Portfolio | March 2014

Page 17

Observer

15

Amanda Hernandez retrieves Johnson & Johnson products for testing.

BUSINESS NEWS IN BRIEF

The Customer is Always Right

ingredients in their products. The complex

Johnson & Johnson has removed two questionable chemicals from baby products due to consumer pressure, reports Katie Thomas.

re-engineering of some of Johnson &

effort carries both risks and rewards for the health care giant – it requires difficult Johnson’s most beloved brands, but success in the marketplace could serve as a muchneeded boost. Cathy Salerno, vice president of research and development for the company’s consumer products division in North

The only hinT ThaT someThing

America, said she had seen consumer

companywide effort to remove an array of

attitudes change significantly over the past

Johnson’s Baby Shampoo arriving on store

increasingly unpopular chemicals from its

decade. When Johnson & Johnson acquired

shelves are two words: “Improved Formula.”

personal care products, and is the biggest yet

Aveeno, the natural skin care company, in

by a major consumer products manufacturer.

1999, it polled customers about their interest

100 other baby products sold by Johnson &

Johnson & Johnson has also promised to

in the brand’s ingredients. The answer

Johnson, isn’t so much about what’s been

remove such chemicals, and others, from all

demonstrated little consumer concern about

added; it’s what’s missing. The products

of its consumer products by 2015.

the details. “They’re telling us the opposite

What’s different about the shampoo, and

© 2014 New York Times News service

The move is the first step in a

is different inside millions of bottles of

now,” she said.

no longer contain two potentially harmful

In doing so, the company is navigating a

chemicals, formaldehyde and 1,4-dioxane,

precarious path, investing tens of millions of

Other manufacturers are also responding

that have come under increasing scrutiny

dollars to remove the chemicals while at the

to these concerns. Wal-Mart has announced

by consumers and environmental groups

same time insisting that they are safe. The

that it would eventually require suppliers

in recent years. In response to consumer

company is responding, executives said, to

to reduce or eliminate 10 chemicals from

pressure two years ago, the company pledged

a fundamental shift in consumer behaviour,

cleaning and personal care products. Target

to remove both chemicals from its baby

as an increasingly informed public demands

has said it would monitor suppliers’ use of

products by the end of 2013, and in January,

that companies be more responsive to their

potentially harmful chemicals, then give

it said that it had achieved that goal.

concerns, especially when it comes to the

incentives to companies that use safer

March 2014


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