The Midas touch.
THE TOP 50 1 Procter & Gamble Cincinnati, OH $68.9 billion 2 Colgate-Palmolive New York, NY $15.0 billion 3 Estee Lauder New York, NY $10.9 billion 4 SC Johnson Racine, WI $9.6 billion 5 Johnson & Johnson New Brunswick, NJ $7.6 billion 6 Avon New York, NY $6.5 billion 7 Ecolab St. Paul, MN $6.2 billion 8 Coty New York, NY $4.5 billion 9 Mary Kay Addison, TX $4.0 billion 10 Amway Ada, MI $3.5 billion 11 L Brands Columbus, OH $3.3 billion 12 Clorox Oakland, CA $2.6 billion 13 Church & Dwight Ewing, NJ $2.4 billion 14 Sealed Air Diversey Care Elmwood Park, NJ $2.1 billion 15 Revlon New York, NY $1.9 billion 16 Sun Products Wilton, CT $1.6 billion 17 Nu Skin Provo, UT $1.5 billion 18 Guthy-Renker Palm Desert, CA $1.4 billion 19 Elizabeth Arden Miramar, FL $1.1 billion 20 Jarden Rye, NY $850 million 21 Zep Atlanta, GA $696 million 22 Jafra Westlake Village, GA $521 million 23 Tupperware Orlando, FL $520 million 24 Inter Parfums New York, NY $499 million 25 Arbonne Irvine, CA $486 million 26 Scentsy Meridian, ID $480 million 27 Markwins City of Industry, CA $450 million 28 Energizer St. Louis, MO $425 million 28 John Paul Mitchell Systems Beverly Hills, CA $425 million 30 Nerium Addison, TX $403 million 31 WD-40 San Diego, CA $383 million 32 Blyth Greenwich, CT $347 million 33 High Ridge Brands Stamford, CT $325 million 34 Combe White Plains, NY $255 million 35 Perfumania Bellport, NY $239 million 36 Helen of Troy El Paso, TX $216 million 37 Seventh Generation Burlington, VT $215 million 38 Prestige Brands Tarrytown, NY $210 million 39 Dermalogica Carson, CA $200 million 40 Atlantic Coast Brands Jersey City, NJ $198 million 41 Spartan Chemical Maumee, OH $182 million 42 Herbalife Los Angeles $180 million 42 PDC Stamford, CT $180 million 44 Turtle Wax Chicago, IL $165 million 45 Gojo Akron, OH $150 million 45 Too Faced Cosmetics Irvine, CA $150 million 47 Farouk Systems Houston, TX $135 million 48 Murad El Segundo, CA $130 million 49 Hain Celestial Lake Success, NY $120 million 49 State Industrial Mayfield Heights, OH $120 million
What's the first rule of fiction writing? Write what you know. The same concept applies to business; successful companies stick to their knitting, even as they find new ways to reach new customers. Many of the companies in Happi's Top 50 have found their niches, meeting consumer needs and delivering products that build brand loyalties. After all, consumers have hundreds of choices to make on a daily basis and even the simple act of buying laundry detergent can be overwhelming. However, marketing strategies such as engaging consumers in online conversations, for example, represent an opportunity for companies to uncover new opportunities for growth.
For example, Estee Lauder expanded its multi-pronged digital presence encompassing e-commerce, m-commerce and prestige salon channels. Last year, the company rolled out the final portion of its global Strategic Modernization Initiative that updated all systems to create more common and efficient ways of working together.
High Ridge added interest to a 60-year-old classic, Alberto V05, with a social media campaign. It asked consumers to vote for a new fragrance for Alberto V05's via the hair care line's Facebook page.
Atlantic Coast Brands' growth strategy is based on leveraging 360[degrees] marketing, including DRTV, radio, digital and print to drive its direct and retail shopping businesses to build iconic beauty brands. This year, the firm introduced Christie Brinkley Authentic Skincare with a successful launch at Kohl's and on HSN.
And Mary Kay now boasts 3.5 million representatives around the world, at a time when many direct sales companies are struggling to maintain their sales base. How? By developing product lines such as Mary Kay at Play that appeal to GenY consumers, and by offering novel anti-aging formulas to Baby Boomers via the Time Wise collection.
In terms of comings and goings, new to the Top 50 are Too Faced and Farouk Systems. And Merck dropped out after selling its consumer business to Bayer.
Also, this is the last year that the Energizer name will appear in Happi's Top 50. This month, Energizer's personal care business becomes Edgewell Personal Care, as the company's battery and personal care units part ways. The move was made to allow each business to pursue its own strategic focus and unlock the full value of each business for shareholders, according to company executives.
Meanwhile, Zep had enough zing to get the attention of private equity. In May, the company agreed to be acquired by New Mountain Capital, L.L.C.
We hope that you enjoy reading the Happi Top 50, now in its 38th year! Procter & Gamble still leads the pack with sales of $68.9 billion, followed by Colgate-Palmolive at $15 billion and Estee Lauder at $10.9 billion.
Next month in Happi, we explore the Top 30 international companies in the industry.
Atlantic Coast Brands
Church & Dwight
Helen of Troy
High Ridge Brands
John Paul Mitchell
Johnson & Johnson
Procter & Gamble
Sealed Air Diversey
Too Faced Cosmetics
1. PROCTER & GAMBLE
Sales: $68.9 billion (estimated) for personal care, household care and oral care products. Corporate sales: $83 billion, for the year ended June 30, 2014.
Key Personnel: AG Lafley, chairman, president and chief executive officer; Stassi Anastassov, president, special assignment; Mark Biegger chief human resources officer; Steven D. Bishop group president, global oral care; Giovanni Ciserani, global president, P&G global fabric and home care; Linda W. Clement-Holmes, chief information officer; Gary Coombe, president, Europe selling and market operations; Philip J. Duncan, global design officer; Tarek Farahat, president, Latin America, selling and market operations; Mary Lynn Ferguson-McHugh, group president, global family care; Thomas M. Finn, president, global health care; Kathleen B. Fish, chief technology officer; William P. Gipson, senior vice president, global diversity and research and development, Asia Innovation Centers; Melanie L. Healey, group president and advisor to the chairman and chief executive; Deborah A. Henretta, group president, global e-business; Colleen E. Jay, president, global retail hair care and color; Shailesh G. Jejurkar, president, fabric care, North America, brand building organization, global fabric and home care, and global new business creation; Henry Karamanoukian, senior vice president, customer business development, North America; R. Alexandre Keith, president, global skin and personal care; Hatsunori Kiriyama, president, Asia Pacific selling & market operations; Patrice Louvet, group president, global beauty; Deborah P. Majoras, chief legal officer and secretary; Jon P. Moeller, chief financial officer; Julio Nemeth, global business services; Filippo Passerini, officer on special assignment.
Major Products: Household Care--Tide, Ariel, Cheer, Gain, Bold, Dreft, Era detergents; Joy and Cascade dish detergents; Febreze and Downy laundry additives; Mr. Clean, Comet and Swiffer household cleaners. Personal Care--Head & Shoulders, Nioxin, Pantene, Herbal Essences, Pert, Sebastian, Vidal Sassoon and Aussie hair care; DDF, Olay and SK-II skin care; Nice 'n Easy hair color; Cover Girl, Dolce & Gabanna cosmetics; 007, Hugo Boss, Lacoste, Puma, Dunhill, Escada, Dulce & Gabbana, Fekkai and Gucci fragrances; Oral Care--Crest, Scope.
New Products: Laundry and home care--Downy Fresh Protect, Tide HE Turbo Clean, Bounty with Dawn, Unstopables Collection, Dreft Stage 1, Dreft Stage 2 and Dreft Blissfuls; Beauty--Head & Shoulders Instant Relief Collection, Vidal Sassoon Salonist, Olay Regenerist Luminous Collection, Wella Professionals Elements, Gillette ProGlide Sensitive 2-in-1 shave gel plus skin care; Oral Care--Crest Pro-Health.
Comments: When you're on top, everyone, it seems, is gunning for you. Procter & Gamble has always faced challenges from the likes of Unilever, Henkel, Colgate and Kao, but these days some of its biggest headaches come from Wall Street types who question the company's size (too unwieldy), turnaround plan (not aggressive enough) and restructuring strategy (too slow to boost earnings). In fact, earlier this year, during a Q3 conference call, several analysts urged CFO Jon Moeller to do more; i.e., break up the company into more manageable units. Moeller, however, would have none of it, blaming the company's lousy Q3 performance on FX.
That's not exactly what analysts wanted to hear, however, and some made their dissatisfaction public: CLSA knocked P&G's rating from Outperform to Underperform and Morgan Stanley added P&G to its list of 10 stocks selling at substantial premiums--that's tough sledding, especially when you realize that P&G's stock price has fallen 13% in 2015.
In Q3 of fiscal 2015, the company reported that net sales fell 8% versus the prior year to $18.1 billion in the January-March quarter, including a negative eight percentage point impact from foreign exchange and a negative one percentage point impact from minor brand divestitures. Organic sales grew 1%. Organic sales were at or above year ago levels in four of five reporting segments. Volume declined 2%. Pricing increased sales by 2% with higher pricing in four of five business segments. Favorable product mix across most segments increased sales by 1%.
This isn't the first time that analysts have soured on the world's largest FMCG company. And like so many other market timers, just when investors head for the exit, a rally ensues.
But past performance, as they say, is no guarantee of future results. And through the third quarter of fiscal 2015, things appear rather grim in Cincinnati. For the nine months, sales slipped 4% to $58.4 billion, while net earnings fell 28% to $6.6 billion. Every segment reported a decline in sales, with the exception of health care, where sales were flat.
Critics may be displeased with the pace of brand sell-offs. P&G unveiled the strategy nearly a year, but since the August 2014 announcement, it had made only minor moves, such as the disposal of Rochas perfume Qune 2015) and Camay and Zest (December 2014). Outside Happi's scope, P&G sold the European pet care business (September 2014), as well as its Duracell battery unit (November 2014) to Berkshire Hathaway in deal that analysts rated as a steal for that Oracle of Omaha, Warren Buffet.
All that changed last month when rumors circulated that Coty would acquire several beauty business from P&G in a deal that could be worth $12 billion. Coty executives are said to have huddled with bankers in recent days to discuss buying P&G's divisions through a Reverse Morris Trust, a source said. Such a move would save P&G from paying capital gains taxes on the deal. Under such a move, P&G would sell just under a majority stake to Coty and let Coty run the combined operations. P&G tried a similar, tax-free sale of its Pringles brand recently but the deal with Diamond Foods collapsed. For Coty chairman Bart Becht, winning the P&G auction is a homecoming of sorts. Becht held a variety of marketing, sales and finance positions at P&G before becoming CEO of RB (then Reckitt Benckiser) from 1995 to 2011.
The divestitures began nearly a year ago, when P&G announced plans to sell about 100 "underperforming" brands. At the time, Lafley planned to focus more on 70 to 80 of its biggest brands including the billion dollar brands like Tide, Pampers and Oral-B. At the time, P&G did not specify the brands it plans to keep or divest, it stated that these 70 to 80 brands have accounted for 90% of company sales and over 95% of profits.
In fiscal 2014, corporate sales rose by less than 1%. Net earnings increased 4%. By category, fabric and home care accounted for 32% of sales; baby, feminine and family care (25%), beauty (24%), grooming (10%) and health care (9%). Emerging markets accounted for 39% of sales.
Looking at key category performance, beauty sales fell 2% to $19.5 billion, and global market share declined 0.4%, according to P&G. Hair care and color volume was flat, with increases in developing regions offsetting declines in developed regions. Volume in salon professional fell mid-single digits due to competition and difficult conditions in Europe, according to P&G.
Fabric and home care increased 1% to $26.1 million on 5% increase in volume. Organic sales were up 4%. P&G said volume increased in high single digits in developing regions and low single digits in developed regions.
GO TOWERS HIGHLIGHT A QUEEN CITY STOP
Last month, P&G celebrated the 30th anniversary of its iconic General Office (GO) Towers, which marks the northeastern corner of its downtown campus and the Cincinnati skyline. When construction plans were revealed in 1982, architects rightly called them the "Gateway to the City."
P&G'S READ ON BIOPRINTING
* When it comes to emerging bioprinting technology, Procter & Gamble now has skin in the game, As a part of a $60 million grant competition in Singapore, P&G is asking academics to explore ideas in which their company can use bioprinting in a beneficial and profitable way. The competition is open to all research institutions within Singapore and the company hopes it will spur on ideas for the technology that may have otherwise been overlooked,
"We want to look at the possibilities of bioprinting. It's definitely a very strong emerging area," said professor Elena Lurie-Luke, the head of P&G's Global Life Sciences Open Innovation business.
Bioprinting, or making living tissue with a three-dimensional printer, is a relatively new field, but the first applications will most likely involve artificial skin. L'Oreal already has a bioprinting deal with Organovo, a biotech firm. The technology could replace animal models that have been banned in many countries. While the nascent technology has many variables, researchers at Cornell say their printer deposits living cell material in thin layers of usually 1/2 mm or less and cross-linked using UV light. The resulting tissues then spend weeks maturing in a type of incubator called a bioreactor.
"There's a lot of interest from both consumer goods companies and big pharma in bioprinting. P&G's strategy to launch a grant competition is probably a very cost effective way of trying to get a snapshot of all the possibilities," Brian Derby, professor of materials science at the University of Manchester, told CNBC.
With multibillion FMCG companies like P&G and L'Oreal jumping into the fray, the 3D bioprinting industry may have found the benefactors necessary to help the emerging technology take off.
NEW YORK, NY
Sales: $15.0 billion for oral care, personal care and household products. Corporate sales: $17.2 billion.
Key Personnel: Ian Cook, chairman, president and chief executive officer; Fabian Garcia, chief operating officer, global innovation and growth, Europe, South Pacific and Hill's Pet Nutrition; Franck J. Moison, chief operating officer, emerging markets and business development; Dennis Hickey, chief financial officer; Andrew D. Hendry, vice chairman; Manuel Arrese, vice president and chief procurement officer; Nigel B. Burton, chief marketing officer; James Capraro, VP-global information technology; Mike Crowe, chief information officer; Suzan F. Harrison, president, global oral care; John J. Huston, SVP-office of the chairman; Alain Semeneri, VP-global customer development; Jose Fernando Serrano, VP-Colgate-Latin America; Drew Shepard, VP-Colgate-North America; Justin Skala, president, Colgate-North America & global sustainability; Michael Sload, VP & GM, global personal care; Rick Spann, VP-global supply chain; Vangelis Spyridakos, VP-Colgate-Europe/South Pacific; Tina Stoian, VP-Colgate-Europe/ South Pacific; Neil Stout, VP-global toothbrush division; Robert Tatera, VP-Colgate-Africa/Eurasia; Orlando Tenorio, VP-Colgate-Asia; Richard Thorogood, VP-Global Insights; Linda Topping, VP-global supply chain; Ranagiotis Tsourapas, president, Colgate-Europe/South Pacific; Bill Van de Graaf, VP & GM, Colgate-US; Patricia Verduin, chief technology officer; Lucie Claire Vincent, VP & GM, global home care; Noel R. Wallace, president, Colgate-Latin America; Ruben Young, VP & GM, Colgate-Greater Indo-China; Alberico Zenzola, VP-Colgate-Global Supply Chain.
Major Products: Oral Care--Total Advanced, Optic White, ProClinical White toothpastes; 360[degrees], Max White, Professional toothbrushes; Dora the Explorer, SpongeBob SquarePants, 2-in-1 children's toothpastes; Orabase mouth pain relief; PhosFlur rinse; Peroxyl oral cleanser; dental professional products. Personal Care--Speed Stick, Lady Speed Stick, Irish Spring deodorants; Softsoap and Irish Spring body washes; Softsoap hand soap; Irish Spring and Softsoap bar soaps; Afta men's toiletries. Home Care--Palmolive, Ajax and Dermassage dishwashing liquids; Murphy Oil Soap, Fabuloso and Ajax household cleaners; Suavitel fabric conditioner.
New Products: Irish Spring Signature for Men, Sanex Advanced, Suavitel Complete, Colgate Optic White Platinum Express White, Colgate Optic White Toothbrush + Whitening Pen, Colgate Enamel Health Toothbrush + Sensitivity Relief Pen. Laser toothpaste (acquisition, Myanmar); Tom's of Maine Wicked Cool toothpaste, Tom's of Maine Baby Care, Body Care and Lip Care.
Comments: Few companies on earth can squeeze so much out of a single category, but a combination of being the global market leader in oral care and fixation on margin has Colgate brass smiling these days. The company's share of the global toothpaste market continues to expand, reaching 44.8% through the first quarter of 2015. In contrast, CP's closest competitor has just a 14.3% share. Impressive, sure, but consider these country toothpaste shares for Colgate: Brazil, 71.8%; Russia, 31.8%; India, 54.7% and China, 33.7%. Ironically, there's room for growth in the US, as P&G's Crest still holds the top spot with 37.3% share, compared to Colgate's 35.3% share.
It's the same story of dominance in the toothbrush segment, as Colgate's global share has climbed to 33.8% during the past 20 years, while its chief competitor has seen its share drop from 26.2% to 19.7%. It's a different tale, however, in mouthwash, where Colgate is a distant No. 2 with a 16.5% share, compared to P&G's 40.4% share.
Yet, despite its dominance in the global oral care segment, Colgate posted a 1% decline in corporate sales last year. Net income fell 3%. Gross margin was 58.5%. Company CEO Ian Cook blamed the decline on exchange rates and divestitures, noting that organic sales rose 5% on a 3% increase in unit volume and positive pricing of 2%.
Oral care accounted for 46% of sales last year, followed by personal care (21%), home care (20%) and pet nutrition (13%). It may be based in New York, but Colgate is truly multinational; in fact, it's biggest markets lie outside North America. By region, Latin America accounted for 28% of sales, followed by Europe-South Pacific (20%), North America (18%), Africa/Eurasia (7%).
In Latin America, sales fell 5%, but organic sales increased 9%. Consumers snapped up an array of Colgate products, including Colgate Luminous White Advanced, Colgate Total Breath Health and Colgate Maximum Cavity Protection Plus Neutrazucar toothpastes. Also Suavitel Complete fabric conditioner and Axion Goodbye Odors dish liquid contributed to volume growth throughout the region.
Within the Europe/South Pacific business sales increased .5% on organic sales growth of 1.5%. Brands that helped grow the business include Colgate Max White One Optic and Colgate Maximum Cavity Protection plus Sugar Acid Neutralizer toothpastes. On the home care side, Ajax All Usage Gel liquid cleaner and Soupline Fhradise Sensations fabric conditioner contributed to volume growth.
Sales in North America increased 1.5%, driven by a 2.5% increase in organic sales. Regional results received a boost from sales of Colgate Optic White and Colgate Total Lasting White mouthwashes, as well as Fabuloso Fiesta Orange liquid cleaner and Suavitel Fast Dry fabric conditioner.
Exchange rates took their toll in Africa/Eurasia, were sales fell 4%, despite organic growth of 7%. Colgate Optic White Instant, Colgate Altai Herbs, Colgate Slim Soft Charcoal manual toothbrush and Protex for Men shower gel contributed to volume growth.
In a review of the sustainability of its products, the company proudly notes that 70% of products were determined to be "more sustainable," having an improvement in at least one of the following areas: responsible sourcing and raw materials, energy and greenhouse gases, water, waste, ingredient profile, packaging and social metrics.
What's more, Colgate's Bright Smiles, Bright Futures program has reached 800 million children around the world through 2014, with the goal of reaching 1.3 billion kids by 2020.
For the first quarter of 2015, worldwide net sales fell 6% to $4.0 billion, on unit volume gains of 1.5%, pricing increases of 2.5% and -10% foreign exchange. Global unit volume grew 1.5%, pricing increased 2.5% and foreign exchange was negative 10.0%. Organic sales (net sales excluding foreign exchange, acquisitions and divestments) grew 4.0%.
"In the face of challenging macroeconomic conditions worldwide, we are pleased to have started the year with solid organic sales growth and higher profitability as a percent to sales, despite significant foreign currency headwinds," said Cook. "Where organic sales grew a strong 6.5%, despite economic challenges in certain countries."
By region, North America net sales increased 0.5%. Latin American sales fell 5.5%, even as unit volume increased 1.5% and pricing rose 8.0%. Europe/South Pacific net sales decreased 14.5 %, due to lower price and a weak exchange rate. Sales in Asia declined 1.5% and sales in Africa/Eurasia fell 15.0%, due to foreign exchange's negative 23.0% impact.
A MOUTHFUL OF POTENTIAL
* Even better news for Colgate is that the global oral care category can hardly be considered saturated. According to Colgate's data, the average American consumes 561 grams of toothpaste per year. In contrast, the consumption rate is 277 grams per person in China, 137 grams per person in India and just 68 grams per person in Nigeria--which also boasts the largest population in Africa.
That kind of potential gives Colgate executives plenty of reasons to smile.
3. ESTEE LAUDER
NEW YORK, NY
Sales: $10.9 billion for the year ended June 30, 2014.
Key Personnel: William P. Lauder, executive chairman; Fabrizio Freda, president and chief executive officer; John Demsey, group president; Carl Haney, executive vice president, global research and development, corporate product innovation, package development; Leonard A. Lauder, chairman emeritus; Ronald S. Lauder, chairman, Clinique Laboratories, LLC; Sara Moss, executive vice president and general counsel; Michael O'Hare, executive vice president, global human resources; Gregory F. Polcer, executive vice president, global supply chain; Cedric Prouve, group president, international; Tracey T. Travis, executive vice president and chief financial officer; Alexandra C. Trower, executive vice president, global communications.
Major Products: Cosmetics, toiletries and fragrances. Prestige and Makeup Artists--Estee Lauder, Bobbi Brown, La Mer, Tom Ford, MAC, Prescriptives, Jo Malone, Smashbox, Clinique, Drigins, Glamglow, Ojon; Fragrances--Aramis, Tommy Hilfiger, Kiton, Donna Karan, Michael Kors, American Beauty, Flirt!, Coach, Ermeneglido Zeda; Skin Care--GoodSkin, Grassroots, Lab Series; Salon and Pharmacy--Aveda, Bumble and Bumble, Darphin.
New Products: Skin Care--Estee Lauder Advanced Night Repair Synchronized Recovery Complex II and Micro Essence Skin Activating Treatment Lotion; Clinique Dramatically Different Moisturizing Lotion + and Reformulated Repairwear Laser Focus, Smart Custom-Repair Serum, Sonic System Purifying Cleansing Brush; Makeup--Clinique All About Shadow, Estee Lauder Pure Color Envy sculpting lipstick; Fragrance--Estee Lauder Modern Muse, the Michael Kors Collection, Jo Malone Peony & Blush Suede, Tory Burch, DKNY MYNY and Estee Lauder Modern Muse Chic, Jo Malone Wood Sage & Sea Salt, Tom Ford Velvet Orchid; Hair Care--Aveda Reformulated Dry Remedy and Smooth Infusion Naturally Straight
Comments: The consumer is changing. How and where she buys her handbags, clothing and cosmetics are undergoing an upheaval, and no one understands the luxury consumer better than Estee Lauder. In fact, more than a decade ago, then-chairman Leonard A. Lauder warned retailers to get their act together, improve their stores, improve their mix and improve their attitudes toward consumers. Rather than take his advice, department store execs stuck their heads in the sand and now they're being run over by online sales and subscription services.
In the past few years, Estee Lauder has expanded its multi-pronged digital presence encompassing e-commerce, m-commerce and prestige salon channels. In fiscal 2014, the company rolled out the final portion of its global Strategic Modernization Initiative that updated all systems to create more common and efficient ways of working together.
And it's working. In 2014, Estee Lauder maintained its No. 1 position in the global prestige segment with a 14.8% share. Company execs note that Estee Lauder has grown three percentage points faster than the global prestige beauty segment overall and is nearly two times larger than the No. 3 competitor overall and is two times larger than the No. 2 competitor in global prestige makeup. Furthermore, Estee Lauder is the No. 1 player in several key markets around the world, including the US, UK, China, Brazil, Middle East and Africa.
In fiscal 2014, sales increased 8% to $10.9 billion and gains were recorded across all categories and geographies. Skin care sales increased 7% to $4.7 billion, products and brands that provided a lift included Advanced Night Repair Synchronized Recovery Complex II and Micro Essence Skin Activating Treatment Lotion from Estee Lauder and Clinique's Dramatically Different Moisturizing Lotion + and reformulated Repairwear Laser Focus. Also providing a lift was the La Mer brand and Estee Lauder's Nutritious line of products.
Makeup sales rose 9% to $4.2 billion on the strength of Lauder's makeup artist brands, higher sales of Smashbox and the debut of All About Shadow from Clinique. On the downside, sales slipped for Chubby Stick Balm and High Impact Lip Color from Clinique.
Fragrance sales, too, gained 9% to $1.4 billion, thanks to the launch of Estee Lauder Modern Muse.
4. SC JOHNSON
Sales: $9.6 billion for the year ended June 30, 2014, but that total includes food management.
Key Personnel: H. Fisk Johnson, chairman and chief executive officer; Mark Eckhardt, executive vice president and chief financial officer; Salman Amin, chief operating officer; McKaskie B. Renee, vice president and chief information officer.
Major Products: Household cleaners, disinfectants and insecticides. Brands include Windex, Vanish, Drano, Caldrea and Mrs. Meyers.
New Products: Glade Limited Edition Spring collection.
Comments: When Fisk Johnson talks, people listen. And lately, he's been doing an awful lot of talking about TSCA, a topic that's near and dear to him and everyone else in the household product industry. During the past year, the SCJ CEO has hit the road, delivering pep talks at the annual meetings of the Consumer Specialty Products Association and American Cleaning Institute, as well as the AOCS World Detergent Conference. At these stops, he urged Congress to reform the Toxic Substances and Control Act and detailed his company's decades-long sustainability journey. In April, SC Johnson applauded the Senate Environment and Public Works Committee's approval of draft legislation to reform the Toxic Substances Control Act (TSCA).
During the past year, Johnson also disclosed SCJ's latest ingredient disclosure plans. Now, consumers have access to the main ingredients used to create the fragrances in SC Johnson products. This move expands on SCJ's voluntary ingredient disclosure program. Consumers are able to access this information on WhatsInsideSCJohnson.com or by calling the SC Johnson consumer product helpline.
Consumers can access fragrance ingredients present at the highest concentrations down to .09% of the product formula, or the top 10 ingredients when there are at least 20 ingredients, whichever provides the most information. On the site, detailed fragrance information can be accessed by clicking on the word "fragrance" in the list of product ingredients.
"We take great care in making ingredient choices to offer products that are both safe and effective," said Johnson. "Earning consumer trust can only happen when companies are willing to lay it all out there. Expanded fragrance disclosure and ongoing transparency initiatives are vital to building consumer trust and credibility. That is why we continue to advocate for and promote transparency.
SCJ's been a long-time proponent of ingredient disclosure. In 2009, the company launched WhatsInsideSCJohnson.com to voluntarily disclose ingredients for the company's lineup of air care and home cleaning products, each with a consumer-friendly list of ingredients. In 2012, SCJ announced the release of its Exclusive Fragrance Palette to provide consumers with a comprehensive list of the fragrance ingredients found in the company's products. In 2013, the company began adding pest control and other registered products to the site.
Even as he promotes the benefits of transparency and TSCA reform, Johnson is keeping his eye on the ball. Privately-held SCJ's sales rose more than 6% last year and the company has made several acquisitions in 2015. In February, SC Johnson signed a binding offer to acquire UK-based Deb Group, a global industrial company focused on hygiene and skin care systems for the industrial, commercial, healthcare and food markets. Like all SCJ acquisitions, a purchase price was not disclosed.
"Deb is an important platform for SC Johnson and helps expand our presence in industrial and institutional markets," said Johnson. "Deb's market leadership, channel strengths and commitment to innovation complement our own strengths."
In March, SC Johnson acquired HomeBrands A.S. from Unilever CR, spol. s r.o. in the Czech Republic. The acquisition expands SC Johnson's offering in the Czech Republic, Slovakia and the Baltics and includes pest control, home cleaning and air care brands such as Biolit insecticides, Diffusil repellents, Lynn household cleaners and Citresin air fresheners.
"Adding HomeBrands to SC Johnson's existing portfolio will complement our leading brands like Raid, OFF! and Glade," said Johnson. "These brands will enable us to expand our presence in the Czech Republic."
In April, SC Johnson acquired the ACI insecticides, Angelic air care and Vanish toilet cleaner brands from ACI Limited in Bangladesh.
"These brands will help us strengthen our footprint in the growing Bangladesh market," said SCJ's CEO.
5. JOHNSON & JOHNSON
NEW BRUNSWICK, NJ
Sales: $7.6 billion for baby, oral and skin care products. Corporate sales: $74.3 billion.
Key Personnel: Alex Gorsky, chairman and chief executive officer; Dominic J. Caruso, chief financial officer; Jorge Mesquita, worldwide chairman, consumer.
Major Products: Listerine oral care, Johnson's Baby personal care, Neutrogena and Aveeno skin care products.
New Products: Listerine Mouthwash with LAE, Johnson's Baby Soft & Shiny Shampoo, Aveeno Daily Moisturizing Sheer Hydration lotion, Neutrogena Healthy Skin Boosters Daily Scrub and Facial Cleanser, Neutrogena Naturals Purifying Makeup Remover Cleansing Towelettes and Purifying Cream Cleanser, Neutrogena Ultra Gentle Hydrating Cleanser.
Comments: J&J's primary businesses are devoted to medical devices and pharmaceuticals, but the company has an extremely healthy personal care business unit, too. Skin care sales rose 1.5% to $3.8 billion, due to strong sales of Aveeno, Neutrogena and Dabao. Baby care sales fell 2.4% to $2.2 billion, due to Forex woes that more than offset sales gains in Latin America and Asia. Oral care sales increased 1.5% to $1.6 billion, driven by increased sales of Listerine products, as well as new product launches.
J&J's consumer product business has a new, high profile leader, now that Jorge Mesquita is the worldwide chairman of the unit. Mesquita, who joined J&J in December, began his career with P&G in 1984 and became group president for new business creation and innovation in 2012. As group president for global fabric care from 2007-11, he oversaw the introduction of Tide Pods.
While CEO Alan Gorsky boasts that J&J has 10 new pharma products with $1 billion potential in its pipeline, the firm has done an excellent job rolling out novel formulas in the HABA space. For example, new Listerine Mouthwash with LAE technology (Ethyl Lauroyl Arginate HC1), coats the teeth with a protective shield to stop bacteria from attaching. It restores gums to a healthier state in as little as two weeks and cuts gingival bleeding by more than 50% in just four weeks. Last year, the product debuted in the EMEA (UK, Ireland, Norway, Finland, Czech, Hungary, Slovakia, Poland and Spain) region and a global rollout is underway.
Last year, J&J rolled out Soft & Shiny, a three-step hair care regimen for tight curls and dry hair. The line is available in South Africa, Kenya, Angola and Zambia with Nigeria, Tanzania and Ghana are being added this year. According to J&J, the launch brought new users into the hair care category and produced a 31% category growth.
6. AVON PRODUCTS
NEW YORK, NY
Sales: $6.5 billion for cosmetics, fragrances and toiletries. Corporate sales: $8.8 billion.
Key Personnel: Sheri McCoy, chief executive officer; James S. Scully, executive vice president and chief financial officer; Fernando J. Acosta, senior vice president and president, North Latin America and Andean Cluster and head of global brand marketing; Jeff Benjamin, senior vice president, general counsel and chief ethics and compliance officer; Cheryl Heinonen, senior vice president, corporate relations and chief communications officer; John Higson, senior vice president and president, Europe, Middle East & Africa and head of global field operations; David Legher, senior vice president and president, Avon Brazil and South Market group; Pablo Munoz, senior vice president and president, North America; Susan Ormiston, senior vice president, human resources and chief human resources officer; Nilish Patel, senior vice president and president, Asia Pacific; David Powell, senior vice president, business transformation and global supply chain; Brian Salsberg, senior vice president, global strategy.
Major Products: Color--Avon Makeup Collection; Avon Naturals and FootWorks; Skin Care--Anew, Anew Clinical, Anew Genies, Clearskin Professional and Avon Solutions; Fragrances-Outspoken and Outspoken Intense by Fergie, Derek Jeter Driven and Derek Jeter Black, Herve Leger Homme, Step into Sexy, Scentini Fragrance Collection, Rare Diamonds, Eternal Magic, Far Away.
New Products: Color--Ultra Color Indulgence lipstick, Super Extend Winged Out mascara; Fragrance--Outspoken Fresh.
Comments: It's been another tumultuous year, but after all the headlines, false bids and SEC-implemented penalties, one of the world's biggest names in direct selling is still, well, selling--just not as much as it has in years past. Corporate sales fell 12% in 2014, though constant revenue fell just 1%. Beauty results were a bit better, but just a bit; sales fell 12% and constant revenue was flat. More specifically, skin care and fragrance sales dropped 11% to $2.6 billion and $2.1 billion, respectively; while color cosmetic sales fell 13% to $1.5 billion.
By region, sales fell in North America and to a lesser extent in Asia; these declines were partially offset by growth in Latin America and Europe, Middle East & Africa.
Avon's North American division's sales fell 17% last year, and at $1.2 billion are just half of what they were in 2007. Avon blamed a decline in active representatives in North America, while gains in Latin America were the result, in part, of inflationary pricing in Venezuela. Elsewhere, growth in South Africa and the UK lifted results in Europe, Middle East and Africa. Revenues fell in Asia, despite gains in the Philippines. Overall, more than 85% of Avon's revenues come from outside the US, which is why many observers have urged company executives to exit the US in favor of faster growing emerging markets that may be better served by the direct sales model.
CEO Sheri McCoy admitted times are tough at Avon, but she assured investors that the company's top 12 markets are stabilized and well positioned to continue to progress toward sustainable, profitable growth. But in order to achieve that, Avon has to solve the tricky issue of keeping and growing its active representative base while improving the online experience for consumers--without alienating representatives; sort of like a dog chasing its tail, it just goes round and round. One good outcome from 2014 is that Avon finally put its legal woes to rest. The company agreed to pay $135 million in fines related to a bribery scandal in China, but only after spending $300 million in legal fees.
The new year didn't start off with good news. For the first quarter of 2015, corporate sales fell 18% to $1.7 billion--but the company was quick to note that at constant exchange rates, revenue actually rose 1%. Beauty sales declined 17% to just under $1.3 billion, as all three units reported declines. Skin care sales fell 17% to $532 million; fragrance sales dropped 18% to $423 million and color cosmetics sales fell 16% to $336 million. Sales in Latin America fell 22% to $836 million; sales in Europe, Middle East and Africa fell 16% to $550 million; North American sales fell 18% to $242 million; and sales in Asia-Pacific fell 1% to $164 million.
DING-DONG, THE FEDS COME CALLING
* Declining sales, a dwindling sales base, fines ... it couldn't get any worse for Avon, right? Wrong. Avon's world turned even wackier in May when an $8.2 billion takeover bid turned out to be a hoax. At press time, Securities and Exchange Commission (SEC) investigators were still searching for Nedko Nedev, the 37-year-old Bulgarian who is said to be behind the bogus takeover offer for Avon.
Regulators traced Nedev to an apartment in Sofia, but unfortunately, the Feds found out what Avon executives learned long ago-you can knock all you want, but it doesn't help if nobody's home to answer the door.
ST. PAUL, MN
Sales: $6.2 billion for industrial and institutional cleaning products. Corporate sales: $14.2 billion.
Key Personnel: Douglas M. Baker Jr., chairman and chief executive officer; Timothy W. Handley, president and chief operating officer; Martha Goldberg Aronson, executive vice president and president, global healthcare; Darrell Brown, executive vice president and president, Europe; Michael A. Hickey, executive vice president and president, global institutional; Roberto D. Mendez, executive vice president and president, global services and specialty; Timothy P. Mulhere, executive vice president and president, international regions; Vishal Sharma, senior vice president, Middle East and Africa; Sean Toohey, executive vice president, Asia Pacific; Andreas Weilinghoff, executive vice president, global textile care; James H. White, executive vice president, Latin America; Jill Wyant, executive vice president and president, global food and beverage; Dr. Larry Berger, executive vice president and chief technology officer.
Major Products: Cleaning and sanitizing products and services for the industrial and institutional markets.
New Products: SaniSave No Rinse Cleaner-Sanitizer, Syncra Hand Hygiene System.
Comments: Corporate sales rose 8% last year, primarily the result of the Champion acquisition. I&I sales didn't have that luxury and were essentially flat. The institutional business reported a sales gain of 4% last year to more than $4.3 billion. The business derived 67% of sales from traditional institutional markets, well ahead of specialty (19%) and healthcare (14%). By region, North America accounted for 65% of sales, followed by Europe, Middle East and Africa (23%), Asia Pacific (8%) and Latin America (4%).
For the first quarter, Ecolab's sales fell 1% to $3.2 billion, but global institutional sales increase 6% to about $1 billion, led by strong growth in Latin America and MEA, with good gains in Asia Pacific and North America, and a modest increase in Europe.
NEW YORK, NY
Sales: $4.5 billion, for the year ended June 30, 2014.
Key Personnel: Bart Becht, chairman and interim chief executive officer; Patrice de Talhouet, executive vice president and chief financial officer; Mario Reis, executive vice president, supply chain; Jean Mortier, president, global markets; Ralph Macchio, senior vice president, global R&D and chief scientific officer.
Major Products: Fragrances, skin care, color cosmetics. Brands include Adidas, Calvin Klein, Chloe, Davidoff, Marc Jacobs, OPI, Philosophy, Playboy, Rimmel and Sally Hansen.
New Products: Fragrances--Katy Perry Killer Queen, Ultrasense White by Jil Sander, Marc Jacobs Mod Noir, Philosophy Live Joyously, Reveal Calvin Klein, Daisy Marc Jacobs Sorbet, Roberto Cavali Oud al Qasr, Jeremy Scott for Adidas, Bottega Veneta pour home Extreme, Daisy Dream, Vespa for Her and for Him; Color Cosmetics--Sally Hansen Miracle Gel Top Coat and Insta-Dri nail colors, OPI Aloha Hawaii Collection, Bourjois color cosmetics (acquisition); Skin Care-Philosophy Renewed Hope in a Jar. To be launched: Marc Jacobs Decadence fragrance (October).
Comments: As this issue went to press, the industry was waiting for the official word that Coty was the big winner in the Procter & Gamble Sell-Off Sweepstakes. Although neither party would confirm it at press time, Coty reportedly agreed to pay $12 billion for Max Factor, Cover Girl and Wella.
There was other news coming from CotyA corporate office as this issue went to press; Elio Leoni Sceti, who had been ready to take over as CEO, decided to not take on the role he was scheduled to start in July. Sceti was hired in April to replace Michele Scannavini who resigned in September for personal reasons.
Bart Becht--who is now interim CEO as well as chairman--has been steering Coty through an efficiency program in an effort to improve the bottom line. But these things take time. Through nine months March 31, 2015, sales fell 4% to $3.3 billion. But Becht seems undeterred, noting that Q3 was just the second quarter of Cot/s new strategy.
"We have made excellent progress in driving profit growth behind efficiency programs, as shown by the 24% growth in Q3 adjusted operating profits," Becht enthused. "As our success in this area is very good, we will be looking to increase the $200 million target for our Global Efficiency Plan."
In fiscal 2014, sales fell 2% to $4.5 billion. Unit volume fell 3%, but was partially offset by positive price and mix. At the end of the fiscal year, Coty eliminated the TJoy brand and the reorganized its mass business in China. New launches represented 15% of net revenue during the year. The contribution from new launches was partially offset by an approximate 16% decline in net revenues from existing products that are later in their life cycles.
Coty calls itself the No. 2 player in the global fragrance market and fragrances accounted for 55% of sales, followed by color cosmetics (30%) and skin care (15%).
In fiscal 2014, Coty manufactured 75% of its fragrances, with Europe, Middle East and Africa accounting for 54% of sales, followed by the Americas (30%) and Asia Pacific (16%). Top fragrance brands by percentage of net revenues are Calvin Klein, Marc Jacobs, Davidoff, Playboy and Chloe.
Coty says it is the No. 2 player in the global nail care segment and "emerging leader" in color cosmetics, ranking No. 5 globally and No. 3 in the North American and European mass market. Its top color cosmetics brands are Rimmel, Sally Hansen and OPI.
On April 1, Coty closed the Bourjois acquisition, noting that the firm's strength in key European color cosmetics markets is complementary to Cot/s existing color portfolio.
Skin and body care sales, where Coty has three main brands (Adidas, Lancaster and Philosophy), were essentially flat.
By region, Europe, the Middle East and Africa accounted for 50% of sales last year, followed by the Americas (38%) and Asia Pacific (12%). Sales in the Americas fell 11% due to a decline in sales of Sally Hansen, OPI and fragrances, particularly older fragrances like Playboy, Chloe, Calvin Klein and Davidoff.
EMEA results were better, as sales increased 5%, driven by gains in the UK, Eastern Europe and the Middle East. During the year, Coty formed a joint venture in the UAE and established a South African subsidiary, which is part of the company plan to expand into emerging markets. Better UK sales reflected incremental net revenues from OPI resulting from the acquisition of a UK distributor and from Katy Perry Killer Queen as well as growth from David Beckham and Rimmel.
Sales in Asia Pacific fell less than 1%, but Coty noted that excluding the impact of reorganization of its China business and foreign currency exchange translations, net revenues in increased 7%.
9. MARY KAY
Sales: $4 billion.
Key Personnel: Richard R. Rogers, executive chairman; David Holl, president and chief executive officer; Sheryl Adkins-Green, chief marketing officer; Thomas S. Cho, chief supply chain officer; KK Chua, president, Asia Pacific; Tara Eustace, president, Europe; Deborah Gibbins, chief financial officer; Melina Foster Sellers, chief people officer; Kregg Jodie, chief information officer; Darrell Overcash, president, North America; Jose Smeke, president, Latin America; Terry Jacks, vice president, research and development.
Major Products: Skin care, color cosmetics, body care, sun care and fine fragrances marketed under the Mary Kay and TimeWise brand names.
New Products: Mineral Cheek Color Duo; Beauty That Counts lipgloss; Mary Kay at Play Lip & Cheek stick, Baked Eye Trio, Jelly lip gloss.
Comments: While its direct sales competitors stumble, 2014 marked another year of double-digit gains for privately-held Mary Kay. The company boasts 3.5 million representatives around the world, at a time when many direct sales companies are struggling to maintain their sales base. How? By developing product lines such as Mary Kay at Play that appeal to GenY consumers, and by offering novel anti-aging formulas to Baby Boomers via the Time Wise collection.
Earlier this year, the company filed suit against Google Ventures-backed RetailMeNot, a user-generated coupon site that dominates search rankings for coupon searches. Mary Kay went to court noting that it doesn't sell directly to the public, nor does it offer deals or coupons. Mary Kay lawyers maintain that RetailMeNot's presentation of Mary Kay coupons misleads consumers and harms the brand and its relationship with its independent consultants. Last year, RetailMeNot claimed more than 450 million consumer visits to its sites.
In May, Mary Kay entered its newest market, Colombia and its products are now available in more than 35 countries, including Mexico, Brazil and Argentina.
Last month, The Direct Selling Association (DSA) inducted Michael Lunceford, senior VP-public affairs for Mary Kay Inc., into its Hall of Fame. Lunceford was honored for his substantial contributions to the DSA, the Direct Selling Education Foundation and the direct selling industry over a more than 30-year career. Lunceford is the fourth executive from Mary Kay to be inducted into the DSA Hall of Fame. East inductees include Mary Kay Inc. founder Mary Kay Ash in 1976, Monty Barber in 1988 and former Mary Kay vice chairman Richard C. Bartlett in 1994.
Through the Mary Kay Foundation, the company has been a big supporter of ending women's cancers and domestic violence. Trough the years, the Foundation has awarded more than $17 million to cancer researchers and $37 million to shelters and programs.
Also last month, the company retained CBRE, the world's largest commercial real estate services and investment firm, to explore future options for the company's global manufacturing and research and development (R&D) facility located in Dallas. The analysis by CBRE will provide insight and analysis for Mary Kay Inc. as the company considers updating its existing operation or building a new facility to house both manufacturing and R&D.
"Approximately 75% of our business is overseas today and yet more than 50% of Mary Kay products produced at the Dallas manufacturing facility are exported to our international markets," said David Holl, president and chief executive officer for Mary Kay Inc. "As we approach the status of a top five beauty brand globally, it's essential that we continue to have state-of-the-art manufacturing and research and development facilities to produce the highest quality skin care and color cosmetics for our more than 3.5 million independent sales force members worldwide."
Mary Kay's current global manufacturing facility opened on Regal Row in Dallas in 1969. Today, the 420,000-square-foot facility produces up to 1.1 million units of made-in-America products per day, of which 57% are exported to Mary Kay Inc.'s international markets. As CBRE completes its analysis, construction sites for a possible new facility will be considered in the Dallas/Fort Worth area.
"Whether we update our current Regal Row facility or explore options to build a new one, our investment could range from $80 to $100 million," said Holl. "As we have been for more than 50 years, Mary Kay is committed to ensuring that our products consistently meet or exceed consumer expectations. The analysis from CBRE will help point us in the right direction as we continue to provide best-in-the-industry products to our Mary Kay brand lovers worldwide."
Following the completion of CBRE's analysis, Mary Kay Inc. is expected to make a decision regarding the manufacturing and research and development facility by the end of 2015.
Mary Kay Inc. employs approximately 600 manufacturing and R&D employees in Dallas.
THE TOP 50
ADA, MI * 616.787.6000 * WWW.AMWAY.COM
Sales: $3.5 billion for beauty and home care products. Corporate sales: $10.8 billion.
Key Personnel: Steve Van Andel, chairman; Doug DeVos, president, Michael Cazer, chief operating officer; Su Jung Bae, chief marketing officer; Samir Behl, regional president, Europe, Africa and India; Mark Beiderwieden, regional president, Asia Pacific; George D. Calvert, supply chain and R&D officer; Gan Chee Eng, regional president, Greater China; Candace Matthews, regional president, Americas; John Parker, chief sales officer.
Major Products: Artistry, Body Blends, Clear. now, Personal Accents and Tolsom skin care and cosmetics; Body Series personal care; Glister oral care; Legacy of Clean home care.
New Products: Artistry--Hydra-V skin care moisturizer, Intensive Skincare Advanced Skin Refinisher, Rose Diamond 3D Face Powder, Luxury Creme, Ideal Radiance Illuminating CC Cream; Artistry Men--Post Shave toner, Facial Moisturizer, Smooth Shave Foam, Skincare System, Gentle Face Wash, Serum Concentrate; Satinique Revitalizing Mask
Comments: Amway is the world's No. 1 direct selling company, according to the Direct Sales Association. These days, Amway derives 43% of its sales from nutrition, 19% from durables and 5% from other categories that are outside Happi's focus. Beauty products accounted for 25% of sales last year and home care products represented 8%. The company's top 10 markets in 2014 were China, South Korea, Japan, US, Thailand, Russia, Taiwan, India, Malaysia and Ukraine. The company notes that 63% of all households in Beijing owns at least one Amway product. In comparison, 58% of Korean and 22% of US households can make the same claim.
In 2014, Amwa/s corporate sales fell 8%, but that hasn't slowed the company's major expansion plans. The company is building four facilities in the US (primarily to support its Nutrilite nutrition business), a new manufacturing facility in India, a second manufacturing site in Vietnam and an R&D center in China. It all adds up to a $332 million investment in new facilities, with five coming on-stream this year.
Amway is ramping up its sustainability efforts, too. The company maintains that Nutrilite is the only global vitamin and mineral brand to grow, harvest and process plants on its own organic farms. Amway also uses these botanicals in its Artistry beauty and personal care products. Overall, the company owns and operates more than 6,400 acres of certified organic farmland in the US, Mexico and Brazil.
Other notable sustainability efforts include the doubling of wind power utilized since 2007 and, since 2008, Amway reduced greenhouse gas emissions and water usage by 25% and 10%, respectively.
11. L BRANDS
COLUMBUS, OH * 614.415.700 * WWW.LB.COM
Sales: $3.3 billion for personal care and cosmetics. Corporate sales: $11.4 billion for the year ended Feb. 1, 2015.
Key Personnel: Leslie H. Wexner, chairman and chief executive officer; Charles C. McGuigan, chief operating officer; Sharen J. Turney, president and chief executive officer, Victoria's Secret; Nicholas Coe, president and chief executive officer, Bath & Body Works; Stuart B. Burgdoerfer, executive vice president and chief financial officer.
Major Products: Bath & BodyWorks home fragrances and personal care; Victoria's Secret fine fragrances.
New Products: Tahiti Island Dream shower gels and bar soaps, Victoria's Secret Heavenly Summer eau de parfum, VS Fantasies Love Addict fragrance mist.
Comments: Corporate sales rose 6% last year, as did sales for Bath & BodyWorks (BBW), which calls itself the largest specialty retail beauty brand in the world. L Brands maintains that BBW holds the No. 1 spot in the US for several categories, including body lotion brand, shower gel brand, fine fragrance mist, fragrance collection (Japanese Cherry Blossom), home fragrance diffuser (Wallflower), liquid hand soap brand, hand sanitizer brand, spa collection and aromatherapy collection. To maintain momentum, more than 85 remodeling jobs in the works for Bath & BodyWorks, including White Bam. In 2014, BBW added 30 franchise stores including new locations in Asia and Latin America. This year, L Brands expects to add 50 new stores.
It was a different story for the Victoria Secret CFT business. Victoria's Secret beauty sales declined due to the elimination of Victoria's Secret makeup. Despite de-emphasizing cosmetics, the company insists three Victoria's Secret fragrances--Bombshell, Heavenly and Tease--rank among the top 10 fragrances in the US. Last year, the company added 101 Victoria's Secret Beauty & Accessories stores, bringing the total to 299 at the end of fiscal 2014. This year, the plan calls for adding as many as 125 new VSBA stores, including nine in China alone.
Its heritage is bricks and mortar, but L Brands does nearly $2 billion in online sales. Bath & BodyWorks Direct grew 18% last year and has a five year CAGR of 20%. During the year L Brands continued to expand BBW and Victoria's Secret Beauty with partners around the world.
For the first quarter ended May 2, 2015, corporate sales rose 5% to $2.5 billion. BBW's sales rose 4% during the period to $613 million, according to L Brands.
Sales: $2.6 billion for household, personal care and industrial and institutional products. Corporate sales: $5.6 billion, for the year ended June 30, 2014.
Key Personnel: Donald R. Knauss, executive chairman; Benno Dorer, chief executive officer; James Foster, executive vice president, product supply, enterprise performance and IT; Jacqueline P. Kane executive vice president, human resources and corporate affairs; Stephen M. Robb, executive vice president, chief financial officer; Frank A. Tataseo, executive vice president, new business development; Nick Vlahos, executive vice president and chief operating officer, household, lifestyle and core global functions; Dawn Willoughby, executive vice president and chief operating officer, cleaning, international and professional products; Michael Costello, senior vice president, international division; Denise A. Garner, senior vice president, chief innovation officer; Matt Laszlo, senior vice president, chief customer officer; Eric Reynolds, senior vice president, chief marketing officer.
Major Products: Household--Clorox, Formula 409, Liquid-Plumr, Pine Sol and Green Works cleaning products; Personal care--Burt's Bees.
New Products: Clorox Pump'N Clean Kitchen & Dish Cleaner and Clorox Pump'N Clean Bathroom & Multi-Purpose; Clorox ScrubSingles bathroom pads; Clorox Triple Action Dust Wipes; Clorox Thick Cling Cleaning Bleach; Clorox 2 Oxi Max Stain and Odor Remover; Clorox Oxi Max Radiant White laundry stain remover; Clorox 2 Darks & Denim Color Protector & Stain Remover.
Comments: Corporate sales were relatively flat last year. Volume was flat too, as higher shipments of cleaning and liquid bleach (among other products) was offset by lower shipments due to heightened competitive activity in the disinfecting wipes category, including the distribution loss of Clorox disinfecting wipes at a major club customer.
More specifically, cleaning product sales were flat at $1.77 billion. A slight (1%) decline in volume in the cleaning segment were partially offset by higher shipments of cleaning and healthcare products in the professional products business, and higher shipments of Clorox liquid bleach driven by product innovation.
Clorox's lifestyle business segment got a lift from new lip and face care products from Burt's Bees (which accounts for 4% of corporate sales).
International sales fell 4% and volume declined 2%.
In fiscal year 2014, Clorox introduced its 2020 Strategy, a strategic growth plan that provides a roadmap for the company to reach the highest value opportunities for long-term, profitable growth and strong stockholder returns through the year 2020. The long-term financial goals reflected in the company's 2020 Strategy include annual net sales growth of 3-5%, market share growth, annual EBIT margin growth between 25-50 basis points and annual free cash flow as a percentage of net sales of about 10-12%, which Clorox anticipates using to invest in the business, maintain debt leverage within its target range and return excess cash to stockholders. That four-point Clorox's 2020 Strategy is clear:
* Engage employees;
* Innovate every day;
* Expand our brands; and
* Fund growth.
At the same time, the company says it will continue to implement its "3D" demand-creation model of "Desire, Decide and Delight" capabilities to ensure more targeted messaging for consumers that reinforces the value proposition of its brands, including marketing communications that drive consumer desire, in-store promotions that compel purchase decisions at the point of decide, and superior products that delight consumers.
It's still early in the process, but Clorox has a ways to go to accomplish all of its goals. For the nine months ended March 31, 2015, corporate sales fell 2% to nearly $4.1 billion. However, cleaning product volume and sales rose 1% during the period to nearly $1.36 billion, helped along by higher shipments of Clorox toilet bowl cleaner. The professional products division also grew volume, which was driven, in part, by Ebola and Enterovirus concerns. The increase was partially offset by lower shipments of Clorox liquid bleach in laundry, due mainly to category softness and continuing competitive activity.
The company reported higher shipments of Burt's Bees natural personal care products, due to innovation and distribution gain in lip and face care products.
13. CHURCH & DWIGHT
EWING, NJ * 609.683.5900 * WWW.CHURCHDWIGHT.COM
Sales: $2.4 billion for household, personal care and oral care products. Corporate sales: $3.2 billion.
Key Personnel: Jim Craigie, chairman and chief executive officer; Jaquelin J. Brova, executive vice president, global human resources; Mark G. Conish, executive vice president, global operations; Steven P. Cugine, executive vice president, global new products innovation; Patrick de Maynadier, executive vice president, general counsel and secretary; Matthew T. Farrell, executive vice president, chief financial officer and chief marketing officer; Bruce F. Fleming, executive vice president and chief marketing officer; Paul Siracusa, Ph.D., executive vice president, global research and development; Louis H. Tursi Jr., executive vice president, North America sales.
Major Products: Arm & Hammer and Xtra laundry detergent; OxiClean, Scrub Free, Kaboom and Orange Glo household cleaners; Nair depilatories; Oragel oral analgesics; Closeup and Aim toothpaste.
New Products: Arm & Hammer Clean Scentsations laundry detergent, Arm & Hammer Truly Radiant Rejuvenating toothpaste and manual toothbrush, Fresh Sensations carpet odor eliminator, Arm & Hammer Plus Oxiclean Ultra Power liquid detergent, Arm & Hammer Plus Oxiclean Odor Blaster liquid laundry detergent, Arm & Hammer Clean Scentsations scent booster, Oxiclean White Revive laundry detergent and liquid additive, Oxiclean Versatile Stain Remover Plus Odor Blasters and Oxiclean Washing Machine Cleaner, Nair Moroccan Argan Oil, Orajel alcohol free mouth sore rinse.
Comments: We are nearing the end of an era at Church & Dwight now that Jim Craigie announced that he will step down as CEO on Dec. 31, 2015. But he's not going away completely; Craigie will continue serving as non-executive chairman and a member of the board and, he proudly notes, 90% of his personal wealth is tied to Church & Dwight stock. Craigie's replacement will be Matthew T. Farrell, the current chief operating officer and chief financial officer, who will also be elected to the company's board.
There may be a new person headed to the corner office, but the attitude will remain the same, with a focus on total shareholder return that calls for getting the most out Church & Dwight assets, its brands and its employees. During a Goldman Sachs investor event, Farrell noted that Church & Dwight's corporate culture is its secret sauce, pointing out that Church & Dwight has the highest sales per employee of any CPG company.
"We have high-aptitude people with a blue-collar approach to work," Farrell explained. "If your fever isn't 103[degrees]F, you come to work."
By keeping a close eye on costs, manufacturing in-house whenever possible and keeping key people in the same positions, Church & Dwight has built a $2 billion war chest to make acquisitions--but the focus remains on smaller players with big potential. For example, in 2011 Church & Dwight acquired Batiste dry shampoo. Now, it's the No. 1 shampoo in the UK and competitors are scrambling to add their own, according to Craigie.
14. SEALED AIR DIVERSEY CARE
ELMWOOD PARK, NJ * 201.791.7600 * WWW.SEALEDAIR.COM
Sales: $2.1 billion for I&I products. Corporate sales: $7.7 billion.
Key Personnel: Jerome Peribere, president and chief executive officer; Dr. Ilham Kadri, president, Diversey Care; Carol Lowe, senior vice president and chief financial officer; Dr. Robert Tatterson, vice president, R&D and chief technology officer; Emile Chammas, senior vice president and chief supply chain officer;
Major Products: Cleaning and hygiene solutions and services, sold under the Diversey and Taski names, that are used in commercial, institutional and industrial facilities.
Comments: Corporate sales and Diversey Care's sales each rose less than 1% last year. Within the Diversey Care business, the modest gains were attributed to higher unit volumes in Asia, Middle East, Africa and Turkey (AMAT), North America and Latin America. These gains were partially offset by lower sales in Europe.
The company produces Diversey Care products in 18 manufacturing facilities; four in North America, five in Europe, three in Latin America, five in AMAT and one in the Japan, Australia, New Zealand region 0ANZ).
In February, Diversey Care inked a five-year deal with Carlson Rezidor Hotel Group, one of the world's largest and fastest growing hotel companies. It represents a significant expansion from the previous four-year Europe, Middle East and Africa (EMEA) contract and includes Diversey Care's full suite of innovate products and services designed to meet Carlson Rezidoris commitment to sustainability and high level of customer satisfaction, according to the company. The Carlson Rezidor Hotel Group portfolio includes more than 1,300 hotels in 105 countries and territories.
For the first quarter of 2015, corporate sales fell 4.4% to $1.7 billion. Diversey Care's sales fell 7.4% due to unfavorable exchange rates. Volume was flat and price/mix contributed 1.7%. Positive volume trends in North America and AMAT were offset by a slight decline in Europe and mid-single digit declines in Latin America, according to the company.
NEW YORK, NY
Sales: $1.9 billion.
Key Personnel: Ronald O. Perelman, chairman; David L. Kennedy, vice chairman; Lorenzo Delpani, president and chief executive officer; Javier Asarta, executive vice president, chief marketing officer, Revlon Pro Brands; Xavier Garijo, executive vice president, chief supply chain officer; Mitra Hormozi, executive vice president, general counsel and chief compliance officer; Benjamin Karsch, executive vice president, chief marketing officer, Revlon Consumer Products; Sennen Pamich, executive vice president, global president, Revlon Professional Division; Mark Pawlak, senior vice president, human resources, employment and administration; Gianni Pieraccioni, executive vice president, global president, Revlon Consumer Products; Roberto Simon, executive vice president, chief financial officer.
Major Products: Consumer--Revlon, Almay, SinfulColors and Pure Ice color cosmetics; Revlon ColorSilk hair color, Revlon beauty tools, Charlie fragrances, Mitchum antiperspirant and deodorants, and Ultima II and Gatineau skin care. Professional--Revlon Professional, Intercosmo, Orofluido, American Crew and UniqOne hair care; CND, CND Shellac and CND Vinylux nail polishes.
New Products: Revlon--Ultra HD lipstick, Photoready Eye Art Lid+Line+Lash, Ultra HD lip lacquer, Super Lustrous lip-gloss, Nail enamel, Transforming Effects; Photoready--Kajal matte eye pencil, Instafix makeup, Prime + Antishine balm; Colorstay--Overtime lip color, 16-hour eye shadow, Gel Envy nail enamel; Hair Color--Color Effects Platinum, Ombre, Highlights and Frost & Glow.
Comments: Revlon brass just love making headlines in New York City tabloids. When chairman Ronald Perelman isn't marrying and divorcing starlets, suing his ex-father-in-law's Hudson News empire to ensure that his little girl gets her billions, or taking a former friend to court over a multimillion-dollar art deal gone bad, his chief executive is getting tangled up in a he said/he said argument with a disgruntled ex-employee.
Revlon CEO Lorenzo Delpani jumped on Revlon's "there's no such thing as bad publicity" bandwagon late last year, when former chief scientific officer Alan Meyers sued his old company, claiming he was fired after raising safety concerns that Delpani did not want to hear and was discriminated against for being Jewish. In his suit, Meyers claimed the Italian-born Delpani was hostile to him, frequently yelling at him in front of other executives and making anti-Semitic and anti-American comments. Meyers said many of the safety issues he complained about stemmed from Revlon's $660 million acquisition of Spanish beauty care company Colomer Group in 2013.
In March, Revlon reached a settlement with Meyers. Terms of the deal were not disclosed.
Despite all the drama, Revlon's sales rose nearly 30% last year to more than $1.9 billion. The company even reported a profit of nearly $41 million, after a loss of $5.8 million in 2013. The sales gain could be attributed to the 2013 acquisition of Colomer, which added $400 million. Within the consumer segment, Revlon color cosmetics, Revlon ColorSilk hair color and Mitchum products all posted sales increases, which were partially offset by lower net sales of fragrances, Almay color cosmetics and SinfulColors and Pure Ice color cosmetics. Professional product sales were up on the strength of American Crew, Revlon Products, CND nail products and Creme of Nature products.
For the first quarter of 2015, sales fell 13% to $438 million, which the company blamed on a strong US dollar, since sales were essentially flat. Consumer sales fell 4.5% to $324 million on higher sales of Revlon color cosmetics and Mitchum products, partially offset by lower sales of Almay. Professional segment sales declined 8.5% to $114 million, due to lower sales of CND nail products, which were partially offset by higher sales of American Crew and Revlon Professional products. By region, US sales fell 2.3% to $244 million and international sales dropped 11.6% to $194 million.
16. SUN PRODUCTS
WILTON, CT * 203.254.6700 * WWW.SUNPRODUCTSCORP.COM
Sales: $1.6 billion.
Key Personnel: Jeffrey P. Ansell, chairman, president and chief executive officer; Scott Almquist, chief customer officer; Gretchen Crist, chief human resources officer; Brian J. Del Buono, chief legal officer and secretary; Al Drewes, executive vice president, chief financial officer and supply chain; Carlos Linares, chief technology officer; Jeffrey Strong, executive vice president, retailer brands and Canada; Ed Vlacich, executive vice president, national brands.
Major Products: Wisk, All, Surf, Sunlight, Cuddlesoft and Snuggle laundry care.
New Products: All Radiant, All Free Clear Oxi, All Oxi laundry boost, All Free Clear fabric sheets, Snuggle Exhilarations, All Free Clear ultra fabric softener for sensitive skin, All Mighty Fhcs, All Small & Mighty Superconcentrated, Snuggle Scent Booster, Wisk Extreme.
Comments: Sales have stalled, but new products continue to roll out of Sun Products. The newest, All Radiant liquid detergent, is designed to restore whites and protect colors over time for 30% less cost than the leading brand, according to Sun. The formula contains Sun's patented Fiber Shield Technology.
"All Radiant was developed through a deep understanding of the needs of busy families," said Lora Van Velsor, VP-marketing for All. "We use a national 365-day consumer survey to uncover needs and desires not currently being met by detergents in the category. One of the universal challenges we uncovered was extending the life of clothes, especially for moms with multiple kids in the household. All Radiant is a perfect solution, it not only helps clothes look newer longer but at a great value vs. those more expensive detergents."
Also new under the All banner are All Free Clear Oxi Mighty Pacs, which is billed as a convenient, hypoallergenic, advanced cleaning solution for those with sensitive skin, as well as All Oxi laundry booster for sensitive skin, which provides an easy stain-fighting boost in the laundry without irritating skin because it is 100% free of dyes, perfumes and chlorine.
In marketing news, Sun Products' All laundry detergent is teaming up with the Peanuts gang on a multi-year, integrated campaign that kicks into high gear in September with the release of a new Peanuts movie.
Why Snoopy and the rest of the crew? The Peanuts crew has 96% brand awareness with moms, according to Sun Products.
"All skews more towards households with kids than any other laundry brand, so our connection with Peanuts is a natural fit," said Lora Van Velsor, vice president marketing for all.
17. NU SKIN ENTERPRISES
PROVO, UT * 801.345.1000 * WWW.NUSKIN.COM
Sales: $1.5 billion. Corporate sales: $2.5 billion.
Key Personnel: Truman Hunt, president and chief executive officer; Joseph Y. Chang, PhD, chief scientific officer and executive vice president, product development; Daniel R. Chard, president, global sales and operations; Scott E. Schwerdt, president Nu Skin Americas; Ritch N. Wood, chief financial officer; D. Matthew Domy, vice president, general counsel and secretary.
Major Products: AgeLOC and Epoch skin care products.
New Products: AgeLOC Me, AgeLOCYouth.
Comments: NuSkin marked its 30th anniversary last year, but there wasn't much to celebrate. Corporate sales fell 19% and personal care product sales dropped nearly 5%, as the result of Forex and troubles with China, the latter of which led to a dropoff in sales leaders (-39%) and active representatives (-10%). The good news is that Nu Skin's business in Mainland China stabilized in the second half, as the company revamped its business model to conform to local laws and regulations.
By region, Greater China accounted for 37% of sales, followed by North Asia (30%), Americas (13%), South Asia/Pacific (13%) and Europe, Middle East and Africa (7%). Overall, Nu Skin sells its products in 53 countries. Approximately 91% of 2014 revenues came from outside of the US, and Mainland China was Nu Skin's biggest revenue market, accounting for approximately 26% of the company's revenue. Sales in Mainland China fell 33% last year to $675 million, while sales in Hong Kong and Taiwan dropped 24% to $273 million. Overall, 2014 sales in Greater China declined 30% to $948 million. In North Asia, sales in Korea declined less than 1% to $467 million, but sales in Japan fell 22% to $315 million, which the company attributed to a weaker yen.
Elsewhere, sales in the Americas fell 11% to $329 million. Sales in the US and Canada decreased 12% to $272 million and Latin America revenues decreased 4% to $56 million. The company blamed Forex for an 18% decline that was partially offset. Still, sales leaders and actives in the region declined 10% and 4%, respectively Sales in EMEA fell 7% to $180 million. While Forex played a role in every region, Nu Skin noted that 2014 faced tough comps, as 2013 results were helped along by limited time offers on AgeLOC.
AgeLOC is the company's biggest brand, accounting for 28% of corporate sales and 46% of personal care sales.
A new year, however, was filled with many of the same old problems, as poor results in Asia continued to drag revenues. First quarter sales fell 19% to $671 million, and net income slid 33% to $36 million.
PALM DESERT, CA * 310.581.6250 * WWW.GUTHYRENKER.COM
Sales: $1.4 billion (estimated) for personal care products. Corporate sales: $1.5 billion.
Key Personnel: Bill Guthy and Greg Renker, founding principals and co-chairmen; Georg Richter, president and chief operating officer; Seth D. Radwell, president and chief revenue officer.
Major Products: Cosmetics and personal care brands including Proactiv+, Meaningful Beauty, Wen, Sheer Cover Studio, X Out, Principal Secret.
New Products: Wen Summer Coconut Lime Verbena cleansing conditioner, Six Thirteen Ultra Nourishing Body Treatment in Lemon Rosemary Vanilla Bean.
Comments: Privately-held Guthy-Renker is on the move, literally. Earlier this year, the company said it would leave Palm Desert within two years, consolidating three southern California sites, offices in Palm Desert, Santa Monica and Foothill Ranch, to a single Los Angeles office within the next two years.
In January, Brooke Shields became the newest celebrity to endorse Wen hair care products. And Wen can use the star power. A class action lawsuit was filed against Chaz Dean and Wen hair care products. Plaintiffs allege Wen cleansing conditioner causes hair loss.
In March, The Wall Street Journal reported that Rodan & Fields LLC was seeking a buyer. The direct sales and online skin care company could fetch $800 million, according to initial reports. Rodan & Fields created Proactiv, which is distributed by Guthy-Renker.
It's not all bad news at G-R. Last month, the Electronic Retailing Self-Regulation Program (ERSP) determined that Guthy-Renker could support performance claims for Cold Plasma Sub-D, a topical cream intended to sculpt and tighten the appearance of skin along the chin and jawline.
While ERSP did conclude that, based upon the collective materials in the case record, Guthy-Renker provided adequate support for its general performance claim that specified the specific benefits from using Cold Plasma Sub-D, ERSP determined that it would be material for consumers to know that the claim was based on a consumer usage study and, accordingly, this information should be disclosed conspicuously, in close proximity to the claim.
19. ELIZABETH ARDEN
MIRAMAR, FL * 954.364.6900 * WWW.ELIZABETHARDEN.COM
Sales: $1.1 billion, for the year ended June 30, 2014.
Key Personnel: E. Scott Beattie, chairman, president and chief executive officer; Joel B. Ronkin, executive vice president and general manager, North America; Eric Lauzat, executive vice president and general manager, international; Rod Little, executive vice president and chief financial officer; Pierre Pirard, executive vice president, product innovation and global supply chain; Oscar E. Marina, executive vice president, general counsel and secretary.
Major Products: Skin care, color cosmetics and fragrances sold under the Elizabeth Arden name, as well as celebrity, lifestyle and designer fragrances.
New Products: Skin care--Prevage Anti-Aging Wrinkle Smoother, Flawless Future Powered by Ceramide Night Cream; Color--Flawless Finish Perfectly Satin 24hr Makeup, Sun-Kissed Pearls color collection; Beautiful Color moisturizing lipstick; Fragrance--Green Tea Bamboo EDT.
Comments: Celebrity is fleeting and fading--especially in the rough and tumble world of cosmetics. With a stable of fragrances from the likes of Justin Bieber and Taylor Swift, Elizabeth Arden's sales fell again last year, dropping 13% as losses mounted.
As the situation grew from bad to worse, the company hired Goldman Sachs to explore a sale. When nothing turned up, private equity firm Rhone Capital took a 7.6% stake in Elizabeth Arden, with planned to raise its stake over time. To remedy the situation, more than a year ago, the company announced that it would exit low-return businesses and brands, unprofitable retail locations and fragrance licenses, and discontinue certain products. It also unveiled plans to reduce the size and cost of its overhead structure, and slash an unidentified number of jobs and shut its Puerto Rico affiliate. The cost-cutting measures, which Elizabeth Arden said it hopes will bolster long-term gross margins and profitability, are part of its broader turnaround plan that calls for $40 million and $50 million in annual savings.
So far, it's not working. For the nine months ended March 31, 2015, sales fell 18% to about $795 million. The company reported a net loss of $117 million, compared to a net profit of $9 million the previous year.
In May, Elizabeth Arden signed supermodel Karlina Caune as a spokesmodel. As the new global face of the Elizabeth Arden brand, Caune will serve as brand ambassador, and appear in the brand's advertising campaigns and marketing programs and at public relations events.
RYE, NY * 914.967.9400 * WWW.JARDEN.COM
Sales: $850 million (estimated) for candle and home fragrance products. Corporate sales: $8.2 billion.
Key Personnel: Martin E. Franklin, founder and executive chairman; Ian G.H. Ashken, co-founder, vice chairman and president; James E. Lillie, chief executive officer.
Major Products: Candles and home fragrance products marketed under the Yankee Candle brand name.
New Products: Small Jar Candles in Crisp Morning Air, Lush Berries and Sugar & Spice variants; Summer Fragrances: Cotton Candy, Salt Water Taffy, Beach Holiday, White Chocolate Apple, Wild Sea Grass; Y Collection (line expansion); Scentiments candles; Wax Melts--Brandy Pear Tart, Cranberry Twist, Crisp Morning Air, Lush Berries, Sugar & Spice, Vanilla Bourbon; Millefiori (acquisition).
Comments: Jarden jumped into Happi's The Top 50 last year following its $1.75 billion acquisition of Yankee Candle in 2013. The company makes a broad array of products from baby bottles to cookware, with well-known brand names such as Rawlings baseball gloves and Bicycle playing cards, but only its home fragrance business is relevant to Happi. Last year, the company accelerated Yankee's expansion in Western Europe via the acquisition of Millefiori, an Italian-based candle and fragrance company.
For the first quarter of 2015, corporate sales were flat, but the company reported a net loss of $55 million, compared to net income of nearly $4 million the previous year. Sales of branded consumables, the division in which Yankee plays, rose 4%.
ATLANTA, GA * 877.428.9937 * WWW.ZEPINC.COM
Sales: $696 million for the year ended August 31, 2014.
Key Personnel: John K. Morgan, chairman, president and chief executive officer; Mark R. Bachmann, executive vice president and chief financial officer; Robert P. Collins, senior vice president and chief administrative officer; Jeffrey L. Fleck, senior vice president and chief supply chain officer; Steven E. Nichols, senior vice president and chief commercial officer.
Major Products: Zep, Zep Commercial, Zep Professional, Zep Automotive, Enforcer, Misty, TimeMist, TimeWick, Country Vet, Original Bike Spirits, Blue Coral, Black Magic, Rain-X, Niagara National, FC Forward Chemicals, Rexodan, Mykal.
New Products: TimeMist Microtech fragrance system, Assure car wash system.
Comments: Zep's got enough zing to get the attention of private equity. In May, the company agreed to be acquired by New Mountain Capital, L.L.C. in a $692 million deal. At $20.05 a share, investors received a hefty 23% premium over its 90-day volume weighted average stock price for the period ended April 7, 2015.
"During the past year, we conducted a thorough review of strategic opportunities to enhance value for all stakeholders, and we are pleased to have reached this agreement, which we believe delivers immediate and substantial cash value to our stockholders," said John K. Morgan, chairman, president and chief executive officer of Zep Inc. "We also are confident that this transaction will allow Zep Inc. to continue to deliver the high quality products and services our customers have come to expect from us as well as provide additional opportunities for our associates from future growth and business building. New Mountain Capital is a strong investor with a proven track record as a business builder with substantial resources and expertise, and we look forward to continued success as a private company under their ownership."
The move came just two months after Zep implemented organizational changes to accelerate organic growth. Steve Nichols was put in charge of commercial organizations, including the worldwide sales, marketing and R&D organizations for Zep, Zep Professional, Zep Commercial and all other Zep Inc. brands. Jeff Fleck added the additional responsibilities for customer service and international operations.
Last year, Zep's sales rose 1%, but net income fell 44%. For the six months ended Feb. 28, 2015, sales rose less than 2% to $328 million.
WESTLAKE VILLAGE, CA * 805.449.3000 * WWW.JAFRA.COM
Sales: $521 million.
Key Personnel: Mauro Schnaidman, president and chief executive officer; Matt Petersen, senior vice president and chief marketing officer; Tony Prudhomme, senior vice president and chief financial officer; Paulo Moledo, president, Jafra USA; Jackie Trask, senior vice president, worldwide human resources; Mark Funaki, vice president and general counsel.
Major Products: Royal Jelly, Jafra Dynamics, Time Dynamics, Jafra Pro, Ultra Nourishing Gold Moisturizer, Jafra Spa, Royal Almond, Tender Moments (bath and body), Jafra Color, Jafra Fragrance, including Navigo, JF9, Adorisse, Jande, Eau d'Aromes, Valferra.
New Products: Ships Ahoy body care, Jafra Sweetie fragrance, Legend Hero, Hair Nourishing Oil.
Comments: Sales dropped more than 20% last due to a strengthening US dollar.
Jafra has more than 2,200 employees and more than 500,000 consultants, with sales companies in Mexico, the US, Germany, Brazil, Italy, Switzerland, Austria, the Netherlands, the Dominican Republic, Russia and India. The company's range of products are sold through distributors in seven other countries.
Jafra has been owned by German-conglomerate Vorwerk Group since 2004. Vorwerk's sales rose 5.8% last year to $3.4 billion.
In May, Vorwerk Group appointed Rainer Christian Genes as managing partner. Effective next month, the executive board of this family-owned company will consist of Reiner Strecker, Frank van Oers and Rainer Christian Genes.
ORLANDO, FL * 407.826.5050 * WWW.TUPPERWAREBRANDS.COM
Sales: $520 million for cosmetics. Corporate sales: $2.6 billion.
Key Personnel: Rick Goings, chairman and chief executive officer.
Major Products: Avroy Shlain, BeautiControl, Fuller, NaturCare, Nutrimetics and Nuvo beauty/personal care products.
New Products: Skin and hair care--BeautiControl's Regeneration BTeXtreme Elixir and the OxygenZone Skin Purifying Tool, Raspberry Nutri Clean Shower Gel (France); Nutrimetics Ultra Care+ Platinum Tight Firm & Fill Eye Serum (Australia). Fragrances--Awakenings Blue Eau de Toilette for Her, Bold Blue Eau de Toilette for Him, and Endangered Wild His and Hers Eau de Toilettes by Avroy Shlain; Aguas da Manha Frutas, Aguas da Manha Algodao and So Secret fragrances (Tupperware Brazil); Hello Kitty (Tupperware Mexico); Love Chic Pour Elle and Love Chic Pour Lui (Nutrimetics France) and Armand Dupree Rose and Claudia Fernandez fragrances. Cosmetics: Armand Dupree Perfect Stay Gel Effects nail enamels (Fuller Mexico), Fibre Lash Enhancer (Nutrimetics Australia/New Zealand), BeautiControl BC Color Dramatic Lash Mascara and Avroy Shlain's Coppelia Colour LED Lip glosses and Coppelia Colour Bronzing Pearls.
Comments: Corporate sales fell 2%. Beauty and personal care accounts for 20% of Tupperware's global sales, and beauty sales in North America accounted for about half that. But company executives really have their eyes on emerging markets. That's because established markets have just 14% of the world's population and represented 34% of corporate sales. Meanwhile, emerging markets represent 86% of the world's population and 66% of Tupperware's sales.
Clearly, there's room for growth, and China and India are leading the way. For example, last year Tupperware had less than $100 million in sales in India and just one consultant per 4,900 people. In China, sales topped $100 million, but there was just one outlet per 260,000 people.
To reach more consumers, Tupperware is enhancing its sales force's digital tools.
24. INTER PARFUMS
NEWYORK, NY * 212.983.2640 * WWW.INTERPARFUMSINC.COM
Sales: $499 million.
Key Personnel: Jean Madar, chairman; Philippe Benacin, president and chief executive officer; Russell Greenberg, chief financial officer; Philippe Santi, executive vice president and chief financial officer, Interparfums SA.
Major Products: Fragrances and beauty products including Balmain, Boucheron, Coach, Jimmy Choo, Karl Lagerfeld, Lanvin, Montblanc, Fhul Smith, Repetto, Rochas, ST Dupont, Van Cleef & Arpels, Abercrombie & Fitch, Agent Provocateur, Anna Sui, Banana Republic, Bebe, Dunhill, Hollister, Oscar de la Renta, Shanghai Tang.
New Products: Emblem for Men and Emblem for Women, Jimmy Choo Man, Jimmy Choo Blossom, Karl Lagerfeld Private Klub, Boucheron Place Vendome and Quatre, Fhul Smith Extreme Sport, So Dupont, Repetto Eau Florale, Balmain Extatic, Anna Sui Romantica, Dunhill Desire Black and Icon, Oscar de la Renta Extraordinary, Agent Provacateur Fatale and Fatale Pink, Shanghai Tang Silk Road, Banana Republic Modern, Bebe Nouveau Chic and Glam fragrances. To be launched: Men's and women's scents under the Abercrombie & Fitch and Hollister California brands (2016).
Comments: The loss of the Burberry license continued to drag down results, as sales fell more than 10% last year. Excluding the Burberry results, sales increased 15.3%.
But forget what might have been with Burberry; in a presentation to analysts, Inter Parfums noted that between 2009 and 2014, its ongoing sales increased at a CAGR of 23%, compared to the fragrance industry's 3%. Furthermore, Inter Parfums puts the global fine fragrance market at $45 billion, with Europe accounting for 43% of sales, followed by the Americas (33%) and Asia Pacific (24%). In contrast, Inter Parfums' sales by region in 2014 looked like this: Europe (38%), Americas (37%) and Asia-Pacific (25%).
Jean Madar, chairman and CEO of Inter Fhrfums, Inc., noted that increasingly strong currency headwinds toward the end of the year, a steady stream of product launches, the contribution of new brands, and the staying power of several best sellers provided a lift to ongoing brand sales in all regions. He noted, too, that new product introductions such as Oscar de La Renta Extraordinary and Dunhill Icon will provide a lift to results this year. And yet, in 2015, the company expects sales to fall to $470 million. For the three months ended March 31, 2015, sales fell 10% to $109 million, but net income improved 12.5% $10.0 million.
25. ARBONNE INTERNATIONAL
IRVINE, CA * 800.ARBONNE * WWW.ARBONNE.COM
Sales: $486 million.
Key Personnel: Kay Napier, chief executive officer; Gretchen Price, chief financial and administrative officer; Michael D'Arminio, chief creative officer; Heather Chastain, chief sales officer; Guy Their, chief information officer; Ashley Good, chief legal officer; Dr. Peter Matravers, chief scientific officer; Joe Wojcik, senior vice president, international; Karen Stout, senior vice president, global human resources; Glenn Klages, senior vice president, operations; Gregory Colbert, vice president, financial planning and analysis; Geoffry Pankau, vice president, controller; Dr. Robert J. Bianchini, vice president, research and development; Stian Merck, managing director.
Major Products: Skin care, nutrition, hair care, body care and cosmetics. Brands include RE9 Advanced, Arbonne Cosmetics, FC5, Clear Advantage, Before Sun, SeaSource Detox Spa, Arbonne Intelligence Arbonne Essentials, Arbonne Evolution, Pure Vibrance, Calm, Arbonne Aromassentials.
New Products: Pure Vibrance ColorLast Hair Spray and ColorLast Hair Serum; Arbonne Essentials Sleep Well Spray.
Comments: Sales rose 17% last year for this direct sales company. Arbonne contends its formulas are based on botanical skin care principles and formulated without animal products or byproducts, not to mention petrolatum or mineral oil.
Founded in 1975 in Switzerland, the company has headquarters in the US and operations in Canada, the UK, Australia and Poland. An office in Taiwan is scheduled to open next year, according to the company.
Industry veteran Bob Bianchini joined Arbonne in March as vice president of research and development. Bianchini has 30 patents, publications and presentations to his name. He earned a Ph.D. in chemistry from Washington State University and undergraduate degrees in chemistry and biology.
MERIDIAN, ID * 208.472.0800 * WWW.SCENTSY.COM
Sales: $480 million.
Key Personnel: Orville Thompson, chief executive officer and co-owner; Heidi Thompson, president and co-owner; Mark Stastny, chief marketing officer; Chuck Thompson, chief consultant development officer; Dan Orchard, executive vice president, Scentsy Fragrance; Tabb Compton, chief operating officer; Kevin Kirkpatrick, executive vice president, Velata; Rob Burton, executive vice president, Scentsy Family Store; Matt Cooley, chief information officer; Lindsay Randolf, chief creative officer.
Major Products: Home fragrances including scented wickless candles and sprays, plus personal care offerings like hand soaps, hand cream and personal fragrance products sold under the Layers by Scentsy brand. The firm also sells Scentsy Buddy, plush animals with a scent pack inside.
New Products: New scents include BambooYuzu, B-A-N-A-NA-S, Blond Wood & Moonflower, Bonfire Beach, Coconut Cotton, Coconut Flower, Dark Harbor, Fields of Gold, Fresh Cut Daisies, My Only Sunshine, Mystic Magnolia, Poppy & Blush Suede, Sea Sun & Fun, Sedona Sunset and Sunburst Blooms.
Comments: Scentsy may not be setting the world on fire like it was a few years ago when sales were growing at a double-digit pace year in and year out, but the company is still a formidable player in the home fragrance market, especially in the wickless category.
Scentsy has distribution sites in Meridian, ID, Lexington, KY, Coppell, TX and Warsaw, Poland.
CITY OF INDUSTRY, CA * 800.626.8878 *WWW.MARKWINS.COM
Sales: $450 million (estimated).
Key Personnel: Eric Chen, founder, chief executive officer and president; Bill George, president and chief operating officer, Markwins Beauty Products.
Major Products: Skin care and color cosmetics--Physicians Formula, Black Radiance, Bonne Bell, Lip Smacker, Markwins International, Tropez, Wet'n'Wild, Color Workshop, Spa Institute.
New Products: Bonne Bell and Lip Smacker cosmetics (acquisition); Wet'n'Wild Max Volume Plus mascara.
Comments: Privately-held Markwins expanded its lineup of mass market color cosmetics offerings in a big way earlier this year with the acquisition of Bonne Bell and Lip Smacker brands. At the time of the Jan. 29 announcement, Jess "Buddy" Bell Jr., founder of Aspire Brands, owner of the iconic lip and skin care brands, said that Markwins had a proven track record of creating excitement and bringing innovation to the cosmetic category.
"They will bring the same excitement and innovation to the Lip Smacker and Bonne Bell brands. I am excited about the future ofthe Lip Smacker and Bonne Bell brands under Markwins ownership," Bell said in a statement.
With this move, Markwins added the youth consumer to its customer base. Together with existing "masstige" brand Physicians Formula, industry-dominant entry point brand Wet n Wild, ethnic brand Black Radiance, and its successful collection business, brands under the Markwins umbrella cater to beauty consumers of all demographics, inclusive of age, ethnicity, lifestyle and preference.
"The synergies of adding another mass beauty brand, focused in color cosmetics, fits wonderfully into Markwins' current global operations," said Bill George, president and chief operating officer of Markwins Beauty Products. "Bonne Bell and Lip Smacker add new consumers to our growing portfolio without any consumer cannibalization or crossover."
Eric Chen, chief executive officer of Markwins, noted that Bonne Bell is an industry icon with a rich history dating back 87 years and with 94% consumer recognition.
"These numbers are staggering in our business, but the smiles the name alone brings to the faces of the consumers are much more impactful," he insisted.
LOUIS, MO * 314.985.2000 * WWW.ENERGIZERHOLDINGS.COM
Sales: $425 million for skin care products. Corporate sales: $4.4 billion. Net income: for the year ended Sept. 30,2014.
Key Personnel: Ward M. Klein, chief executive officer, Energizer Holdings Inc.; David P. Hatfield, president and chief executive officer, Energizer Personal Care; Daniel J. Sescleifer, executive vice president and chief financial officer, Energizer Holdings, Inc.; Peter J. Conrad, vice president, human resources, Energizer Holdings, Inc.; Mark S. Lavigne, vice president and general counsel, Energizer Holdings, Inc.
Major Products: Hawaiian Tropic and Banana Boat sun care products; Edge, Schick, Skintimate and Wilkinson Sword shaving products; Wet Ones and Playtex Sport Wipes.
New Products: Hawaiian Tropic Island Sport, New & Improved Banana Boat Sport Performance, Banana Boat Dry Oil Clear Ultramist with Argan Oil.
Comments: This is the last year that the Energizer name will appear in The Top 50. This month, Energizer's personal care business will become Edgewell Personal Care when the firm's battery and personal care units part ways. The move was made to allow each business to pursue its own strategic focus and unlock the full value of each business for shareholders, according to company executives.
David Hatfield will serve as CEO of Edgewell Personal Care.
In fiscal 2014, Energizer's skin care sales, including sun and wet shave preps, fell 1%. Corporate sales were up 6.7% due to the acquisition of feminine care brands, the firm said. Energizer said US sun care sales were down due to cool and wet weather during much of the US summer season. But that was offset by growth in the company's international sun care business.
For the first half of fiscal 2015, Energizer's personal care sales fell 4% to $1.1 billion. The company said lower volumes across the wet shave and infant and feminine care businesses were partially offset by improved price/mix in wet shave and skin care.
28. JOHN PAUL MITCHELL SYSTEMS
BEVERLY HILLS, CA * 310.248.3888 * WWW.PAULMITCHELL.COM
Sales: $425 million (estimated).
Key Personnel: John Paul DeJoria, co-founder and chairman; Angus Mitchell, co-owner and artistic director of education.
Major Products: Professional hair care products sold under such brands as Paul Mitchell, Tea Tree, Awapuhi and Mitch.
New Products: Paul Mitchell Ultimate Color Repair and Awapuhi Wild Ginger Mirrorsmooth; Marula Oil collection.
Comments: Still the largest, independent professional hair care product company, John Paul Mitchell Systems' products are sold through distributors within North America to more than 100,000 hair salons. Internationally, John ftul Mitchell Systems works with distributors in 86 countries that supply thousands of hair salons.
From animal welfare to prostate cancer research, JPMS' Culture of Giving supports many charity efforts around the world. But its not a handout; the company is committed to sustainable giving, like Grow Appalachia, which has helped Appalachian families produce more than 1.1 million pounds of organic food.
Then there's the company's Marula Pure Beauty Oil, which is obtained from a fully integrated supply chain from natural resource to finished product that provides economic opportunities to thousands of rural African women at Fair Trade wages. The program has expanded its network of Marula nut harvesters from 4,000 in 2014 to 7,500 as of May 2015.
The Marula Oil products range is part of ROK Stars PLC, co-founded by John Paul Dejoria and Jonathan Kendrick, with a mandate to "Build The Mega-Brands of Tomorrow, Today."
"We take our Fair Trade mission very seriously," said Kendrick. "Marula Pure Beauty Oil totally stands apart from its peers in this regard, as well as in the ultimate quality and purity of our finished product. As our business grows, so does the economic advantage that is shared in the communities who are working to harvest the Marula nuts, while being able to maintain their long-held traditions and way of life."
30. NERIUM INTERNATIONAL
ADDISON, TX * 855.463.7486 * WWW.NERIUM.COM
Sales: $403 million.
Key Personnel: Jeff Olson, chief executive officer; Jeffrey Dahl, co-chief executive officer; Renee Olson, chief leadership officer; Dennis Windsor, chief networking officer; Roy Truett, president of international; Amber Olson Rourke, chief marketing officer; Pilar Duque, vice president, scientific and regulatory affairs.
Major Products: Anti-aging skin care products.
New Products: Age-Defying Night Cream, NeriumAD Formula Age-Defying Day Cream, NeriumAD Formula Firming Body Contour Cream, NeriumAD Formula, Age-Defying Night Cream, Optimera Formula, Age-Defying Day Cream, Optimera Formula. To be launched: EHT Age-Defying Supplement, Mind Enhancement Formula (Fall 2015).
Comments: Nerium's annual revenues came in at $403 million in 2014, up 119% over the year before. That leap landed the firm on Direct Selling News'$100 million growth club list, and helped fuel its growing philanthropic endeavors. Since 2012, Nerium has contributed more than $2 million to Big Brothers Big Sisters.
At its annual national conference in Philadelphia in June, Big Brothers Big Sisters of America named Nerium as its 2015 President's Award recipient--its highest corporate honor.
This year, Nerium launched a new charitable organization called the Nerium Ripple Foundation, which encourages the firm's "independent brand partners" to live the company's core value of "servant leadership" and the vision of "Making Fteople Better" by making positive efforts --or ripples--throughout the world. The Nerium Ripple Foundation will work exclusively with nonprofit partners selected for each country where Nerium International does business.
Last month, Nerium's Optimera Formula line of products became available for sale in South Korea through independent brand partners and online. The company entered the Canadian and Mexican markets during 2014.
The Optimera Formula features SIG-1273, billed as a new, breakthrough anti-aging ingredient created by Princeton University biochemist Dr. Jeffry B. Stock after 20 years of biomedical research. SIG-1273 is a dual-action, patented molecule specifically designed to provide superior anti-aging benefits as it addresses the signs of aging and its causes and acts as a powerful antioxidant to target free-radical damage while mimicking the skin's natural age-fighting mechanism.
31. WD-40 COMPANY
SAN DIEGO, CA * 888.324.7596 * WWW.WD40COMPANY.COM
Sales: $383 million.
Key Personnel: Garry O. Ridge, president and chief executive officer; Jay W. Rembolt, vice president, finance, treasurer and CFO; Richard T. Clampitt, vice president, general counsel and corporate secretary; Stanley A. Sewitch, vice president, global organization development; Geoffrey J. Holdsworth, managing director, Asia-Pacific; William B. Noble, managing director, EMEA; Michael L. Freeman, division president, Americas.
Major Products: Maintenance, home care and cleaning products sold under brands including WD-40, 3-In-One Oil, X-14, 2000 Flushes, Carpet Fresh, No Vac, Spot Shot, 1001, Lava and Solvol.
Comments: WD-40 Company's multi-purpose maintenance products sales--which include the famed WD-40 and 3-in-One brands--rose 5% to $337.8 million, while the firm's home and cleaning products sales were $45.2 million, down 5% from the prior fiscal year.
Sales in the Americas segment, which includes the US, Canada and Latin America, remained relatively constant at $180.8 million. Multi-purpose maintenance products rose 2%, primarily driven by higher sales of WD-40 multi-purpose maintenance products in Latin America and the US, which were up 7% and 2%, respectively. The increase in Latin America was primarily due to the continued growth of the WD-40 multi-use products throughout the Latin America region, including in Ecuador, Mexico and Argentina, and a higher level of promotional activities associated with the 2014 World Cup Tournament. The sales increase in the US, according to WD-40, came from a higher level of promotional activities and increased distribution for WD-40 and higher sales of the WD-40 Specialist product line. Sales of homecare and cleaning products in the Americas segment fell 7%, driven primarily by lower sales of Carpet Fresh and Spot Shot products, which were down 28% and 8%, respectively, in fiscal 2014.
While its said that 8 out of 10 US households have at least one can of WD-40 Multi-Use Product in their home, things aren't quite the same for its other brands. While homecare and cleaning products continue to generate positive cash flows, WD-40 reports that it continues to "see lost distribution, reduced product offerings, competition, category declines and the volatility of orders from and promotional programs with certain of our customers, particularly those in the warehouse club and mass retail channels."
Last September, WD-40 completed the acquisition GT85 Limited, a UK marketer multi-purpose maintenance products.
For the second fiscal quarter ended February 28, 2015, total net sales were $97.3 million, an increase of 3% compared to the prior year fiscal quarter. Year-to-date total net sales were $193.7 million, an increase of 2%, according to the firm.
GREENWICH, CT * WWW.BLYTH.COM
Sales: $347 million candles and home decor products. Corporate sales: $490 million.
Key Personnel: Robert B. Goergen, Jr., president and chief executive officer; Jane F. Casey, vice president and chief financial officer; Joseth T. Cirillo, vice president, controller and chief accounting officer; David Baraky, senior vice president, worldwide marketing and creative; Joan Connor, president, PartyLite North America; Kathleen Luce, vice president, marketing and communication, PartyLite North America.
Major Products: Home fragrance--PartyLite and GloLite by PartyLite. The company's catalog and internet business (known as Silver Star Brands) includes As We Change, Easy Comforts, Exposures, Miles Kimball, The Home Marketplace, ViSalus Sciences and Walter Drake business.
New Products:. Jonathan Adler for Partylite Resort Vibe Collection; Lisa Hoffman for Partylite Essence of Life fragrance jewelry; Garden Vines Hurricane (and Hanging Votive Holder); Pool Fhrty Summer Fragrance Collection; Native Remedies natural herbal dietary supplements and homeopathic products (acquisition).
Comments: Blyth's PartyLite business sells premium candles, flameless and other home fragrance products and related decorative accessories in the United States, Canada, Mexico, Australia and Europe. This unit, which recorded net sales of $347.6 million in 2014, accounts for the majority of Blyth's total performance.
For the year, Blyth said that the declining sales for Partylite stemmed from a decrease at PartyLite North America of 20% and a decrease at PartyLite Europe of 8%, or 6% in local currency. These declines were principally due to a reduction in consultants, which resulted in a lower number of shows. Net sales at Partylite Australia were down 2% compared to last year in US dollars, however sales increased 4% in local currency, the firm said.
There were approximately 14,800 active independent North American sales consultants selling PartyLite at the close of 2014 compared to approximately 16,800 the year before. There was a similar slide in Europe where active independent sales consultants fell from 30,200 at the end of 2013 to about 27,600 by the close of 2014.
Q1 2015 was also tough for the company. Net sales decreased approximately 12% to $103.7 million.
33. HIGH RIDGE BRANDS
STAMFORD, CT * 888.289.4111 * WWW.HIGHRIDGEBRANDS.COM
Sales: $325 million (estimated).
Key Personnel: James Daniels, chief executive officer.
Major Products: Personal care products including soaps, body washes, deodorants and hair care sold under the Zest,V05, Rave, Coast and White Rain banners.
New Products: V05 Shine, Glow & Go Beauty Oil andV05 Pure Sunshine Shampoo & Conditioner.
Comments: High Ridge may have "more established" personal care properties--Alberto V05, for example, is 60 this year--but those brands have been making big pushes on social media that are bound to reach younger and more tech-connected customers.
For example, last summer, it asked consumers to vote for a new fragrance for Alberto V05's via the hair care line's Facebook page. Fans picked Pure Sunshine (notes of pacific rose apple, white peony and cashmere wood), which launched officially in December 2014.
"We can't thank our millions of loyal V05 fans enough for their enthusiastic participation, and for their genuine role in making our newest fragrance a reality. Pure Sunshine is literally a fragrance of the people -V05 people," said Nina Riley, vice president of marketing for VO5.
More recently, to markVO5's 60th birthday, High Ridge Brands created a Facebook-based petition for a star of its own on Hollywood Boulevard.
In addition, sister hair care brand LA Looks rolled out its latest model search on Facebook. Contestants will vie for the chance to win a trip to Los Angeles for a professional photo shoot and a surprise VIP experience, including airfare, car rental, hotel and a trip stipend. Next month fans will vote online to determine the two grand-prize winners.
34. COMBE, INC.
WHITE PLAINS, NY * 914.461.4000 * WWW.COMBE.COM
Sales: $255 million (estimated).
Key Personnel: Keech Combe Shetty and Akshay Shetty, co-chief executive officers.
Major Products: Hair care, oral care, men's grooming and feminine health products.
Comments: Beards have been big of late, and that's good news for Combe and its Just For Men line, which also offers products to keep grey whiskers at bay. In fact, the brand is the title sponsor (again) of the US National Beard and Moustache Championships, which will take place in Brooklyn, NY on Nov. 7, 2015.
"We wanted to know how men feel about their facial hair because our mission at Just For Men is to help them feel confident about their look--whether that look includes gray or not," Ralph Marburger, Just For Men brand director, said last year about the 2014 competition, which the brand also sponsored. "With the Just For Men World Beard and Moustache Championships about to prove who has the world's finest beard or 'stache, we felt now was the perfect time to celebrate the power of facial hair."
And even if the hipster-driven facial trend trend has hit its peak, don't count Combe out. The company's roster also includes Lectric Shave and Williams Mug Shaving Soap, so consumers can continue to buy Combe's products.
Privately held by the Combe family, founder Ivan B. Combe's granddaughter and her husband are now steering the ship following Chris Combe's retirement last year.
In March, the Consumer Healthcare Products Association (CHPA) awarded the Ivan D. Combe Lifetime Achievement Award to Christopher B. Combe. According to CHPA president and CEO Scott Melville, one of Chris Combe's greatest accomplishments "was expanding Combe Incorporated's international market. He took the company global before 'going global' was a thing, and today international sales represent 40% of the overall business."
35. PERFUMANIA HOLDINGS
BELLPORT, NY * 800.228.3489 * WWW.PERFUMANIAHOLDINGS.COM
Sales: $239 million for fragrances. Net sales: $583 million.
Personnel: Stephen Nussford, executive chairman of the board, Perfumania Holdings, Inc.; Corrado Brondi, vice president, international Rarlux & Five Star Fragrance; Angela Budd, vice president, global marketing and brand development; Parlux Fragrances & Five Star Fragrance; Anthony D'Agostino, chief financial officer, Parlux; Donna Dellomo, vice president and chief financial officer, Perfumania Holdings, Inc.; Diana Espino, vice president, global marketing and brand development, Parlux & Five Star Fragrance; Michael Katz, president and chief executive officer, Perfumania Holdings, Inc.; Donald Loftus, president, Parlux Ltd. and executive vice president, Perfumania, Inc.; Antonella Panepinto, vice president, international, sales EMEA, Parlux & Five Star Fragrances; Paolo Rosellini, vice president, international sales Americas, Parlux & Five Star Fragrance;
Major Products: Fragrances.
New Products: Empire by Trump, Paris Hilton Limited Anniversary Edition for Women.
Comments: For its most recently concluded fiscal year, Perfumania Holding's wholesale revenue--which includes Parlux, Five Star Fragrances and Quality Fragrance Group (QFG)--rose 7.3% from $239 million in fiscal 2014. Parlux's sales increased by $9.1 million and QFG's sales increased by $8.6 million, according to company, which attributed the increase in wholesale sales to higher customer demand and additional brand distribution of owned and licensed brands.
During fiscal 2014, Perfumania says it continued to focus on the integration of Parlux's operations, managing expenses, improving inventory turns at its retail stores and consignment locations and maximizing working capital. It closed underperforming Perfumania retail stores, while selectively opening new locations.
Overall, Perfumania Holding's net sales increased 1.4% to $584 million in fiscal 2014.
The company touts scents from well-know celebrities and A-listers, most notably Paris Hilton, who marked her fragrance line's 10-year anniversary by rolling out a concentrated version of her signature scent housed in a bottle embellished with diamond-inspired crystals.
"Paris' commitment to her fragrance portfolio and the authenticity she brings to each and every facet of the creative process is a direct reflection of its global appeal and success" stated Angela Budd, VP of global marketing and brand development; Parlux Fragrances & Five Star Fragrance.
Also this year, the Trump Organization and Parlux Fragrances announce the launch of Empire by Trump.
"Parlux has done a wonderful job creating a sophisticated and luxurious scent that exudes the essence of the Trump brand," said Amy Steinfeldt, director of global licensing for The Trump Organization. "Their expertise in fragrance production and marketing continues to make them an exceptional partner for us."
36. HELEN OF TROY
EL PASO,TX * 915.225.8000 * WWW.HOTUS.COM
Sales: $216 million (estimated) for non-hardware/electrical personal care products. Total personal care sales: $435.2 million. Corporate sales: $1.45 billion.
Key Personnel: Julien R. Mininberg, chief executive officer; Arthur A. August, president, professional division; Connie Hallquist, president, Healthy Directions.
Major Products: Hair care, treatments and styling products, men's fragrances, antiperspirants and deodorants, soap, foot and body powders and skin care products. The company also sells personal and home care devices and nutritional supplements.
Comments: Tracing its roots back to wigs in the late 1960s, Helen of Troy's current personal care unit offers hardware like hair dryers and straighteners, but also liquid and aerosol hair care and styling products, men's fragrances, antiperspirants and deodorants, soap, shampoo, conditioner, hair treatments, foot and body powders and skin care products. The company's owned brands include Pert Plus, Sure, Infusium 23, Brut, Vitalis, Final Net and Ogilvie, and its licenses trade names like Vidal Sassoon, Revlon, Dr. Scholl's, Sea Breeze, Bed Head and Tigi, which it puts on a wide range of products from curling irons to foot baths to massagers. In addition, the company is also licensed to sell products under the Vicks, Honeywell, Braun and Febreze trademarks in the healthcare/home environment business segment--think air purifiers, for example.
Net sales revenue for Helen of Troy's personal care segment in fiscal 2015 fell 8.3% to $435.2 million.
A new business area for Helen of Troy is nutritional supplements. Through its $195.94 million acquisition of Healthy Directions, LLC last year, it now sells products such as Omega Q Plus Resveratrol, Joint Advantage and Oxy Rub directly to consumers.
More recently, in March 31, Helen of Troy acquired the Vicks VapoSteam US liquid inhalant business from Procter & Gamble.
37. SEVENTH GENERATION
BURLINGTON, VT * 802.658.3773 * WWW.SEVENTHGENERATION.COM
Sales: $215 million (estimated).
Key Personnel: John Replogle, president and chief executive officer; Maureen Usifer, chief financial officer; Joey Bergstein, general manager and chief marketing officer; Pete Alberse, general manager and chief scientific officer; Tim Fowler, senior vice president, science and supply.
Major Products: Laundry and dish detergent, hand washes, diapers, baby wipes, recycled paper products, organic feminine care, filtered water bottles.
New Products: Ultra Power Plus laundry, hand dish and auto dish detergents, natural hand wash
Comments: Seventh Generation, the eco-friendly brand known for its commitment to a toxin-free environment, recently introduced new packaging for its line of hand wash products and saw sales double almost overnight.
"We always knew package design was important to consumers when it comes to hand wash because it's on display and part of their home decor," said Joey Bergstein, CMO at Seventh Generation, "but we were still blown away to see how much they loved these new bottles. We're actually having trouble keeping them in stock."
The new packaging was designed by NYC-based Beardwood&Co., a branding firm that has extensive experience with beauty and personal care brands. The Seventh Generation hand wash line consists of four products: Free & Clean, Mandarin & Grapefruit, Lavender Hower and Purely Clean.
In other news, Martin Wolf, director of sustainability and authenticity at Seventh Generation and a recognized leader in sustainability and environmental chemistry in the cleaning products industry, was the 2015 recipient of the American Cleaning Institute (ACI) Elva Walker Spillane Distinguished Service Award. Wolf has developed frameworks for environmental product design, helped educate his coworkers, customers and consumers about the environmental impacts of consumer products and the industries that produce them, helped develop standards for voluntary ingredient disclosure, and brought change to the cleaning products industry through more sustainable product designs.
In September 2014, it was reported that London-based Generation Investment Management Fund, co-founded by former US Vice President A1 Gore, invested $30 million into Seventh Generation.
38. PRESTIGE BRANDS
TARRYTOWN, NY * 914.524.6800 * WWW.PRESTIGEBRANDS.COM
Sales: $210 million (estimated). Corporate sales: $714.6 million.
Key Personnel: Ron Lombardi, president and chief executive officer; Thomas Hochuli, vice president of operations; John F. Parkinson senior vice president of international; Richard Tenore, director of product development.
Major Products: Personal care, skin care, oral and OTC health care products--Chap-et, Cloverine, Debrox, Dermoplast, Efferdent, Ezo, Gly-Oxide, Kerodex, Kwellada-P, R&C, Little Remedies, New-Skin, Outgro, Oxipor, The Doctor's oral care, DiabetAid, Caldesene, Gentle Naturals, Americane, Compound W, Kerodex, Dramamine and women's health brands ept, Monistat and Uristat). Household care products--Comet, Cinch, Spic and Span, Chore Boy.
New Products: Compound W Freeze Off Advanced.
Comments: Fiscal 2015 was a big year for Prestige Brands, as revenues for the period ended March 31, 2015 came in at $714.6 million, an increase of 19.6%.
Revenues for the North American OTC healthcare segment increased 17.5% to $563.5 million. The firm's Insight acquisition contributed $96.9 million to the segment overall, including a $15.4 million gain from dermatologicals, which was partially offset by declines of $7.1 million incurred by other Prestige-owned dermatological products, the company said.
Revenues for the international OTC healthcare segment increased 104.5%, primarily due to the acquisition of Hydralyte, which contributed gains via gastrointestinal, eye and ear care and cough and cold products. Hydralyte is the leading OTC brand in oral rehydration in Australia, and is now marketed through Prestige's Care Pharmaceuticals Pty Ltd. subsidiary.
Prestige Brands' household cleaning segment saw revenues rise 2.5% to $89.9 million.
Sales beyond the borders of North America represented 8.9% of revenues in 2015 compared to 5.4% and 2.7% in 2014 and 2013, respectively. In addition to OTC products such as Clear Eyes, Murine and Chloraseptic that are sold internationally, Prestige Brands has licensed to an international CPG company the right to use the Comet, Spic and Span and Chlorinol trademarks in the commercial/I&I business throughout the world (excluding Russia and specified Eastern European countries). Comet and Chlorinol brands have been licensed out in different deals.
In personnel moves, Matthew M. Mannelly retired last month and Ron Lombardi took over as CEO.
CARSON, CA * 800.831.5150 * WWW.DERMALOGICA.COM
Sales: $200 million (estimated).
Key Personnel: Jane Wurwand, co-founder and chief visionary; Raymond, co-founder; Steve Kurland, global CEO; Jerry Wenker, president and chief operating officer; Weslie Rau, vice president; Diana Howard, vice president of global education, research and development; Loretta Stanley, chief financial officer; Mathew Divaris, vice president of global marketing and creative services; Ivor Gordon, vice president of international sales; Rob Steere, vice president of operations; Robert Sorenson, general counsel.
Major Products: Professional skin care and treatments.
New Products: PowerBright TRx skin-brighteners; Breakout Control; Overnight Retinol Repair; To be launched: Clear Start Skin Soothing Hydrating Lotion.
Comments: Known worldwide as the "professionals' choice," Dermalogica is founded on the belief that good skin care is not about pampering or luxury.
Dermalogica's story begins in 1986 when Jane Wurwand, founder of The International Dermal Institute (a postgraduate training facility for skin care professionals), decided to do something about the lack of results-driven products on the market. This vision and brand position has generated a cult-like following among professional skin therapists and consumers alike.
Researched and developed by The International Dermal Institute, Dermalogica shocked the market by refusing to use artificial colors, synthetic fragrances, S.D. alcohol, lanolin or mineral oil--all of which were industry favorites due to their low cost, despite links to numerous skin problems that were well understood.
The brand also went a step further, insisting that all Dermalogica skin care professionals had to meet the highest level of training and expertise, ensuring that consumers could get reliable consultations about their skin concerns without falling prey to the hype and faddism that dominates the skin care industry, according to the brand.
Dermalogica is a privately-owned company with headquarters in Carson, CA and offices in more than 50 countries around the world. Officials say freedom from parent companies and investors has allowed the brand to stay true to its mission of skin fitness, and operate in a way that fosters entrepreneurship, creativity and passion in delivering professional skin therapists and their clients the products, education and tools to deliver the healthiest skin ever.
All Dermalogica products are manufactured in the US, including its newest SKU, Age Smart Overnight Retinol Repair.
40. ATLANTIC COAST BRANDS
JERSEY CITY, NJ * 888.621.4043 * WWW.ATLANTICCOASTMEDIA.COM
Sales: $198 million (estimated).
Key Personnel: Thomas Shipley and Andrew Surwilo, cofounders and chief executive officers; John Ende, chief financial officer; Darek Hrynkiewicz, chief of operations; Rick Weinstock, executive vice president, marketing; Joel Goldsmith, senior vice president, retail sales.
Major Products: Keranique Hair Regrowth System and Christie Brinkley Recapture 360
New Products: Keranique Lift & Repair Treatment Spray, Christie Brinkley Recapture 360 Anti-aging Day Cream, Christie Brinkley Recapture 360 Anti-aging Night Treatment, Miracle Body Transformer.
Comments: Atlantic Coast Brands' high growth strategy is based on leveraging a true 360[degrees] marketing, including DRTV, radio, digital and print to drive its direct, retail and live shopping businesses to build iconic beauty brands. By allowing customers to buy when, where and how they wish, Atlantic Coast Brands says it secures lasting customized relationships while strengthening brand awareness, brand messaging and loyalty.
Atlantic Coast brands include Keranique, Christie Brinkley Authentic Skincare, Hydroxatone and Miracle Skin Transformer.
Keranique has seen especially rapid growth over the past year, including expansion into additional retail partners like Ulta stores and, most recently, Nordstrom.com. According to the firm, much of the brand's growth--30% year over year--can be attributed to the continued success of the brand's hair regrowth system, growing DRTV campaign and launch at Ulta stores, where the brand and system continues to sell-through at an impressive rate.
In addition, Atlantic Coast Brands introduced Christie Brinkley Authentic Skincare in 2015 with a successful launch in Kohl's as well as on HSN. The high investment in its proprietary skin care technology has paid off not only through the efficacy of the product line but most importantly through the loyalty of its new customers, according to the firm, which says Christie Brinkley Authentic Skincare continues to grow its direct business through DRTV and digital.
Although it is new, Christie Brinkley Authentic Skincare line is seeking key seals of approval. For instance, it recently received the "Daily Use Seal of Recommendation" from The Skin Cancer Foundation. The Skin Cancer Foundation seal was awarded to the Recapture 360 + IR Defense Anti-Aging Day Treatment and the Recapture Day + IR Defense Anti-Aging Day Treatment, which in addition to offering broad spectrum SPF 30 protection from UVA/UVB rays, these products offer infrared ray defense.
"We're proud to welcome Christie Brinkley Authentic Skincare to the Seal of Recommendation program/' said Skin Cancer Foundation president and founder Perry Robins, MD.
41. SPARTAN CHEMICAL
MAUMEE, OH * 419.531.5551 * WWW.SPARTANCHEMICAL.COM
Sales: $182 million for 2014.
Key Personnel: Stephen H. Swigart, chairman; John Swigart, president; Jim Lenardson, executive vice president; Scott Libbe, chief financial officer; Justin Black, treasurer; Greg Ford, vice president, sales; Dave Reed, vice president, national accounts; Bill Schalitz, vice president of research and development; Cali Sartor, director of marketing.
Major Products: Chemical specialty maintenance products including a complete line of environmentally preferable products; bio-based products; products for disinfecting and sanitizing, hard floor care, carpet care, restroom care; hand cleaners; deodorants. Spartan's chemical products and services are used in building service contractor, education, health care, food service and processing, lodging/hospitality, and industrial markets.
New Products: Halt Disinfectant, ecore Aircare System, Clean on the Go Airlift Clear Air Odor Eliminator (with odor encapsulating technology), Lite'n Foamy Captive 18oz. Foamers, Lite'n Foamy Healthcare Personnel Handwash (line extension), Lite'n Foamy Hypoallergenic Handwash (dye and fragrance free), Lite'n Foamy Fruit Burst (line extension), SparClean Coffee & Tea Carafe Destainer, Acid Blend FP (Nitric-Phosphoric blend to be used in craft breweries) Freezer Cleaner FP, Carcass Wash FP, BrewCheck (sanitation program for breweries).
Comments: Spartan Chemical Company has been a leader in the formulation and manufacture of cleaning and sanitation solutions for the I&I market since 1956. One of those markets is craft breweries. For this growing sector, Spartan offers the BrewCheck craft brewery sanitation program.
"When it comes to craft beer, it's all about the flavor," said John Swigart, president. "Sanitation is the first step in a great brew process. BrewCheck gives brewers a program that allows them to take control of their flavor profile."
LOS ANGELES, CA * 310.410.9600 * WWW.HERBALIFE.COM
Sales: $180 million for personal care products. Corporate sales: $5.0 billion.
Key Personnel: Michael O. Johnson, chairman and chief executive officer; Desmond Walsh, president; John G DeSimone, chief financial officer; Richard P. Goudis, chief operating officer; Brett R. Chapman, chief legal officer and secretary.
Major Products: Personal care products that fall under the brand names such as Skin Activator, SKIN and Herbal Aloe.
Comments: Despite Bill Ackman's attempts to wipe Herbalife off the face of the earth, the company is doing pretty well for itself. In 2014, corporate sales rose 3% to $5.0 billion. Net income fell 7% to $538.5 million. The company's outer nutrition business--a.k.a. personal care--accounted for less than 4% of sales.
While its personal care products shrank slightly from last year, Herbalife posted record corporate results, as sales rose 18% on a 20% increase in volume. Of its corporate sales, the Asia-Pacific region continued to represent the highest percentage of its sales at 25.4%. North America represented 24.5%, South and Central America was 15.7%, Mexico was 17.3%, EMEA represented 12.8% and China was 4.4%.
Michael Johnson, chairman and CEO stated, "2014 was a record year in terms of net sales, volume and sales leader retention. It was also a year of transition, as we continue to implement changes that we believe will create a stronger company with the ideal combination of growth and sustainability. We have seen the success of these changes in early adopter markets and remain confident that our other markets will follow a similar pattern through 2015 and beyond."
Johnson continued, "Our revised guidance reflects the currency landscape faced by all global companies and the short-term volume impact of the enhancements we are making. We believe we are executing the right long-term strategy and are confident in our ability to create sustainable value for our shareholders and the millions of Herbalife members and their customers worldwide."
Herbalife expanded the company's global corporate affairs team based in Los Angeles. The global nutrition marketer welcomed three experienced individuals: Ric Hobby, who will serve as the company's senior vice president for global government relations; Megan Jordan, who will serve as the company's senior vice president for global corporate communications; and Randall Popelka, who will serve as vice president, government and industry affairs. Two present members of the team, Julian Cacchioli and Elaine Fhcheco, will take on new responsibilities within the global corporate affairs team as the office undergoes a significant expansion and reorganization.
The company also appointed Pamela Jones Harbour to the newly-created role of senior vice president, global member compliance and privacy.
Herbalife's first quarter net sales rose 12% to $1.3 billion.
42. PDC BRANDS
STAMFORD, CT * 203.655.8807 * WWW.PDCBRANDSUSA.COM
Sales: $180 million (estimated)
Key Personnel: James Stammer, CEO; Jessica Donoghue, VP of marketing; Randy Wheaton, VP of product development.
Major Products: Dr. Teal's Epsom Salts, Body Fantasies Fragrance Body Mists, Bod Man Body Sprays, Calgon Bath products.
New Products: Dr. Teal's Pre & Post Workout Pure Epsom Salt and Pain Relief Cream, Detoxify & Energize Epsom Salt, Foaming Bath, Body Wash and Body Lotion; Body Fantasies Sweet Berry Fantasy Fragrance Body Spray; Calgon Lavender Honey Milk Bath and Bath Beads; Bod Man Dark Ice Fragrance Body Spray and Bod Man body sprays. To be launched: Bod Man Vapor Body Spray and Red Rush Body Spray, Body Fantasies Sweet Primrose Kiss Body Mist and Kissing in the Rain Body Mist.
Comments: After 34 years, Parfums de Coeur has changed its corporate identity and is now operating as pdc brands. According to company officials, the new name and logo reflect the company's growth to a broader beauty and wellness platform that includes Body Fantasies, Bod Man, Calgon, The Healing Garden and Dr. Teal's.
In February 2015, pdc brands opened its new corporate headquarters in Stamford, CT to accommodate its growing business and team.
The firm contends it has the No. 1 unit sales brands in women and men's fragrance, as well as the No. 1 adult bath care brand and the No. 3 specialty bath brand as reported by Nielsen.
44. TURTLE WAX
WILLOWBROOK, IL * 630.455.3700 * WWW.TURTLEWAX.COM
Sales: $165 million (estimated).
Key Personnel: Mark Leopold, chief executive officer and president; Sandy Kolkey, chief marketing officer; Brad Smiley, director-global financial planning and analysis; Coley Frucci, VP--sales Americas and Asia Pacific; Laurie King, VP--global supply chain & operations; Mike Schultz, senior vice president of research and development; Denis Healy Sr., co-chairman of Turtle Wax, Inc; Sondra Healy, co-chairman of Turtle Wax, Inc.
Major Products: Automotive care products such as polishes, waxes and washes.
New Products: Turtle Wax ICE with Smart Shield Technology, Turtle Wax ICE Heavy Duty Floor Mat & Carpet Cleaner, Turtle Wax Performance Plus Total Exterior Detailer.
Comments: This year has been one of innovation and a breakthrough for the 70+ year-old Turtle Wax. 2015 has seen the Chicago-based company not only introduce break-through car care technology with its new line of Turtle Wax ICE with Smart Shield Technology, but also debut the state-of-the-art ad campaign called"Break Out."
Grounded in consumer insights and research, "Break Out" reintroduces the historic car-care company to consumers and urges users to get out there and drive their cars, not let them sit idly and collect dust in a garage.
"Turtle Wax has been part of pop culture for decades," said Sandy Kolkey, chief marketing officer of Turtle Wax, commenting on the recent ad campaign. "But Turtle Wax isn't only your dad's car wax. We've developed this campaign to appeal to the audience of car lovers who are passionate about their cars. No matter what kind of car you have, you deserve to feel great owning it and driving it. That's where Turtle Wax comes in."
The new line of Smart Shield products are ideal for ultimate enthusiasts as well as beginners looking for the easiest way to keep their car looking pristine and protected, says the firm.
"At Turtle Wax, we have a group of passionate scientists who never stop formulating for better car care," said Kolkey. "The new Smart Shield Technology is our most advanced and impressive product line to date, and whether you use one or all six of the products, you'll notice a transformation on your car."
AKRON, OH * 330.255.6000 * WWW.GOJO.COM
Sales: $150 million (estimated).
Key Personnel: Joe Kanfer, chairman and chief executive officer; Mark S. Lemer, president and chief operating officer.
Major Products: Purell Advanced Hand Sanitizer, Gojo, Provon, Purell Hand Sanitizing Wipes.
New Products: Smartlink Hand Hygiene Solutions, Purell Advanced Green Certified Hand Sanitizer, Gojo EcoPreferred Pumice Hand Cleaner, Purell Hand Sanitizing Wipes, Provon Ultra Mild Foam Handwash and Purell Advanced Hand Sanitizer Ultra Nourishing Foam.
Comments: Gojo's original mission to get dirty hands clean without damaging the skin has greatly evolved over the past six decades. Today, it is a leading global producer and marketer of skin health and hygiene solutions for away-from-home settings. Its portfolio includes hand cleaning, handwashing, hand sanitizing and skin care formulas under the Gojo, Purell and Provon brand names.
The company, which is also known for dispensing technology, serves a variety of markets including automotive, education, food processing, foodservice, healthcare, law enforcement, manufacturing and military.
"Saving lives and making life better through well-being solutions is our purpose at Gojo," said Joe Kanfer, Gojo chairman and CEO. "This is seen through the continuous development of market leading hand hygiene solutions sold through facilities in the United States, United Kingdom, Australia, Brazil, Canada, Japan, Mexico and France. It is also evident through the company's caring and collaborative environment."
In 2014, Gojo acquired Laboratoires Prodene Klint. Based in France, Prodene Klint specializes in professional hygiene, cosmetics and disinfectant products.
This year, Gojo announced it would lease 1.3 million square feet of space in Wooster, OH, to expand manufacturing and distribution operations.
The Wooster Campus is in addition to the Gojo headquarters in Akron, manufacturing and distribution in Cuyahoga Falls, OH, and operations worldwide including those in the UK, Australia, Brazil, Canada, Japan, Mexico and France.
With the addition of the Gojo Wooster Campus, Gojo anticipates increasing its workforce over the next several years. The company said it expects to add 30-50 new jobs there within the next year and more than a total of 240 jobs as operations expand.
45. TOO FACED COSMETICS
IRVINE, CA * 855.866.3223 * WWW.TOOFACED.COM
Sales: $150 million (estimated).
Key Personnel: Jeremy Johnson, co-founder and chief executive officer; Jerrod Blandino, co-founder and chief creative officer; Eric Hohl, president.
Major Products: Color cosmetics.
New Products: Born This Way foundation, Melted metal liquefied metallic lipstick, Cocoa Contour face palette.
Comments: Last month, Weston Presidio sold its stake in the Too Faced Cosmetics to General Atlantic. The deal was said to be in the area of $500 million, according to industry sources; not a bad return, as Too Faced co-founders Jeremy Johnson and Jerrod Blandino sold off a majority stake of the firm they founded to Weston Presidio in 2012 for around $70 million.
According to Johnson, to continue Too Faced's growth trajectory, "we were seeking a global thought leader experienced in partnering with founder-led, high growth companies, and the team at General Atlantic was a natural fit."
With the investment, General Atlantic appointed Ken Stevens, former chairman of Ulta and Philosophy, to serve as chairman of the global beauty brand known for its fun spin on staple beauty products like Better Than Sex Mascara, Selfie Powders and Hangover Primer.
47. FAROUK SYSTEMS
HOUSTON, TX * 877.428.9937 * WWW.FAROUK.COM
Sales: $135 million (estimated). Corp. sales: $210 million (estimated).
Key Personnel: Farouk Shami, founder.
Major Products: Chi and Biosilk professional products.
New Products: new Chi styling SKUs
Comments: Founder Farouk Shami's hairstyling career nearly ended before it began after he learned that he was allergic to the ammonia in hair dyes. But that spurred him to invent the world's first ammonia-free hair dye, which launched his business career. He founded Farouk Systems in 1986. He opened his first salon, Le Salon Farouk, in Lafayette, LA and moved to Texas in 1978 to get in on real estate market. Luckily, when real estate collapsed, his salon business took off. The rest, as they say, is history.
Farouk's Chi--which has been a sponsor of the Miss Universe pageant since 2005, providing product and styling needs to contestants--created the The Miss Universe Style Illuminate by Chi. The collection consists of six products.
EL SEGUNDO, CA * 888.996.8723 * WWW.MURAD.COM
Sales: $130 million (estimated).
Key Personnel: Dr. Howard Murad, chief executive officer and founder; Richard Murad, general manager; Jeff Murad, vice president, new product development; Hilarie Murad, president, Murad Family Foundation; Danny Simon, chief operating officer; Elizabeth Ashmun, chief marketing officer.
Major Products: Rapid Age Spot & Pigment Lightening Serum, Renewing Eye Cream, Hydro-Dynamic Ultimate Moisture, Rapid Collagen Infusion, Clarifying Cleanser, AHA/BHA Exfoliating Cleanser
New Products: Transforming Powder; Intensive AgeDiffusing Serum; Age-Balancing Moisture Broad Spectrum SPF 30 | PA+++; Youth Builder Bodycare, Rapid Collagen Infusion for lips, Invisiblur Perfecting Shield Broad Spectrum SPF 30 | PA+++, Advanced Acne & Wrinkle Reducer, Anti-Aging Moisturizer Broad Spectrum SPF 30 | PA+++.
Comments: Last Fall, Murad celebrated the opening of the company's first official stand-alone retail boutique. The 1,500 square-foot storefront, located in Los Angeles, serves as Murad's global flagship retail location. Among the unique features is its guided skincare applications and skin health assessments designed to reflect Dr. Murad's whole-person approach, and YouthCam Evaluations that use a high-definition camera and proprietary software to measure fine lines and wrinkles, hyperpigmentation and inflammation.
Key personnel changes included the appointment of Elizabeth Ashmun to chief marketing officer. She is responsible for driving brand growth and equity.
49. HAIN CELESTIAL
LAKE SUCCESS, NY * 516.587.5000 * WWW.HAIN.COM
Sales: $120 million.
Key Personnel: Irwin Simon, founder, president and chief executive officer and chairman of the board; John Carroll, executive vice president and chief executive officer, Hain Celestial, US; James R. Meiers, president--Celestial Seasonings and Hain Celestial personal care and chief supply chain officer; Julie Marchant-Houle, general manager--personal care.
Major Products: Personal care products sold under the Jason, Avalon Organics and Alba Botanica banners
New Products: Alba Botanica Fast Fix Collection, Alba Botanica Hawaiian SPF 50 Clear Spray Sunscreen, Alba Botanica Very Emollient Fragrance Free Clear Spray Sunscreen, Alba Botanica Very Emollient Active Kids Clear Spray Sunscreen, Alba Botanica Very Emollient Coconut Rescue Body Lotion, Jason Sheer Spray Lotions, Jason Smoothing Coconut Oil (Certified USDA Organic), Jason Smoothing Coconut Body Wash, Jason Smoothing Coconut Hand & Body Lotion.
Comments: Hain Celestial Group, Inc., a leading organic and natural products company with operations in North America, Europe and India, is the company behind Alba Botanica, Avalon Organics, Jason and Earth's Best, which continue to drive growth in the natural and organic personal care categories.
Alba Botanica has launched a line of treatment items designed to deal with life's little beauty blunders. The new Fast Fix line includes four pocket-sized remedies that provide an instant "fix" for puffy eyes, pimples, thin lips and under eye circles. The brand also expanded its consumer favorite Very Emollient Body Lotion line with the introduction of Coconut Rescue. Coconut is the latest "must have" ingredient and Very Emollient Coconut Rescue Body Lotion uses only unrefined, virgin coconut oil for deep and real moisturization.
Alba Botanica has also introduced continuous spray sunscreens in three varieties: Hawaiian Clear Spray Sunscreen Coconut SPF 50; Very Emollient Sunscreen - Active Kids Clear Spray SPF 50 and Very Emollient Sunscreen - Fragrance Free Clear Spray SPF 50. Continuous sprays provide the convenience and ease of application, these earth-friendly sprays are all biodegradable, gluten-free, have high water resistance are recommended by the Skin Cancer Foundation.
Jason has also recognized the coconut oil craze with the launch of the Smoothing Coconut Collection, made with unrefined, virgin coconut oil that is rich in skin nourishing Vitamin E and antioxidants. The line includes body wash, hand & body lotion and a multi-purpose oil that is USDA Organic and provides unparalleled care to skin, hair and nails. Jason has also introduced Sheer Spray Lotions in two varieties designed for different skin types.
Avalon Organics has some big news coming later in the year--the brand is crafting a suite of new products and a whole new look.
49. STATE INDUSTRIAL PRODUCTS
MAYFIELD HEIGHTS, OH * 866.747.2229 * WWW.STATECHEMICAL.COM
Sales: $120 million.
Key Personnel: Seth Uhrman, chief executive officer; Brian Limbert, chief operating officer; Rebecca Korwin, PhD, vice president of R&D; Jeff Trattner, senior vice president of marketing.
Major Products: Ecolution certified green cleaning products, 24/7 Drain Maintenance products, Fragrance Factory air care system, Avance warewashing products, Pyxis Laundry products, Mogul water treatment products, NDC Neutral Disinfectant Cleaner.
New Products: Fresh Zone Industrial Odor Control System.
Comments: State Industrial Products continues a 104-year commitment to on-site service for facilities and maintenance managers.
The application of I&I chemicals has only become more complex over the years, and business managers value the assistance of a State Industrial products account manager in selecting the correct products, installing the right dispensers, training employees, and keeping all systems optimized month after month and year after year, the company said.
Last year, State Industrial launched the Fresh Zone Industrial Odor Control system for facilities with non-point source odor emissions. What are those? Think waste water lagoons, rendering facilities, solid waste transfer sites and waste treatment plants. These facilities will utilize Fresh Zone knock down unpleasant odors and eliminate neighbor complaints and regulatory pressure, according to the company. In addition, sewage system operators apply Fresh Zone to lift stations and sumps to eliminate local odor problems.
State Industrial CEO Seth Uhrman commented, "State Industrial invested heavily in updated labeling and content management systems to achieve GHS compliance. More important, State Industrial provided our product users with all necessary employee training materials to meet all the new OSHA GHS requirements seamlessly."
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|Title Annotation:||THE TOP 50|
|Publication:||Household & Personal Products Industry|
|Article Type:||Cover story|
|Date:||Jul 1, 2015|
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