20 November 2010 | Adam Leach
Cosmetics company Elizabeth Arden has signed up ICG Commerce to manage its indirect spending.
The company, whose products include Katy Perry’s Purr fragrance, announced higher than expected profits of earlier this month following an increase in international sales. It hopes ICG Commerce will help it to become a more efficient operation.
Pierre Pirard, Elizabeth Arden’s executive vice-president of innovation and global supply chain, said it is looking to “rapidly deploy a world-class procurement operation which in the past has existed only among the largest manufacturers”.
He added: “Partnering with a company that brings deep category expertise and a comprehensive savings operation will enable us to more efficiently manage vendors, contracts and compliance,” he added.
Elizabeth Arden would not reveal the value of the contract or the size of savings it hoped to make.
The deal will see ICG Commerce, whose clients include Chiquita and Pinnacle Foods, do a broad review of spending. Areas it will focus on include marketing, professional and corporate services and IT. It aims to use a combination of strategic sourcing and contract services to make Elizabeth Arden more efficient. Aspects relating directly to product development are not expected to fall under its remit.
Carl Guarino, CEO of ICG Commerce, said his company would help Elizabeth Arden “play a critical role in their initiative to build their global presence while increasing business efficiencies”.