The internet is ‘afrenzy’ at the moment with stories relating to a possible sale or merger of Reckitt Benckiser. We’ve picked it up here from a couple of sources which contradict each other slightly, but this is not surprising and is normal in any takeover/merger rumour situatuion. SSL International and Colgate-Palmolive are both ‘in the frame’ (allegedly), but it’s not clear who’s buying whom or what (guess that they could also be considering buying & selling business divisons or brands). We will let you read them and make up your own mind. Chris

Rumours fly over sale or merger of Reckitt Benckiser

Simon Pitman, Cosmetics Design-Europe.com 19 Nov 2009

Talk of a multi-billion euro transaction involving Reckitt Benckiser, a global brand owner of personal care and household products, has sent share prices rocketing.

The UK company has been linked to big names such as SSL International, owner of the Durex brand, but according to well-placed sources used by British newspaper The Daily Telegraph, the most obvious candidate is US consumer giant Colgate-Palmolive.

The report stated that Reckitt Benckiser was close to making a cross-border transaction that would probably be structured as a merger if it were to take place with a business such as Colgate-Palmolive.

Such a deal would also tie in with the company’s desire to no longer be headquartered in the UK, due to the unfavourable tax situation and economy.

You can read the full Cosmetics Design-Europe article here: http://bit.ly/4B2Uxx

The story has also been covered in the  British press (amongst other places). In yesterday’s UK  Daily Telegraph, they carried the following:

Talk of Reckitt doing a big deal

Ben Harrington, www.telegraph.co.uk, 18 Nov 2009

The latest tale is that Reckitt Benckiser is close to announcing multi-billion pound cross-border transaction.

It is not clear which company Reckitt is targeting. SSL International, the maker of Scholl footwear products and Durex condoms, has always been tipped as a target for Reckitt. However, well-placed sources think the most obvious candidate is US giant Colgate-Palmolive.

The theory is that any deal between Reckitt and Colgate-Palmolive would have to be structured as a merger as they are roughly the same size.

Earlier this year, David Hayes and Alex Smith – the Nomura analysts who first raised the prospect of a Kraft bid for Cadbury – argued that Colgate-Palmolive could merge with a British company. However, they thought it more likely that Unilever would be the US company’s obvious merger partner.

You can read more of the Daily Telegraph report here: http://bit.ly/2GcdEy

This has been reported previously in the press. See related article ‘Reckitt Benckiser considers quitting Britain over tax‘ published in the UK Daily Telegraph 13th Aug 2009.

Whatever, your thoughts, it’s an interesting story that has wide ramifications and we’ll keep you posted as and when updates are available. Chris

I think this is a fantastic idea – the barcode needs to be there anyway, so why not make a feature of it.  Obviously it’s more suited to certain areas of the market than others – I’m not sure a patient would appreciate finding one of these on a medicine, but then again on a more everyday or fun item I think it could be a great area to add some individuality and extra branding. (Jane)

While most Western manufacturers focus their marketing on the front of a product, a growing number of Japanese firms are branding the barcodes on the reverse as well. The black and white etchings contain sufficient detail to be recognised by scanners, while also incorporating the firms logo or an image associated with the product.

via Branded barcodes cheer Japanese shoppers – Telegraph.

Does this apply to any of your products?  This new ruling comes into affect on the 18th November 2009 and all new products entering the market need to be compliant by November 2011. (Jane)

The European Commission has changed the labelling requirements for formulations that contain certain hair dye ingredients. Amendments to the Directive are in response to a conclusion from the Scientific Committee on Consumer Safety SCCS previously known as the SCCP – Scientific Committee on Consumer Products that said contact allergies caused by hair dyes are an increasingly important health problem. These types of reactions can cause ‘acute and severe dermatitis’ in affected individuals, according to the SCCS. In an attempt to better inform the consumer of these dangers, the Commission has altered the warnings that must be included on the labels of oxidative hair dye products and some non-oxidative products that contain strong sensitising substances. 

via Cosmetics Directive amended to flag up hair dye allergy dangers.

www.cosmeticsdesign.com

By Katie Bird , 28-Oct-2009, www.cosmeticsdesign-europe.com

Proteins in milk that form part of the cow’s natural protection against milking related infections can be formulated into anti-microbial cosmetics and oral care products, according to manufacturer Quantec.

The New Zealand-based company has been working on the Immune Defence Proteins (IDP) for three years and is now ready to launch the ingredients onto the skin care and supplements market.

Rod Claycomb, managing director of the company, explained how the proteins form part of the cow’s own defence system.

“After milking, cows are quite prone to bacterial infection of the mammary gland called mastitis. This suite of proteins is nature’s own way of helping to protect the cow,” he said.

According to Claycomb, there are applications for the proteins in both human and animal health.

Having worked in both the animal health & human skincare sectors, this sounds to me like an interesting innovation & great breakthrough- with scientific and potentially commercial benefits. What do you think? Read the full article and let us know. Chris Penfold

Read the full article here: http://tinyurl.com/yz4937q

GSK takes a shine to filmless, ‘green’ holography cartons

A new carton for GlaxoSmithKline Consumer Healthcare’s Aquafresh White & Shine toothpaste shimmers with a subtle holographic rainbow effect with a heavy emphasis on the green end of the spectrum. Through the use of new printing technology, the carton is as easy to recycle —something that most holographic packages cannot claim.: “Traditional holographic packaging contains a laminated layer of metallized polyester that does not remove easily from the paperboard, making recycling very difficult,” says Michael J. Larocca, packaging development manager for GSK Consumer Healthcare. “This package has no polyester or metal content. As a result, there is no impact to typical paperboard recycling streams.”

via GSK takes a shine to filmless, ‘green’ holography | Greener Package.  by Anne Marie Mohan, Managing Editor, GreenerPackage.com

This is a really interesting insight into the diverse nature of retail outlets across the globe and it’s good to think for a  minute (or three) about the affect that has, not only on the shopping habits of consumers, but also on pack design. All four of the markets mentioned (Brazil, Russia, India & China) work to a totally different supply-model and designers should be aware of this when developing market-specific packs for each of those regions. Even in the same market (e.g. India) there is a huge difference between the requirements for packaging in the huge new department stores sprouting up and the small ‘mom & pop’ stores that exist out in more rural areas. Just think for a moment about the different requirements for each ‘outlet’ in terms of information:

1. The need to read bar codes in some areas and not in others

2. The requirements of self-selection in a department store versus an ‘endorsement’ by ‘mom & pop’ in the smaller stores

3. The greater degree for branding & shelf stand-out required in the bigger stores, where products are ‘fighting’ against  a far bigger range of competing products

4. The more stringent shelving requirements in department stores in terms of  shelf height, ‘facings’ and fit on gondola ends.

To name but a few…. and then there are the different transit & product-protection requirements to get to the store and to be ‘managed’ therin. I.e. The use of an automated (potentially) delivery & stock-handing system in a modern department store to that of  ‘horse & cart’ delivery & manual booking in system to a store in the outer reaches of Goa.

Food for thought – Chris Penfold

Changing retail landscape helps define cosmetics in BRIC markets

The fast-changing retail landscapes in Brazil, Russia, India and China (BRIC markets) are creating new opportunities for cosmetics and personal care players to market products.

Although the retail landscapes are developing in quite different ways in each market, the key to successfully marketing personal care and cosmetics products will be determined by how effective companies are at tapping into these channels.

Speaking at the recent HBA conference program, held in New York City last month, Kline Group’s Carrie Mellage lifted the lid on each of these markets to show how the retail channels are evolving and to describe how companies are taking advantage of this.

By By Simon Pitman, 05-Oct-2009 www.cosmeticsdesign-europe.com

You can read the full article here: http://tinyurl.com/ydyggt4

Via www.cosmeticsdesign.com 29th Sept 2009

Focusing on the increasingly popular trend for faded special effects in plastic packaging, Clariant has launched a new more economical reflective technology.

The company introduced the fade special effect at the HBA show in 2008, and says that it has expanded its capabilities in the area because it has proved to be so popular with personal care and cosmetics providers.

The technology now includes increasingly sophisticated colors and layer combinations, which serve to provide a variety of finishes, from the very subtle, to bolder and more provocative designs, the company says.

Read the full article at: Clariant launches new technology for color fade plastics.

Simeon Goldstein, packagingnews.co.uk, 25 September 2009

FMCG giant Unilever has made a binding offer to buy the personal care division of US firm Sara Lee Corporation for EUR 1.275bn.

The Anglo-Dutch firm said today the acquisition would add a “strong stable of brands”, such as Sanex, Radox and Duschdas, to a category that it considers a key driver for growth, particularly in Western Europe and Asia.

Read the full article here: http://tinyurl.com/y8ctz8k

By Katie Bird , 10-Sep-2009

Related topics: Financial

Consumer goods giant Procter & Gamble expects to return to organic sales growth by the end of the year after reporting two quarters of organic sales declines.

Last month the company released its quarterly figures for the period ending June 30 and net sales dropped by 11 percent, although much of this was attributed to currency effects.

via P&G acts with ‘urgency’ to return to organic sales growth.

By Katie Bird , www.cosmeticsdesign-europe.com, 02-Sep-2009

French companies have a lot to offer the US in terms of green packaging, according to French business development agency Ubifrance.

In partnership with the Packaging Machinery Manufacturers Institute (PMMI), the agency is organizing a Franco-US symposium on sustainable packaging in New York on December 14.

‘How to Go Green in Packaging’ is a one day event and will include general information about sustainability during packaging manufacture as well as a number of industry specific workshops looking at cosmetics, pharmaceuticals and food.

Read the full article at: Green packaging event hopes to promote US-Franco trade links.