October 2014 | 11 th edition

Consumer Products: Capital Confidence Barometer

Confidence in stability revives growth aspirations

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October 2014 | 11th edition

Consumer Products: Capital Confidence Barometer

Confidence in stability revives growth aspirations

Our 11th Consumer Products Capital Confidence Barometer shows that consumer products (CP) companies display a renewed optimism to grow.

Regional/local economic and geopolitical issues may have hit further economic recovery, but businesses are increasingly finding the environment stable in the absence of any major systemic shock.

For the first time in the last two years, CP companies are now more growth focused compared to the other sectors. However, they are not wavering from their focus on cost structures and operational efficiencies. Consumer products and retail is among the sectors showing the largest appetite for transactions. Total deal value in the CP sector reached a six-year high in Q2 2014. The trend toward improving deals is consistent with the macroeconomic positivity, leading to confidence in future deal-making. Middle-market, efficiency-driven M&As are set to increase in the sector.

Key findings


Request our full report to explore:

  • How do we get the balance right between efforts to drive growth and cost saving to protect margin?
  • How can we ensure better execution on closing deals as the pipeline of strategic opportunities gets busier?
  • What price are we willing to pay for the capabilities and assets we need to grow our business?
  • What is the right balance of our M&A strategy between mature and emerging markets?

About this survey

The Global Capital Confidence Barometer gauges corporate confidence in the economic outlook and identifies boardroom trends and practices in the way companies manage their Capital Agendas — EY’s framework for strategically managing capital.

The results are based on responses from more than 1,600 global executives from 62 countries surveyed over August and September 2014, conducted by the Economist Intelligence Unit (EIU).

Respondent profile

  • EIU panel of more than 1600 executives surveyed in August and September 2014
  • 298 executives from consumer products and retail
  • Companies from 62 countries
  • Executives from 18 industry sectors
  • 949 CEO, CFO and other C-level executives
  • More than 800 companies would qualify for the Fortune 1000 based on revenues

Resources

  • Gregory J. Stemler
    Global Consumer Products Transaction Advisory Services Leader
  • Rupa Mehta
    Global Consumer Products Sector Resident – Transaction Advisory Services

For the complete survey results, please email: