in blades and razors in the developed regions. Gillette Fusion
shipments increased double digits behind the continued expansion and success of Fusion ProGlide, while Mach3 shipments increased low single digits due to growth in developing regions,
partially offset by decreases in developed markets.
Volume in oral care grew mid-single digits behind initiative
activity and incremental merchandising support of Crest and
Oral-B. Global market share of the oral care category was up over
half a point.
Fabric care and home care net sales increased 4% to $24.8
billion on a 7% increase in unit volume. Organic sales were up
3%. Organic volume, which excludes the impact of the Ambi
Pur acquisition, increased 5%. Mix negatively impacted net
sales growth by 2% due to disproportionate growth of mid-ti-er product lines and powdered laundry detergents, which have
lower than segment average selling prices. Unfavorable foreign
exchange reduced net sales by 1%. Volume in developing regions
was up high single digits, while volume in developed regions
grew mid-single digits. Fabric Care volume increased mid-single
digits, led by high single-digit growth in developing regions behind initiative activity, increased distribution and market growth.
Global market share of the fabric care category increased slightly.
Home Care volume increased double digits due, in part, to
the Ambi Pur acquisition. Organic volume in home care was up
high single digits driven mainly by initiative activity, including
launches of Gain hand dishwashing liquid and Febreze Set &
Refresh in North America, and geographic expansion of dish and
air care product lines.
Effective February 2011, P&G consolidated the three global business units (GBUs) into two: Beauty & Grooming and
Household Care. As a result, the Health Care segment largely
became part of P&G’s Beauty and Grooming GBU, while the
Snacks and Pet Care segment became part of P&G’s Household
New York, NY
Sales: $14.5 billion for oral, personal and home care products.
Corporate sales: $16.7 billion. Net income: $2.4 billion.
Key Personnel: Ian Cook, chairman, president and chief ex-
ecutive officer; Fabian Garcia, chief operating officer, global in-
novation and growth, Europe and Hill’s Pet Nutrition; Franck
J. Moison, chief operating officer, emerging markets and south
Pacific; Dennis Hickey, chief financial officer; Andrew D. Hendry,
chief legal officer and secretary; Jack Huston, SVP, office of the
chairman; Nigel B. Burton, chief marketing officer; Mike Corbo,
VP, global supply chain; Alec de Guillenchmidt, president,
Colgate-Europe; Victoria Dolan, VP and corporate controller;
Tom Greene, chief information officer; Daniel Marsili, SVP-
global human resources; Ronald T. Martin, VP-global sus-
tainability and social responsibility; Rosemary Nelson, VP,
deputy general counsel, operations; Elaine Paik, VP and cor-
porate treasurer; Katherine Hargrove Ramundo, VP, deputy
general counsel and assistant secretary; Justin Skala, president,
Colgate-Latin America; Patricia Verduin, chief technology officer;
Noel R. Wallace, president, Colgate-North America and global
sustainability; Francis M. Williamson, VP, Colgate-Latin America;
Greg Woodson, VP, chief ethics and compliance officer.
Major Products: Oral Care—Total Advanced, Optic White,
ProClinical White toothpastes; 360°, Max White, Professional
toothbrushes; Dora the Explorer, SpongeBob SquarePants,
2-in-1 children’s toothpastes; Orabase mouth pain relief, Phos-Flur 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: Colgate Optic White and Colgate Sensitive Pro
Relief toothpastes, Sanex Zero.
Comments: Corporate sales rose 7.5% last year. Sales of oral,
personal and home care products rose 8%, driven by volume
growth of 4%, net selling price increases of 1.0% and a positive foreign exchange impact of 3.0%. Excluding the impact of
the divestment of the non-core detergent business in Colombia,
volume increased 4.5%. The Sanex business contributed 1.0% to
sales and volume growth in 2011. Organic sales in the oral, personal and home care segment increased 4.5% on organic volume
growth of 3.5% in 2011.
Of course, the bulk of Colgate’s sales come from toothpaste
and the company is quick to note that its worldwide share is approaching 45%—well ahead of its nearest competitor. Colgate
says the share growth is due, in part, to professional recommendations. Back in 2004, 28% of dentists worldwide recommended
Colgate. Last year, that percentage rose to 48%.
Approximately 80% of Colgate’s net sales are generated from
markets outside the US, with approximately 50% of net sales
coming from emerging markets—which consist of Latin America,
Greater Asia/Africa (excluding Japan) and Central Europe. Last
year, sales in North America declined .5% to nearly $3 billion, due
to a 3% decline in selling price. Sales in Latin America jumped
12% to nearly $4.8 billion, driven by volume growth of 3% and a
7% surge in selling price. Europe/South Pacific sales jumped 9%
to $3.5 billion on a 5% gain in volume and a positive impact of