Consumer discretionary inflation seems to be beginning to cool as, according to the July Consumer Price Index report, categories like apparel saw a 0.4% decrease month-over-month, while personal care only saw a 0.2% increase month-over-month.) joins Wealth! to give insight into the strength of the consumer and dive into why certain brands and products do better than others
Vernón provides an example of where they are seeing that increase:"We've been seeing in the research is that there is a continuing increase in the interest in sensitive skin care products, that market of sensitive skin care is expected to nearly double to $80 billion by 2030. There's also an increasing incidence of allergies in children. The amount of allergies reported in children has doubled since 1997, and that's really where our products come in.
What we've been seeing at the honest company is that uh the strong performance that we delivered this recent quarter with our all time record revenue of 93 million in the quarter, expanding gross margin by 1100 basis points is a further emphasis on the fact that the consumer is willing to pay for products when that product is a quality that they believe in and delivers against a need that they have.