Kraft Heinz sees a decline in demand for its more expensive products. As customers increasingly turn to cheaper private labels, the American food group is lowering its sales and profit forecasts.
Pressure continues
“Market conditions remain challenging,” admits CEO Carlos Abrams-Rivera. “We expect this pressure to continue beyond the fourth quarter, which means that consumer recovery will take longer.” The group now expects organic sales to decline by 3 to 3.5% this year, whereas it had previously anticipated a decline of between 1.5 and 3.5%.
