Unilever sales suffer in Western Europe
By Daniel Farey-Jones, marketingmagazine.co.uk, Thursday, 04 February 2010 10:10AM
LONDON - Unilever has reported a 4.2% year-on-year drop in underlying sales in Western Europe to €2.86bn in its fourth quarter results, but said there has been an encouraging trend in quarterly volume growth.
The company said its Western Europe operating margin before restructuring, disposals and other one-off items was down 2.4% in the year, largely due to a substantial increase in marketing investment and the negative impact of a weaker sterling exchange rate on its UK business.
The company's global fourth quarter turnover was down 4.8% year on year to €9.66bn, though underlying sales growth (excluding the effects of acquisitions and disposals) was 1.8%.
The market segment Unilever experienced the most growth in was home care, with underlying sales up 7.1%, thanks to brands such as Surf and Comfort.
In personal care, sales grew by 5.3% and there were "encouraging early results" from the launch of its Dove for Men + Care range in Italy, France, Spain and Benelux. The company added that the US launch of Axe (known in the UK as Lynx) extension, Axe Hair, was "successful".
The ice cream and beverages division increased underlying sales by 4% but sales in the savoury, dressings and spreads division they decreased by 0.1%.
Unilever is currently reviewing its global media account, the bulk of which is held by WPP's Mindshare.
Read more on Brand Republic
This article was first published on marketingmagazine.co.uk
- Social Media Manager/Director Pitch Consultants £Highly competitive + benefits, Leicestershire
- Senior Online Trading/Commercial Manager Pitch Consultants £Highly competitive + benefits, Leicestershire
- Video Sales Account Manager Salt £35 - £45 per annum + Com, City of London
- Senior Planner Buyer Dot-Gap £35k, London (Central), London (Greater)
- Assistant Brand Manager Ball & Hoolahan £28,000 per annum, South East England
- Google's European leader says viewing habits are 'changing dramatically'
- Martin Sorrell talks Maurice Lévy, Tesco, and the global outlook
- Tesco media review pits Initiative against MediaCom and ZenithOptimedia
- Land Rover to move global ad account into Spark44
- Viacom to bring Breaking Bad to Freeview with Spike launch
- 'Advertisers are snake oil salesmen', says Peter Oborne