October 29 2020
Bloomberg News reporters Nic Querolo and Leslie Patton interviewed Centricity CEO Mike Brackett in a recent article about the upcoming second wave of food-stockpiling in the United States. After many shelves went empty in the spring, Retailers and CPG companies are working to better meet demand this time around.
American consumers are starting to stockpile groceries again. This time, food makers are prepared. https://t.co/A5jEGng5zO
— Bloomberg (@business) October 27, 2020
In the article, Querolo and Patton write:
“America’s food-makers are determined not to get caught flatfooted again. Many companies left sales on the table this spring when they couldn’t ramp up production fast enough for the dried pasta and canned soups that skittish consumers were stockpiling. Food producers used a calmer summer to assess the new grocery landscape and rework their strategies. Now, with Covid-19 cases climbing again and big holiday meals getting closer, investors are waiting to see whether it will be enough.
They won’t have to wait long to find out. Signs point to another round of stockpiling already starting. Demand for items like baking goods spiked 3,400% from a year earlier in the three weeks through Oct. 13, according to Centricity Inc., a platform that tracks online activity like searches and e-commerce. Mike Brackett, Centricity’s chief executive officer, said that’s less than the 6,000% jump that preceded the first wave of pantry loading, but he expects this one to hit a wider range of products beyond canned goods and other staples.
“In the last three to four weeks, we’ve seen very drastic increases, similar to how we did with the first wave of the pandemic,” Brackett said.
The fresh pantry loading comes as U.S. hospitalizations hit a two-month high last week as 37 states reported increased numbers. Parts of Europe and Latin America have also seen a rise in cases. While food companies insist they are better prepared than before, some shortages persist.”