Green Mountain Coffee Roaster and Campbell Soup Company announced on Thursday an agreement had been reached to bring Campbell’s the No. 1 soup brand in the U.S. together with Keurig, the No. 1 brewer brand of coffee in the U.S. by sales.
The deal will allow consumers to experience the taste of Campbell’s soup in a convenient snack size that can be prepared with just a touch of a button on one of the Keurig brewers.
Snacking has become more and more popular amongst consumers in the U.S., with more than 50% of them snaking more than once per day. U.S. consumers want snacks that serve to satisfy their hunger, with ultra convenient preparing options.
Officials from both companies said the innovative partnership is a win-win situation for both the companies and the consumers, and represents an important step for Campbell as it expands into spaces of higher growth.
Campbell is one of the iconic brands in the U.S. that shares the same focus as Green Mountain to harness innovation to the delight of the consumer, making it a great partner for Keurig in its first step beyond just beverages, said Green Mountain CEO and president Brian Kelley.
He continued by saying that the convenience and speed of Keurig combined with the great taste of Campbell’s positions the two companies to better meeting the snacking growth of consumers located in the U.S.
The companies are expecting to launch the new soup in three varieties.
Campbell’s Soup Company was founded back in 1869. It has leading brands that include Pepperidge Farm, V8, Plum Organics, Kjeldsens and Bolthouse Farms.
Green Mountain Coffee Roasters is the leader in specialty coffeemakers and coffee. It is recognized for its innovative single cup Keurig brewing technology and coffees that have won numerous awards.
Car Sales Up to Levels Prior to Financial Crisis
The auto industry in the U.S. shifted back into high gear with new car buyers purchasing up vehicles in August at rates not experienced since prior to the 2008 financial crisis.
With the job market, slowly rebounding and interest rates very low consumers are becoming encouraged to swap their cars or trucks for new ones, said carmakers. That has added to the overnight shifts and production capacity of the automakers to satisfy company demand.
In all, buyers purchased over 1.5 million vehicles in August, which was 17% higher than in 2012 during the same month. Nearly every major automaker reported gains in sales of double digits. The demand has customers searching for particular colors, models and prices, with hard to finds ones increasing in price.
The rebound that has been faster than first expected in the U.S. is contrary to the slumping demand across Europe and continued uncertainty in the developing markets.
Strong sales were able to help lift the Dow Jones by nearly 100 points Wednesday as GM saw shares jump 5%, while Ford was up 3.5%.
Sales in August translated to an annual pace of more than 16.09 million vehicles, which was just above the figure for December of 2007 of $16 million. In comparison, over 17.4 million vehicles were sold in the U.S. in 2000.
European and Asian carmakers have also had strong numbers in the U.S. market with Nissan, Toyota and Honda all reporting gains of between 22% and 27%. BMW based in Germany said its sales of sports utility vehicles and luxury cars jumped over 36% from the same month a year ago.
While the pace of sales returned last month to levels prior to the recession, the auto industry in the U.S. looks nothing like it did prior to the financial crisis as the three big U.S. automakers Ford, Chrysler and GM are much, much leaner.
Revenue at Lego Increases
Lego, the Danish toy maker has posted earnings that show an increase in revenue. Lego said its 13% increase in revenue was in part thanks to its brick sets’ growing demand in Asia, while its rivals in the U.S. continue to face tough conditions.
During the first half of 2013, sales at Lego were $1.84 billion giving Lego a firmer grip as the No. 2 largest toy maker in the world. However, modest results from its sales in the U.S. tapered the growth of the company compared to 2012, when it experienced an increase of 24% over the same six-month period.
The largest toy maker by sales in the world remains Mattel, Inc. During the first six months of this year, the toy maker had $2.2 billion in sales, while Hasbro, in third place reported sales of $1.4 billion amidst sluggish demand.
Lego enjoyed a growth in Asia of 35% in sales, which outpaced more mature areas such as the Americas and Europe, where sales were up 4% and 8% respectively.
Lego’s net profit over the six-month period from January to June 30 was up 20% compared to the same period one year ago.
Total revenue for Lego represents both sales and licensing, but sales to its customers are only broken out when regional sales trends are reported.
Lego has been successful in marketing itself to parents in China as an educational toy. Parents there have seen it as way to make a bridge between the sandbox and school, said one industry analyst.
Lego is controlled by the family of Kjeld Kirk Kristiansen, the richest man in Denmark and said that the new theme Legends of China has performed very well throughout Asia with its strong Asian influences. Analyst said it has been able to conform very well between digital and physical environments.