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Managing Demand for Hand Sanitizer and Masks

To unclog retail shelves and warehouses of excess hand sanitizer as the pandemic wanes, retailers such as Target, B&R Stores, and Staples are discounting the anti-germ products or offloading them to auction sites.

However, Gojo Industries is expecting the increased awareness of hygiene practices to last. They added three manufacturing facilities in the past year to continue producing Purell hand sanitizer.


Video Spotlight:  


This post is based on the New York Post article, Retailers practically giving away hand sanitizer after hoarding it during pandemic, by Lisa Fickenscher, May 21, 2021; the NBC News article, Small Businesses Who Pivoted to Make Masks and Sanitizer Are Still Feeling The Hit To Their Bottom Line, by Martha C. White, September 22, 2021; and the YouTube videos in the Spotlight. Image source: Maridav/Shutterstock.

Discussion Questions:

1. Explain GoJo Industries’ decision from a forecasting perspective, to continue producing Purell hand sanitizer as pandemic-related demand wanes.

Guidance: GoJo Industries predicts that the demand for hand sanitizer will remain high as consumers have developed an increased awareness of hygiene practices.  As a result, GoJo Industries has added three manufacturing facilities to continue producing Purell hand sanitizer, even as pandemic-related demand wanes.

2. How have retailers managed excess hand sanitizer inventory?

Guidance: Retailers rely on deep discounts, giveaways, and auction sites to offload excess hand sanitizer from shelves and warehouses before the product expires in the next year.

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