Tupperware: The Slow Death of a Household Brand
The line no investor wants to hear: “There is substantial doubt about its ability to continue as a going concern” — corporate lingo for “we’re fked.”
The 77-year-old household name is running out of cash, and if they fail to secure more financing — they could be at risk of bankruptcy.
In less than a decade, Tupperware’s market cap had fallen from $4.8B to just under $60M.
Tupperware is living in the 90s
In 1948, Tupperware was famous for its marketing tactic of encouraging women to sell its products to friends and neighbors by hosting parties.
But they relied too heavily on direct selling and entered the e-commerce game late.
- Tupperware had 184K direct salespeople in the US and Canada — less than half a decade ago.
- In 2020, Tupperware’s e-commerce sales made up just 4% of total sales — compared to over half from competitor Pampered Chef.
Today, you can find container sets for much cheaper. The company has also been churning through CEOs faster than Logan Roy goes through wives.
The Last Tupper
In 2022, Tupperware made $1.3B in sales — nearly half of what it made in 2013. Profits are dropping — even losing $36M last quarter — as the company was hit by:
- Lower consumer spending, impacting sales.
- Rising interest rates, increasing the cost of borrowing.
Tupperware is also at risk of delisting from the NYSE for failing to file its annual report on time. And not even Mrs. Maisel could sell enough Tupperware to keep the lid from closing.