Newell Brands and Kidsy Announce Partnership to Divert Graco® and Baby Jogger® Returns from Landfills

Rhea-AI Summary

Newell Brands (NASDAQ: NWL), owner of Graco® and Baby Jogger®, has partnered with Kidsy, a recommerce platform for children's products, to promote sustainability by reselling customer returns and overstock items. This initiative aims to divert products from landfills and extend their lifecycle. Consumers can now find open-box or overstock Graco® and Baby Jogger® products on Kidsy at reduced prices.

The partnership aligns with Newell's commitment to sustainability and addresses the growing consumer demand for eco-friendly solutions. According to industry data, 45% of parents under 40 consider a product's environmental impact when making purchasing decisions. The available products will include a range of items such as strollers, car seats, swings, playards, and high chairs, all of which have undergone a quality control process.

Positive

• Partnership with Kidsy to resell customer returns and overstock items, potentially increasing revenue and reducing waste
• Alignment with growing consumer demand for sustainable and eco-friendly products
• Potential for improved brand image through commitment to sustainability practices

Negative

• Possible cannibalization of new product sales by offering discounted open-box and overstock items

Insights

Sustainability Expert

This partnership between Newell Brands and Kidsy represents a significant step towards circular economy practices in the baby products industry. By diverting customer returns and overstock from landfills, Newell is addressing a critical environmental issue while potentially opening up new revenue streams. The recommerce model aligns with growing consumer preferences for sustainable options, particularly among younger parents.

The initiative could yield multiple benefits:

• Reduced waste and environmental impact
• Improved brand perception among eco-conscious consumers
• Potential for increased market share in the growing secondhand market
• Cost savings from waste reduction and inventory management

However, the impact on Newell's primary sales channels and pricing strategy should be carefully monitored. While this move demonstrates corporate responsibility, its financial impact may be in the short term. The success of this initiative could pave the way for broader adoption of recommerce strategies across Newell's portfolio.

Market Research Analyst

This partnership taps into several key market trends:

• 45% of parents under 40 consider environmental impact in purchasing decisions, indicating a growing market for sustainable options.
• The recommerce sector is expanding rapidly, with potential to capture price-sensitive consumers without cannibalizing primary market sales.
• Brand loyalty could be enhanced through perceived environmental responsibility.

The move could positively impact Newell's market position, especially among millennial and Gen Z parents. However, the actual financial impact will depend on execution and scale. Key metrics to watch include:

• Volume of products diverted from landfills
• Revenue generated through Kidsy channel
• Changes in brand perception and customer loyalty
• Any potential impact on primary channel sales

While innovative, this initiative's immediate effect on Newell's $3.06 billion market cap may be Long-term success could position Newell as a leader in sustainable practices within the baby products industry.

 Newell Brands Makes Pivotal Commitment to Sustainability through Kidsy's Recommerce Platform

CHICAGO, Oct. 9, 2024 /PRNewswire/ -- Newell Brands (NASDAQ: NWL), a global leader in consumer goods and home to iconic baby brands like Graco® and Baby Jogger®, is partnering with Kidsy, a leading recommerce platform for children's products at a discount, to support sustainability efforts by keeping customer returns and overstock items out of landfills. Now, customers can find products from Graco® and Baby Jogger® on Kidsy—such as open-box or overstock—where they will be resold to families at reduced prices.

This initiative marks a significant step for Newell Brands in embracing recommerce as part of its sustainability strategy. Through this partnership, items that would otherwise contribute to landfill waste will now have a second life, extending the product lifecycle and reducing environmental impact.

"We're honored to partner with Newell Brands, a legacy name in the baby product space, to promote sustainability through Kidsy," says Shraysi Tandon, Co-founder and CEO of Kidsy. "Consumers today deeply care about supporting brands that are mission-driven. We are excited to work with the Newell team to innovate within retail, and build a world where commerce and recommerce can thrive symbiotically."

This effort underscores Newell's commitment to minimizing waste and leaning into sustainability practices across all areas of the business.

"As one of the largest baby brands in the world, we recognize the importance of lowering our carbon footprint and forging innovative partnerships that enable us to achieve that. This partnership with Kidsy allows us to integrate sustainable practices, reducing environmental impact while maintaining the highest standards of safety and quality," said Michael Rohrer, Director of Global Quality Assurance at Newell Brands.

The products available through Kidsy will include a range of customer returns and open-box Graco® and Baby Jogger® items, from strollers and car seats to swings, playards and high chairs, that have undergone a vetted, quality control process.

This partnership reflects a broader trend in consumer demand for sustainable, eco-friendly solutions. According to recent industry data, 45% of parents under 40 now consider a product's environmental impact when making purchasing decisions (The Toy Association).

Consumers interested in affordable, sustainable children and baby gear can visit Kidsy.co to browse the growing selection of Newell Brands products and other leading brands added. Through Kidsy, parents can reduce waste, save money, and help protect the planet for future generations.

About Kidsy
Kidsy is a break-out recommerce platform dedicated to keeping merchandise out of landfills by bringing discounted baby and kids products to consumers. With a focus on sustainability, Kidsy helps parents access high-quality, new open-box or gently used baby products and toys at a fraction of the original price, reducing waste and promoting eco-friendly living.

About Newell Brands
Newell Brands (NASDAQ: NWL) is a leading global consumer goods company with a strong portfolio of well-known brands, including Graco®, Baby Jogger®, Rubbermaid, Sharpie, Coleman, and Yankee Candle. Newell Brands is committed to delivering innovation, quality, and value to its consumers, and strives to reduce its environmental footprint across all its operations.

For media inquiries, please contact:

Claire DeMarco

press@kidsy.co

View original content:https://www.prnewswire.com/news-releases/newell-brands-and-kidsy-announce-partnership-to-divert-graco-and-baby-jogger-returns-from-landfills-302270934.html

SOURCE Kidsy

FAQ

What is the partnership between Newell Brands and Kidsy for Graco® and Baby Jogger® products?

Newell Brands (NWL) has partnered with Kidsy to resell customer returns and overstock Graco® and Baby Jogger® products at discounted prices, aiming to divert these items from landfills and promote sustainability.

What types of Graco® and Baby Jogger® products will be available on Kidsy?

Kidsy will offer a range of open-box and overstock Graco® and Baby Jogger® items, including strollers, car seats, swings, playards, and high chairs, all of which have undergone a quality control process.

How does the Newell Brands (NWL) and Kidsy partnership contribute to sustainability?

The partnership helps extend the lifecycle of products by reselling customer returns and overstock items, reducing waste and keeping these products out of landfills, thus lowering Newell Brands' environmental impact.

What percentage of parents consider environmental impact in purchasing decisions, according to the Newell Brands (NWL) press release?

According to industry data cited in the press release, 45% of parents under 40 now consider a product's environmental impact when making purchasing decisions.