RESTAGED DIAL POISED FOR NEW-PRODUCT BARRAGE

By Published on .

Dial Corp., which as expected last week spun the service side of its business into a separate, as yet unnamed company, has set an ambitious agenda for consumer products.

KAYA, OTHERS SET FOR LAUNCH

Now ready for introduction are Kaya, an organic haircare line; Nature's Accents, a bath, body and home fragrance line; Tone skincare lotion with cocoa butter; single-use Brillo Juniors; Baby Soft Purex detergent; and Liquid Dial Kitchen Formula, a milder antibacterial soap.

"The company is clearly getting to be an aggressive marketer and is strengthening its support system and increasing ad budgets," said Jack Modzelewski, a PaineWebber analyst.

According to Competitive Media Reporting, Dial's spending has been hovering at about $18 million in recent years. But the new products as well as the company's ability now to focus on consumer products are expected to boost that figure by as much as 25% in the first quarter of this year alone, said Mr. Modzelewski.

Nature's Accents had originally been slated for distribution only in Wal-Mart Stores but supermarkets will now be added. Both it and Kaya are handled by Lavidge Higel Communications, Phoenix, while DDB Needham Worldwide, Chicago, handles Dial; Gotham Inc., New York, has Tone.

PROMOTIONAL SUPPORT

The other products haven't been assigned and are expected to rely mainly on promotional support for now.

Since Dial Chairman-CEO John Teets commissioned a Mc-Kinsey & Co. strategic study in November, Dial has been the subject of speculation about a possible sale or management change. Mr. Teets' future role is still uncertain; last week he said he hadn't decided which of the two companies to run.

In this article:
Most Popular