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Eye on the Bottom Line, Kimberly-Clark Folds Diaper Business in Europe

Posted by Dale Buss on November 2, 2012 03:03 PM

Procter & Gamble and other diaper-makers may be cheering the news that Kimberly-Clark is abandoning Europe with its diaper business. But the move by the American giant, also maker of Kleenex and other paper products, also will land yet another blow to the fragile economy. Kimberly-Clark confirmed in its latest earnings release that it plans to eliminate up to 1,500 European jobs with the move and its broader restructuring plan in Europe, or about 2.6 percent of its global workforce.

The way CEO Tom Falk put it, the company didn't have any choice after banging its head against a wall in Europe for its disposable diapers. P&G controls 44 percent of the market with Pampers, while Kimberly-Clark's Huggies brand had garnered only a 12-percent share over more than two decades in the market. Private-label diaper brands combined have a bigger share than Huggies.Continue reading...

private brand

Are Consumer Brands Losing Their Mojo to Store Brands?

Posted by Barry Silverstein on November 2, 2012 11:17 AM

Makers of name brand products beware: Store brands continue to be accepted and embraced by consumers.

Last July, we reported on a study by Accenture indicating that 64 percent of shoppers' grocery carts were at least half full of store brand products -- and 39 percent said they had bought more store brands in recent years.

Now a new study by marketing agency The Integer Group, in association with the market research firm M/A/R/C Research, shows that consumers increasingly believe store brands can match brand names in quality. In fact, in the 2012 study, 64 percent of shoppers said brand names are not better quality products, versus 57 percent in 2010. Only 51 percent of shoppers say they continue to buy brand name products over store-brand alternatives because they trust the brand name, according to the study. Only 20 percent of shoppers agree that they go right for their brand name choice and get what they want.

Just as important, there seems to be a broad change in the perception of store brand or private label products. As store brands have grown in popularity, groceries and retail chains have created their own branded lines. Target, for example, sells its own Archer Farms brand, and Whole Foods pitches its 365 Everyday Value line.

In recent years, such retailers have paid more attention to packaging so their products can be competitive on store shelves. It must be paying off. Only a year ago, 68 percent of shoppers agreed that brand name packaging was more attractive than store brand packaging, according to the study. This year, the percentage dropped to just over half — 52 percent of shoppers.Continue reading...

brand news

In the News: J.C. Penney, B&N, Huggies and more

Posted by Dale Buss on June 20, 2012 09:01 AM

In the News

Barnes & Noble losses continue on Nook as e-reader competition intensifies.

Bridgestone surrenders Super Bowl halftime show.

Coca-Cola creates global TV series for Summer Olympics.

Facebook gains support for advertising from Ford and Coca-Cola.

FedEx CEO predicts industry shifts as airport-to-airport business stalls.

Ford uses big data to inform marketing and design decisions at Silicon Valley lab.

GM unifies global design strategy.

Kimberly-Clark enlists Mexican TV star for Huggies campaign.

J.C. Penney to tweak message but not strategy in wake of president's ouster this week.Continue reading...

mom's the word

Look Who's Talking: For Huggies, It's That Swinger Alfie

Posted by Sheila Shayon on March 21, 2012 04:24 PM

When most Brits hear the name "Alfie," they think of Michael Caine's skirt-chasing cad in the 1966 movie of the same name (with all due respect to Jude Law's reprisal of the character).

Now there's a new swinging Alfie out of the UK — chatting up his girl/friend Evie, about the benefits of Huggies' "drylock system" which promises to keep a baby's skin dry for up to 12 hours and help prevent leaks. He even has his own Twitter handle — presumably because he's too young to give out a mobile number.Continue reading...

social media watch

Huggies Makes Amends with Dads After Flunking Facebook 'Test'

Posted by Sheila Shayon on March 13, 2012 10:08 AM

As you may have caught on Facebook lately, Huggies is in hot water with Dads.

The issue: the Kimberly-Clark diaper brand's male-targeted social marketing campaign featuring real dads and real babies, which aimed for the funny bone but landed in the solar plexus. "To prove that Huggies diapers and wipes can handle anything, we put them to the toughest test imaginable – Dads," intoned a female voice-over in the videos ("Dad Test" and "Easy Chair").

Befuddled dads may have seemed like a cute way to make their point, but it (inevitably) irked parents. Consider that dads are increasingly stay-at-home caregivers, one out of three according to the US Census, it was no surprise that many of them took umbrage and took to social media to be heard.Continue reading...

brand bites

Brand Bites: Monty iPython App, Huggies vs Dads, and Lenny Kravitz Digs Water

Posted by Abe Sauer on March 9, 2012 11:55 AM

Hark! It's Monty Python's new iPad app.

Below, watch the Huggies commercial that has dads up in arms, and more.Continue reading...

brand news

In the News: SOPA, Kraft, RIM and more

Posted by Dale Buss on January 18, 2012 09:04 AM

In the News

Airbus raises prices of A320neo plane amid strong demand, as Boeing threatens to compete better in 2012 .

AirTran must reinstate whistleblower pilot.

American Express invests $125 million in China mobile payments startup.

Apple eases into corporate market with Macs, while textbook push draws interest.

BankUnited draws bids from TD Bank and others.

Beyonce and Jay-Z challenged by Blue Ivy trademark applicant.

Burberry sales surge on international demand.Continue reading...

brand news

In the News: Best Buy, British Airways, B&N Nook and more

Posted by Dale Buss on November 7, 2011 08:45 AM

In the News

Best Buy stores to close in the U.K. as Carphone Warehouse sells its stake for $1.3 billion. In the U.S., BB will join post-Thanksgiving "Black Midnight" frenzy.

IAG, owner of British Airways & Iberiapursues Portugal's TAP airline after agreeing to buy bmi (British Midland International) from Lufthansa.

Barnes & Noble expects to prod Amazon's Kindle with new Nook Color.

All Nippon Airways probes glitch in Dreamliner landing as Airbus tries to exploit longer-than-expected training time for the new Boeing plane.

Apple hit by piracy claim by leading computer scientist as brand rewards top executives to try to retain them for the post-Jobs era and threatens Google with new Siri "personal-assistant" search technology.Continue reading...

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