Billionaire Club - the net worth of the Lauder family
The share prices of many of the major beauty multinationals have sky-rocketed over the past 12 months. Revlon has risen 67%, Beiersdorf and have spiked 19% and 's stocks are up by 23 per cent. The difference between Lauder and the others, of course, is that the founding family members have more than 85% voting control.
According to Bloomberg, Lauder's booming share price and revenue hike to over US$10 billion this year has elevated Aerin and Jane Lauder, the daughters of Ronald Lauder, to billionaire status in their own right. Each sibling controls 17 million shares of the Estée Lauder Cos which gives each of them a net worth of US$2.6 billion, according to the Bloomberg Billionaires Index.
Both granddaughters of Mrs Estée Lauder, Jane, aged 40, and Aerin, aged 43, have joined that most exclusive of clubs - among the youngest female billionaires in the world. But they have a way to go before matching their father's fortune of at least US$3.5 billion. Let alone the net worth of their uncle, Leonard Lauder, the company's chairman emeritus and largest shareholder, with a net worth of US$9.5 billion.
P&G Vitamins signs deal with Swisse Wellness
Australia's Swisse Wellness has been one of the fastest-growing OTC companies in the world over the past five years. The brand's soaring popularity in the vitamins and minerals category has springboarded Australia into one of the best-performing markets globally, apart from emerging countries such as China.
PGT Healthcare - a joint venture between P&G and Israel's Teva Pharmaceutical Industries was formed in 2011 - and markets more than 200 healthcare brands, including Vicks and Metamucil, in more than 70 countries. Already on-track to achieve global sales of US$4 billion by 2020, PGT has partnered with Swisse Wellness to market the Australian brand's 100 vitamins, minerals and supplements worldwide. Swisse products will debut first in Europe and Asia over the next two years before rolling out to more than 20 countries through to 2020. The deal will fast-track the development of Swisse to become one of the leading players in the US$80 billion global vitamins and minerals market.
Benetton teams with Puig for another crack at fragrances
Benetton has released more than 50 fragrances over the past 20 years - from the iconic Tribu in 1993 to On Benny's Farm earlier this year. The Italian retailer is struggling under net debt and an over-dependence on countries in southern Europe and hasn't made the same inroads in Asia as rivals Zara and H&M.
A turnaround could be on the cards and Benetton has signed a deal with Puig, the upmarket Spanish manufacturer of Jean-Paul Gaultier, , and fragrances. The new agreement officially begins on January 1st and the first project will be a women's masstige fragrance. According to Alessandro Benetton, chairman of the Benetton Group: "The global success of Puig and its extensive experience in the fragrance industry make it an ideal partner to strengthen and bring new energy to the United Colors of Benetton fragrance lifestyle and business."
Nielsen report reveals Australia's passion for connectedness
Ten years ago, Australians spent only 6.7 hours a week online says Nielsen. Today, we're spending 23.3 hours logging on - just short of one day out of seven. According to Melanie Ingrey, cross platform research director of Nielsen, more than one third of online Australians now own connected devices that didn't exist for the mainstream population a decade ago - smartphones, tablets, Internet-enabled game consoles and smart TVs.
Nearly 40% of Australian households have four or more "devices" and 74% are dual screeners - watching TV and checking the Internet at the same time. Laptop ownership has soared from 33% to 77% since 2003, says Nielsen, in contrast to an 8% decline in the ownership of desktop computers - from 80% to 72 per cent.
It's almost impossible to believe that Facebook didn't exist 10 years ago. Today, 60% of Australians are active Facebook users and 70% use social media regularly overall. Unsurprisingly, online advertising has jumped to 27% of total ad spend - a nine-fold increase from the 3% slice of the action it commanded in 2003.
Snippets from the wires
- US prestige beauty sales rose 3% overall in the third quarter to US$2.3 billion reports the NPD Group. Skincare was the only double digit growth performer, lifting 14.6%.
- Fifth & Pacific, formerly Liz Claiborne Inc, sold the intellectual property assets of Juicy Couture to Authentic Brands Group recently for US$195 million. ABG runs a diverse portfolio of fashion, sports and celebrity brand licenses, including Marilyn Monroe, Elvis Presley and Muhammad Ali. Paul Blum, who has only been the CEO of Juicy Couture since last December, has announced he will leave the building on January 31st.
- British men's grooming brands such as Bulldog have done well in the US. But none have been created with the US market front of mind like Mancave. Launched in British supermarket chain Sainsbury's a year ago, the masstige brand will roll out in over 1000 US stores next year and analysts estimate first year sales of US$1.5 million. Founders Alex and Mark Grogan are already in talks with Australian and South African retailers.
- With the Chinese prestige cosmetics market, the second largest in the world, growing at 22% a year, LVMH has intensified its commitment to the premium perfumes and cosmetics category. The world's largest luxury goods company has opened the Helios facility, one of the largest cosmetic research and development facilities in France, to house researchers working on a host of its upmarket brands, including Dior, Guerlain and Givenchy.
- L'Oréal believes in fighting fire with fire when it comes to treating pimples. Working with the Institut Pasteur in Paris and New York University, the French giant is studying the skin's microflora in an attempt to use "good" bacteria in skin products to combat the "bad" bacteria that causes acne.
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