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Subject:
PERSONAL CARE BUSINESS
Period: October 18, 2014 to October 25, 2014
Geographies:
Worldwide
Categories:
Comment & Opinion or Companies, Organizations or Consumers or Controversies & Disputes or Deals, M&A, JVs, Licensing or Earnings Release or Finance, Economics, Tax or Innovation & New Ideas or Legal, Legislation, Regulation, Policy or Market News or Marketing & Advertising or Other or People & Personalities or Press Release or Products & Brands or Research, Studies, Advice or Supply Chain or Trends
Contents
 
Companies, Organizations  

L'Oreal Paris Appoints Naomi Watts As Brand Ambassador

Cosmetics company L'Oreal Paris named actress Naomi Watts as its brand ambassador. Watts is joining an exclusive list of celebrities who represented the brand with the iconic slogan “Because You're Worth It,” such as actresses Jane Fonda and Eva Longoria. The world's largest cosmetics company, L'Oreal Paris expanded the range of women named to represent its brands.

"Naomi Watts is the new face of L'Oreal", The Australian Women’s Weekly, October 23, 2014

South Korea's Beauty And Personal Care Markets Post Strong Growth In 2014

South Korea's beauty and personal care markets grew 5.8 percent in 2014, compared with the previous year, according to market research firm Mintel. After growing 30 percent year-on-year in 2012, the country's hair colorants market is forecast to grow 20 percent in 2013 and 2014. South Korea accounts for 10 percent of foam-type hair colorants launched in 2012 to 2014, data revealed. The country's fragrance market is also booming, serving as the “test ground” for entry into the rest of Asia, with Karl Lagerfield launching his latest signature fragrance brand in the country after launching in the United States and Europe.

"Three Steps Ahead: The South Korean Beauty Market", Mintel , October 23, 2014

Secret Deodorant Launches 2014 Anti-Bullying Campaign

Procter & Gamble's Secret deodorant brand launched its 2014 Secret Mean Stinks campaign against girl-to-girl bullying in the United States. Created in celebration of October as the National Bullying Prevention Month, the campaign aims to reach students where bullying starts — in schools across the country. For its 2014 edition, the campaign includes a partnership with recording artist Keenan West for the “Nicest. Tour. Ever.” national tour, the Instagram challenge with the hashtag #GangUpForGood, and the “Nicest School in America” competition.

"In Its Fourth Year, Secret Mean Stinks Launches National Antibullying “Nicest. Tour. Ever.” Assemblies to Reach Thousands of Students across the Country", Procter & Gamble, October 22, 2014

Kimberly-Clark Plans To Cut Workforce By 1,300 Jobs After Selling U.S. Healthcare Business

Kimberly-Clark Corp. said it plans to reduce its workforce by 1,000 to 1,300 jobs after spinning off its United States-based healthcare business. Also, the company said it lowered its full-year profit forecast to account for costs associated with the spinoff. With an employee count of 57,000 as of December 31, 2013, Kimberly-Clark said it expects the restructuring to cost $130 million to $160 million after tax and save $120 million to $140 million before tax.

"Kimberly-Clark to cut up to 1,300 jobs after spinoff", Reuters, October 21, 2014

Procter & Gamble Appoints Coombe President Of European Sales And Marketing

Procter & Gamble promoted Gary Coombe from vice president of home care for EMEA to president of the company's European sales and marketing operations effective November 1, 2014. Coombe will succeed Mary Lynn Ferguson-McHugh, who was appointed as group president for P&G's global family care business. A 28-year veteran at P&G, Coombe managed the integration of Gillette into the company's European business in 2005 to 2006.

"Gary Coombe appointed European president at Procter & Gamble", The Grocer, October 18, 2014

Sephora's Planned Sydney Store Will Hurt Local Retailer's Cosmetics Sales

Beauty retailer Sephora's plan to launch its operations in Australia will hurt the cosmetics sales of department stores Myer and David Jones, according  to market analysts. Other retailers, such as Priceline, Big W, Target, and supermarkets, will not be as affected because they do not sell luxury beauty brands. Owned by LVMH Moet Hennessy, Sephora owns some 1,900 stores in 29 countries. It plans to open in Sydney its first Australian store, an 800sq m location at the Pitt Street Mall.

"Cosmetic retailer Sephora set to shake up local stores", Sydney Morning Herald, October 17, 2014

Pantene Names Actress Shavaughn Ruakere As Brand Ambassador In New Zealand

Procter & Gamble's Pantene haircare brand appointed actress Shavaughn Ruakere as brand ambassador in New Zealand. As brand ambassador, Ruakere will promote Pantene's reformulated haircare products, which contain Keratin Damage Blockers to protect hair from oxidative damage. In the early 1990s, supermodel Rachel Hunter was featured in television ads for Pantene, which also helped launch her career.

"Kiwi actress announced as new local face of Pantene", Impact PR, October 17, 2014

GSK Announces Digital Strategies For The Future

GlaxoSmithKline Consumer Healthcare wants to put in place an “always-on, always-relevant, and always-engaging” digital platform for interacting with consumers by 2015, according to the company's shopper insights manager Cristina Marinucci. Together with The Sound Research SVP Lindsey Boyle, Marinucci discussed the company's plans for its digital marketing strategies at the 2014 Annual Shopper Insights in Action Conference in Chicago. Initially, GSK will implement “smaller, more incremental” adjustments to its digital marketing approach, the executives said. Such steps include revising the company's approach to capturing personal information of its consumers, and making it easier for consumers to engage with GSK.

"GSK Consumer Healthcare Outlines Plans for Digital Future", CPG Matters, October 16, 2014

Clorox Canada Names Pilato President And GM

Clorox Canada appointed Michael Pilato as general manager and president effective October 8, 2014. Pilato succeeds Christine Vickers-Tucker who occupied the positions for 20 years and will return to Clorox US as VP and general manager of the firm's professional products division. Pilato, who has been with Clorox for seven years, was recently the VP of sales in Canada.

"Clorox Canada appoints new president", Canadian Grocer, October 10, 2014

Q&A: Jergens representative Melissa Prospero

Vancouver Sun , October 20, 2014

L’Oreal Has Head Start on Amazon Fresh

L2 Think Tank, October 20, 2014

Consumers  

Mintel Pinpoints Key Consumer Trends For 2015

Mintel has identified four major U.S. market trends that will affect consumers and brands in 2015. The “Get Smart” trend refers to the fact that manufacturers and retailers are responding to the 59 percent of U.S. consumers who say they want to use an app or Web site to control devices – from watches to ceiling fans – in their home. “My Wallet, My Way” alludes to the consumer desire for on-demand convenience that is blurring the lines between digital and brick-and-mortar retail. “Fight for Your Rights” is the emerging consumer demand for more fairness and justice from companies, expressed via "clicktivism,” the ability to express one's opinion, support or dislike digitally.  The “Gender Agenda” refers to consumer questioning of traditional notions of gender -- especially the rejection of the restraints of stereotypes.

"Mintel releases 2015 US consumer trends", Report, Mintel , October 23, 2014

Men's Skin Care Market Is Fast Growing In Asia, Bernadin Says

Asia's male skin care market is fast growing, according to Information et Inspiration founder and CEO Florence Bernadin. Factors driving market growth vary by country, according to Bernadin, with anti-aging and hair care lines driving growth in Japan and beauty competition between women in South Korea. In China, social image is driving growth in the men's skin care market. Facial wash or cleanser is the first skin care product that men usually use, serving as a market entry product for Asian men in general.

"The Asian Male Skin Care Market: A Q&A With Florence Bernadin", Cosmetics & Toiletries, October 22, 2014

Study shows South Africans' teeth are in big trouble

Yahoo South Africa, October 15, 2014

Earnings Release  

Unilever Posts Weaker Sales Growth For 3Q 2014, Blames Weak Demand In China

Unilever said underlying sales grew 5.6 percent in emerging markets and declined 2.5 percent in developed markets in the third quarter of 2014. According to the company, turnover dropped 2.0 percent to €12.2 billion, which includes a negative currency impact of 2.6 percent. Also, acquisitions and disposals cut turnover by 1.5 percent, the company said. In China, slowing demand prompted retailers to reduce their stock levels, causing sales to tumble 20 percent. For the nine-month period, underlying sales grew 3.2 percent, with emerging markets expanding 6.2 percent. Turnover decreased 4.3 percent to €36.3 billion, with a negative currency impact of 6.6 percent.

"UNILEVER TRADING STATEMENT THIRD QUARTER 2014", Unilever, October 23, 2014

Kimberly-Clark Reports $5.4 Billion Net Sales For 3Q 2014

Kimberly-Clark Corporation said net sales increased 3 percent to $5.4 billion in the third quarter of 2014, compared with the previous year. Organic sales grew 4 percent, including a 10 percent growth in K-C International. Also, the company reported diluted net income per share for the quarter was $1.50, compared with $1.42 in 3Q 2013. Adjusted earnings per share for the third quarter reached $1.61 in 2014, compared with $1.44 in the previous year.

"Kimberly-Clark Announces Third Quarter 2014 Results", Kimberly-Clark, October 21, 2014

Market News  

Unilever Says Weak Demand In China Hurts 3Q 2014 Sales

Unilever said sales grew 2.1 percent in the third quarter of 2014, weaker than analysts' 3.7 percent growth forecast. According to the company, sales in China dropped 20 percent after retailers reduced their stocks due to slowing demand. The slowdown in China adversely affected the company's global sales, Unilever CEO Paul Polman said. Sales volume rose 0.3 percent, compared with the 1.8 percent growth expected by analysts.

"Unilever warns on 'sharp' China slowdown", The Telegraph, October 23, 2014

Rising Prices For Nondurable Goods Create Very Dissatisfied Customers

Consumers of household nondurable products – especially food and beverages, but also other categories – have been stung by rising prices, a fact registered in deteriorating customer satisfaction scores. According to the American Customer Satisfaction Index, dissatisfied customers are more reluctant to buy and become less loyal to brands. Companies respond by offering deals and price discounts, which leads to brand switching, lower profit margins and volatile revenue streams. Customer satisfaction with food manufacturers dropped 2.5 percent to a score of 79 on a 100-point scale. Satisfaction with shampoo, soap, toothpaste, detergents, and cleaning products fell percent to an ACSI score of 82.

"ACSI Nondurable Products Report 2014", American Customer Satisfaction Index, October 21, 2014

P&G’s Internal Memo on Management Shakeup

Wall Street Journal, October 22, 2014

The meaning of 'organic' hazy for nonfood items

Associated Press News Archive, October 21, 2014

Marketing & Advertising  

L'Oreal Awards Media Account For Denmark, Norway, Sweden, Finland To Maxus

L'Oreal awarded its media planning and buying accounts for Denmark, Norway, Sweden, and Finland to Maxus. An expansion of the media agency's business relationship with L'Oreal in various markets, including the UK, Ireland, and Southeast Asia, the appointment followed a review process involving two other agencies. Maxus will be L'Oreal's only agency for media planning and buying in the said markets.

"L’Oreal deems Maxus worth it as it hands agency media accounts for four key European markets", The Drum, October 20, 2014

Unilever Malaysia Cops Top Marketing Honors In The Country

Unilever Malaysia was recognized as Marketer of the Year for 2014 at the second Marketing Excellence Awards in Kuala Lumpur. Pocketing five Gold, four Silver, and three Bronze awards, the company also won in several categories ― digital marketing, marketing innovation, marketing to a female audience, media strategy, and mobile marketing. Organized by Advertising + Marketing, the Marketing Excellence Awards seeks to honor the best campaigns and initiatives in the country's marketing and communications industry.

"Unilever Malaysia triumphs at Marketing Excellence Awards 2014", Marketing-Interactive.com, October 17, 2014

HUL's YouTube Channel Promotes Products Without Appearing Like An Advertiser

In 2013, Hindustan Unilever launched Be Beautiful, a YouTube channel that features beauty tips and advice from famous bloggers. Designed to appear as an unbranded online platform and a consumer initiative, the video channel enables HUL to advertise its lineup of skincare and haircare products. In April 2014, after seeing the success of HUL's online video initiative, Unilever in the UK launched its own YouTube channel called All Things Hair, promoting brands including Toni & Guy, Dove, and VO5.

"Hindustan Unilever attempts to go from advertiser to publisher", Campaign Asia , October 16, 2014

Most trusted brands ranked by category

Economic Times, October 22, 2014

Developing a global digital strategy

McKinsey, October 15, 2014

Press Release  

Natura Cosmeticos Reports Higher Consolidated Net Revenue For 3Q 2014

Natura Cosmeticos S.A. said consolidated net revenue rose 5.0 percent in the third quarter of 2014, compared with the same quarter in 2013. EBITDA rose 7.2 percent to R$427 million and net income reached R$215 million. International operations accounted for 19.3 percent of the company's consolidated net revnue, compared with 17.5 percent in the same quarter of the previous year. Consolidated EBITDA rose 7.2 percent during the quarter compared with the year-ago period.

"Natura Cosmeticos S.A. 3Q 2014 Results", Natura Cosméticos S.A., October 22, 2014

L'Oreal Agrees To Acquire Carol's Daughter

L'Oreal USA signed a deal to acquire natural cosmetics company Carol's Daughter. Based in New York City, Carol's Daughter offers a wide range of natural beauty products sold at specialty beauty stores, mass retailers, online, and at the company's branded stores. For the year ending September 30, 2014, the company reported net sales of $27 million.

"L’Oreal USA Signs Agreement To Acquire Carol’s Daughter Group", L’Oreal, October 20, 2014

Products & Brands  

Pond's Partners With Rockettes To Launch Campaign Promoting Makeup Removers

Unilever's Pond's beauty brand partnered with the Rockettes dance company to launch a marketing campaign in time for the 2014 holiday season. Aimed at promoting a Rockettes-approved skincare routine, the campaign also includes a sweepstakes offering for its main prize a chance to go behind the scenes during the Radio City Music Hall event in December 2014. Also, the campaign highlights how Rockettes members use Pond's Cold Cream Cleanser and Wet Cleaning Towelettes to remove their stage and high-performance makeup.

"POND'S® Hard-Working Makeup Removers Are Now "Rockettes Tested And Approved" -Two Legendary Brands Reveal How to Completely Remove Today's High-Performance Makeup While Keeping Skin Beautiful This Holiday Season-", PRNewswire, October 22, 2014

Olay Receives Nod From The Skin Cancer Foundation For Its Public Awareness Campaign

Procter & Gamble's facial skincare brand Olay was honored by The Skin Cancer Foundation during the group's 2014 Gala event for the company's skin cancer education campaign. Featuring skin cancer survivors, the campaign aimed to tell women about the importance of daily sun protection. Also, the campaign highlighted the importance of wearing facial moisturizers with SPF 15 as minimum level of protection everyday. In the United States, more than 5 million cases of skin cancer are treated every year. The campaign aims to reduce the incidence of skin cancer in the country.

"Olay Honored With The Skin Sense Award At 2014 Skin Cancer Foundation Gala ", PR Newswire, October 22, 2014

AmorePacific Wants To Become Asia's Number 1 Cosmetics Company, One Of Largest Worldwide

AmorePacific wants to become the biggest cosmetics company in Asia and one of the biggest worldwide by 2020, according to CTO Hak Hee Kang. In an interview with the Cosmetics Design magazine during the Cosme Tokyo 2014 event in Japan, Kang discussed the growing popularity being enjoyed by the company across the Asia-Pacific region. At present, the company is among the top 20 cosmetics companies in the world, earning $3.7 billion from its cosmetics, personal care, and health care businesses in 2013.

"AmorePacific aims to be the biggest cosmetics company in Asia by 2020", Cosmetics Design , October 21, 2014

Conditioners, Styling Products Will Drive Growth In Europea's Hair Care Market, Analysts Say

Europe's hair care market grew 1.7 percent to $15.9 billion in 2013, according to Euromonitor. Shampoos accounted for $5.0 billion, while conditioners contributed $2.5 billion and styling agents, $3.1 billion. During the period, Turkey posted the highest growth rate, with sales growing 16.3 percent. In comparison, the UK market grew 4.1 percent. Data from Kantar Worldpanel, however, revealed the European market offers limited growth potential, with penetration in the shampoo market at 90 percent, compared with 46 percent in conditioners. To help drive growth, manufacturers are integrating clinically developed ingredient to products, such as L'Oreal Elvive Fibrology Double Serum, which contains Filoxane. Also, demand for hair oils is rising, as highlighted by the success of salon brand Moroccan Oil, which includes argan oil, and Timotei Precious Oils Hair Beautifying Mist.

"Hair Conditioners and Colorants Offer Growth Opportunities", Happi.com, October 02, 2014

Unilever uses foaming in new bottle

Plastics News, October 22, 2014

India's most-trusted brands of 2014

Economic Times, October 22, 2014

Hair style on-the-go

Henkel, October 17, 2014

Trends  

Unilever Paints Gloomy Picture Of World Economy

Though Unilever has been ringing alarm bells about the worsening world economy for some time, it now acknowledges the situation is gloomier than it once thought. Chief Financial Officer Jean-Marc Huët says the company’s sales are sagging in every product category – including personal care, food, refreshment and household care – all over the globe. The glum assessments are echoed by policy makers. The International Monetary Fund trimmed its growth forecast by 0.002 percent while warning of the possibility of Europe re-entering a recession. China’s third quarter economy grew at the slowest pace in five years. “We are in a tougher environment. There is no other way to put it,” Huët said.

"Unilever Surprised by Extent of Global Slowdown", The Wall Street Journal, October 23, 2014

Cosmetics Companies Need Pay More Attention To Indonesia

Indonesia, with its huge population, 5.6 percent annual GDP growth rate, and a fast-growing middle class, is a most important market for cosmetics companies. Several factors and trends influence the market and consumer behavior in the country, including its geography and demographics, frequency of shopping for FMCG goods, and average spending per household per shopping trip. Demand for cosmetics is growing across the country, with the segment posting double-digit growth rate in 2013. Market penetration stands at 81 percent, or about 40.3 million households, with growth in rural areas outpacing those in urban markets.

"Revealing the Beauty Within Indonesia", Happi.com, October 02, 2014

Half Of Irish Consumers Get Product Information From Online Sources, Survey Says

In Ireland, half of consumers said they go online for information on consumable products before buying, with 62 percent saying they prefer to read online reviews, according to a study by Nielsen. Data from the Nielsen Global Survey of e-commerce revealed 38 percent of Irish respondents plan to purchase clothing and shoes online in the next six months, compared with 45 percent of consumers in the UK. Also, 61 percent of Irish consumers said they plan to buy airline tickets online, compared with the EU average of 34 percent.

"Just 15% of Irish Consumers Plan to Purchase Groceries Online", Nielsen, September 18, 2014

Building a bright future for our industry

Campaign Asia , October 20, 2014

China is losing out in natural cosmetics market

Cosmetics Design , October 16, 2014

The Underlying Potential of the MENA Region in Fragrances

Euromonitor International, October 15, 2014

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