Neutrogena Operations and Supply Chain
Bentley University
Value Creation Team Project
Operations Analysis
GB 214 Marketing and Operations Fundamentals
Team 5
Anh Nguyen, Josh McDonough, Sam McDonald, John McPadden, Suzette Schand, Darnel Pittman
Bravo
February 10, 2015
Company Overview
“Neutrogena is a $1.6B franchise and a Top 3 consumer brand for Johnson & Johnson
(J&J) globally.” Neutrogena was founded by Emanuel Stolaroff in 1930 as Natone. Natone
1
began as a small supplier to beauty salons usually associated with the glamour of the film industry. By the 1940's, Natone began manufacturing and distributing cosmetics for the retail market. Stolaroff switched from the cosmetic market to the skincare market after distributing a pH balanced soap from a Belgian chemist, Dr. Edmond Frost. This soap was called Neutrogena and due to its ability to clean the skin and maintain the normal pH of the skin in less than eleven seconds Neutrogena was a success when distributed in United States. The soap became the company’s image. In 1962, Natone changed its name to Neutrogena and became a trusted brand.
In 1973 Neutrogena emerged into the haircare industry. Today, Neutrogena carries products for cleansing, acne, moisturizing, antiaging, body & bath, cosmetics, sun protection, hair, and men.
Neutrogena markets its products as the leading brand in the soap/beauty industry as “#1
Dermatologists Recommended.” Neutrogena’s products are distributed in over seventy countries.
In 1973, Neutrogena was listed as a publicly traded company on NASDAQ, (NGNA)
2 with a market value of $1.2M. By 1994, Neutrogena became part of Johnson & Johnson corporations for $9.2M. Neutrogena has been owned by J&J since 1994, and its stock price is
$101.53 (2/3/15). Product Description
Neutrogena sells 37 products that range from facial cleansers, to cosmetics. In this project, we will focus on Neutrogena’s acne skincare line which includes facial
Value Creation Team Project
Operations Analysis
GB 214 Marketing and Operations Fundamentals
Team 5
Anh Nguyen, Josh McDonough, Sam McDonald, John McPadden, Suzette Schand, Darnel Pittman
Bravo
February 10, 2015
Company Overview
“Neutrogena is a $1.6B franchise and a Top 3 consumer brand for Johnson & Johnson
(J&J) globally.” Neutrogena was founded by Emanuel Stolaroff in 1930 as Natone. Natone
1
began as a small supplier to beauty salons usually associated with the glamour of the film industry. By the 1940's, Natone began manufacturing and distributing cosmetics for the retail market. Stolaroff switched from the cosmetic market to the skincare market after distributing a pH balanced soap from a Belgian chemist, Dr. Edmond Frost. This soap was called Neutrogena and due to its ability to clean the skin and maintain the normal pH of the skin in less than eleven seconds Neutrogena was a success when distributed in United States. The soap became the company’s image. In 1962, Natone changed its name to Neutrogena and became a trusted brand.
In 1973 Neutrogena emerged into the haircare industry. Today, Neutrogena carries products for cleansing, acne, moisturizing, antiaging, body & bath, cosmetics, sun protection, hair, and men.
Neutrogena markets its products as the leading brand in the soap/beauty industry as “#1
Dermatologists Recommended.” Neutrogena’s products are distributed in over seventy countries.
In 1973, Neutrogena was listed as a publicly traded company on NASDAQ, (NGNA)
2 with a market value of $1.2M. By 1994, Neutrogena became part of Johnson & Johnson corporations for $9.2M. Neutrogena has been owned by J&J since 1994, and its stock price is
$101.53 (2/3/15). Product Description
Neutrogena sells 37 products that range from facial cleansers, to cosmetics. In this project, we will focus on Neutrogena’s acne skincare line which includes facial