Regarding the statement: “this is a strategic decision so that the shift to sustainable tubes isn’t slowed due to someone else offering normal tubes at lower prices.”
If one were to read one layer below into this statement, doesn’t it suggest that their customers currently do NOT put any value on ‘sustainable’ tubes? They are only willing to go ‘sustainable’ if it comes at no cost at all. So basically, customers would still stick to a lower-cost ‘normal’ tube if the price is cheaper. Makes me question how strong this ‘sustainability packaging’ trend narration they are putting forth actually is!
Or maybe EPL itself is unclear on the pricing power ‘sustainable’ packaging really has, and is playing this with a more defensive mindset as they really…REALLY…don’t want to take a chance of losing wallet share.
One has to ponder on this! Any further analysis on this are kindly invited.
Disc: not invested; but tracking
| Subscribe To Our Free Newsletter |
