Campbell Soup Company (NYSE:CPB) Q4 2019 Earnings Conference Call Transcript
Aug 30, 2019 • 08:30 am ET
Thank you. [Operator Instructions] And our first question comes from Andrew Lazar from Barclays. Your line is now open.
Good morning, everybody and Anthony all the best going forward. Thanks for your help over the years. Just two quick things. One would be, Mark I realize fiscal '20 is not yet the year where you have everything firing in terms of reframing the soup category, perhaps you could run through maybe just the sort of top two or three things in that core soup business that we should be focused on really in order to monitor the progress as we go through sort of the coming soup season. Maybe those key benchmarks or metrics that we can sort of focus on again to monitor the progress.
And then just second as we think through the relationship between inflation and productivity and such, it seems like you're looking for, I would assume productivity and maybe some incremental pricing to about help offset what you expect inflation to be. Is it right to think that leaves the cost and synergy savings really as the -- what you have is flexibility to reinvest behind the business this coming year kind of that sort of $140 million bucket and such? Thank you so much.
Mark A. Clouse
Yeah. Thanks, Andrew. Well, let me start with the soup question first. And maybe it will be helpful to give a little bit of context on what we're seeing in the marketplace right now and then how that kind of leads [Phonetic] into the 2020 assumptions. So on the positive side, a couple of things that we're finding are very helpful and it was great to see albeit this summer and the fourth quarter. It was great to see growth on soup, it's the first time in quite a number of years that we've been able to drive growth on the business and I think if you look under what's really driving that, I think there's three things.
The first is, the power of partnering again with our retailers to really collaborate with them on creating a vision and direction for the category and for the business. And I think in many ways that is translating into a far better performance in market, better merchandising, better reflection of our innovation that we do have, and a good understanding of the right merchandising and pricing combination. I think the other thing that's been very effective has been the -- almost relaunch of Well Yes! behind the convenience platform. In the fourth quarter, that business was up 34% and added 0.3-point [Phonetic] of a share point.
And so although we're light on innovation, as we've said in the past, I think the things that we are doing are working well. And so I would expect those positive drivers to carry forward into the 2020 season with the addition of a couple meaningful adds to that. So our marketing and the strength of both the investment levels as well as the quality of that