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Kimberly Clark Contains Leaks While Hiding Inflation With Diaper Trim

Tyler Durden's picture





 

We have long discussed the 'hidden' and not-so-hidden inflations that are impacting the standard of living for all but the wealthiest in America... and it is hardly new to anyone that the USA faces a demographic dilemma as aging boomers draw down on an ever-shrinking base of entitlement provisions... However, when we saw this slide from Kimberly-Clark's latest earnings call, we were surprised at just how clearly these two trends showed up...

 

 

So... Aging Demographics:

  • Depends and Poise driving the top-line growth in North America
  • Medical Devices volume up 8%

And... Stealth Inflation...

  • KIMBERLY-CLARK CEO SAYS PLANS TO REDUCE HUGGIES DIAPER PACK SIZE BY ABOUT 7 PCT IN Q1'14
  • KIMBERLY-CLARK CEO SAYS CUTTING NUMBER OF DIAPERS IN HUGGIES PACKS TO MATCH COMPETITION SIZES

Welcome to the new normal!

As we noted previously...

In the last two years, according to Intuit, Americans are reaching deeper into their pockets to cover family-related expenses. Given the current concerns over dis-inflationary pressures, we thought the following infographic might highlight just where that hidden liquidity-/credit-fueled inflation is leaking out.

 

 


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Tue, 10/22/2013 - 18:16 | Link to Comment Heffer
Heffer's picture

I got a rash just reading that.

Tue, 10/22/2013 - 18:29 | Link to Comment Supernova Born
Supernova Born's picture

FerFAL has been talking this same type of stealth inflation for years on his blog about Argentina.

I keep a running list of all the products that are shrinking.

Tue, 10/22/2013 - 18:43 | Link to Comment Poor Grogman
Poor Grogman's picture

The real answer that no one is talking about, (because i only mentioned it a few minutes ago in another thread.)

Is a tax on QE!

This would increase over time and if the share market ever went down. It would be essentially "free" and would mean that consumer taxes could be abolished thus boosting the economy.

A tax on QE would keep the tea party happy as it penalises the FED it also means cheap Smokes, beer and Gas as all those taxes could eventually be phased out.

Anyone who questions a tax like this is obviously a terrisss.

Tue, 10/22/2013 - 19:07 | Link to Comment King_of_simpletons
King_of_simpletons's picture

Treasury will be sending train loads of paper dollars soon. They will be cheaper to package as toilet paper for Kimberley Clark. Behold deflation !

Tue, 10/22/2013 - 19:24 | Link to Comment CheapBastard
CheapBastard's picture

Better avoid that oily escobar fish dish...just makes the anal leakage worse as ZH reported previously.

Tue, 10/22/2013 - 20:46 | Link to Comment wee-weed up
wee-weed up's picture

 

 

I just saw a side-panel ad for "incontinence supplies!"

I shit you not! (pun?)

Looks like the advertisers are on this story like flies on...

Tue, 10/22/2013 - 22:11 | Link to Comment mjcOH1
mjcOH1's picture

"I just saw a side-panel ad for "incontinence supplies!"

I shit you not! (pun?)

Looks like the advertisers are on this story like flies on..."

 

The Kenyan?

Wed, 10/23/2013 - 07:22 | Link to Comment kralizec
kralizec's picture

Bwuuuhahaa! 

Good headline that fits the story and good comments to start the new day!

Tue, 10/22/2013 - 19:22 | Link to Comment 11b40
11b40's picture

Would that be, like, Karma for the Fed?

Pass me that bong, and let's contemplate this 'tax the fed' concept.

Tue, 10/22/2013 - 19:35 | Link to Comment Lmo Mutton
Lmo Mutton's picture

How much extra QE do we have to print to pay the tax?

Tue, 10/22/2013 - 19:59 | Link to Comment Poor Grogman
Poor Grogman's picture

Enough for the children of course!

Oh and national security

Then there's the mandatory pork.

Plus the rebuilding the economy part.

In other words , just enough and not too much.

Tue, 10/22/2013 - 18:43 | Link to Comment greatbeard
greatbeard's picture

>> all the products that are shrinking.

I just noticed, after painting my ghetto, that the 5 gallon paint pails I've always assumed were, in fact, 5 gallons.  If they ever were 5 gallons, they are now 4.7 gallons.

Tue, 10/22/2013 - 22:16 | Link to Comment starfcker
starfcker's picture

Add this one to your list. The 5.5 oz can of friskies i feed my cats used to fill the can. the meatloaf is now sort of oblong and there is more liquid. bad enough. but then the meatloaf is also fluffier and falls apart. cost at publix up from 45 cents to now 67 cents in 4 years. sounds like 3% inflation to me. what's next, sawdust? (or melamine) mother fuckers

Tue, 10/22/2013 - 22:28 | Link to Comment Bad Attitude
Bad Attitude's picture

I keep a running list of all the products that are shrinking.

A couple of years ago, all of the toilet paper I encountered lost 0.4 inches in its width (from 4.5 inches to 4.1 inches wide). Plus the rolls became shorter. In measuring a couple of different brands of toilet paper where I had before and after samples, the rolls shrunk in area by 10 to 16 percent.

Forward (over the cliff)!

Tue, 10/22/2013 - 18:31 | Link to Comment ShrNfr
ShrNfr's picture

I guess that qualifies as a rash statement if I ever heard of one.

Tue, 10/22/2013 - 18:16 | Link to Comment camaro68ss
camaro68ss's picture

inflation is the shits

Tue, 10/22/2013 - 18:39 | Link to Comment duo
duo's picture

the diaper sales per baby butt ratio is what needs to be tracked.

Tue, 10/22/2013 - 19:13 | Link to Comment knukles
knukles's picture

New iDiapers?  What colors they come in?

Tue, 10/22/2013 - 20:52 | Link to Comment wee-weed up
wee-weed up's picture

Only one color...

Starts with a "B" and ends with an "N"

Tue, 10/22/2013 - 19:35 | Link to Comment booboo
booboo's picture

Ugh, diapered my "chilen"with real Cotten diapers and rubber bloats and saved the disposables for road trips. Where there is the will, there is a way,

Tue, 10/22/2013 - 20:38 | Link to Comment wee-weed up
wee-weed up's picture

 

 

Don't worry...

They'll be increasing the size of the package...

To make up for the reduced diaper count in said package.

And the sheeple will never notice - they'll think they're getting more!

Tue, 10/22/2013 - 18:17 | Link to Comment outamyeffinway
outamyeffinway's picture

Ahhhhhh shit!

Tue, 10/22/2013 - 18:18 | Link to Comment Atomizer
Atomizer's picture

Love the title of story. So fitting

Tue, 10/22/2013 - 18:21 | Link to Comment Cognitive Dissonance
Cognitive Dissonance's picture

Don"t believe your lying eyes. The government says there is no inflation. Who ya gonna believe?

Tue, 10/22/2013 - 18:22 | Link to Comment Oldwood
Oldwood's picture

Unfortunately we don't believe anyone.

Tue, 10/22/2013 - 19:28 | Link to Comment seabiscuit
seabiscuit's picture

Hedonics bitchez.

 

Add 10% to the price of a car, but make the car 10% "improved" and now we count Zero inflation.

 

Serfs up.

Tue, 10/22/2013 - 18:27 | Link to Comment NOTaREALmerican
NOTaREALmerican's picture

Re:  In the last two years, according to Intuit,

How did Intuit arrive at these numbers?   Hopefully not from users of their software.

Tue, 10/22/2013 - 18:34 | Link to Comment macholatte
macholatte's picture

 

Hopefully not from users of their software.

 

That's an interesting comment since I have been using Quicken for 10+ years and it has really turned to shit.  The dilema is that the program is really not much more than a way to balance your checkbook and write some reports. How much innovation does that need? So they "improved" it with "ugrades" and new versions to the point where it's difficult to use.  Planned obsolence is alive and well in the computer business.

 

A common mistake that people make when trying to design something completely foolproof is to underestimate the ingenuity of complete fools.

Douglas Adams

Tue, 10/22/2013 - 19:02 | Link to Comment seek
seek's picture

Go to free/open source software. They usually evolve it to maximum utility and then go into maintenance mode.

http://www.osalt.com/quicken

 

Thu, 10/24/2013 - 14:23 | Link to Comment macholatte
macholatte's picture

 

Thanks!

Tue, 10/22/2013 - 19:35 | Link to Comment 11b40
11b40's picture

Amen to that.  The marketing has become incessant, and the last renewal process turned into a nightmare with an "upgrade".  

Issues are compounded by the fact that they into accountants.  Now this is fine as long as everybody is synced.  You don't really have much choice without having to spend extra time and resources on a new system or accountant once you are in their web.  I agree completely that it was great at one time, at least for a small business.

Tue, 10/22/2013 - 18:32 | Link to Comment Rainman
Rainman's picture

I don't even wear underwear, much less put on one of these ballsack killers.

Tue, 10/22/2013 - 18:38 | Link to Comment Goldilocks
Goldilocks's picture

Huggies Slip On Diaper Commercial - Meet the Squirmers!
http://www.youtube.com/watch?v=tZnzHq3_xaQ (0:33)

Tue, 10/22/2013 - 18:45 | Link to Comment Emergency Ward
Emergency Ward's picture

When you diaper your baby, don't do anything rash.

Tue, 10/22/2013 - 19:06 | Link to Comment ebworthen
ebworthen's picture

Slip on diapers are for wooses!

After two kids I can change a diaper in 30-seconds flat, including adhesive tabs, wipe, and complete cleanup. 

The old diaper was strategically wrapped and adhesive tabs attached to make a sealed ball the size of a softball (maybe I should apply for a NASCAR pit job?).

Did my Ex-Wife appreciate it?  Well, NO; but she didn't stray until after the second was out of diapers so I have to give her some credit there.

Huggies sucked ass (in the wrong way); Pampers had much better absorbent material, cut, and tabs.

Tue, 10/22/2013 - 19:53 | Link to Comment lotsoffun
lotsoffun's picture

E B is a better man than me!  I can barely wipe my own A...  I was hoping obama care could help me with that.  ;)

 

Tue, 10/22/2013 - 18:45 | Link to Comment Richard Head
Richard Head's picture

But my bond fund manager says there's no inflation!  I don't think he buys his own groceries, though.

Tue, 10/22/2013 - 18:47 | Link to Comment tvdog
tvdog's picture

My goodness, kids are expensive.

Tue, 10/22/2013 - 18:48 | Link to Comment Yen Cross
Yen Cross's picture

  I predict a lot MOAR skidmarks in 2014...

Tue, 10/22/2013 - 18:49 | Link to Comment _SILENCER
_SILENCER's picture

Shit's big business

Tue, 10/22/2013 - 18:59 | Link to Comment NoDebt
NoDebt's picture

Everything people would prefer not to think about is bucks.

Having had several family members pass away recently I can tell you funerals are damned expensive.  But at least they can't shrink the size of the box 3% a year.

 

Tue, 10/22/2013 - 18:52 | Link to Comment ebworthen
ebworthen's picture

Inflation?  What inflation?

Stock market's doing great, and Norman Rockwell's clone is progressing well in his art studies; pictures of idyllic American life posted to Facebook to follow soon.

Tue, 10/22/2013 - 18:56 | Link to Comment NoWayJose
NoWayJose's picture

Dear IRS - you know that $98 penalty for not signing up for Obamacare next year? Well I am inspired by corporate America so instead of sending you a check for $98, I will be sending in a new and improved check for $89, as I apply my new innovation plan to my budget... Don't worry, the size of the paper I use for the check will remain the same - there will just be less in it...

Tue, 10/22/2013 - 19:00 | Link to Comment ebworthen
ebworthen's picture

I like it!

I'm waiting for the ten egg dozen - I know it will happen.

It will be marketed as a "decimal dozen" or some such nonsense.

3/4 Gallon of milk too; "more convenient" and "less heavy" and "takes up less room in the fridge" and "easier for the kids and Grandma and Grandpa to pour!".

Tue, 10/22/2013 - 19:51 | Link to Comment 11b40
11b40's picture

dup

Tue, 10/22/2013 - 19:46 | Link to Comment 11b40
11b40's picture

You should quickly trademark all variations of "the decimal dozen", before I do.  I have already started thinking about the marketing ideas.  It could become a new diet fad.  It could help us adapt to the decimal system, which we wil have to convert to one day.  It could be a song, or even a book/play/movie.  I like it.

Tue, 10/22/2013 - 18:58 | Link to Comment Make_Mine_A_Double
Make_Mine_A_Double's picture

It is happening across the board to food products. Check out the Kibler cracker boxes. They are now about 15% smaller size, but same price.

Same with Stoffers Lazag. New 'healthier portion' is same price, but about 10% smaller.

I'm waiting for the food industry to get on the 'heathy portion' bandwagon since it's such it plays right into their hands.

Just like the hotel industry jumped on the 'green' bandwagon.

Tue, 10/22/2013 - 19:18 | Link to Comment SDShack
SDShack's picture

It's the First Wookie's Dictate of better nutrition for the masses... "Eat your peas serfs... they are cheap and good for you!" I know because they go great with my Wagyu Beef!

Tue, 10/22/2013 - 19:03 | Link to Comment surf0766
surf0766's picture

Why waste money on depends. We have death panels in O care like Canada has.

 

Sell  K C

Tue, 10/22/2013 - 19:24 | Link to Comment MeelionDollerBogus
MeelionDollerBogus's picture

we don't have death panels in Canada. If you're still waiting for a heart it's because someone hasn't died that's willing to donate one. You can't change healthcare to make those healthy people die faster.

Tue, 10/22/2013 - 21:04 | Link to Comment surf0766
surf0766's picture

No no death panels.. None at all

 

http://www.slate.com/articles/news_and_politics/jurisprudence/2013/10/ca...

 

Have a nice day

Tue, 10/22/2013 - 23:58 | Link to Comment Tijuana Donkey Show
Tijuana Donkey Show's picture

And if you don't have thr $$$, and your not going to recover, why get the treatment. Most medical spending happens in the last 3 months of someones life in the USA, think of the saved resources. 

Wed, 10/23/2013 - 02:48 | Link to Comment yofish
yofish's picture

Maybe you should actually read what you think is diffinitve before you post.

Wed, 10/23/2013 - 10:11 | Link to Comment MeelionDollerBogus
MeelionDollerBogus's picture

You're a retard.
A family seeking to remove an elderly & ill parent from life support is not a "death panel" run by the government.
By sheer legal responsibility NOT to be pegged with a murder charge doctors have to be careful before taking any action & would by default hold back.
Your article is garbage. I would consider Slate to be garbage too if that's the quality of their articles.

Tue, 10/22/2013 - 19:06 | Link to Comment AnAverageBear
AnAverageBear's picture

My favorite is the individually sized (and always more expensive per ounce) snack packs that used to be sold in 100 calorie bags are now 90 calorie packages. I doubt the reason is because the manufacturers are now more concerned about their consumers' weight!

Tue, 10/22/2013 - 19:13 | Link to Comment CheapBastard
CheapBastard's picture

Loooooooooooong Diapers. The Japs will compete fiercly for these padded Diapers.

Tue, 10/22/2013 - 19:23 | Link to Comment Onohymagin
Onohymagin's picture

Geriatric diaper sales set to overtake infant daiper sales in Japan next year.

http://www.cnbc.com/id/101003141

Tue, 10/22/2013 - 19:28 | Link to Comment nakki
nakki's picture

I think the 6% on food is slightly off. I shop for my family, I compare everything, I'll go to three different stores to find the cheapest price. My wife thinks I'm nuts but with 4 stores within a half mile if figure why not.  I can tell you that inflation in food is more like 12-15% when you factor in smaller quantities and same price, or just prices paid for same product no size change.

Tue, 10/22/2013 - 20:30 | Link to Comment QQQBall
QQQBall's picture

6% is understated. A bag of groceries at Trader Joe's now averages $30/ to $40 bucks and I am not a big meat eater. It was way less a few years back

Tue, 10/22/2013 - 22:17 | Link to Comment laosuwan
laosuwan's picture

Inflation = (30 / way less) / way less =  a lot

 

where a lot > 6%

 

 

Tue, 10/22/2013 - 19:29 | Link to Comment OldE_Ant
OldE_Ant's picture

Gold down at least 20%.. ;) 

 

Tue, 10/22/2013 - 23:06 | Link to Comment MedTechEntrepreneur
MedTechEntrepreneur's picture

This why TPTB want lots of Mexicans....they crank 'em out. (children)

Wed, 10/23/2013 - 00:41 | Link to Comment Herkimer Jerkimer
Herkimer Jerkimer's picture

'

'

'

KIMBERLY-CLARK CEO SAYS CUTTING NUMBER OF DIAPERS IN HUGGIES PACKS TO MATCH COMPETITION SIZES

What a mealy-mouthed bastard. Cutting to match competition. How F*&%ing stupid does he think we are?

Shitrats…

 

Anybody priced flourescent lighting lately? My buddy did, as he's trying for a grow op! Trinidadian Ghost Chilies or something. The lights in Home Depot are $55 now. Up from about $22 5 years ago.

 

1.5% inflation Bernanke? Are you as stupid as I must think you are for thinking I'm that stupid to believe that?

 

•?•
V-V

Wed, 10/23/2013 - 02:20 | Link to Comment Nobody For President
Nobody For President's picture

Plus 1 for shitrats.

Applies to the big pharma CEOs double.(Double shitrat?) I'll keep it in mind.

Wed, 10/23/2013 - 00:56 | Link to Comment MrButtoMcFarty
MrButtoMcFarty's picture

OceanSpray Cran Juice....suddenly 60oz instead of 64oz bottles....same price of course....

Cocksuckers.

Wed, 10/23/2013 - 01:39 | Link to Comment natty light
natty light's picture

Anybody know about phosphate? Is it becoming scarce and expensive as a commodity? I have noticed lawn fertilizer seems to have very little or no phosphate. You know the N-P-K content?; there seems to be hardly any P.

Wed, 10/23/2013 - 02:52 | Link to Comment yofish
yofish's picture

A post that is actually worth pondering on ZH, amazing.

Wed, 10/23/2013 - 05:30 | Link to Comment starfcker
starfcker's picture

nah, it's just the way you feed turf. lawn food is 'hot' lots of nitrogen to paint it green. don't need a lot of phosphorus or potassium, and almost no micronutrients. palm trees, which are also monocots, are almost exactly the opposite, low N, heavy P and K and lots of micros. i have heard rumors of some big plays on phosphate mines by the chinese, you might want to google a bit and see if that is really happening

Wed, 10/23/2013 - 02:26 | Link to Comment Nobody For President
Nobody For President's picture

And then there is the smokestack on that boat of health insurance at +111%. Medical/health costs are becoming surreal in this country, and the congresspeople shitrats are totally in big pharmas pocket. It's probably because I'm an old guy, but I really think this empire will fall on pension, health and medical costs going stratospheric in an aging population until it just explodes (it already blows).

Wed, 10/23/2013 - 08:41 | Link to Comment DeFeralCat
DeFeralCat's picture

Campbells now has a 10oz Chunky Soup at the same retail price of the 14oz soup of just six months ago. 

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