Down the drain: Strong import competition has contributed to industry revenue decline

The Sanitary Product Manufacturing industry converts paper stock into sanitary products such as toilet paper, facial tissue and tampons. The industry is in long-term decline, demonstrated by faltering revenue, falling enterprise numbers and rising import competition. The industry's decline is partially due to companies moving production overseas to take advantage of lower production costs. Meanwhile, the stronger brands are being challenged by low-cost alternatives and higher input costs, putting pressure on prices and squeezing profit margins. Industry revenue is expected to decline at a compound annual rate of 0.9% to £2.6 billion over the five years through 2018-19, including a fall of 0.6% in the current year...read more.

Industry Statistics & Market Size
Revenue
£2.6bn
Annual Growth 14-19
-0.9%
Forecast Growth 19-24
Profit
Employment
5,806
Businesses
74

Industry Threats & Opportunities

  • Rising input costs and strong competition has limited industry profit over the past five years
  • Import penetration has continued to rise, partially due to companies moving production to low-cost countries
  • Reduced access to the European Single Market would be expected to reduce export demand
  • Industry Report - Industry Key Buyers Chapter

    The Sanitary Product Manufacturing industry exhibits a high level of market share concentration, as the four largest industry operators are estimated to account for 74.2% of industry revenue. The industry is dominated by three companies that control an estimated 67.6% of industry revenue. The next largest company after these three has a market share of approximately 6.6%, demonstrating the gulf between the leaders and the rest of market. Competition between the three largest companies is based on consumer loyalty and product quality rather than price, but they also compete against low-cost imports and similar alternatives at the cheaper end of the market. Giv...purchase to read more.

    Additional Insights for the Sanitary Product Manufacturing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Sanitary Product Manufacturing Industry are

  • Access to rare inputs
  • Establishment of brand names
  • Production of premium goods/services
  • IBISWorld analysts also discuss how external factors such as Real private consumption expenditure and World price of wood pulp in the Sanitary Product Manufacturing industry impact industry performance..

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    What's in this report

    What is the Sanitary Product Manufacturing Industry?

    Industry operators convert sanitary paper stock, wadding, pulp or paper into sanitary products such as toilet paper, facial tissues, handkerchiefs, table napkins, kitchen towels, disposable nappies, sanitary towels and tampons. The final products are sold to wholesalers for distribution, straight to retailers or directly to large commercial customers.

    Industry Products
  • Personal-care products
  • Toilet paper
  • Paper tableware
  • Facial tissues and handkerchiefs
  • Paper towels
  • Industry Activities
  • Manufacturing disposable nappies, sanitary and incontinence pads and tampons
  • Manufacturing facial tissues, paper towels, hand towels, toilet paper, table napkins and other tissue products
  • Manufacturing paper cups, dishes and trays
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Real private consumption expenditure
  • World price of wood pulp
  • International tourist numbers
  • Demand from takeaway and fast-food restaurants

  • Current Performance
  • Profit sheets
  • Offshoring

    and exports

  • Raw materials
  • Chart: Revenue Growth

  • Industry Outlook
  • Trends in trade
  • Downscaling
  • The trade deficit
  • Table: Sanitary Product Manufacturing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Sanitary Product Manufacturing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Supermarkets
  • Hotels
  • Full-Service Restaurants
  • Takeaway & Fast-Food Restaurants

  • Key Selling Industries
  • Electricity Distribution
  • Glue & Adhesives Manufacturing
  • Plastic Packing Goods Manufacturing
  • Pulp Manufacturing

  • Products & Services
  • Toilet paper
  • Paper towels
  • Paper tableware
  • Facial tissues and handkerchiefs
  • Personal-care products
  • Chart: Sanitary Product Manufacturing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Consumers
  • Commercial customers
  • Exports
  • Chart: Major Market Segmentation for the Sanitary Product Manufacturing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Wages
  • Utilities
  • Other
  • Chart: Cost Structure Benchmarking – Sector vs Sanitary Product Manufacturing

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Sanitary Product Manufacturing Industry

  • Industry Globalization
    Essity UK Ltd, Kimberly-Clark Limited, Sofidel SpA,
  • Table: Essity UK Ltd - financial performance
  • Table: Kimberly-Clark Limited - financial performance
  • Table: Sofidel SpA - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Sanitary Product Manufacturing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Sanitary Product Manufacturing Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Exports (2010-2024)
  • Imports (2010-2024)
  • Wages (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Incontinence
  • Any involuntary leakage from the bladder or bowels.
  • Sanitary Towel
  • An absorbent item worn by people menstruating.
  • Wood Pulp
  • A dry fibrous material prepared by chemically or mechanically separating fibres from wood, fibre crops or waste paper.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Sanitary Product Manufacturing market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Sanitary Product Manufacturing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Sanitary Product Manufacturing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Sanitary Product Manufacturing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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