Colgate announces dividend increase, elects Google exec to board
NEW YORK — Colgate-Palmolive announced on Thursday that its board of directors increased the ongoing quarterly common stock cash dividend by 7%. Separately, the company also announced that Nikesh Arora, SVP and chief business officer of Google, has been elected to its board.
The dividend increase will be effective as of second quarter 2012. The new rate of 62 cents per share is up from 58 cents. The second-quarter dividend is to be paid on May 15 to shareholders of record as of April 24. On an annualized basis, the new dividend rate is $2.48, compared with $2.32 per share previously. The company has paid uninterrupted dividends on its common stock since 1895.
Separately, the company announced that Google executive Arora has been elected to its board, effective March 15.
Colgate also announced that following the recent planned retirement of vice chairman Michael Tangney, effective March 1, Fabian Garcia, COO of global innovation and growth and Europe, has assumed responsibility for the company’s Hill’s Pet Nutrition division; and Franck J. Moison, COO of emerging markets, has assumed responsibility for Colgate’s South Pacific region.
NYX Cosmetics gears up for retail expansion, new branding campaign
LOS ANGELES — NYX Cosmetics has announced increased store placement to coincide with the launch of its spring 2012 assortment.
On the heels of growth in professional, domestic chain and international channels, as well as social media expansion, the additional placement, along with the newly launched branding campaign, will further strengthen brand recognition and awareness, the company stated.
"Within the last year, NYX Cosmetics has experienced significant multifaceted company growth, and we are extremely excited by the continued expansion that strategic retail partnerships and a new branding campaign will afford us," stated Scott Friedman, NYX Cosmetics’ CEO. "We are proud of the reputation NYX has built as an attractively priced, professional makeup line, and we look forward to building and reaching a larger group of discerning consumers."
In 2012, NYX Cosmetics will target expansion within its core professional beauty trade outlets, as well as existing partnerships with Ulta and Nordstrom. Expanding on its retail presence at Ulta, the first national retailer to pick up the brand in 2008, NYX will be adding an additional 2 ft. of retail space within the beauty retailer this year. NYX indicated that it also looks forward to continued success with new retail partner Nordstrom. The brand recently launched in approximately 20 doors and anticipates additional placements throughout the year.
NYX Cosmetics also will focus on expansion within its international retail partners. It will grow its presence with German-based beauty retailer Douglas — it currently is in approximately 100 doors throughout Germany and Austria — and will complete the rollout to the remainder of the Douglas stores in Germany and Austria over the following 12 months. In addition, the brand is looking to form strategic partnerships with select retailers in Canada and Australia during calendar year 2012.
NYX Cosmetics also has developed a new branding campaign to further raise brand profile. Themed after NYX Cosmetics’ namesake "NYX" — the ancient Greek goddess who ruled the night — the new campaign features three goddesses representing the dimensions of NYX consumers with such taglines as "Be free, Be fierce," "Be bold, Be glamorous" and "Be you, Be daring." The campaign was created by global creative agency SumCreative and can be seen in Beauty Inc., on Style.com and on NYX Cosmetics’ newly redesigned website.
The brand recently launched the NYX Cosmetics’ Facebook store, which offers exclusive sales and simplified purchases, and it reached its 100,000th Facebook fan in December 2011. NYX Cosmetics also remains a visible beauty brand on YouTube with more than 400,000 user-generated video uploads.
AHAA: CPGs, CPG-based retail companies that reach out to Hispanic market see higher revenue growth
MCLEAN, Va. — Consumer packaged goods brands that dedicate a share of their overall marketing resources to the ever-growing Hispanic market prompted about one-third of their overall revenue growth, according to a study from the Association of Hispanic Advertising Agencies.
AHAA said it found a positive connection between corporate Hispanic marketing and revenue growth specific for CPGs and CPG-based retail companies after analyzing 35,000 U.S. advertisers and their allocation trends to Hispanic media between 2006 and 2010. Approximately 39 CPG companies and retailers were included in the final study, a subset of 211 public companies with consistently advertised in Hispanic media between 2006 and 2010, AHAA said.
The study identified seven companies as "best in class," driving the highest overall organic revenue growth from their consistent leading efforts in the Hispanic market, including Coca-Cola, General Mills, Ralcorp, Groupe Danone, Nestle, Walmart and Walgreens. Other companies analyzed include Clorox, Unilever, Kimberly-Clark, Target, Church & Dwight, CVS, Hormel, PepsiCo, Kellogg’s, Diageo, Pernod Ricard, Sara Lee, Fortune Brands, Rubbermaid, NutriSystem, ConAgra, Campbell’s, Hershey’s, L’Oreal and Estee Lauder, among others.
The AHAA said effective growth leaders consistently put higher focus on creating solid relationships with the Hispanic consumer base, while CPG "underperformers" tend to overlook Hispanic growth opportunities, which typically resulted in sluggish growth, which leads to slower value creation to their shareholders.
"The connection is clear and very significant," said Cristina Garcia, professor of statistics at USC, who oversaw the methodology of the study. "The study found evidence that the proportion of resources a company, irrelevant of market category, puts behind Hispanic consumers is an essential driver for sustainable growth performance."
Added AHAA chairman and Acento Advertising CEO Roberto Orci, "This new information is compelling because the data indicates that the Hispanic market can be a big determinant in corporate success. CPG companies not only want to gain market share among their competitors but they also want to provide growth and stability for their investors — investing in Hispanic marketing is a clear strategy in achieving that two-fold objective."