The Detroit Free Press reports that Campbell Soup Co. has reached an agreement to sell its Garden Fresh Gourmet business to “an affiliate of Fountain of Health USA. Fountain of Health makes hummus, dips, salads, frozen desserts and other products.”
Terms of the deal were not disclosed.
Campbell bought Garden Fresh Gourmet in 2015 for $231 million, as part of what the Free Press accurately describes as its “ill-fated strategy to diversify its product lines.”
Terms of the deal were not disclosed.
Campbell bought Garden Fresh Gourmet in 2015 for $231 million, as part of what the Free Press accurately describes as its “ill-fated strategy to diversify its product lines.”
- KC's View:
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It is interesting to me that even as companies like Kraft Heinz finds itself in deep trouble because consumers are moving away from its brand of packaged, processed foods, Campbell - admittedly stung by some tough results, affected by its various ventures into fresher foods, and now looking to stanch the bleeding - is looking to sell off some of these brands.
Different companies and different circumstances, to be sure. But their target consumers can’t be all that different, and I wondering if there is a fundamental misreading of what these shoppers want. Are these strategies and tactics rooted in economics and not consumer preferences?
I’m not saying economics are unimportant. Far from it. But in the end, the customers have to come first.
