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    09 June 2006 Xerox. The OriginalXerox. The Original


    Consumer Division

    FOCUSING ON THE BLACK MARKET



    By Jacqui Wilmot


    Enaleni's focus on black empowerment extends to the way it markets and sells its products. The Consumer Division - a wholly owned subsidiary - focuses on the fast-growing black market.

    The Consumer Division is situated in Durban and focuses on the fast-growing personal care and over-the-counter pharmaceutical markets through established brands such as Hercules, Caivil and others.

    A complete strategic review of the total brand portfolio in 2005 has laid the platform for growth. This includes focusing investment behind the core growth brands: the flagship ethnic hair-care brand Caivil and the Hercules affordable health-care brand. This area of focus has been strengthened by the carefully targeted acquisitions in 2005 of the popular Universal/SB OTC products. These will be rebranded under Hercules.

    A further area of huge potential is traditional medicines.

    "We understand that a Western approach to healing does not suit everyone - about 70% of SA black people continue to consult traditional healers," says Consumer Division head Mike Chalmers. "So we are looking at traditional medicines - how we can package and brand them in an added-value, affordable way. We are also working with traditional healers."

    Synergies within Enaleni's Consumer and Vitality Division which includes complementary medicine manufacturer Bioharmony, will also provide a strong platform to support the development of additional added value, safe and effective affordable healthcare solutions.

    In early 2006 the Division relocated to the Enaleni Pharmaceutical's premises at Mobeni, which has resulted in operational synergies and streamlined manufacturing and distribution activities bringing significant cost savings.

    The Division is also actively looking for future acquisitions to increase critical mass.

    The Division's key focus areas for 2006 include investment in the core growth brands, increased distribution , continuous improvement initiatives, investigation of export markets within Africa and strong emphasis on added value new product development, creating solid customer partnerships and effective marketing activities.

    "The Consumer Division has exciting brands with huge potential and is ideally placed to capitalise on the fast growing personal care and over the counter pharmaceutical markets and thus ensure that this business will be a significant profit contributor in the years ahead," says Chalmers.






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