BEAUTY CARE

Lubriderm releases new products, Web site and advertising campaign

BY Melissa Valliant

NEW YORK Lubriderm is giving other skin care manufacturers a run for their money with the recent launch of a new advertising campaign, redesigned Web site and new products. The 60-year-old, dermatologist-established skin care brand has chosen an advertising campaign that focuses on its skin therapy expertise, labeling its company a “skin therapist” and listing its core attributes as therapeutic, skin expert, trusted, effective, comforting and dermatologist recommended.

Intense Skin Repair Calming Relief Body Lotion, one of Lubriderm’s new products, uses a special formula and time-release technology to soothe and moisturize dry and itchy skin. They claim the lotion moisturizes for 24 hours and prevents reoccurring dryness throughout the day. Lubriderm also released Advanced Therapy Triple Smoothing Body Lotion, formulated with alpha hydroxy acid to help smooth skin by gently exfoliating flaky skin, improving cell turnover, smoothing rough skin and also moisturizing for a 24-hour period.

The company’s redesigned Web site now offers a section called “The Skin Therapist Says,” where consumers can find skin care information and advice, as well as a “News and Events” section, a link to their new TV commercial and recently added Flash technology.

Next year will bring with it more new Lubriderm products and new packaging for the entire line.

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L’Oreal changes forecast after disappointing third-quarter results

BY Melissa Valliant

CLICHY, France Cosmetics maker L’Oreal reduced sales and profit forecasts for the third time in four months—once in July, once in August—and is preparing for a tough upcoming year. Third-quarter sales rose 3.4 percent to 4.27 billion euros, while Eastern Europe showed a 30 percent; Asia, a 14 percent increase; Latin America, a 6.9 percent increase; and Western Europe a 3.9 increase.

“Since September, we have noted a clear slowdown in some markets in western Europe and North America, and have been confronted with a contraction of purchasing by some distributors in the current economic crisis,” said chief executive officer Jean-Paul Agon in a statement. “[L’Oreal] distributors in the United States and some European countries are being very cautious and are reducing inventories.”

The company predicted in August “close to a 6 percent” rise in organic revenue and are now saying approximately 4 percent for the year. Organic sales are already slowing, showing an increase of 2.7 percent this quarter, compared with a 5.1 percent increase in the second quarter.

L’Oreal is the third major cosmetics to cut its predictions in three days. Estee Lauder Cos. announced their changed forecast Tuesday, and Avon Products Inc. lowered their forecast Thursday.

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Bare Escentuals announces third quarter 2008 results

BY DSN STAFF

SAN FRANCISCO Cosmetic company Bare Escentuals announced Thursday their 2008 third fiscal quarter results ending Sept. 28, 2008.

Net sales for the third fiscal quarter were $130.2 million, a 3 percent increase from $126.6 million in the same period last year. Third-quarter net income was up 12 percent, from $20.5 million, or $0.22 per diluted share, to $22.0 million, or $0.25 per diluted share.

For the nine months ended September 28, 2008, Bare Escentuals reported a 12 percent increase in net sales from $366.4 million in the same period last year to $409.1 million this year. Net income showed a 20 percent increase from $61.1 million, or $0.66 per diluted share, to $73.4 million, or $0.79 per diluted share. The company expects a 10 percent sales and earnings growth compared to last year.

“While the challenging economic climate is clearly putting pressure on the consumer, we continue to grow although we recognize that we can do things better,” said Leslie Blodgett, chief executive officer. “We are taking proactive steps to further distinguish ourselves from competition, strengthen and grow our customer base, and extend our leading market share.

“We recently took actions aimed at rationalizing the operating and cost structure of the company. The result is a leaner and more effective organization, which we believe is necessary to navigate the current difficult economic environment and best position the company for sustained, profitable growth.”

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