Reckitt Benckiser reports higher sales on back of increased adspend

LONDON - Reckitt Benckiser, owner of brands including Nurofen, Strepsils and Finish dishwashing tablets, increased its global media spend by 26% to more than £800m in 2008 - over 12% of its revenue.

Cillit Bang
Cillit Bang

The increase came despite Reckitt's decision early this year to move a chunk of its £100m UK ad budget away from Five and ITV to fund its return to Channel 4.

The healthcare company increased revenues by 25% to £6.6bn, with like-for-like growth of 10%.

In Europe, which makes up half of its revenue, it increased revenue by 5% to £3.3bn through Vanish Oxi, Calgon, Harpic and Airwick products.

Growth in its health and personal care business came principally from Nurofen and Strepsils, following increases in marketing.

Bart Becht, chief executive officer, said Reckitt Benckiser had an ‘excellent year in 2008 despite challenging conditions'.

‘All regions and all 17 Powerbrands contributed to this growth, supported by significant media investment and successful innovations such as Vanish Intelligence and Finish Max in 1.'

The company expects to grow revenue by 4% in 2009 with the launch of new Vanish, Cillit bang, Veet and Harpic products.

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