Sephora expands across the border
SAN FRANCISCO and MEXICO CITY Sephora, which is owned by LVMH Moet Hennessy Louis Vuitton, is establishing a retail presence in Mexico in 2011 via a joint venture agreement with Grupo Axo.
Sephora and Grupo Axo, a strategic partner with more than 15 years of experience in the Mexican market, will begin operations with two store openings in the second half of 2011, and “significant additional store openings” slated for each year thereafter, according to the companies.
The locations will be a “unique retail experience,” and will offer an extensive selection of new and established global brands, as well as local favorites and new finds, tailored to the Mexican consumer, stated David Suliteanu, president and CEO of Sephora Americas.
The deal further signifies Sephora’s expansion intent in the Latin American market following LVMH’s acquisition of a majority stake in Sack’s, an online retailer of fragrances, cosmetics and toiletries in Brazil, earlier this year.
Oral care innovations help drive Colgate-Palmolive’s quarterly earnings
NEW YORK Colgate-Palmolive experienced a strong third quarter as its global market shares in toothpaste and manual toothbrushes reached record highs year-to-date, the company announced on Thursday.
"Overall, we are very pleased with our solid results this quarter, despite aggressive competitive activity and difficult economic conditions around the world," stated Ian Cook, chairman, president and CEO.
"Colgate’s global market shares in toothpaste and manual toothbrushes are both at record highs year to date. Colgate’s share of the global toothpaste market strengthened to 44.2% year-to-date, led by share gains in Brazil, China, India, Venezuela, France, Greece and the United Kingdom," Cook added. "Colgate also strengthened its global leadership in manual toothbrushes, with its global market share in that category reaching 31.5% year to date, up 1.6 share points versus a year ago."
Worldwide sales were $3.9 billion, down 1.5% compared with the year-ago period. Organic sales grew 3%. Net income increased 5% to $619 million, and diluted earnings per share rose 8% to $1.21. North American sales grew 2% during the quarter, as organic sales grew 1.5%.
In the United States, new product launches across all price points contributed to growth in oral care, including Colgate Triple Action, Colgate Sensitive MultiProtection and Colgate Max White with Mini Bright Strips toothpastes, the company stated. Its share of the manual toothbrush market reached a record 33.5% year to date, up 1.8 share points versus a year ago.
The company added that a major relaunch of Colgate Total toothpaste is just getting under way in the United States, with upgraded packaging that includes new graphics and a redesigned stand-up cap. The relaunch will be supported with a new integrated marketing campaign and new communications to dental professionals, both focused on highlighting the 12-hour antibacterial protection of Colgate Total toothpaste.
P&G: Expanding Connect + Develop program will boost business
CINCINNATI Procter & Gamble is looking to expand its open innovation partnerships, which would triple the impact of its Connect + Develop open innovation strategy.
Connect + Develop, which was launched nearly 10 years ago, enables the company to share research and development, commercialization and brand strength worldwide, so great ideas can arrive on the market and to consumers in a timely fashion, according to P&G’s website. By tripling its open innovation work, P&G said Connect + Develop would garner $3 billion toward the company’s annual sales growth.
The announcement came just days after the company reported its strong first-quarter earnings.
"Connect + Develop has created a culture of open innovation that has already generated sustainable growth; but we know we can do more," said P&G chairman, president and CEO Bob McDonald. "We want the best minds in the world to work with us to create big ideas that can touch and improve the lives of more consumers, in more parts of the world, more completely."
Innovations that have spawned from the Connect + Develop program include Swiffer dusters, Olay Regenerist, Tide Total Care, Mr. Clean magic eraser, Clairol Perfect 10 and the Oral B Pulsonic toothbrush.
"Connect + Develop opened our minds and doors to external collaboration. It changed our culture from ‘invented here’ to ‘partnering for greater value,’" said chief technology officer Bruce Brown. "With these new goals, we are taking C+D to the next level. We are looking to ensure that we’re not just delivering more partnerships, but greater value through our partnerships. We want collaboration that creates innovation across all our business operations, from product development to logistics."