brita, burt's bees, and greenworks - leveraging sustainability at clorox
DESCRIPTION
Burt's Bees, Brita and GreenWorks? All successful companies with a positive sustainable image and brand power in a struggling economy...Discover how they manage to grow and thrive with Mike Kraft of The Clorox Company!TRANSCRIPT
The Clorox Company
Learning From the Field Since
Sustainable Brands 2008
Mike Kraft- Sr. Manager Environmental Sustainability
The Clorox Company
The Clorox Company
Total FY08 Sales of $5.3 Billion
Home Care (17%)
Auto Care (4%)
Charcoal (9%)
Dressings & Sauces (8%)
Cat Litter (7%)
Brita / Canada (8%)
Laundry Care (12%)
International (16%)
Glad (16%)
Sales of Professional Products Division allocated to each business unit
Burt’s Bees (2%)
The Clorox Company
Key Consumer Insights
The Clorox Company
Consumers are Most Concerned with Their Own Environment
Yard
My Environment
The Environment
Within My Control — “Immediate”
Outside of My Control — “Long-
Term”
WorldParks Community
Work
Car
Family/Home
Local NaturalEnvironment
Body
Consumer Definition of “My” Environment vs. “The” Environment
The Clorox Company
Four Key Motivators Drive Interest in the Environment
Personal ProtectionThe environment Is getting worse and I need to protect myself and my family
CostBy reducing and re-using my family’s
consumption, I can save money
StatusLetting others know I care about the
environment shows that I am responsible
AltruismImproving the environment by minimizing
human impact is the right thing to do
The Clorox Company
Green Trend & Consumer Behavior in Tough Economy
• Green Trend Outlook– Consumer attitudes towards green are fundamentally solid– Structural forces continue to institutionalize green– Green product launches accelerating (including major CPG’s and Private
Label)– Green products continue to grow
• Consumer purchasing clearly affected by economy– Tighter budgets driving consumer to prioritize– “My environment” focused products offering cost savings and/or personal/family
protection at reasonable premium fare best
The Clorox Company
Three Clorox Examples:
• In me
- Brita® Water Filtration System
• On me
- Burt’s Bees® Natural Personal Care Products
• Around me
- Green Works™ Natural Household Cleaners
The Clorox Company
A More Sustainable Alternative to Bottled Water
The Clorox Company
Saves Money Cheaper than bottled
water
Good For MeHealthy, great tasting
filtered water
Brita™ Water FiltrationA Broadened Positioning Addresses Consumer Needs on Multiple Vectors
Good For The PlanetReduces plastic bottled
water waste
The Clorox Company
New Brita TV Spot
The Clorox Company
Strong Retail Earth Month Support
The Clorox Company
+ = 50,000 plastic water bottles eliminated
The Clorox Company
Closing the Loop with Preserve®
==++ ==
The Clorox Company
Brita® Business Results
• In Tough Economy– Continued Double-Digit Growth
– Continuing to Grow Share
The Clorox Company
“Burt’s Bees make people’s lives better every day - naturally.”
The Clorox Company
Burt’s Bees® Natural Personal Care Products
Lip Face Body Hair Baby Outdoor &
Natural Remedies
Gifts
Kits
The Clorox Company
Bee-utify Your World Mobile Tour
The Clorox Company
The Clorox Company
The Natural Standard for Personal Care Products
• Developed in 2008 by the Natural Products Association with Burt’s Bees and leading Natural Personal Care companies
• Provides consumer with standard definition of “natural” for personal care products
The Clorox Company
Business Results
Expanded “Hive” shelf presence into 2,500 Wal-mart stores
Leader in natural personal care with 27% share, double that of
number two player
Business continues to grow in size and share - slowed by the
economy
Natural Personal Care category continues to outpace conventional personal care
The Clorox Company
powerful cleaning. done naturally.
The Clorox Company
Leading the way with Green Works™ Natural Cleaners
• First major CPG player to enter natural cleaning
• First natural cleaner with national distribution and brand-building investment
Over the past year…..• Added to initial product line-up by launching Green Works™ natural glass
cleaner, natural cleaning wipes and natural dishwashing liquid
• Green Works™ established as the number one brand in natural cleaning with the number one product in each category in which we participate
• Natural cleaning category growth tripled in the first year of launch*
• Green Works™ natural cleaners established strong consumer brand recognition
*IRI FDKT
The Clorox Company
“When you think of ‘green’ or an environmentally-friendly product, what is the first consumer product that comes to mind?”
0%
1%
2%
3%
4%
5%
6%
CloroxGreenWorks
ToyotaPrius
SimpleGreen Windex Seventh
GenerationMethod GE
Yale Green IQ Green Consumer Survey 2008 – Yale School of Management, Yale School of Forestry & Environmental Studies in collaboration with McKinsey & Company
Strong Brand Recognition within First Year
The Clorox Company
The Clorox Company
Green Works™ TV Spot
The Clorox Company
Strong Earth Day Retail Programs
The Clorox Company
Green Works™ Natural Cleaners Partners
The Clorox Company
Green Works™ Business Results
• 45%+ share of a natural cleaning category still growing by strong double digits*
• Number one in every category in which we participate
• Already a $100MM brand
• Strong consumer repeat purchase trends
*IRI FDKT
The Clorox Company