Unilever announced the latest results of personal care products performed well
Chinese market is mainly driven by electricity supplier
Unilever recently announced the first quarter of 2016, total revenue of 12 billion 500 million euros (about RMB 91 billion 270 million) fell by 2%. The constant exchange rate of organic growth (Underlying Sales Growth), which is a pure business growth of 4.7%, to achieve the analysts expected. Emerging markets grew particularly fast, reaching 8.3%.
from the category view, personal items (including shampoo, shower gel, sweat etc.) and family care (laundry, softener and air freshener) increases quickly, sales growth was 5.8% and 7%. Other brands of food including Lipton sales growth rate dropped to 1.9%.
may be as optimistic about the personal care market potential, Unilever, Procter & Gamble bought last year from Luca, Rose Bath (Camay) and zest (Zest) outside of North America business. It also bought four high-end skincare brand (brand style is similar to that of:Dermalogica, Somerville, Kate) Murad and Ren (at the end of this brand we have reported). Prior to the United States and the United States rarely involved in skin care brand seems to intend to improve the company’s product mix.
in the latest business briefing, Unilever said growth in China is basically relying on electricity supplier driven, but also to maintain rapid growth. Since since 2011 September 2014 settled Tmall, Unilever and Tmall in the international overseas flagship store, to sell its products in other countries through the bonded straight hair model.
Unilever is in a series of changes, they plan to adjust prices and corporate structure, while reducing spending. They raised the average price by 2% in the first quarter. In the first quarter webcast conference, revealed that it will change the packaging capacity of the product to drive sales growth. They expect revenue from this series of changes to account for 40% of Unilever’s total revenue by the end of 2016. Unilever, like Procter & Gamble, is also planning to cut spending, with the goal of cutting 1 billion euros a year by 2018.
Unilever rival Procter & Gamble in February this year, announced second quarter earnings. It sales of $16 billion 900 million (about 109 billion 390 million yuan), down by 8.5%. However, due to the effective cost reduction, P & G’s net profit increased by 33%.