Monday, December 9, 2013

The cultural trend for males to sprout facial stubble might look good but it hurts the economy in ways we don't think about. See here how...

We hurt the economy in ways we don't even think about:
The fashionability of facial hair is bad news for the razor industry.
The male shaving sector has slowed down in both the US and Europe this year, and that’s at least in part due to the rising popularity of stubbleaccording to a recent report from Euromonitor. A move away from a culture of everyday shaving and towards one in which men embrace an artfully trimmed permanent two-day shadow—or, indeed, a full beard—has pinched some of the industry’s largest players.
Energizer Holdings, which owns both Schick and Edge, is among those feeling the stubble effect. The company has cited shrinking razor and blade sales in several of its earnings calls this year. “The weakness in some of the Personal Care categories in the US… are kind of unprecedented,” CEO Ward Klein said last month. “And I’m really talking about razors and blades in particular,” he added.
From Quartz 

Razors and shaving cream are complements in economic terms.  Two separate and distinct goods but their fates are pretty much tied together, at least in the male grooming category. Less shaving overall, less need for both of these products, at the margin and then some possibly.

Interesting how a cultural trend can have an affect that appears to be unseen but is certainly felt by those employed in the industries.
 

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