovations at the store brand level have included wide, stretchable wings and softer topsheets and backsheets.