Unilever promises cheaper products

Unilever promised investors that additional cost cuts and new products and cheaper will help you increase profit, even with reticent consumers taking their sales growth in the third quarter to its weakest level in nearly five years.
Persistent problems in Europe and a slowdown in emerging markets, where Unilever generates more than half its sales, weighed on the performance of the maker of brands like Dove soap and Omo detergent.
To grow up in a time when families tighten seat belts and turn to discount stores, Unilever is introducing cheaper products and also giving more emphasis to local brand Arisco in Brazil.
Emerging markets, vital for Unilever, have suffered in recent months, with the Brazil slipping into a recession, China is facing what may be its worst slowdown in 24 years and Russia dealing with Western sanctions depending on the crisis in Ukraine.
In China, in particular, the fall in sales in the third quarter was 20 percent, as retailers and wholesalers reacted to the downturn by reducing inventory levels.
In Latin America, revenues increased 12.4 percent in the third quarter, adding 2.019 billion euros of a total of 3.81 billion in the region of the Americas.
By volume, sales rose 2.4 percent to latinas expansion of 1.7 percent in North America.
In General, the anglo-Dutch company of consumer goods had increased 2.1 percent in sales in the third quarter, below analysts ' expectations of growth of 3.7 percent, according to a consensus compiled by the company.
The volume of sales, measuring the quantity of products sold, rose just 0.3 percent in the quarter.
This compares with the estimate of analysts of advance of 1.8 percent and a growth of 1.9 percent in the first and second quarters.
"We are responding to this environment of lower growth with the increase in our savings program," said the financial Vice President of Unilever, Jean-Marc Huet, citing examples such as cutting 1,400 jobs this year, reducing the number of laundry products and formulations to decrease exposure to pension funding costs.
Huet said that general growth in global markets where Unilever operates was tending to less than 2 percent, below the 3 percent of the beginning of the year.
"We don't see any material improvement," said Huet told Reuters.
Unilever, however, still expects to outperform the markets in which it operates growth this year, and said it may reach "another year of profitable volume growth ahead of our markets with stable and sustainable improvement in operating margin and strong cash flow."