Revlon Ida

CORPORATE visibility ? ? ? ? Revlon is a worldwide cosmetics, pilus color, beauty tools, fragrances, sputtercare, anti-per spirants/deodorants and beauty care products connection. Revlon is a global color cosmetics, hair color, beauty tools, fragrances, skincare, anti-per spirant / deodorants and beauty care products company Websites featuring current product and promotional information arouse be reached at www. revlon. com, www. alwhitethorn. com and www. mitchumman. com. The Companys brands, which are interchange worldwide, include Revlon, Almay, ColorSilk, Mitchum, Charlie, Gatineau and Ultima II.CORPORATE PROFILE CONT Type Public Traded as NYSE REV Industry Cosmetics, skin care, fragrance, individual(prenominal) care Founded 1932 Founder(s) Joseph & Charles Revson, Charles Lachman Headquarters brand-new York City, New York, unify States Key people Alan T. Ennis, President and CEO CORPORATE PROFILE CONT Revenue US$1. 3 jillion (2009) Operating income US$170. 8 million (20 09) Net income US$821. 20 million (2009) Total assets US$794. 20 million (2009) Employees 6,800 Parent MacAndrews & Forbes Holdings 60% (74% of votes) FMR Corp. 20% Website http//www. evlon. com/(US) VISION & MISSION Revlon Inc. Vision is Glamour, Excitement and base through High-quality Products at Affordable Prices. ? Revlon Inc. Mission is to emerge as the leader in cosmetic and personal care throughout the world. Revlon takes pride in manufacturing the top skin care and strives to please young and sometime(a) woman alike. ? HISTORY ? ? ? ? Revlon was founded in the midst of the Great Depression, 1932, by Charles Revson and his brother Joseph, a persistent with a chemist, Charles Lachman, who contributed the L in the Revlon name.Starting with a single product a brand-new type of nail grace the three founders pooled their resources and breaked a unique manufacturing process. Using pigments instead of dyes, Revlon developed a variety of new shades of opaque nail enamel. In 1937, Revlon started selling the polishes in department stores and drug stores. HISTORY CONT In six years, the company became a multimillion dollar organization. ? By 1940, Revlon offered an entire manicure line, and added lipstick to the collection. ? During World fight II, Revlon created makeup and related products for the U.S. Army, which was honored in 1944 with the Army-Navy E Award for Excellence. ? By the end of the war, Revlon was listed as angiotensin converting enzyme of Americas top five cosmetic houses. ? REVLON IN INDIA ? Revlon was the first International Color Cosmetics brand to be launched in India (1995). ? It all began in the year 1994, with formation of Modi-Revlon Pvt. Ltd. , a collaboration in the midst of Modi-Mundipharma Pvt. Ltd. (a joint venture between the Umesh K. Modi Group of India and Mundipharma Group of Switzerland) and Revlon of USA.REVLON IN INDIA CONT ? Today, Revlon is a name to reckon with in the beauty industry in India. It has added glamour and color to the lives of many a women to make them look and feel beautiful and confident. ? ? Revlon has brought to the modern Indian women the excitement and fun of experimenting with trend setting colors and innovative products. The company offers an extensive range of spicy quality products in different categories namely, color cosmetics, skincare, fragrances, hair care and hair colors. ? REVLON IN INDIA CONT ?Revlon in India enjoys commodious consumer franchise with its world famous brands like Super Lustrous, Revlon Nail Enamel, Colorstay, Street Wear, Revlon compulsive C, Flex, Charlie , Fire & Ice, Colorsilk and many more than. Modi-Revlon ceaselessly continues to introduce new products and color trends retentivity in view the preferences of the Indian consumer. It draws expertise from Revlons state-of-the-art Research Center in Edison, New Jersey (USA) and complies with its stringent product quality standards. ? ? FAMOUS BRANDS FAMOUS BRANDS FAMOUS BRANDSTOP COMPETITOR S FOR REVLON, INC. Avon Products, Inc. ? The Procter & Gamble Company ? LOreal SA ? nerd ANALYSIS STRENGTH ? ? ? ? ? ? ? ? ? ? ? Revlon is the major player in cosmetics, skin care, fragrance and personal care products. It has long history of 75 years. Famous brand especially among the womens. Despite of heavy debt and net losses from blend in few years. Product development is the main focus area for Revlon. Strong research and development. Revlon products are sold in more than 100 countries. Revlon 43 percent sales are from United States grocery.It has been supporting some(prenominal) health programs for Women. Advertising is one of the key areas for Revlon. Revlon aims to provide quality products. Distribution channels are puff up managed that the reason Revlon products are used in more than 100 countries of the world. bone up ANALYSIS Weaknesses Weak pecuniary position due to net losses and heavy debts. Cutting down number of jobs reduce employee self-assertion on the C ompany. Continuous changes in the Organizational Structure may impact the performance for employees. Besides advert other marketing areas are he weak. SWOT ANALYSIS Opportunities Revlon is currently facing financial problems so joint ventures or partnership with other players in the industry may open the doors of new opportunities. utilize all marketing methods to promote its products it will help to boost the sales of the company. Develop products for male segment. SWOT ANALYSIS Threats Intense competition with major players of the industry including Procter & Gamble, Unilever, LOreal, Rapid changes in fashion may require heavy budgets for product development & marketing.Revlon has to find some financial assistance to support its proceeding to sustain its position in the industry. Revlon selling its products through websites but it havent made efforts to develop relations with the customers through online channels. Government instability and variation in exchange rate i n few countries Focused towards woman segment PRODUCTS Eye Products ? Face Products ? Lip Products ? Nail Products ? Skin Care Products ? center of attention PRODUCTS FACE PRODUCTS LIP PRODUCTS NAIL PRODUCTS SKIN CARE PRODUCTS BORROWED STRATEGYIn the 1960s, Revson Segmented Revlon Inc into different divisions, each foc exploitation on a different market. ? He borrowed this strategy from General Motors. ? Each division had its own bottom customer ? a. b. c. d. e. f. Revlon, the largest and most popular-priced brand Princess Marcella Borghese, upscale/international Ultima II, premium Natural Wonder, juniors Moon Drops, dry skin Etherea, hypo-allergenic SALES STRATEGY Revlons entrance into the Japanese market was typical of its international sales strategy. ? Instead of adapting its ads and using Japanese models, Revlon chose to use its basic U.S. advertising and models. ? Japanese women loved the American look, and the sales for 1962 came to almost $164 million. ? strategic GOAL ? Strategic Goal is to cyberspaceably grow their business organisation. 2011 was a year of many notable achievements, as they continued to execute their business strategy despite continued uncertain global economic conditions. ? From a financial perspective, they grew net sales for the second year in a row, sustained competitive in operation(p) margins, achieved their fourth consecutive year of positive free cash flow and improved their capital structure. From a marketplace perspective, they introduced innovative, high-quality, consumer-preferred products crossways their entire portfolio, they acquired the SinfulColors brand, and they signed two of Hollywoods most sought-after actresses, Emma endocarp and Olivia Wilde, as Global Brand Ambassadors for their Revlon brand. ? ELEMENTS OF BUSINESS STRATEGY They are focused on the five elements of their business strategy, specifically, to ? (i) build their strong brands ? (ii) develop their organizational capability ? (iii) drive their company to act globally ? (iv) improver their operating profit and cash flow and ? v) improve our capital structure. DEBT LIMITS FLEXIBILITY ? But, heres our concern Revlons balance woodworking plane is heavily loaded with debt, so much so that in 2007, the interest payments due distanceed its operating profit (as measured by EBIT) for that year. Even in 2009, the interest payments exceeded 60% of EBIT, making the earnings highly vaporizable and vulnerable to market fluctuations and interest ratesy. ? DEBT LIMITS FLEXIBILITY ? As a result, Revlons R authoriseing at 1. 7% of sales amounting to $24 million is dwarfed by LOreals 3. 7% at $666 million. Also, given Revlons sales at good to $1. billion compared to $24 billion for LOreal and $7. 9 billion for Estee Lauder leaves it with much less money to spend on marketing, a crucial factor for success in cosmetics industr ? CORPORATE CSR Overview of Revlons Corporate Social debt instrument manikin ? Please find in the link below Revlons Corporate Social Responsibility Framework (the Revlon CSR) which is disseminated to all of our employees worldwide. ? The Revlon CSR is monitored and overseen by two of our most senior executives our Chief Science Officer and our Chief administrative Officer. The Revlon CSR includes the Purpose, Standards and Measurements in each of the key areas of Safety, Social, honourable, Regulatory and Environmental. ? CORPORATE CSR The stated purposes are as follows ? Safety let our consumers with highquality, safe and efficacious products and our valued employees with a safe workplace. ? Social Enhance womens lives through our products and philanthropic efforts. ? Ethical Conduct business in an ethical manner. ? Regulatory Ensure that our products and operating facilities meet or exceed all applicable standards, globally. Environmental Reduce the environmental impact of our operations. ? WHAT IF REVLON FOCUSED ON COLOR COSMETICS AND PHASED appear SKIN CARE AND/OR FRAGRANCES? Rev lon is most well known for color cosmetics and commands a significant market share of over 20% in US, which itself constitutes over 18% of the global market for color cosmetics. ? Given, the company average EBITDA margin(Earnings before depreciation, impairment and amortization) for color cosmetics and moderate growth rates in excess of 3%, it would be reasonable to focus on this product segment and to further strengthen Revlons market share in the same. We estimate that color cosmetics constitute over 60% of Trefis price estimate of Revlons stock. ? CONCLUSION ? In the current scenario, there is forecast Revlon to lose share in the future across all product segments due to its inability to match the competition in marketing and R&D. ? Hence, stress the limited funds available on a few preferred product categories presents a more viable option for the future