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Warnings Crunch Peanut Butter Biz

Sales take a dive as wary shoppers steer clear of old favorite

By Rob Quinn,  Newser Staff

Posted Feb 7, 2009 6:30 AM CST

(Newser) – Peanut butter makers are struggling to deal with the public relations nightmare caused by the salmonella outbreak, reports the New York Times. Many shoppers have started avoiding all brands of peanut butter and sales are down almost 25%. Companies not affected by the recall are buying ads stressing that their products are safe and offering coupons to woo back shoppers.

Experts say advertising that a product is uncontaminated is a rare move and shows how much sales have been hurt, although continued media coverage of the outbreak will likely work against the strategy. "The news shows say don’t buy it and I won’t buy it,” said one shopper who usually gets through a jar a week. “I’m very fearful of salmonella.”

Georgia State Senator John Bulloch holds up a jar of peanut butter while proposing food processors be required to share internal reports with state inspectors, Thursday Jan. 29, 2009.
Georgia State Senator John Bulloch holds up a jar of peanut butter while proposing food processors be required to share internal reports with state inspectors, Thursday Jan. 29, 2009.   (AP Photo/John Amis)
The peanut butter recall has caused many consumers to avoid even peanut butter brands not affected by the salmonella outbreak.
The peanut butter recall has caused many consumers to avoid even peanut butter brands not affected by the salmonella outbreak.   (AP Photo/John Bazemore, File)
Returned jars of Peter Pan Peanut Butter are shown at a super market, Feb. 16, 2007, in Atlanta.
Returned jars of Peter Pan Peanut Butter are shown at a super market, Feb. 16, 2007, in Atlanta.   (AP Photo/John Bazemore, file)
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CNN reports on the latest developments in the peanut butter salmonella outbreak.   (CNN Video)

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COMMENTS
Showing 3 of 4 comments
Guest
Feb 8, 2009 6:46 AM CST
The financial fallout on the large companies because of the malfeasance of one small one explains why the food industry should be calling for tighter regulations rather than fighting it tooth and nail. The only thing I can figure is that there is probably a tax loophole that will let them write off all of their perceived losses against last year and blame them on this incident, not addressing the equally devastating effect of the economic meltdown. This would be another indirect bailout of the "free market".
Guest
Feb 7, 2009 9:30 PM CST
Jiff is far too sugary... Ich bin ein Skippyholic.
atris999
Feb 7, 2009 2:37 AM CST
Choosy mom's choose salmonella free jiff.
 

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