AVON PRODUCTS

'Avon Products, Inc.' is a US cosmetics, perfume and toy seller with markets in over 135 countries across the world and sales of $8.1 billion worldwide as of 2005.
Traditionally a direct marketing company, Avon's fastest growing markets today are in China and Russia. Currently, the company is headed up by Andrea Jung, the company's chairman and CEO, who was promoted to the position in 1999. Avon uses both door-to-door sales people ("Avon ladies," primarily) and catalogs to advertise its products, but in some markets (most notably China, which had banned all door-to-door selling before mid-December 2006) Avon products are sold primarily in retail stores.
Avon's product lines include Avon Color, Anew and Solutions, Skin-So-Soft and Naturals, as well as various perfumes, pieces of jewellery and clothing.
Although the company has always been more directed towards female customers, Avon's line of male products continues to expand, and its children's products (such as shampoos and toys) have also proved successful. Two recent brand diversifications, "mark." (targeted to younger, college-aged women) and "M" (an Avon catalogue for men), have helped the company reach out into markets it traditionally has not serviced.
Mark. proved to be extremely successful in reaching a new generation of recruits, primarily ages 18-25, with a monthly "magalog" featuring award-winning products.
In addition to its corporate pursuits, the Avon corporation is involved in philanthropic causes, primarily centered on domestic violence, women's empowerment and health issues such as breast cancer.
In 2007, Reese Witherspoon signed a multiyear agreement to serve as Avon's Global Ambassador. The actress will be involved in product development, appear in advertisements, and will serve as the honorary chairman of the Avon Foundation.

Contents

History

Corporate governance

Avon in popular culture

History

The company was founded in 1886 by then 28-year-old David H. McConnell who originally sold books door to door and gave out perfume to entice woman to buy his books. His perfume became so popular that eventually that is all the woman wanted. He then founded the 'California Perfume Company' (CPC) in New York, New York in a 500 square foot manufacturing and shipping office at 126 Chambers Street. As the company grew, he then hired his first representative Mrs. Albee. In 1897, McConnell built a small (3000 square foot) laboratory in Suffern, New York; by 1971 the lab would grow into the Avon Suffern Research and Development facility; in 2005 they opened a $100 million dollar 225,000 square foot R&D "glass curtain" facility to house its over 300 Research and Development Scientists on the original site in Suffern, NY. In 1906, the West Coast office in San Francisco was destroyed in the Great Earthquake of that year. Offices open in Luzerne, Pennsylvania and Davenport, Iowa.
In 1914 the first non-US office was opened in the Canadian province of Quebec. By 1918, five million units were sold in North America, and by 1928, sales reached $2 million. In October, 1939, the name was changed to 'Avon Products, Inc'. The company was taken public in 1946. By 1954, sales reached $55 million, and the famous "Avon Calling" advertising campaign introduced. By 1979, sales reached $3 billion, with one million direct sales agents. Today sales exceed $8 billion worldwide.

Corporate governance

Current members of the board of directors of Avon Products, Inc. are: Don Cornwell, Edward Fogarty, Stanley Gault, Fred Hassan, Andrea Jung, Susan Kropf, Maria Lagomasino, Ann Moore, Paul Pressler, Paula Stern, and Lawrence Weinbach.

Avon in popular culture

Because of the familiar catchphrase for their sales representatives -- "Avon Ladies," they have become a popular trademark and have been featured in a handful of fictious works.

★ In the 1983 film, Strange Invaders, one of the aliens poses as an Avon Lady.

★ In Amalgam Comics, the frequent "Avon calling" catchphrase is used by Dare The Terminator.

★ The 1990 Tim Burton film ''Edward Scissorhands'' features the character Peg Boggs who is an Avon Lady. Avon is also mentioned in the ''Animaniacs'' parody of that film, ''Skullhead Boneyhands'' with Mr. Skullhead.

★ In Hannibal by Tom Harris, a shotgun which fires a shell filled with lead dust used by the FBI for breaking locks is referred to as "Avon Calling"