- Encyclopedia Britannica defines consumer staples as a sector comprised of companies whose products are found in grocery stores and drugstores, or whose products consumers buy in any economic climate. No bounded definition of consumer staples exists, as products change according to region, class and personal preference.
- According to the finance advice and information website, The Motley Fool, consumer staples stocks have a reputation of being stable and steady, as they are not as susceptible to boom and bust cycles. The Motley Fool lists companies like Coca-Cola, Philip Morris, Walmart and Kimberly-Clark as some of the major players in the consumer staples industry.
- Most stock investors have a diversification strategy, in other words, a plan or method for spreading money out and not putting bets all in one place. Most investors intentionally spread money across different sectors and industries, so as to leave some in safe and steady areas like consumer staples and invest some in riskier areas like technology that offer high possible returns.
- For several years following the 2008 financial crisis, leading financial information sources such as Businessweek and the Motley Fool recommended investing in the consumer staples sector. Consumer staples weathered the recession better than most other areas, as people continue to buy toilet paper, cigarettes and frozen fish sticks even after losing their jobs.
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