Pampers Out, Huggies in at Some Costco’s: Report

Big-box retailer Costco will no longer carry Procter & Gamble’s Pampers diaper brand at the majority of its stores, The Cincinnati Post reported last week.

Beginning next month, Pampers’ Baby Stages, will be cut from Costco shelves in about 70% of its stores, the report said.

Deutsche Bank analyst William Schmitz was quoted in the report estimating that the change would cost P&G $150 million to $200 million a year, or up to 3% of Pampers’ total sales. He speculated that rival Kimberly Clark would likely take Pampers place on shelves with its Huggies and private label brands.

Joey Mooring, a spokesperson for Kimberly Clark, declined comment.

Lisa Jester, a spokesperson for Pampers said the company does not comment on its customer’s business decision. She did say “at this point, we are in about 35 [Costco] stores.”

P&Gs North American diaper business market share for the three months through May 20 was 41% with Pampers at 32%, she said.

“[P&G] continues to be very pleased with the growth of our North American diaper business,” Jester said.

Calls to Kimberly Clark and Costco were not returned.

Other P&G brands sold at Costco include Tide detergent and Folgers coffee.