Multichannel Merchant
SkyMall--the co-op catalog that leaves airline passengers drooling over exotic gadgets like the Bark Free Dog Barking Control--is mailing its first in-home catalog next week to about 500,000 homes. The new book will be a "best of" edition, featuring the same retail partners as the in-flight version, according to Christine Aguilera, president of the Phoenix-based company. The home catalog will be 40 pages--appreciably thinner than the 180-page catalogs found in plane seat pockets--and will have a different look and feel. Pages will be organized by product type rather than by catalog partner. The catalog already has a Web presence: …
The Wall Street Journal (subscription required)
A half-dozen big-spending marketers--including General Motors, American Express and Sprint Nextel--withdrew their support from the "Imus in the Morning" radio show yesterday, and a host of smaller companies did the same. In a statement, NBC News said that it would no longer simulcast the Imus radio program; it later denied the decision was due to advertiser pressure. Most of the advertisers to pull their ads in the past couple of days were big national advertisers with commitments to MSNBC, rather than to the radio broadcast. Much radio advertising is bought on a market-by-market basis, unlike cable channels. The impact …
Brandweek
Baby boomers have an average of $315 per month in disposable income, according to research firm BoomerEyes, and a lot of them are spending a portion of it online. Seventy-one percent of 50-64 year olds and 84% of 30-49 year olds report high Internet usage, according to a survey of 1,110 respondents by the company, which devotes itself to studying boomers' influence on American society and the economy. Boomers who took the survey--which was itself online--say they most often shop online for travel (58%), books (57%), clothes (57%) and electronics (50%). Nearly 40% of those with kids …
MSNBC/AP
Drew Barrymore is joining former idols, such as Cheryl Tiegs and Christie Brinkley, as CoverGirl's newest model and spokeswoman. The 32-year-old "Charlie's Angels" actress is also a co-creator of the ads that will feature her. Before any wardrobe or beauty decisions were made at Monday's print shoot, Barrymore says she consulted on the concept, graphics, lighting and how the photo would be cropped. Barrymore's selection by the Procter & Gamble Co. beauty brand was announced yesterday at a news conference in Los Angeles. While honoring the "tradition" of past models, Barrymore says she will bring her own …
USA Today
Sun Nutrition--a small Santa Barbara, Calif., maker of beverage and wellness products--is announcing today that Lance Armstrong is joining the company as chief spokesman and part-owner. The seven-time Tour de France winner and cancer survivor will appear in ads and on packaging for Sun's FRS (Free Radical Scavenger) energy drink. The vitamin-rich drink has cult-like status in some athletic circles--from bike shops to pro teams. Consumers and marketers have recently become enamored with antioxidants, which are nutrients that can protect cells from damage due to oxidation. At 25 calories, one can of FRS has about the same amount …
The Wall Street Journal (subscription required)
Medifast--which sells low-calorie meal replacements such as soups, shakes, oatmeal and granola bars--hopes to increase direct sales to customers after years of targeting doctors. Its first TV infomercial will be based on a talk-show format, drawing on health and medical experts to position Medifast as a solution for obesity rather than a quick fix. The company spent $5 million on information technology, manufacturing and distribution upgrades last year. It hopes to expand by franchising its weight-loss clinics and increasing advertising spending and online support. NutriSystem, one of Medifast's main rivals, got rid of its franchised weight-loss centers …
The New York Times
Loblaw Companies--Canada's largest grocery chain and once one of North America's most innovative retailers--has decided that the best defense against Wal-Mart is to return to basics and narrow its efforts in nonfood products. It will also concentrate on a line of inexpensive clothing sold under the Joe Fresh brand. Galen G. Weston, 34--who succeeded his father, W. Galen Weston, as Loblaw' executive chairman five months ago--is leading the charge. With Wal-Mart's expansion into the Canadian grocery market, Loblaw's previous management tried to respond to by becoming more like Wal-Mart. But when the televisions, flashlights, air-conditioners, arm chairs, camping …
MSNBC/AP
Attorneys for Merisant Co., which makes Equal and NutraSweet, told jurors in U.S. District Court in Philadelphia yesterday that the advertising and packaging for McNeil Nutritionals' Splenda misled consumers into thinking that it was safer and healthier than other artificial sweeteners. McNeil initially marketed Splenda with the tagline, "Made from sugar so it tastes like sugar. But it's not sugar." After disappointing sales, the company dropped the last sentence and sales skyrocketed, according to Merisant attorney Gregory LoCascio. McNeil officials desperately fought to keep Splenda from being positioned in the marketplace as an artificial sweetener, a label they felt …
USA Today
The emotional and psychological distance between childhood and the teen years is getting shorter--a phenomenon many marketers call KGOY for "kids getting older younger." Retail consultant Ken Nisch says it shouldn't be a surprise that kids are tired of toys and kid clothes by 8, considering they are in preschool at 3 and on computers at 6. As a result, marketers now target 9-year-olds with apparel and accessories once considered only for teens, he says. With their keen but shifting senses of style, tween girls present some of the biggest rewards and challenges for retailers and brands. What's called …
The Wall Street Journal (subscription required)
Replenishing its racks with new clothes as often as once a week is helping the Benetton brand get its groove back after years in the retail doldrums. Its success underscores how logistics can be as important as style in the increasingly cutthroat business of mass-market apparel. Benetton Group SpA recently invested more than $160 million to streamline the supply chain of its brands, which also includes casual-wear labels Sisley, Killerloop and Playlife. The company posted its best results in years in 2006, as revenues jumped 8.4% to about $2.5 billion, and it started to claw back the market share …