J&J and Wal-Mart face class action lawsuit
A group of US consumers has come one step closer to their day in court...More>>
8 February 2010
LVMH and Hermès end year on a positive note
Full year results from luxury houses LVMH and Hermes point to a better second half of the year – but the outlook is still unclear...More>>
5 February 2010
Unilever profit down 24% in quarter
Unilever’s net profit took a 24% hit in the fourth quarter, down to €906m, the company reported on Thursday...More>>
4 February 2010
Tesco opens zero carbon supermarket
Tesco has opened the UK ’s first zero carbon supermarket in Ramsey, Cambridgeshire as part of its ongoing effort to develop lower carbon footprint stores...More>>
3 February 2010
VLCC to buy The Grooming Company
As a sign of the growing strength of the Indian beauty industry, fitness, spa and personal care company VLCC is said to be on the point of acquiring The Grooming Company for Rs 150 crore ($32.43m)...More>>
2 February 2010
Beauty companies join the i-movement
Two beauty brands have joined the i-game...More>>
1 February 2010
8 February 2010
A group of US consumers has come one step closer to their day in court.
A federal judge in New Jersey has ruled that two women can pursue their class action lawsuit against Johnson & Johnson and Wal-Mart, alleging that their baby bath products contain potentially carcinogenic ingredients.
The suit is one of four actions filed by law firm Keller Rohrback in 2009. The suits were prompted by a report by activist group Campaign for Safe Cosmetics, which claimed that traces of methylene chloride, a substance banned by the Food and Drug Administration for use in cosmetics, were found in Johnson’s Baby Shampoo and Wal-Mart’s Equate Tearless Baby Wash without being disclosed on their labels.
The companies have not disputed the presence of the chemical but say that nobody was harmed, and that the lawsuit doesn’t claim that anybody has suffered as a consequence.
But while Judge Dennis Cavanaugh ruled that the plaintiffs had a made a case to seek economic damages on the grounds of deceptive trade practices and the breach of an implied warranty, he dismissed their claim for economic damages over the presence of formaldehyde and 1,4-dioxane as neither had been banned by the FDA.
Cavanaugh also threw out unjust enrichment claims against the two companies and dismissed defendants Gerber Product, Procter & Gamble, MZB Personal Care and MZ Berger & Company from the action.
5 February 2010
Full year results from luxury houses LVMH and Hermès point to a better second half of the year – but the outlook is still unclear.
LVMH ended the year with sales of €171.bn, a 1% drop on the previous year. However, organic growth of 1% in the fourth quarter and full year profit from recurring operations of €3.35bn allowed chairman Bernard Arnault to sound upbeat at the presentation.
“LVMH demonstrated exceptional resilience in 2009. LVMH is ideally positioned to benefit from the recovery and to continue in 2010 to strengthen its leadership in the global luxury goods sector,” Arnault said.
Perfume & Cosmetics sales fell 4% over the year, or 5% in organic terms, although Arnault pointed to a strong performance from Parfums Christian Dior, Guerlain, Benefit and Guerlain. In common with the rest of the group, beauty sales picked up in the second half and recovery from destocking helped lift profit slightly, up 0.3% to €291m at the end of the year.
In contrast, perfumery chain Sephora had a much better year. Overall, Selective Retail sales stood at €4.53bn, a rise of 4% and Arnault said Sephora continued to grow its market share and sales and profitability. The travel retail business, DFS, also performed relatively well. Despite the downturn in the global travel market, the retailer pushed ahead in Asia and the Middle East, which helped its sales to hold steady.
Hermès’ growth over the year was somewhat steadier, but a strong fourth quarter helped boost sales 4.1% to €1.2bn. Perfume sales, however, didn’t share in the success, with sales dropping 6.2% to €117.3bn. Even so, the second half of the year offered more hope for the division.
Arnault declined to offer an outlook for 2010, but said the group would focus on innovation in its most attractive markets and would try to increase its leadership of the global luxury goods industry. Acquisitions appear to have been put on ice.
Hermès put the emphasis on creativity and customer service and will continue to invest in its distribution network, with an additional 12 branches, including new stores in Paris and New York.
4 February 2010
Unilever’s net profit took a 24% hit in the fourth quarter, down to €906m, the company reported on Thursday.
Underlying sales growth for the quarter was up 1.8% to €9.659m and 3.5% to €39.823m for the full year 2009, at constant exchange rates, excluding the effects of acquisitions and disposals.
Out of that number, personal care rose 6.5% to €3.014m in Q4 and 5.3% to €11.846m for FY2009.
Growth in the personal care category came from Dove’s ‘Go Fresh’ range and the launch of Dove Nutrium Moisture in the US. Unilever said the new ‘Dove for Men +Care’ range in Italy, France, Spain and the UK and Benelux are showing ‘encouraging’ early results.
Personal care was also bolstered by launches for Lifebuoy, Pond’s and Axe Hair while Clear and Sunsilk continued to grow.
TIGI growth was helped with the relaunch of Catwalk, which was the first joint collaboration with Unilever.
Paul Polman, Unilever ceo said the company made good progress in challenging market conditions. “Our market share improvements were broad-based and improved throughout the year. Our brands are stronger, driven by better quality innovation and a step-change in advertising and promotional expenditure.”
3 February 2010
Tesco has opened the UK ’s first zero carbon supermarket in Ramsey, Cambridgeshire as part of its ongoing effort to develop lower carbon footprint stores.
The Ramsey store was built with sustainable wood, LED lighting and a combined heat and power plant powered with renewable fuel. The store has no net carbon footprint and exports back any electricity generated to the national grid.
Other environmental features of the store include in store lighting that dims as the natural daylight increases and roof lights that let the daylight on to the sales floor as well as energy-efficient equipment such as low energy bakery ovens.
The store opening was a backdrop to Tesco’s announcement that it will spend over £100m with UK green technology companies.
Terry Leahy, Tesco chief executive said he’s proud to be opening, “the world’s first zero carbon supermarket.” “I believe it’s no coincidence that it has opened here in the UK where many of the innovations which make its construction and operation possible where designed and manufactured,” Leahy said.
In attendance at the opening were MP John Gummer and Business Secretary Lord Mandelson.
2 February 2010
As a sign of the growing strength of the Indian beauty industry, fitness, spa and personal care company VLCC is said to be on the point of acquiring The Grooming Company for Rs 150 crore ($32.43m).
Based in the UAE, The Grooming Company has four retail channels. N-Bar is a chain of high-end nail salons, 1847 is a line of grooming lounges for men, JetSet offers shampoos and blow-dries, and Tilia & Finn combines grooming and beauty services.
According to the Economic Times, VLCC plans to bring these concepts to India , opening up to 75 outlets over the next two years. This fits in with The Grooming Company’s stated ambition to expand its international reach beyond the UAE and Lebanon to Kuwait, Qatar and further afield. The company is actively looking for franchisees to help it reach its goals.
VLCC, which operates fitness centres in the UAE and slimming centres and day spas and slimming centres in India. The Rs 500 crore company also has a broad range of hair, skin and body care products and a professional skin and body care line.
1 February 2010
Two beauty brands have joined the i-game.
Beiersdorf’s skin care brand, Nivea, has launched an iPhone app designed to help Brazilians tan safely.
Developed in partnership with the Lew’Lara TBWA agency, the Nivea Sun app collects information about the user’s age, skin type and location, and advises on the correct SPF to be used on any particular day. An alarm alerts the user when the product should be reapplied.
“The concept emerged from the idea of providing consumers with a summer season in which skin protection was the priority, adding advice on how to take advantage of the sun to guarantee a healthy and secure tan,” explains Maria Laura Santos, Nivea marketing director.
Fellow skin care company Dermalogica has also entered the i-game.
The US company has launched Speed Mapping, an app said to answer consumers’ skin condition questions.
Speed Mapping offers skin analysis by reviewing five areas of the face, asking questions about the user’s skin condition and creating a personalised product prescription. The app also includes “learn more” sections and product overviews as well as a stockist finder.