NEW YORK — Leaders of large consumer products companies raised their revenue growth targets to an average of 6.3% over the next 12 months, up from a reported 4.8% in the first quarter, PricewaterhouseCoopers’ Consumer Products Barometer revealed. Concern about oil/energy prices dropped 19 points to 51% this quarter, as did market demand anxiety, which is down to 17% from 30% in Q1. Seventy-two percent of executives are considering other business initiatives over the next 12 months, led by merger and acquisition activity (51%). “We saw an interesting uptick this quarter in revenue growth projections, specifically among those consumer products companies concerned about oil/energy prices,” said John Maxwell, leader of PricewaterhouseCooper’s Retail & Consumer Industry Practice, in a statement. “We believe these companies have passed along costs by raising prices. As a result, revenue growth projections shot up this quarter, which also attributes to the increase in global economic optimism and anticipated M&A activity within the industry.” More than half (51%) of senior executives surveyed increased their prices compared to 36% in the previous quarter. Fifty-six percent of oil/energy-vulnerable companies raised their prices, compared with 46% of their non-vulnerable peers.
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