The household products market is composed of a diversified group of companies such as the Clorox Co., Procter & Gamble, Zep Inc., and Church and Dwight Co. These manufactures of consumer goods, used in and around the home, offer their products to a variety of retailers that are located around the globe. Diversity is a key characteristic within this market segment. Household product companies, for the most part are conglomerates, which is a combination of two or more corporations engaged in entirely different businesses that fall under one corporate structure. Many organizations within this market posses a long roster of goods that satisfy a broad customer base. Demand is driven by general commercial activity and population growth.
Small companies are able to compete successfully by making specialty products or serving a small geographic area.
Growing Buyer Preferences for Differentiated Products – By examining the shelves at Wal-Mart it is evident to notice that consumers appreciate a large variety within their household product purchasing categories. Cleaners, toothpastes, diapers, etc. now come in so many different flavors, styles, and ingredients. This differentiated product approach is very favorable within the American household product industry, because our country in very populated with different cultures (i.e. different taste and preferences).