EN SCA magazine SHAPE 4 2013 The new consumer

4.2013 A MAGA ZINE FROM SCA ON TRENDS, MARKETS AND BUSINESS
Looking
good
New targets
for the beauty
industry
THE
G
N
I
T
A
CRE T PLANT
PERFEC
Dine
like
a dane
The recipe
for a top
restaurant
THE
CONSCIOUS
SHOPPER
Consumer behavior is never
going to be the same
“Are you a conscious consumer?”
Jonas Ingerstedt
Photographer, Sweden.
Shape is a magazine from SCA,
primarily geared toward customers,
shareholders and analysts, but also
for journalists, opinion leaders and
others interested in SCA’s business
and development. Shape is
published four times a year. The next
issue is due in April 2014.
Publisher
Joséphine Edwall-Björklund
Managing Editor
Marita Sander
Editorial
Anna Gullers,
Ylva Carlsson, Inger Finell
Appelberg
Design
Markus Ljungblom, Maria Lindén
Appelberg
Printer
Sörmlands Grafiska AB,
Katrineholm
Address
SCA, Corporate Communications,
Box 200, 101 23 Stockholm,
Sweden.
Telephone +46 8 7885100
Fax +46 8 6788130
SCA Shape is published in Swedish, English,
Spanish, German, French, Dutch and Italian.
The contents are printed on GraphoCote
90 grams from SCA. Reproduction only by
permission of SCA Corporate Communications. The opinions expressed herein are
those of the authors or persons interviewed
and do not necessarily reflect the views of
the editors or SCA. You can subscribe to SCA
Shape or read it as a pdf at www.sca.com.
Address changes can done at
www.sca.com/subscribe or by e-mailing
[email protected]
4.2013 A MAGA ZINE FROM SCA ON TRENDS, MARKETS AND BUSINESS
Looking
good
New targets
for the beauty
industry
THE
CREATING
T PLANT
PERFEC
Dine
like
a dane
The recipe
for a top
restaurant
THE
CONSCIOUS
SHOPPER
Consumer behavior is never
going to be the same
Cover photo:
Caroline Roosmark
Today’s ‘I shop therefore I
am’ culture provokes me.
Trends are the biggest consumer trap, so instead of
slavishly following fashion
I’ve chosen classic furniture
for my home and timeless
clothing for my wardrobe.
Most of my favorite clothes
are between 10 and 20
years old. Style and quality
never go out of fashion. As
regards food, I’m meticulous about choosing organic
and additive-free food. And
I make sure that I never buy
or cook more than is actually consumed.
Malou van Breevoort
Photographer, Netherlands.
Definitely! Since my work
takes me to all corners of
the world I see with my own
eyes what we as inhabitants
do to this planet. I try to help
with small things. Making
sure to always consume
biological products, to turn
of electricity and heat when
not necessary, separate the
garbage and drive a bicycle
where possible.I drink only
water from the tap when
at home, since the plastic
bottles in the end are more
damaging then anything
else. In the future I would
love to have a private solar
system on the roof from our
apartment building.
Contributors
SCA’S SOCIAL MEDIA SITES
Youtube.com/
SCAeveryday shows
commercials and videos from SCA’s
press conferences, presentations
and interviews with executives and
employees.
Slideshare.com/
SCAeveryday
is for investors and analysts, who
can download presentations from
quarterly reports and annual general
meetings.
Facebook.com/SCA
is intended to attract
talent, engage users and provide
information in a way that complements sca.com.
Scribd.com/
SCAeveryday
makes some 50 publications available,
including SCA’s sustainability report,
its Hygiene Matters report and
Shape magazine.
Twitter.com/SCAeveryday
provides continious communication from SCA with a focus on sustainability.
Instagram/SCAeveryday
SCA photos from all across
the globe.
JONAS INGERSTEDT
CONTENTS
06.
Conscious customers
Today’s consumers are informed, engaged and have new shopping
habits. To succeed with them, companies need to adapt.
14.
Sailing peak
Australian Sophie Ciszek grew up on the water. Now she’s the
youngest member of Team SCA in the Volvo Ocean Race.
20.
Future demands
The paper industry faces huge challenges. SCA is entering new
segments to complement its paper production.
24.
Continuous improvement
By sharing best practises at SCA’s manufacturing sites the company
aims to improve operations.
34.
Looking good
The market for beauty and personal care products is booming.
ALSO...
12 HOURS with Jan Duin – pages 26–27
SHAPE UP pages 4–5
NEWS FROM SCA pages 41–43
DO YOU KNOW...
… where to find the world’s most exciting hotel in a tree? See page 5.
28
DANISH DESIGNER
Arne Jacobsen has
left his footprint at
the top restaurant
Alberto K.
TOP 8 IRRITATIONS
DURING CAR JOURNEYS
1. Dirty toilets at car parks,
roadside restaurants and
service stations (60%)
2. Traffic jams en route (59%)
3. Poor dining options (18%)
4. Long queues for the toilet (16%)
5. Long queues at the till at
roadside restaurants or
service stations (13%)
6. An overheated car (11%)
7. Arguments with your partner,
e.g. about the route or the way
they drive (10%)
8. Children in the back seat being
annoying (9%)
The survey was conducted by the
research bureau PanelWizard.
850 respondents aged 30 and over
took part in the survey.
Better go outside
ACCORDING TO ALMOST three-quarters
of Dutch vacationers toilet facilities at
parking lots, roadside restaurants and
service stations aren't up to standard.
The things that cause the most irritation
are unhygienic toilets, no toilet paper
and toilets that don't smell fresh. Many
would rather pee outside than use a dirty
roadside toilet. These were the findings of
in a recent survey by SCA’s Tork brand.
French toilet facilities in particular are
of a poor standard (51%), followed by
those in Spain (29%) and Italy (24%).
The German, Dutch and Danish
facilities came out the best. Vacationers avoid contact with the
toilet seat (80%), take their own
supplies of toilet paper with them
when they travel (74%) and take
extra care when cleaning their
hands afterward with disinfectant
hand gel (69%).
Did you
know that...
... flu viruses can survive on some
hard surfaces for up to two days? Flu
viruses can also survive on unwashed
hands for 30 minutes, and on cloth,
paper and tissues for up to 12 hours.
Source: Department of Health and
Ageing, Australian Government
3D printing
reduces surgical time
SURGEONS IN BELGIUM EMPLOY
paper 3D printing technology to save
hours on traditional surgical procedures. The surgeons often need to
reconstruct bones in a patient’s skull,
such as a jaw ravaged by cancer or an
4 SCA SHAPE 4 2013
eye socket crushed in a car accident.
Working from the digitally scanned
contours of patients’ bones, doctors
push a button to create full-size 3D
physical models they can use as
surgical guides.
F R E D R I K B R O M A N , H U M A N S P E C T R A – W W W. T R E E H O T E L . S E
SHAPE UP
Check out what’s happening
outside SCA
WELL-KNOWN
PHARMACEUTICAL
FOUND IN ROOT BARK
“Treehotel” has its
rooms among the
tree tops.
THE PAIN RELIEVER tramadol
has been found in the root
bark of a plant in Africa. This is
the first time that a previously
developed pharmaceutical
has later been found in nature.
The reverse is generally the
case – an active substance is
discovered in a plant and then
synthetically manufactured.
The discovery was made by
French, Swiss and Cameroonian researchers. They found
tramadol in the root bark of
the African bush Nauclea
latifolia, which grows in subSaharan Africa.
Top of tree hotels
“TREEHOTEL”, just south of the Arctic
Circle in Sweden, placed itself at the top
of CNN’s list of the world’s most exciting
tree hotels. The hotel has six individually
designed cabins suspended up to six
meters from the ground. Other recommended hotels: Walnut Tree Farm (Aljezur,
Portugal), Cap Cabane (Gironde, France)
and Red Kite Tree Tent (Powys, Wales).
www.treehotel.se
Best to grow
old in Sweden
THE MOST
COMMON TREE
THE AMAZON RAINFOREST is
home to 16,000 tree species,
according to a paper published in the journal Science.
A slender palm called Euterpe
precatoria is the most common tree in the Amazon. The
palm is a relative of the the
açaí palm Euterpe oleracea.
SWEDEN IS THE BEST country in the world
for pensioners, according to the first annual
Global AgeWatch Index ranking 91 countries.
Sweden achieved an overall value of 89.9
(out of 100) for the well-being of older people,
based on factors such as income security,
health status, employment and education.
The pension system was one reason that
Sweden was ranked at the top.
www.helpage.org/global-agewatch
SCA SHAPE 4 2013 5
Today’s consumers are smart, aware and engaged. Companies that understand how to harness this reality and deliver added value to their customers
have a bright future. Shape has identified six key consumer trends.
text SARA BERGQVIST illustrations LADISLAV KOSA
The consumer
seizes power
6 SCA SHAPE 4 2013
FOCUS: THE NEW CONSUMER
C ONSUMER BEHAVIOR has undergone
rapid change in recent years. The chief
difference between how we consumed
goods and services 15 years ago and
how we do it today is the Internet. The
digital explosion gives us access to nearly perfect
information at any time. Whether we are shopping online or in a store, nearly all purchases start
with a Google or similar search on a computer or a
mobile phone.
Today it is difficult to imagine a non-digital
world. And yet it has only been two decades since
you had to use a payphone when on the move, nobody knew what the Internet was and a home computer was an expensive luxury. Purchases were
made in physical stores, and the product range was
considerably smaller. Now we want everything all
the time – and we can have it.
SCA SHAPE 4 2013 7
FOCUS: THE NEW CONSUMER
This is the new
consumer
The new consumers share their experiences:
they read and write reviews, share information
through social media, and reject products and
companies that fail to live up to their values. In
particular, we make greater demands on companies to deliver solutions that are socially and
environmentally sustainable, and we expect total
transparency.
Another important development is the growing
percentage of older people in the world.
“Older people will soon make up a majority
of the voting population, and they have strong
political influence,” says Cecilia Gyldén, CEO of
Movement Consulting, which provides valuecreating consultancy to Nordic retail companies.
“They’re also a group with high spending power,
which will be very important in the future. We’re
going to see an increasing service offering, with
transport to and from the store, home deliveries,
wider store aisles, clearer shelf labels and easierto-open packaging.”
WHILE THE POPULATION is aging, the number
of people in the world is expanding. Estimates
are that the global population, around 7 billion
today, will reach 9 billion by 2050. This means that
more and more people will compete for scarce resources, increasing the pressure for more sustainable consumption. Recycling, reuse, secondhand
goods, new fuels, shared ownership of things like
cars and steps to reduce food waste are just some
of the trends that will steer future consumption
patterns.
The aftermath of the fi nancial crisis is also
significant.
“A tight budget means that many consumers
are looking for value,” says Ian Walters, commercial capability manager at IGD, a global leader in
providing information on the consumer goods
market. “They’re putting more effort into finding
good offers, while price is more important than
previously. The recession caused many consumers
to develop new habits, and it’s possible that some
consumers are sticking to this behavior despite
signs of economic improvement.”
8 SCA SHAPE 4 2013
Engaged
IN A WORLD WHERE we like to define
ourselves through our homes and what we
wear, we also want to keep an eye on what
our favorite brands are doing. We communicate through Facebook with companies and
their brands. The consumer reads and writes
blogs, interacts, attends previews and wants
to be first with the latest must-have item.
Smart companies know how to exploit
this. Apple manages to create a buzz around
its products long before they are launched.
The Starbucks coffee chain gets help from
its obliging customers on its website. At My
Starbucks Idea, customers can suggest new
“Sustainability has
become
a driving
factor, but
goals and
visions
are not
enough.”
products and services, which are then voted
on by other customers. The most popular
ideas can win up to 50,000 votes.
When the US drugstore chain Duane
Reade thought its pantyhose sales were too
low, it got customers to blog about the products. In return the blogger received a chance
to win an iPad and up to 300 US dollars’
worth of merchandise
“The company believed firmly in its product
and encouraged bloggers to write exactly
what they thought,” says Walters at IGD. “In
just six weeks bloggers had written nearly
3,000 posts and sales had risen 28 percent.”
Transparency-seeking
MORE AND MORE consumers are
demanding corporate transparency. They want information on the
company responsible for a product or service. The independent
trend analysis firm Trendwatching
says that brands need to move
from having nothing to hide to
proactively showing and proving
they have nothing to hide. The
Chinese organic producer Yi Mu
Tian has a traceability system that
allows consumers to trace each
product back to the field where it
was cultivated, while a webcam
enables them to see the vegetables growing. Another example is
the US Web application company
37signals, which lets all its customers say what they think of the
company, reporting the latest 100
responses on its website.
Eco-aware
SUSTAINABILITY HAS BECOME a driving
factor, but goals and visions are not enough.
Consumers love companies that show in
a concrete way that they care about the
environment, people and climate change.
The UK store Unpackaged and the US store
in.gredients sell all their foods unpackaged,
with customers providing their own containers. Ben & Jerry’s produces fair trade ice
cream and is strongly committed environmentally and socially, donating some of its
profits to nonprofit organizations. Social
enterprises go a step further. The Swedish
energy company GodEl donates all of its
profits to nonprofit organizations such as
Save the Children and Doctors Without
Borders.
Consumers laud their sustainability heroes
just as much as they loathe companies that
destroy the rainforest, use child labor or otherwise damage people’s lives and environment.
One company sharply criticized by consumers was the food company Dole, which tried
to silence a documentary filmmaker who
reported on ill effects of pesticide used by
banana plantation workers in Nicaragua. In
Sweden this resulted in the Max hamburger
chain boycotting Dole’s products.
SCA SHAPE 4 2013 9
Connected
WE ARE CONSTANTLY CONNECTED by mobile phone,
“The consumer
reads
reviews
of the
product
and the
company
on social
media.”
tablet or personal computer, and most purchases start
with an online search. It is thanks to the Internet and
social media that the consumer rules today. Services
such as PriceRunner make price comparisons easy.
Showrooming is a common practice today: the shopper visits a physical store to check out the merchandise
but purchases the product more cheaply online. But it
is not just the price tag that is the determining factor.
The consumer reads reviews of the product and the
company on social media and recommendation sites.
It’s easy to be a savvy customer today, and because
of social media the consequences for a company that
fails to deliver or behaves badly can be dire.
And we buy almost anything online today, items such
as food, clothing and electronics, and making higher
demands on the webstore. Apart from offering good
prices, the store should be simple to navigate, display
plenty of images, facilitate payment and offer fast
delivery. The online retailer Amazon offers same-day
delivery on certain goods in the UK.
Price-sensitive
IN MANY COUNTRIES the financial crisis is still
putting a brake on the economy and restraining
consumption. Using vouchers or other offers is
no longer considered shameful, but smart. We
like to boast about cheap flights, secondhand
bargains and designer clothes bought in the latest sale.
“Many consumers are spending more time on
a purchase to secure the best deal, particularly
in the case of more expensive products such as
a TV, furniture or a new car,” Walters says. “But
if the product is perceived as reliable, they’re still
prepared to pay a bit more.”
In tandem with this increased price consciousness is a “luxury trend” by which consumers
indulge in something special. This may be
described as a democratization of luxury, with
more people treating themselves to such things
as home tooth whitening and purchases of
expensive foods, exclusive chocolate, vintage
wines and designer clothes.
10 SCA SHAPE 4 2013
“Many consumers
are spending more
time on a
purchase
to secure
the best
deal.”
Trend sources: IGD,
Movement Consulting,
Trendwatching,
Forbes, Tradedoubler,
Nielsen, the Consumer
Goods Forum,
Starbucks, Ben &
Jerry’s, Apple, Asus,
Nike, 37signals,
Secuvie, The Body
Shop and GodEl.
FOCUS: THE NEW CONSUMER
Health-conscious
MORE AND MORE couch potatoes are getting off the sofa to cycle, walk, run and go
to the gym on a regular basis. We’re buying
tracksuits, equipment and gym memberships like never before. Meanwhile, interest
is increasing in organic products, functional
foods and other healthy fare, preferably
additive-free and prepared from scratch.
Even the cosmetics industry is affected by
increasing demand for natural products. One
company that has taken a strong stance
regarding both natural and ethically and environmentally sustainable and natural products
is the Body Shop.
SCA SHAPE 4 2013 11
SCA has its ear
to the ground
As a leading hygiene and forest products
company, SCA has to have its feelers out and
understand how consumers make decisions.
text SARA BERGQVIST
I
F YOU WANT TO UNDERSTAND
customer requirements, preferably
before they know it themselves,
you cannot rest on your laurels.
SCA is constantly working on new
innovations and analyzing future
trends. Along with this SCA uses
focus groups, surveys and home visits in which
customers are interviewed about their views on
the company’s products, what they are satisfied
with and what they would like to see improved.
One move is to ask customers to keep a diary and
make a photo collage of the products they use.
Apart from consumer surveys, SCA also looks
closely at consumer behavior in the store.
“Understanding what drives the actual purchasing decision and how the consumer navigates
around the store and at the shelf is key knowledge
today,” says Mats Kvarnung, VP market and business development, SCA.
Overall, this provides valuable information that
can be used across the whole chain from product
development and design to communications and
sales.
“One concrete example is Libero’s new packaging design, where we’ve color-coded our range,
making it easier and clearer for the consumer to
find the right size at the shelf,” Kvarnung explains.
In parallel, SCA uses independent trend analysts
who study both consumer trends and major social
trends. One of the most obvious trends at present
12 SCA SHAPE 4 2013
Mats Kvarnung, VP
market and business
development, SCA.
Frida Ohlander, brand
director, SCA.
is the aging population
in much of the world. To
gain insight into this growing customer group, SCA uses an
age-simulation suit, which encumbers the wearer
in order to produce the experience of being 30 to 40
years older. This suit is used internally to provide
knowledge for product development, design and
packaging, and externally to increase the understanding of older consumers’ needs by our retail,
hospital and eldercare customers. For SCA, this
change in age distribution primarily results in
increased demand for incontinence products.
“The TENA brand was the first in Europe to sell
incontinence products through a retailer in the
1980s,” says Svein Ryan, VP sales and marketing,
SCA. “In recent years we’ve seen our customers
focus even more on the incontinence category by
increasing shelf space and range to meet the needs
of aging consumers.”
ANOTHER KEY TREND affecting SCA is increased
digitization. In pace with an increasing number of
customers wanting to shop online, TENA has set
up webstores in several countries.
“We’ve also seen that other online and traditional retailers are very interested in further
developing this facility,” Ryan adds.
In Europe e-commerce accounts for a relatively
low share of total sales so far, but it is a channel
with a strong growth.
FOCUS: THE NEW CONSUMER
“One of the most
obvious trends at
present is the aging
population in much
of the world.”
“Our categories include the products that
are most attractive for online shopping,”
Kvarnung says. “Starting a family is the main
reason people change behavior and start shopping online. Today we’re collaborating with all
our key customers, such as retail group ICA, and
are involved in their ventures to set up their own
webstores.”
BUILDING STRONG customer relationships
through campaigns and advice via digital channels is a matter of course today.
“In Scandinavia we have several successful
examples of this,” Kvarnung says. “These include
Girls 1st, a Libresse initiative to provide advice
and support to young girls experiencing their first
period, as well as the Libero club where we communicate with new parents.”
PONTUS JOHANSSON
IT IS INCREASINGLY EVIDENT that consumers
SCA’s age-simulation
suit gives the wearer
the experience of being
30 to 40 years older.
This suit is used to
provide knowledge for
product development,
design and packaging,
and to increase the
understanding of older
consumers’ needs.
want to know that not only the brands purchased
are sustainable, but also the company behind the
products. Transparency has become an increasingly important issue.
“We consumers are today much more inclined to
research whether it’s a good company,” says Frida
Ohlander, brand director, SCA.
“If I’m buying a product, I want to know that it’s
produced in a sustainable way and that it’s a company that I can feel confident in and that treats its
employees well.”
SCA SHAPE 4 2013 13
10 QUESTIONS
Surfing or sailing? For Sophie Ciszek, who grew up with
both, it’s a sensitive matter, so don’t force her to choose.
For now she’s focusing on sailing. With her nautical
background, it’s only natural that she should find herself
training to sail in the Volvo Ocean Race.
Saltwater
in her veins
S text & photos ANNA GULLERS
o far, Australian Sophie Ciszek is the
youngest member of the crew that will
set off for nine months at sea in one of
the world’s toughest sailing competitions. Many hardy men have been
defeated by the ocean in the Volvo
Ocean Race, and Sophie is part of the all-female
crew sailing under SCA’S flag during its next running. Until the starting gun is fired in October
of 2014, her base is on Lanzarote in the Canary
Islands, Spain, where Team SCA is staging an
intense training camp.
What kind of upbringing do you have to end up in this
type of situation?
I’ve always been on water. My father, who’s
American, was sailing around the world by himself when he met my Australian mother, who was
also out sailing. They met in South Africa, between
their two countries. At one period of my life my
family even lived on a boat. I come from a family of
dedicated surfers, and sometimes sailing has had
to stand back for the surfing, but now the surfing is
on hold.
I’ve sailed as long as I can remember. The first
real training was at a sailing camp when I was
seven and my family lived in the US. I sailed
14 SCA SHAPE 4 2013
Have you checked out
Team SCA’s new boat?
Find everything you
want to know about the
team at:
www.teamsca.com
dinghies and then bigger boats with my dad.
Later on I wanted to try ocean sailing, and I
volunteered my time on other boats to gain experience. In the little town I come from there was a
100-footer in the marina. One day I walked up
and asked “Can I come on a delivery?” They took
me on. Being a girl in Australia on a big boat is
unusual. Girls are often regarded as too small and
not strong enough. Lucky for me I am both tall
and strong. But my intention was never to be in the
Volvo Ocean Race, mainly because there was no
such opportunity. Until now.
How did this adventure start off?
I was in Indonesia on a surfing trip. One day
when checking my e-mails from an Internet cafe,
I opened a mail from my dad. “ Have you heard of
the women’s Volvo team?” he asked. Right there
and then I sent an e-mail saying I was interested.
After the trials in Lanzarote I had a week to go
home and pack up my life in Sydney and come back
as a team member.
What’s important during the trials?
You must of course show your sailing skills and
how you work in a team. They check your fitness
and they judge how much effort you put in, to see if
the willingness is there.
SCA SHAPE 4 2013 15
10 QUESTIONS
“I’ve learned
that taking care
of your hygiene
is crucial, for
everyone’s sake.”
Sophie Ciszek
Age: 27
Lives: Sydney, Australia
Nationality: Australian/
American
Hidden talent: Her
artistic streak; she makes
jewelry
Education: Myotherapist
Goal for the Volvo
Ocean Race: To become
a better sailor.
Now that you’re one of the official crew members
in Team SCA, what’s your role in the group?
I’m the relaxed, easygoing one who likes to
have fun. I can jump overboard when we’re out
training and take a swim. I think it comes from
the surfing culture. But I’m also very competitive when you place me on a boat.
Is there anything that scares you thinking of the
challenge ahead?
I’m not scared of the ocean. I have respect
for storms. You can’t control the ocean, but
with experience you know how to handle it. My
initial fear was that I didn’t know anyone in the
team from the start, while others did. Today
I sometimes worry that we are women and
lack the experience the guys have. I’ve always
learned from men, and for me it’s a trust issue
16 SCA SHAPE 4 2013
NEVER-ENDING BOOT CAMP
MILITARY DISCIPLINE is the order
of the day for the members of the
all-female Team SCA, training for the
Volvo Ocean Race. It’s no place for
softies or party animals.
The team has a hard and rather
monotonous program six or seven
days a week. Days off are rare and
random.
“What we do in our spare time?
Most people stay at home and sleep,”
says Sophie.
EARLY MORNING at the gym. This particular day the exercises are “pulls,”
selected by fitness trainer Santi Casanova.
to sail with only females. But I have enough experience to know that we must work extremely hard to
make it work, and with all the support and training
we’re getting I think we’ll be fine.
Do you have a chance of winning?
I think so. We’ve got the best coaches, the best
training, the best facilities, the best shore crew –
we have all the opportunities. Staging a training
camp this intense is a way to make up for and compensate what women lack in terms of experience
and muscles compared with men. Our advantage
is that we have time to learn how to avoid costly
mistakes and sail safely.
And not having a proper shower onboard doesn’t
scare you?
Ha ha! There are baby wipes from SCA for
everyone. We’ll have to wait for heavy rains and
7 am The day starts in the gym
in the nearby town of Puerto del
Carmen.
8:30 am Breakfast in the team
house, where the two chefs Hanna
Björkman and Nicolas Angulo prepare all meals.
9:30 am The team members meet
in the marina. The crew prepares
the boat. The members of Team
SCA need to know everything there
is to know about gear and materials.
10 am A meeting with the four
coaches to discuss the day’s training. It might be a specific maneuver
that needs extra attention or a practice to lower the sails quickly.
10:30 am The coaches and the
team cast off for training at sea for
the next six hours or so.
4:30 pm Unload the boat.
7 pm Dinner in the team house.
Media interviews, Skype conferences and the like. The TV production company Strix is making
a documentary on the team, and
one-on-one interviews take place at
the end of the day.
then place buckets on deck, get naked and wash
ourselves. I’ve learned that taking care of your hygiene is crucial, for everyone’s sake.
I know you don’t have much time of your own at the
moment, but what do you do on a day off?
I grab my surfboard and head for the western
side of the island where the waves are high. There’s
a real surfer’s town there. It feels a little bit like
home.
When you’ve done the Volvo Ocean Race, what’s the
next challenge?
I’ll go on a big surfing holiday. Then maybe I’ll
do the Volvo Ocean Race again. Or get married
and have a kid? Or work as a clinical myotherapist.
I might sail round the world on my own or with my
roommate. Or become a trainer. There are so many
opportunities that could come from this.
SCA SHAPE 4 2013 17
An app for
small hands
Caring for sick children can create stress for parents
who have to stay home from work. In preschool children
can help everyone stay healthier if they wash their hands.
A new tablet app encourages them to do this.
photo ISTOCKPHOTO
A NEW INTERNATIONAL SURVEY shows that
Download the
handwashing app for
your tablet from
App Store.
three out of four parents believe they would
require less sick leave if preschool children had
better understanding of hand hygiene.
“By washing your hands thoroughly with
soap and water you can prevent transmission
of viruses and bacteria considerably,” says Rolf
Andersson, hygiene expert at SCA.
“However, it is important to dry your hands
completely,” he says. “Hands that are damp are
still transmitting bacteria. In a preschool the best
option is single-use paper towels. Knowing how,
when and why to wash your hands should be as
natural as brushing your teeth.”
A new app will show the way. On Global
Handwashing Day, October 15, SCA’s Tork brand
launched a tablet app that encourages preschool
children to wash their hands. The app is called
“Ella’s Hand Washing Adventure” and aims to
help parents and preschool staff to educate children on how to wash their hands.
“Helping children to find routines for properly
washing their hands is difficult whether you’re
a parent or a preschool teacher,” says Jenny
Logenius, regional brand manager for Tork in
the Nordic countries. “An app is easy to use and
a great tool to make this fun and informative.
When developing it we used kids as a reference
group.”
The app is an interactive experience that mixes
play and pedagogy to teach children between 2
and 6 years old about why, when and how to wash
their hands. The set-up is intuitive and without
written text, making it universally easy to use for
young children.
The tablet app is available at both the App Store
and Google Play.
SCA SHAPE 4 2013 19
Designers Anna Glansén
and Hanna Billqvist from the
design agency Tomorrow
Machine, together with
Hjalmar Granberg, material
researcher at Innventia.
20 SCA SHAPE 4 2013
MARKET
What’s next
The bad news: The paper industry faces huge
challenges. The good news: Many alternative
applications exist that offer great potential.
But will these opportunities pay off?
text ULF WIMAN photos INNVENTIA
W
HILE THE NEWSPAPER INDUSTRY
is going through a prolonged rough
patch, forests keep growing as much
as ever – probably more so. As the
market demand for newsprint and
magazine paper keeps dropping, the industry sees
an urgent need to find alternative uses for wood
and pulp. But what are those alternatives? And
how can paper mills adapt to the new business
landscape?
Visionary ideas are abundant, with applications ranging from paper bicycles and
components for the aerospace industry
to disposable solar panels and medical
uses.
Various research and development
projects around the world are looking
closely at interactive materials, ligninbased carbon fiber and bio-based composites.
Then there’s the potentially big one, nanocellulose, which has been compared to that other new
“supermaterial,” graphene. The properties of
nanocellulose can be tailored to fit a wide range of
high-tech applications, where the human imagination seems to be the only limitation.
One player with an ear to the ground is the
Swedish research institute Innventia, based in
Stockholm, which produces and refines research
findings and ideas based on forest raw materials.
“Right now there’s a feeling that everything
is possible,” says Paul Krochak, project leader of
Innventia’s recently initiated project Papermaking
Towards the Future, which aims to outline possible scenarios for the paper industry and their
consequences, as well as ways the industry can
prepare for the future.
FROM A TECHNICAL PERSPECTIVE , most
ideas are realistic, Krochak says, but
the real challenge is to scale up to mass
production to make them economically
feasible. Starting from scratch, there
will be lots of opportunities to create
profitable businesses based on wood
and cellulose-based fiber. The growing
demand for renewable and sustainable raw materials opens other doors.
The paper mills, on the other hand, face the
challenge of trying to find alternative products as
demand for their newsprint paper falls. How to
capitalize on assets and machines is a big question.
And time flies at an alarming speed. In the United
States, newspaper sales have dropped by more
than half since 2000, and this won’t stop anytime
SCA SHAPE 4 2013 21
MARKET
A thin plastic
coating on the new
packaging paper
means it can be used
to serve food, including on aircraft.
soon given the ever-increasing use of
electronic devices to deliver content.
Krochak says the industry could
choose one of two tracks.
“Traditionally, the paper industry is
a huge volume industry,” he says.
“We’ve always been talking tons.
Some argue that we need to
continue to think mass production
and look at what’s then in demand.
“Others argue that this is not
the way and that we should think
profit, not volume,” he adds, summarizing their argument this way:
“Let’s forget mass production and
go for specialty high-profit products instead to compensate for the
reduced volumes.”
SOME PAPER MILLS have success-
fully made some changes, such as
starting to produce textiles. Others
are combining their paper produc22 SCA SHAPE 4 2013
tion with energy output. But much
remains to be done in the course of
finding new uses for old paper production lines. While there are many
R&D initiatives across the industry,
most of them deal with totally new
products and applications.
“Among the major players, there
seems to be a renewed interest
in research,” Krochak says. “But
alternative production is a very new
concept, and R&D has to be focused.
Up until now most R&D has been
confined to improving the traditional
process.”
But, Krochak says, the industry is
starting to talk about alternatives, and
this is a crucial step. “A lot of people
are interested in and positive about
our project,” he says. “The industry
has to confront its problems, and I
think we’re turning a corner. The
industry is aware of the issues.”
ADAPTING TO
A NEW SITUATION
THE SCA PAPER MILL in Ortviken near
Sundsvall, Sweden needs to find new
products and new solutions to survive.
The plant has switched production several times since the 19th century. Since
the 1990s the mill produces coated publication papers, lightweight coated (LWC)
and uncoated offset. Now it’s about to
embark on another venture.
SCA is launching a brand new product
area, Sustainable Packaging, comprising
a portfolio of packaging paper.
Rolf Johannesson, vice
president sales and marketing, says, “The current
market situation has forced
us to look in new directions
and develop products that
can complement our production of both
publication papers and kraftliner.”
The new product area, Sustainable
Packaging, focuses on producing paper
for a large and steadily growing area of
packaging materials.
“We enter the packaging segment with
products that have the potential of being
cost-competitive, have great printing
properties and a unique environmental
footprint with very low CO 2 -emissions
produced per ton,” Johannesson says.
Full control of the materials
used in production means
the packaging is ideal for
food storage.
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The fast road to
When an SCA manufacturing site in one part of the world
comes up with a better way to do something, how can
that lesson be applied throughout the organization? The
HMEx system works to share best practices and solve
problems once and for all.
text SUSANNA LINDGREN illustration ISTOCKPHOTO
Fred Albrecht
24 SCA SHAPE 4 2013
HMEX, SHORT FOR Hygiene Manufacturing
Excellence, is a standardized system for achieving
efficiency and top performance in manufacturing. Based on a series of best practices, it helps
SCA sites around the world to run at high levels of
performance.
Fred Albrecht is vice president product supply
Americas, and responsible for the launch of HMEx
in the Americas in 2012. After just a year and a half,
he can already see huge improvements.
What differentiates HMEx from other programs to
improve performance?
HMEx is not a program. It’s a fundamental way
to operate and continuously improve business by
sharing best practices and changing the way we
work. It’s a discipline that builds knowledge and
capability among all of our employees, from management to our machine operators.
How did you implement HMEx?
Our first focus was to look at the Daily
Operations Meeting, which has the same agenda
in SCA no matter what plant you’re working in. It’s
in this meeting that the daily agenda is set. The
goal – and here I’m greatly simplifying – is to look
at the losses and agree on a strategy to eliminate
them as quickly as possible.
What do you mean by losses?
That’s everything that separates the result from
a perfect performance, such as a safety issue or
excess waste or unplanned downtime or higherthan-normal energy consumption.
Embedded in the HMEx philosophy is the idea
of solving an issue forever, as opposed to putting
a bandage on it. This is the way you get continuous improvement. We often talk about rigor, and
by that we mean diligence and commitment to the
standardized process of solving problems.
Is safety a part of HMEx?
Safety is one big focus area, and HMEx not only
helps us with good tools for building robust safe
practices but also allows us to quickly implement
new best practices. One example is a unique way to
TECHNOLOGY
improvement
identify moving forklift tricks that was developed
at one of our sites. By using a blue light that shines
out on the floor in front of the moving truck, it is
very easy to tell where it is going. Once that solution was in place, it was communicated through
HMEx, and it has since been deployed at other
sites worldwide as a best practice.
“HMEx has made a tremendous
impact, but it’s our people
here who deserve the credit.”
How are best practices shared?
One of the hallmarks of the HMEx team is the
openness to look at each site and each circumstance and determine if there is a new best practice
worth sharing. What somebody has learned can be
passed around the world through HMEx relatively
quickly.
As I’m responsible for product supply, my job
is to deliver results. I would be foolish not to take
advantage of the learning that occurs at other sites
that can simplify our ability to focus and to continuously improve our business. What is best might
HMEX GETS
RESULTS
HMEX is measured and
followed up by a number
of Key Performance
Indicators, such as
Accident Frequency rate
(AFR), paper machine
efficiency, tissue converting efficiency and
waste reduction. For example, the AFR has been
reduced by 14 percent
2011-2013. The overall
machine efficiency has
also showed impressive
improvements, particularly in the Americas and
Asia Pacific, due to the
fact that HMEx was introduced more recently
in these regions.
HMEX IN BRIEF
HMEX WAS INTRODUCED by SCA in 2008 to
fi nd ways to improve performance within sites
in Europe. It has proved that changes in critical
behaviors can add value on all levels. Since 2012,
the new way to operate and continuously improve
business is being rolled out globally within the
hygiene manufacturing sites.
The ultimate goal of HMEx is to help build worldclass manufacturing through focus on safety,
quality, strategy, manufacturing performance and
savings in energy and materials.
The HMEx model has a hands-on approach where
not be your own creation. The challenge is to make
the best use of it to excel as an organization.
How is the right mindset spread through all parts of
the organization?
The key is learning by doing in combination with
good leadership. HMEx process experts visit sites
and provide theoretical learning as well as coaching
the right thinking, behaviors and processes. But we
also depend on our leaders to spend time on the floor
to demonstrate the right behavior. A process alone
is never effective unless the whole organization is
active in the process of learning and adapting. I think
SCA is distinct in its focus on the behaviors at such a
deep level for organizational performance.
What added value can you see for the Americas after
a year and a half?
HMEx has made a tremendous impact, but it’s
our people here who deserve the credit. I can see
that in the way in which our leaders and employees
in my organization are operating and in a variety
of other forms. Our paper machine efficiency, tissue converting, and in particular our personal care
efficiency have shown great improvements since
we introduced HMEx.And we can see this in waste
reduction as well. But this is a work in progress,
and it will always have to be that way. We’re just
getting started.
Helder
Marcelino
the HMEx team, led by Helder Marcelino,
vice president for manufacturing excellence
in global hygiene supply, spends most of its time with
co-workers on the floor at manufacturing sites.
“Our key principle is to share knowledge and
coach new behaviors by being present, working
with people on their day-to-day issues, and improving daily results and working conditions,” Marcelino
says. “We are developing the right understanding
of HMEx key principles, building on our individual
strengths and translating HMEx into a global performance culture.”
SCA SHAPE 4 2013 25
with Jan Duin
Assistant machine operator Jan Duin is a
dedicated member of the small workforce at SCA
Assen in the Netherlands, a plant that produces a
uniquely Dutch addition to SCA’s global offering.
But his workplace is special in more respects.
text JAN TAZELAAR photos MALOU VAN BREEVOORT
THE “WASHANDJE” is a genuine Dutch invention,
less iconic perhaps than windmills and wooden
shoes but at least as functional. It’s a small tissue
washcloth in the form of a pouch that fits over the
hand. Most Dutch people consider it indispensable
for their personal hygiene. A recent refinement of
this idea is the disposable washandje, soaked in
lotion. These were developed in 2007 by a company
in the Dutch town of Assen as a new high-quality
health care product. A new plant was built, staffed
from the outset by employees who were trained
Follow an SCA employee during a day at work
The alarm clock goes off
early in the Duin household,
because Jan hates to rush.
There’s ample time to have
a relaxed breakfast with his
partner, Jolanda, who is also
his colleague.
4:30 am
26 SCA SHAPE 3 2013
Jan walks the family dog, a
French bulldog, before taking
his bicycle from the shed.
The day begins at SCA Assen.
After a short bike ride, Jan
and his girlfriend arrive at
the gate. Every morning he
is the third person to walk in.
Picture 1
After an hour of assisting the
packagers, Jan moves to the
production area. He will usually stay here for the rest of
the day, doing maintenance
work, fi xing obstructions
and replacing tissue rolls.
Picture 2
A truck has just unloaded a
few pallets of tissue rolls. Jan
helps to cart them inside.
6:00-6:20 am
7 am
8 am
11 am
12 HOURS
“If I don’t
keep the
machines
running,
all the
others can
go home.”
under a social program aimed at providing jobs and
work experience to people with special needs.
The disposable washandjes, marketed under the
brand name JoyinCare, are produced by people
who would be challenged to fi nd jobs in regular
companies. The small factory has 21 employees,
one of whom is Jan Duin. Two machines churn
out the moist mittens. Jan officially assists the
machine operator, but he is also eager to help out
his colleagues and supervisors with any odd job.
JAN WAS HIRED in 2010 and quickly rose to his
present position, thanks to his loyalty and team
spirit. His supervisor Henk Stoker cannot praise his
devotion enough. “Jan has his personal difficulties
to deal with, like all of his colleagues here, but he
is always there for any of us,” he says. “It’s a joy to
Lunch break and time to
catch up on the latest with his
colleagues.
12-12:30 pm
have him around.” Jan himself takes great pride in
his job. “These machines are the heart of the whole
factory,” he says. “If I don’t keep them running, all
the others can go home.”
Although an accident has left him with some
chronic health problems, Jan has never missed a
day and has never even been late. The company,
which was acquired by SCA less than a year ago,
is like a family to Jan. He has even found his life
partner among his colleagues. They live together
within 10 minutes of the plant by bicycle.
Thanks to SCA, the idea of disposable moist
mittens is now catching on in the rest of the world.
The plant in Assen recently sent out its fi rst export
shipment under the familiar name of TENA. Soon,
Jan may be too busy to even mow the lawn when
asked.
It’s the flu season, and some
departments are a bit understaffed. After putting on a fresh
roll of tissue paper, Jan slips
Time to mow the factory lawn. out to assist the packaging
It is one of those odd jobs Jan
women, including his girlfriend,
is sometimes called upon to do. Jolanda. Picture 3
2 pm
3:30 pm
As the last workers leave the
building, Jan and Jolanda take
their bikes and go home too.
They pick up some groceries
and decide which of them will
do the cooking tonight.
4 pm
JAN DUIN
Age: 35
Function: Assistant machine
operator at SCA Assen
Lives: Assen, the
Netherlands
Family: Partner Jolanda,
plus two cats and a dog
Hobbies: His SMC quad
bike, which he has tuned
and customized himself, and
his state-of-the-art home
cinema
Favorite dish: Anything
Jolanda cooks
Hidden talent: Making
furniture, and a scarcely concealed urge to help others.
A short dog walk. Then it’s
time for a quiet evening before
the huge TV set or in the shed,
where Jan loves to work on
tuning his quad bike. The special paint job is his own design.
7 pm
SCA SHAPE 4 2013 27
ON
TOP
OF THE WORLD
Nordic cuisine has seen a surge of popularity in recent years.
Two chefs at a gourmet restaurant in Copenhagen have
decided to bend the style in unexpected ways by
adding some classic French touches.
text ULF WIMAN photos JONAS INGERSTEDT
MARKET
Jeppe Foldager
Alberto K has a stunning view over Copenhagen
from the top of the Radisson Blu Royal Hotel,
but its two head chefs don’t have much time to
enjoy the it. The restaurant is consistently rated
among the best in Denmark.
Daniel Ditman
SCA SHAPE 4 2013 29
MARKET
T
HE GUESTS AT THE Alberto K
restaurant on the 20th floor of
Copenhagen’s Radisson Blu
Royal Hotel have a breathtaking
view of the city and Öresund,
the body of water that separates
Denmark from Sweden. The two new head chefs,
Jeppe Foldager and Daniel Ditman, are providing a
menu to match the panoramic spectacle.
When they started in April, Foldager had just
won the silver medal at the prestigious Bocuse
d’Or competition, the world championship for
chefs. Alberto K was then part of the “Nordic
wave,” but Foldager and Ditman are turning it into
a classic but modern French-Nordic restaurant.
Nordic cuisine has been trendy for some years,
headed by the Copenhagen restaurant Noma. “It’s
been great to work in the country that has one of
the world’s top restaurants,” Foldager says. “There
has been a lot of interest in all the restaurants in
town.”
So why did they choose to leave the beaten track?
As Ditman explains, “When we opened we looked
around, and there were four new restaurants in
Copenhagen, all Nordic. We wanted to stand out.”
Foldager adds: “As a chef, you don’t change your
food style every time you change restaurants. You
create new dishes, for sure, but you stick to the
style that you’re good at.”
At Alberto K that means combining seasonal
30 SCA SHAPE 4 2013
GOING NORDIC
THE 10-POINT “Manifesto for the New Nordic
Kitchen,” composed in 2004 by 12 Nordic chefs,
focuses both on cooking and on the produce and
ingredients. The manifesto aims to “express the
purity, freshness, simplicity and ethics we wish to
associate with our region.”
The cuisine should reflect what is in season and
make use of local high-quality ingredients. It has
come to combine traditional and new ingredients,
often prepared using old techniques such as
marinating, salting and smoking.
MARKET
SMOOTHING THE WAY TO GOOD FOOD
FOR OBVIOUS REASONS,
hygiene is a top priority for a restaurant kitchen. Yet many chefs
stick with the textile dishcloths of
yesteryear, which at their worst
are colonies of bacteria and may
cause cross-contamination. But
there are alternatives.
“Our new modular disposable kitchen range is hygienic
and extremely user-friendly,”
says Jonas Petersen, Tork key
account manager for Horeca
(Hotel/Restaurant/Catering).
“You just pull off some wiping
tissue from the wall-mounted
dispenser, wipe the surface and
throw it away.”
Chefs Jeppe Foldager and
Daniel Ditman at Copenhagen’s
Alberto K restaurant have made
the switch. “They’ve been instrumental in the development of the
range, having tested and provided invaluable feedback on the
products,” Petersen says.
Foldager says, “We’re here to
create food and taste. Cleaning
has to be as easy as possible.
The Tork system is there all the
time, which brings control. It
removes a lot of stress as you
don’t have to go around looking
for the right cloth.”
At a high-end restaurant,
design matters. “We have an
open kitchen,” Ditman explains,
“with some nice, shiny black Tork
dispensers in full view.”
SCA SHAPE 4 2013 31
MARKET
Room 606 of the
hotel has been left just
the way it was when Arne
Jacobsen designed it, and
is one of the most recognizable and photographed
hotel rooms in
the world.
THE STARS
OF THE TRADE
Currently, Michelin stars have been awarded to
nearly three dozen Nordic restaurants: 13 Danish,
13 Swedish, five Finnish and three Norwegian.
The following have two stars:
Geranium, Copenhagen (world no. 45*)
Noma, Copenhagen (world no. 2*)
Chez Dominique, Helsinki
Maaemo, Oslo
Frantzén, Stockholm (world no. 12*)
Mathias Dahlgren Matsalen, Stockholm
*The World’s 50 Best Restaurants 2013
www.theworlds50best.com
produce from small local farms with imported
ingredients such as lemons, black pepper and
passion fruit – whatever they want to use – and substituting French-style sauces based on stock and
cream for Nordic-style vinegar and juices.
“With the recession, people focus on value
for money,” Ditman says. “Nordic cuisine is still
trendy, but people increasingly want to get a big
piece of fish, lobster or meat, not strange stuff
found in nature.”
INAUGURATED IN 1960, the Royal Hotel was the
world’s first designer hotel, the creation of renowned Danish architect Arne Jacobsen. Several
of his classic designs were originally created for
the hotel, including the Egg and Swan chairs.
Jacobsen’s Series 7 chairs add to Alberto K’s
ambience.
Like any high-end restaurant, Alberto K relies
on top-notch food and wines as well as outstanding
service and ambience to attract guests. It is a tough
race, but for two young and competitive chefs such
as Foldager and Ditman, that is a challenge. They
want to become the best in their field. Taking one
step at a time, Alberto K could get a Michelin star
as early as next year.
“But it’s not the only thing we’re thinking of,”
Foldager says. “We want to have a fully booked
restaurant with happy guests who enjoy our
courses. That’s the reason that we make food.”
32 SCA SHAPE 4 2013
The restaurant is
named after Alberto
Kappenberger, who
managed the hotel for
25 years since its
opening in 1960.
SCA SHAPE 4 2013 33
FEATURE
Grooming
booming
Physical appearance is a top priority in the digital age of
personal branding. An increasingly well-off middle class in rapidgrowth markets and soaring demand from male consumers lets
the global beauty industry enjoy double-digit growth.
text JONAS REHNBERG photos ISTOCKPHOTO, L’OREAL, CHANEL
34 SCA SHAPE 3 2013
OUTLOOK
W
“In times of crisis,
when people experience difficulties and
have less money,
they want to make
their lives nicer.”
HAT'S THE PRICE of beauty?
According to market research
institute Euromonitor, the
global market for beauty and
personal care (BPC) products is expected to reach 445
billion US dollars in 2013.
The market is growing faster
than the economy in general, both in booming
economies like China and in the sluggish eurozone.
As disposable income rebounds over the next five
years, the industry will experience even stronger
growth, according to research institute Ibisworld.
“Armed with deeper pockets, consumers – especially those in developing markets – will be more
willing and able to spend on higher-priced products,” Ibisworld says in a report.
LOOKING GOOD has probably never been as important as in our age of ubiquitous photo snapping with mobile phones and digital cameras,
the results of which appear in social media like
Facebook, LinkedIn and Instagram, as well as on
websites from blogs to dating communities.
Looks matter in good times as well as bad. We
want to appear successful and happy in good
times, but perhaps even more so in bad times,
when it’s even important to boost our self-esteem
and increase the chances of fi nding a job. The
phenomenon is known as the “the lipstick” effect,
explains Laetitia Rohleder, global brand director
for beauty care at SCA.
“In times of crisis, when people experience difficulties and have less money, they want to make
their lives nicer,” she says. “Lipstick and makeup is
a relatively inexpensive and very accessible way to
add pleasure to life.”
Using makeup is a way of expressing yourself
and can also simply be a way of having fun.. “More
colorful and extravagant makeup is becoming more
common,” she says. “Women use more nail polish
nowadays, and there is more variety.”
That aside, the use of makeup is growing across
the world for many reasons, one of which is demographic. According to Rohleder, teenagers start
using makeup at a much earlier age than just 10 or
20 years ago.
A trend in some non-European markets, particularly in Asia, is to make the face whiter with
the help of skin creams and achieve a natural but
flawless “un-made-up” look. “It’s called ‘nude’
makeup,” Rohleder says.
12%
The market for
men’s grooming is
expected to grow
by 12 percent in
Latin America
2011-2013
Euromonitor
International
ANOTHER TREND that is particularly strong in
newly affluent markets in Asia and Latin America
is the soaring demand for premium beauty products – at a time when many crisis-stricken eurozone citizens are willing to trade down as they try
to continue looking good.
“With saturated demand within industrialized
markets, the cosmetics industry has been focusing on expanding in developing countries,” the
global consultancy EY wrote in a 2012 industry
report. “Last year emerging markets accounted
for over 80 percent of the growth in the global
cosmetics market, and strong economic growth
is not only driving demand for mass-market
personal care and beauty products but also for
premium brands as consumers are becoming
increasingly affluent.”
AT EUROMONITOR , analyst Lina Purlyté confi rms
that China has come a long way since the glorification of unisex manual labor in Chairman Mao’s
heyday. “Beauty products continued its vigorous current value growth in China in 2012, due to
SCA SHAPE 4 2013 35
OUTLOOK
@BI
OTH
ERM
@CHANEL
Pictures from
Chanel’s webpage.
rising disposable incomes and growing awareness of personal hygiene and outer appearance,”
Purlyté says.
The male category is the fastest-growing segment in the entire BPC industry – not just in China
but around the world, except perhaps for a few
remaining macho strongholds in Eastern Europe
and Latin America. In the US, on the other hand,
sales of made-for-men skincare products and cosmetics are expected to reach more than 3 billion US
dollars by 2016, a more than 15 percent jump from
this year, CBS News reports.
According to Emmanuelle
Moeglin, an analyst at
research institute
Mintel, the men’s
grooming market
has boomed, with
increasing numbers
of men turning to
products especially designed for
them to look good.
To keep up with
demand, the market
36 SCA SHAPE 4 2013
is becoming more segmented and expanding
into new categories and claims. For instance,
typical feminine formats such as serum and eye
cream have moved into the male category.”
Increasing numbers of men worldwide have
incorporated grooming into their routine, she
says. “New research reveals that BPC launches
specifically targeted at men have increased globally by 70 percent over the past six years.”
Adding to the acceptance of male vanity are
the habits of global male icons such as soccer star
David Beckham, and less “metrosexual” celebrities like pop singer Robbie Williams and actor
Ewan McGregor, who are confessed cosmetic
consumers. Actor Ben Affleck has become the
new face of L’Oreal (except in North America
and Mexico), following in the footsteps of soccer
player David Ginola and Formula 1 driver Michael
Schumacher.
The appeal has spread. Research from Mintel
shows that up to 74 percent of British men are
keen shoppers when buying beauty products.
Indeed, 19 percent of them say they look for hair
care products designed specifically for their gender, and some 42 percent use facial moisturizers.
Playing the grumpy “Dr. House” made him the highest-paid
TV star in an American drama series. Now Hugh Laurie is
cast in an unlikely new role, as the male face for L'Oreal
Paris Men Expert products.
SCA REMOVES IT
SCA’S DEMAK´UP line
markets makeup removal
products, such as cotton pads,
wipes, eye makeup removal
lotions and impregnated pads.
The products are sold mainly
in western Europe: France,
the Benelux, Spain, Portugal,
Italy, Germany, Switzerland
and Austria, but also in Turkey.
Demak’Up is market leader
on cotton pads and wipes in
France, which is also the biggest market.
The product line became
part of SCA’s portfolio with
the acquisition of GeorgiaPacific’s European tissue
operations in 2012.
www.demakup.com
The documentary film “Mansome” explores men’s identity –
and grooming habits – in the 21st century.
Furthermore, one in five men in Britain today
claim to use hand and nail products.
In China, Mintel reports that 82 percent
of men from urban areas think that
using men’s toiletries makes them more
sophisticated, while 64 percent agree
that “high-priced men’s toiletries products
work better than less expensive ones.”
As Morgan Spurlock, the documentary fi lmmaker behind the new male-beauty movie
“Mansome”, argues in Time magazine: “To talk
men into moisturizing, covering up and otherwise beautifying their skin, marketers are utilizing the same techniques they’ve used on women
for years – playing off their insecurities.
“If you really want to get a woman” is the bait of
many sales pitches for men’s cosmetics. Men want
13%
The market for
beauty products is
expected to grow
by 13 percent in
China 2011-2013
Euromonitor
International
“Typical feminine formats such
as serum and eye cream have
moved into the male category.”
to date so badly they’re willing to wear makeup, so
long as they can kid themselves they’re not really
wearing makeup. And that’s the key to marketing
male beauty products: Never ever use the word
“makeup,” and avoid feminine labels like cream
and moisturizer. Men should feel as if they’re
involved in a bona fide battle against their alleged
defects. Products favor words like fuel, booster,
camouflage and defense.
SUCH EUPHEMISMS may not be required in the
near future, however, as a younger generation of
men appears to have no problems dipping into
the deepest confines of women’s beauty boxes
to start using eyeliner, mascara and bronzing
powder.
At the end of the day, the makeup trend is really
nothing new. Man has sought to make himself
attractive since the dawn of woman. In ancient
Egypt, men and women alike applied eyeliner
and eye makeup in generous layers, a habit that
also provided protection against insects and eye
disease. In Europe during the Renaissance, aristocrats sported chalk-white faces with cheekbones
aflame with spots of rouge.
SCA SHAPE 4 2013 37
SCA INSIDE
No slowdown for
industry leader
SCA Chairman Sverker Martin-Löf personifies the company’s transformation
from a traditional forest products company to a modern consumer goods
prod-ucer. Now 70, he is perhaps more involved in Swedish industry than ever.
text GÖRAN LIND photo TOBIAS OHLS
A COUPLE OF YEARS AGO, Sverker Martin-Löf
SVERKER
MARTIN-LÖF
Age: 70 (as of November
8, 2013).
Born: Hudiksvall.
Lives: Stockholm.
Works: Chairman of
Industrivärden, SCA and
SSAB, deputy chairman
of Handelsbanken and
Ericsson, and member of
the Skanska board.
Family: Wife and three
children.
Interests: Shooting,
sailing, family and seven
grandchildren.
was voted the single most powerful person in
Swedish industry. His influence is scarcely less
today. At 70, as chairman of Industrivärden,
the investment company associated with
Handelsbanken, he is a key figure in one of
Sweden’s most important power spheres. In addition, he is chairman of the steel group SSAB as
well as of SCA, making his top position almost
inescapable.
A heavy burden at 70, you might think. But there
are no signs that he plans to slow down. His commitment to Swedish industry has not declined, but
he still seems to have time for his family and seven
grandchildren, as well as his leisure activities of
sailing, skiing and shooting with his five pointers.
“I’m marked by 25 years in northern Sweden,” he
says. “I shoot lots of birds in Jämtland.”
HE RECALLS HIS fi rst chief executive post at
Sunds Defibrator, SCA’S production equipment
unit in Sundsvall, as a tough challenge where he
was tested by SCA’S then-CEO, Bo Rydin, to see
whether he was up to bigger assignments. At the
time, SCA had just begun its journey from solely a
forest products group founded by the fi nancier Ivar
Kreuger in the aftermath of the stock market crash
and crisis of around 1930.
“Until the mid-1970s, SCA remained a traditional forest products company,” he says. “The big
step was taken in 1975 when we bought Mölnlycke.
The reason was that we needed forward integration to escape our enormous exchange rate
FOUR MILESTONES
FOR SCA
1. The clear and bold strategy of
forward integration.
2. The restructuring of Mölnlycke,
where the fiber-based business
was retained and the core
remained in Gothenburg, along
with research and development.
3. The choice to retain the forest
and keep a foot in raw material
supply in northern Sweden, and
resistance to attempts to divide
up the company in the 1990s.
4. The purchase of the European
tissue businesses of Procter &
Gamble and Georgia-Pacific and
the Americans’ departure from
the European market.
dependence. In principle we only made money
when the Swedish krona was weak against the
dollar.”
At the time of the acquisition, Mölnlycke’s businesses ranged from sewing thread to wheelchairs
to the clothing brand Melka-Tenson. SCA decided
to sell off all non-fiber-related businesses, and the
remaining operations formed the basis of what
is today the company’s largest segment, hygiene
products.
“It was almost by chance that we chose hygiene
products,” Martin-Löf says. “Mölnlycke was for
sale, an interesting business that no one in Sweden
showed much interest in.”
In 1988 Martin-Löf succeeded Bo Rydin as CEO
of SCA, a position he held until 2002. It was during this period that the major transformation of
SCA took place. In parallel with hygiene products,
other major investments were made in publication papers and packaging, operations focused on
local markets, a move that reduced exchange rate
dependence.
“I’m grateful to have been able to work in an environment where I had the right conditions,” he says.
“The board was bold and very clear that SCA had to
continue its forward integration. It may seem obvious today, but many thought it odd at the time.”
EXPANSION WAS DONE largely through acquisitions, a notoriously difficult process in which SCA
has a considerably better track record than many
other Swedish companies.
“We had a special acquisition group and a clear
strategy for all acquisitions that we implemented,”
he says. “Moreover, we only bought companies
where we were welcome as owners. It was also an
advantage to be Swedish, not least in Italy.”
Emphasizing friendly takeovers made it easier
to benefit from the knowledge available in the
acquired companies. Martin-Löf mentions as an
important milestone the purchase of the German
hygiene company PWA and the knowledge that SCA
gained about the consumer goods market. SCA’S
most recent major turning point, with Martin-Löf as
chairman, came in 2011 when the whole packaging
business was sold.
“As a result of the crisis in the EU, much production
was relocated to Asia, including the packaging business,” he says. “It’s difficult to make packaging into a
global business, and it was a straightforward choice
to focus instead on the hygiene business.”
SCA SHAPE 4 2013 39
M A A R DA A ROM BEN IK
N O G G E E N ENGEL.
Ook met een gevoelige blaas moet je gewoon jezelf kunnen zijn.
De ultradunne TENA Lady inlegkruisjes bieden driedubbele bescherming
door Triple Protection: supersnelle absorptie, een droog toplaagje en
Fresh Odour Control™ absorbeert eventuele geurtjes.
Zelf ervaren? Vraag een gratis proefpakketje aan op www.TENA.nl
Blijf jezelf.
SCA INSIDE
News from SCA
Malaysia – check!
TENA has completed its
first incontinence training for Malaysian nurses.
60 nurses from 14 hospitals
attended the intensive training
at the University of Malaya
Medical Centre.
A sustainable index
SCA has once again been included in the Dow
Jones Sustainability Europe Index, one of the
world’s most prestigious sustainability indices.
The Dow Jones Sustainability Indices (DJSI) were
launched in 1999 as the first global sustainability
benchmarks. The indices are divided by region
and evaluate the performance of the world’s leading companies in terms of economic, environmental and social criteria.
Tork napkins seen
in high places
Big plans for India
INDIA, HERE WE COME! SCA will
invest about SEK 150million (23
million US dollars) in local production of hygiene products in
southwest India, and production
at SCA’S own plant is set to start in
2015.
“India’s large population and
the low penetration of hygiene
products provide the potential
for future growth,” says Jan
Johansson, CEO of SCA.
IN AUGUST, Cecilia Morel, the wife of Chilean
President Sebastián Piñera, participated at the
launch of a campaign promoting healthy eating.
During the event, Cecilia Morel enjoyed a lunch
along with Tork Xpressnap dispensers.
When the first two consumer
brands , Libero and Tempo, were
launched in India in November,
Bollywood actress Karishma
Kapoor and model Aditi
Gowitrikar took part .
Bringing its global good practices to India, SCA will provide
training to nurses and doctors
at hospitals and clinics with the
objective of improving the lives of
mothers and babies.
SCA SHAPE 4 2013 41
Tork takes the lead
TORK IS NOW THE EUROPEAN market leader
in the fast-growing tabletop segment, thanks
to SCA’s acquisition of Georgia-Pacific and its
Lotus brand.
The migration of the Lotus Professional and
Tork brands has continued over the past six
months and was completed at the end of 2013
with the launch of the Tork Xpressnap tabletop
range. Previous Lotus Consumer-Products,
now part of the SCA product range, will still be
marketed under the Lotus brand.
Room for innovation
IN AUGUST the Innovation Insight
Room at the SCA R&D Center in
Sundsvall, Sweden, was inaugurated. The room is intended to offer
an inspiring environment to promote innovation activities, and was
planned and designed by the R&D
Center’s employees.
Less soap
saves money
Chinese Vinda
under SCA wings
SCA HAS COMPLETED its offer for the Chinese
tissue manufacturer Vinda and is now the
majority shareholder with 59.95 percent of
the shares. Vinda is the third largest tissue
company in China – the second largest tissue
market globally.
42 SCA SHAPE 4 2013
A PROJECT IS UNDER WAY at SCA Munksund
in Sweden to reduce the amount of soap that
needs to be burned in the recovery boiler. Besides
increasing the amount of marketable tall oil, this
reduces NOx emissions and flue gas losses. The
challenge is to retain the reduction ratio. The project has had a very positive result, with practically
no soap at all now needed in the recovery boiler.
SCA INSIDE
Chairman in
the Hall of Fame
SVERKER MARTIN-LÖF, SCA chairman, has been
recognized for outstanding leadership contributions to the paper industry. In October he was
inducted into the Paper Industry International Hall
of Fame. The association recognizes individuals
who, through their inventions, initiative and efforts,
have built or improved paper and allied industries
worldwide. Sverker Martin-Löf was president and
CEO of SCA from 1988-2002 and has been chairman since 2002. Read more about Sverker MartinLöf on page 38-39.
Sodexo likes SCA
SCA WON TWO PRESTIGIOUS designations from
global customer Sodexo: the Spirit of Service
Award for SCA’s work in Canada and the Better
Tomorrow Award for SCA’s focus on Sustainability
in North America.
Sodexo provides food and facilities management
services, operating many different divisions. In
North America, SCA works closely with its contracted caterer clients, selling Tork products to OnTrak in
Canada and Entegra in the United States.
Sodexo is a global partner with SCA, doing business in North and South America, as well as Europe.
“The National Accounts team deserves high
praise for this recognition,” says Joe Russo, vice
president sales and marketing, AFH Professional
Hygiene, North America. “Every year they continue
to take our performance and support for this strategic customer to higher levels. This strengthens
our already strong partnership with Sodexo.”
Brazil wins
award for TENA
THREE TENA PRODUCTS were
recently named “Product of the
Year” in Brazil – voted by consumers as the most preferred in the
Incontinence category.
Approximately 5,000 consumers
from many of Brazil’s major cities
voted to select the Product of Year,
naming the products that they
consider to be the most innovative
in the Brazilian market. Products
are rated in several categories in
terms of attractiveness, usage and
satisfaction.
TENA was awarded best
product in the following categories: TENA Lady (pad for urinary
incontinence), TENA Slip (briefs for
urinary incontinence) and TENA
PANTS (disposable underclothes
for urinary incontinence).
“Having a Product of the Year
award is a signal to Brazilian consumers that the product is the best
in class,” says Agustín Londoño,
marketing director, SCA do Brasil.
“This distinction holds a lot of
clout, and we intend to take advantage of it in our marketing materials
and packaging.”
“Having a Product of the Year award
is a signal to Brazilian consumers
that the product is the best in class.”
Sodexo provides food and facilities management services and
is a global partner with SCA.
Agustín Londoño, marketing director for SCA in Brazil
SCA SHAPE 4 2013 43
SCA is a leading global hygiene and forest products company with sales in about 100 countries under more than 60 brands,
including TENA and Tork. ‘Women Empowerment’ is an integral part of SCA's sustainability strategy, since access to affordable
personal care products contributes to women’s health, dignity and freedom. 80 percent of SCA's consumers are women, and
through its products the company supports women empowerment to participate fully in society – socially, educationally and
professionally. Team SCA will participate in the Volvo Ocean Race 2014-2015 with the world's best women offshore sailors.
SCA has about 36,000 employees. Sales in 2012 amounted to SEK 85bn (EUR 9.8bn). More information at www.sca.com