New Products: Persil ProClean, X-Tra and Purex PowerShot,
Schwarzkopf Keratin Color, Schwarzkopf Ultime Color Coloration.
Comments: Corporate sales rose less than 1% last year. Laundry
and home care accounted for 28% of sales and beauty care represented 22%. With currencies in flux, developed markets stagnating and emerging markets slowing, Henkel is focused on the
bottom line. After a successful debut in Asia two years ago, the
company is rolling out an integrated SAP platform in Europe and
has shifted more than 45,000 employees to a new digital platform
to improve global collaboration.
By region, emerging markets; i.e., Eastern Europe, Africa/
Middle East, Latin America and Asia, excluding Japan, account-
ed for 44% of sales; followed by Western Europe (35%); North
America (18%); and Japan, Australia, New Zealand (2%). Henkel
is looking to bolster its US business in a big way. Earlier this
year, Henkel took on P&G in the US with the roll out of Persil
ProClean via a partnership with
Walmart. The move, accord-
ing to Euromonitor Analyst Ian
Bell, could earn Persil as much
as $100 million (retail) in sales
this year. Persil is already a E1
billion global brand. Even bet-
ter, Schwarzkopf is a E2 billion
brand.
Sales in emerging markets
once again made an above-
average contribution to growth,
led by double-digit gains in the
Africa/Middle East region. Sales
were very strong in Asia too.
To keep it all growing,
Henkel purchased a number
of new brands and businesses
such as Sexy Hair, Kenra and
Alterna hair care brands in
North America; the Spotless
Group of laundry, home care and insect control products in
Western Europe; and the“E” laundry and home care brands in
Eastern Europe.
For the first quarter of 2015, corporate sales rose 12.7% to a
record € 4. 43 billion (nearly $4.9 million at press time). Laundry
and home care sales rose 13.2% and beauty care sales were up
9.9%. In February, Henkel opened a global experience center in
Düsseldorf. At the center, visitors can experience the unit’s innovation via interaction and live demonstrations. During the
quarter, the company rolled out X-Tra and Purex PowerShot, a
new dosing system that precisely measures liquid detergent for
optimal results without overdosing.
In May, Henkel agreed to acquire Colgate-Palmolive’s
range of laundry detergents and pre-wash brands in Australia
and New Zealand in a €220 million ($242 million) all-cash
deal. The brands, which include Cold Power, Dynamo, Fab and
Sard, had sales of about € 110 million ($121 million).
A Big-Time Clean:
Schwarzkopf Essence
Ultîme imparts volume with
easier combability.
•Every company wants to reduce its environmental footprint.
it’s good for the planet, good for pr and good for the bottom line.
henkel’s no different than other multinationals in the FMCG space,
but it has set the bar very high: become five times more efficient by
2050. Compared to the 2010 base year, henkel is determined to
triple the value it creates in relation to the environmental footprint of
its products and services. To get there, the company must improve
its efficiency 5-6% a year.
long journeys start with single steps. For the five-year period 2011-
2015, henkel set ambitious goals and had met several by the end of
2014. They include:
• 20% improvement in energy efficiency;
• 19% reduction in water usage;
• 18% reduction in waste per production unit; and
• 25% reduction in worldwide accident rate.
To keep the good results on track, the company implemented a
global Sustainability Ambassador program to train employees how to
convey the importance of sustainability to coworkers, suppliers, customers, consumers and even schoolchildren. By the end of 2014,
Henkel boasted more than 3,800 Ambassadors, including the entire
management board and top management, and had educated more
than 36,000 schoolchildren in 37 countries.
DoING MUCH MorE WITH MUCH LESS
