Top 4 Highlights From P&G 4Q Call

In a year of transformation that designated Singapore as its new beauty headquarters and saw the departure of beauty executives Ed Shirley and Virginia Drosos, Procter & Gamble capped fiscal 2012 with fourth quarter net beauty sales down 4% to $4.8 billion. The company said organic sales (which exclude the impact of foreign exchange and acquisitions) rose 1%. Sales in developing markets continued to expand, now representing 40% of P&G’s total revenue, as many developed markets underperformed. To correct slipping sales of Olay and Pantene in the U.S., P&G plans to increase innovation, boost advertising and maintain a vertical approach. “It is still a strategy for us to have a full offering in every category,” said Bob McDonald, P&G’s CEO, speaking on a conference call Friday. P&G executives presented a corporate initiative to accelerate the momentum of new markets and jumpstart the old. Here are four main highlights from the call.

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The Top 3 Analyst Remarks During Avon’s Investor Call

On her 100th day as Avon’s CEO, Sherilyn McCoy was peppered with analyst questions about a turnaround plan she shared with the release of another disappointing financial report. In the second quarter Avon’s sales fell 9% or 1% in constant dollars, with a 3% drop in representatives globally. Sheri outlined a multiple point approach focused on stabilizing the business by fixing existing issues, rather than setting a new course. Here’s how Sheri addressed specific analyst concerns.

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Current Celeb Scent Sales Reflect 2004 Stats

Remarkably, sales of celebrity fragances are largely unchanged from eight years ago, according to Kathy Widmer, executive vice president, chief marketing officer, Elizabeth Arden. Kathy talked about the fragmentation of the market at CEW’s WMIBS “Formula for Success” June 26. Click to hear what she said.

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NPD: June Prestige Sales Up 5%

Sales of prestige beauty in U.S. department stores grew 5% to $815 million for June 2012. Makeup saw the highest gain with 7% sales increases to $316 million. Skin care grew 6% to $283 million in sales. And, fragrance sales grew 3% to $211 million.

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Teen Vogue Report: Uprising of Mobile and What it Means to Millennials

Who knows Millennials better than Teen Vogue? Not many! According to the publishing expert, it seems the mobile phone is clearly how this demographic communicates, informs and (especially) shops for herself. In an effort to provide the market with the latest data on Millennials—namely their insights, habits and motivations with their mobile phones—Teen Vogue took a deep dive into the subject and conducted The Teen Vogue It Girl Insights Mobile Behavior Report.

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Global Turmoil to Impact Beauty

Demeter Group recently issued a financial trends report, Beauty Industry Outlook, packed with data on category growth, retail trends and sales and marketing opportunities. Overall, Demeter estimates that U.S. beauty sales will reach $59.8 billion in 2012, slightly lower than estimates forecasted by Euromonitor, due to recent economic tribulation, causing concern at the consumer level. Here’s what the San Francisco-based investment bank had to say about category growth for the remainder of 2012.

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Beauty Voyager: London Calling

London is on everyone’s radar right now, Hello 2012 Summer Olympics! And at the city’s most influential beauty destinations—from Selfridges department store to Space NK to tastemaker boutique Lost in Beauty—customers are looking for products with real results, particularly in the skin care category. Here are what retailers said are driving sales now.

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NPD: 2012 Could Break Fragrance Sales Record

NPD announced this week that fragrance sales within prestige department stores during the first quarter of 2012 reached $501.2 million, a gain of 11% versus the prior year. Unit sales also posted growth, up 7% with close to 8 million units sold.

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NPD: The Beauty Slump is Over

Sales of U.S. prestige beauty products hit a 15-year high in 2011, said The NPD Group, growth that actually reflects the overall spike realized in the luxury sector. According to the 10th edition of Bain & Company’s Luxury Goods Worldwide Market Study, luxury saw a 12 percent uptick for the year in the Americas. “Despite the headwinds of global events and economic uncertainty, luxury is experiencing a sort of ‘anti-crisis,’” said Claudia D’Arpizio, a Bain partner in Milan and lead author of the study.

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