BMS Index 2024

Reckitt

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Headquarters

United Kingdom

Type of ownership

Public

Estimated percentage of Reckitt's global F&B sales from BMS

98%

Estimated percentage of Reckitt's global baby food sales from BMS

100%

Countries covered in country studies

Indonesia/US/Viet Nam

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BMS Marketing
Score 2024
Average score Highest score
Country Studies
Score
0%  3 countries
Corporate Profile
Score
11.5%

Important:

The research findings regarding companies’ performance in this Index are based on information shared by companies or gathered by service providers, in addition to information that is available in the public domain.

The level of detail and comprehensiveness of information shared by companies and gathered through external service providers varied. In the case of limited or no engagement by companies, this Index may not represent the full extent of their efforts. Similarly, in the case of limited data collected by service providers, the findings of this Index may not provide a comprehensive representation of company practices.

ATNI’s research and Indexes do not assess compliance with local regulations or laws, but rather assess private sector performance against international standards and guidance.

BMS Country Studies

Country Studies
Score
0%  3 countries

The Country Studies component of the BMS and CF Marketing Indexes 2024 evaluates the extent to which a company’s marketing practices align with specific provisions of the WHO Code (not against local Code-related regulations). The main marketing channels assessed in the Country Studies for the BMS and CF Marketing Indexes 2024 are online points-of-sale, traditional and online media outlets, and product labels which were all assessed according to the NetCode protocol.. Reckitt sells BMS products in three (Indonesia, the US and Viet Nam) of the five countries selected for the assessment which altogether represent >60% of Reckitt’s estimated global BMS sales. The Country Studies results for Reckitt are summarized below for each country and across each marketing channel.

Country Studies overview

Reckitt Country assessments BMS market
Total incidences of non-compliance across online, traditional media, and product labels Number of product labels assessed Company brands found BMS market share Proportion of Reckitt's global BMS sales
CHINA N/A N/A N/A N/A N/A
GERMANY N/A N/A N/A N/A N/A
INDONESIA 54 4 Enfagrow, Enfamil 4% 2%
US 40 26 Enfagrow, Enfamil, Nutramigen 38% 57%
VIET NAM 41 5 Enfagrow, Enfamil, Nutramigen 14% 4%
Code compliance level
Complete
(0 incidences of Code non-compliance corresponding to a country score of 100%)
High
(>0-10 incidences of Code non-compliance corresponding to a country score of 66%)
Medium
(>10-20 incidences of Code non-compliance corresponding to a country score of 33%)
Low
(> 20 incidences of Code non-compliance corresponding to a country score of 0%)

• A total of 135 incidences of non-compliant marketing practices for BMS products were found for Reckitt. Non-compliant marketing practices were found across online and traditional media channels assessed in the three countries. A total of 35 BMS product labels were assessed from various Reckitt brands.

• In Indonesia, Reckitt’s BMS sales represents a relatively small proportion of the Indonesian BMS market, and it also represents a small part of Reckitt’s global BMS sales (less than 5%). Still, a total of 41 advertisements and promotions related to BMS brands were found online during the research period and 9 TV advertisements. All 4 product labels assessed contained one or more instances of non-compliance.

• Reckitt is one of the two major BMS companies in the US, with a market share of almost 40%, accounting for approximately 57% of its global BMS sales. The US is also the market in which the highest number of product labels were assessed for Reckitt, all 26, assessed contained one or more instances of non-compliance. A total of 40 incidences of non-compliance were found, of which 14 were found on online media channels.

• While Reckitt’s BMS sales in Viet Nam represent less than 5% of the company’s global BMS sales, the company possesses a notable share of the Vietnamese BMS market, approximately 14%. Thirty-six advertisements and promotions related to BMS brands were found online during the research period; all 5 product labels assessed contained one of more instances of non-compliance.

Observed incidences of non-compliance with the Code per country

Absolute number of incidences of non-compliance
Category
Infant Formula
Follow-up Formula
Growing-up Milk
Product brand

Main in-country findings

Reckitt’s highest number of incidences of non-compliance were found in Indonesia (54), followed by Viet Nam (41) and the United States (40).

Across all country assessments, the majority of incidences of non-compliant marketing practices (91 out of 135 for Reckitt were identified through the social listening of online platforms, while fewer were identified on traditional media (9). Each of the 35 BMS product labels assessed from various Reckitt brands contained one or more instances of non-compliance. The incidences of non-compliance found online (91) were largely concerning growing-up milks (54) and infant formula (20), whereas advertisements on traditional media concerned brand promotions. Non-compliant labels were found across all types of BMS, but mostly concerned infant formula (27 out of 35).

Online findings

• The majority of advertisements and promotions related to Reckitt's BMS brands online (91 in total) were found in Indonesia (41), followed by Viet Nam (36) and the US (14), all of which are contraventions of the Code.

• Among the total incidences of non-compliance found online, approximately one third were point-of-sale promotions. The majority of these were found on online retailers monitored in Indonesia and Viet Nam. These point-of-sale promotions were mostly for growing-up milks in both Indonesia and Viet Nam (22), while all of the 5 promotions in the US were targeted at children aged 0-12. Despite ATNI's request for Reckitt to verify any contractual relationship with these retailers, confirmation could not be obtained from the company during the verification phase.

• The remaining 60 online observations were found on the company’s local websites and social media platforms and parenting websites, with the highest number of findings in Indonesia (26) and Viet Nam (25), and nine online advertisements found in the US. Across all three countries, an average of two incidences of non-compliance were identified with each observation. Apart from advertising BMS – a non-compliance with the Code in itself – other common incidences found with those advertisements included providing education and information about infant and young child nutrition and feeding. Other, but less common, observations include incentivizing the purchase of those products through offering discounts, gifts, and prizes (observed in Indonesia and the US), as well as soliciting caregivers to sign-up to online contests and sponsoring healthcare events in the US.

• The majority of advertisements also included claims, ranging from 33% of the identified advertisements in the US containing at least one type of claim to 85% and 96% in Indonesia and Viet Nam, respectively.

Traditional media findings

• In total, 9 BMS advertisements by Reckitt were identified on television, all related to BMS brand commercials in Indonesia. All 9 advertisements had at least one type of claim. No advertisements were found for Reckitt BMs brands on traditional media channels in the US or Viet Nam during the research period.

BMS product label

• A total of 35 Reckitt’s BMS product labels were assessed across the three markets, 26 of which were in the US, no product labels were found to be fully Code-compliant. The average number of incidences of non-compliance per product label per market ranged from three in Indonesia and Viet Nam to six in the US. Generally, the majority of labels with incidences of non-compliance were identified on infant formula products. In the US, 23 out of 26) labels assessed were from infant formula products, specifically, 19 were intended for ages 0-12.

• Almost all labels were missing a statement on the importance of exclusive breastfeeding in the first six months and continued breastfeeding for up to two years or beyond. All labels assessed had nutritional, health and/or marketing claims. Other common observations classified as non-compliant with the Code were mostly found on Reckitt’s product labels in the US. These include text or images that may idealize the use of breast-milk substitutes and discourage or undermine breastfeeding, as well as endorsements by professionals. Additionally, several product labels failed to indicate the recommended or appropriate age range near the product name and did not state the need to only use the product on the advice of a health professional before deciding to feed with formula, irrespective of the age at which formula is introduced.

• It is worth noting that ATNI did not have the resources to collect products from the different markets and take pictures of their labels. In this iteration, ATNI’s research was based on product label images from an external provider. For some products, images were not clear enough or did not show all parts of the package, thus ATNI asked the respective companies to provide images of the labels. As Reckitt did not respond to ATNI during the verification phase, the company had not provided images of product labels as requested by ATNI. The company communicated with ATNI at a later stage when the assessments were being finalized, at which stage ATNI only requested images of the product labels in Viet Nam where all assessments had been incomplete. Incomplete assessments remained for two products in the US and one product in Indonesia. Since at least one incidence of non-compliance was identified from the existing images, these labels were counted as a non-compliant observation.

Recommendations

• With a total of 135 incidences of non-compliant marketing practices for Reckitt BMS products observed across online and traditional media channels in the three markets assessed, the company is strongly encouraged to strengthen its responsible BMS marketing policies and ensure their full alignment with the recommendations of the Code and all subsequent relevant resolutions, including the guidance supported by WHA resolution 69.9. ATNI has developed a model company policy on the responsible marketing of BMS which can guide the company on how to incorporate Code provisions and align with the latest public health requirements in practice.

• Reckitt is urged to restrict the advertising and promotion of all types of BMS products and brands on all forms of media platforms globally. The company should also refrain from soliciting contact with caregivers and providing education and information on infant and young child feeding across all platforms.

• Reckitt is strongly encouraged to take responsibility for monitoring its marketing practices beyond local regulations, according to the principles and the aim of the Code and subsequent relevant resolutions, and to take steps to ensure this includes online media channels.

• Reckitt is encouraged to engage with its industry associations, retailers and/or regulators to ensure that there are no promotions of BMS products in the retail environment, and see that products are appropriately marketed in line with the Code.

• Clear evidence was found of Reckitt applying point-of-sale promotions for growing-up milks in Indonesia and Viet Nam, and promoting these on online platforms, which is contrary to the requirements of the Code, specifically the guidance supported by WHA resolution 69.9 that extended the scope of the Code to growing-up milks. Therefore, ATNI urges Reckitt to ensure its commitments are extended to include growing-up milks in all markets.

• All of the labels assessed across all three countries were found to be non-compliant with the Code requirements in at least one aspect. The average number of incidences of non-compliance on BMS product labels by Reckitt was found to be higher in the US compared to Indonesia and Viet Nam. Reckitt is encouraged to focus on improving labeling practices across all markets to ensure full compliance with the Code and all subsequent relevant resolutions, including the guidance supported by WHA resolution 69.9. This includes ensuring that product labels clearly indicate a statement promoting the importance of exclusive breastfeeding for the first six months and continued breastfeeding up to two years or beyond, and that labels do not include health or nutrition claims, except if specifically provided for in national legislation.

• ATNI is calling on Reckitt to review all incidences of non-compliance identified across all marketing channels, which were shared in detail with the company, and to take corrective action in each of the markets.

BMS Corporate Profile

Corporate Profile
Score
11.5%

The Corporate Profile component of the BMS and CF Marketing Indexes 2024 evaluates the extent to which a company’s policies align with various provisions of the Code, the effectiveness of its related management systems as well as the company’s level of disclosure on commitments relating to BMS marketing. Reckitt’s BMS marketing commitments were assessed across 11 topics that cover different aspects of the Code on which the company scored an average of 44%. This score is equivalent to the company’s initial overall Corporate Profile score before a geographic penalty (if applicable) is applied to each BMS product type. The final Corporate Profile score considers how the company’s BMS marketing commitments are applied for the different BMS product types sold by the company, and across different markets. As Reckitt sells infant formula, follow-up formula, and growing-up milks, the company’s application of BMS commitments was evaluated for each product type, as shown in the next section on ‘Geographic application of BMS commitments by product type’. The scores and findings on each topic are described in further detail in the section below on ‘BMS Commitments by Topic’.

Geographic application by Reckitt of BMS commitments by product type

The table below shows the percentage of product sales where commitments are upheld and the geographic penalty applied to each type of BMS. The penalty ranges from 0% up to 90% depending on whether a company fully upholds its BMS marketing commitments in all or none of the countries in which it operates, respectively, where national Code regulations are absent or less stringent than the company’s policies and standards.

Corporate Profile
score before
penalty
Product
type
Percentage of Reckitt’s global sales from markets where BMS commitments are upheld Geographic
penalty applied
Final Corporate
Profile score
43.8% Infant
formula
19% 72.9% 11.5%
Follow-up
formula
27% 65.7%
Growing-up
milk
0% 90%
Commitments are upheld
Upheld for all products in this category - without exception - globally
Upheld for some products in this category - without exception - globally
Upheld for all products in this category - without exception - only in some markets
Upheld for some products in this category, and only in some markets
Not upheld for this product category in any market
No policy found in the public domain nor shared by the company, therefore no information on how commitments are upheld

ATNI referred to Reckitt’s RB’s Policy and Procedures on the Marketing of Breast-Milk Substitutes (2020) to assess how the company’s BMS marketing commitments are upheld for each product type and in which markets. Euromonitor retail sales estimates were used to calculate the proportion of Reckitt’s global product sales covered per BMS product type.

Infant formula

The company only upholds its commitments for this product type in higher-risk countries, even when national regulations implementing the Code are absent or weaker than the company policy.
Additionally, Reckitt’s BMS Marketing Policy does not apply to all infant formulas for special medical purposes it only covers formula with partially hydrolyzed protein, that is lactose free/reduced, soy based, and anti-reflux formula from this category.

Consequently, the company commitments are upheld only for products representing 19% of its global infant formula sales resulting in the application of a geographic penalty of 73% for this product type.

The Code does not distinguish between the different types of infant formula; therefore its provisions apply to all product types. To further improve the scope of the company’s policy, ATNI encourages Reckitt to cover all infant formula, without exception, including all types of formula for special medical purposes, and in all markets.

Follow-up formula

The company only upholds its commitments for this product type in higher-risk countries, even when national regulations implementing the Code are absent or weaker than the company policy.

Additionally, Reckitt’s BMS Marketing Policy does not apply to follow-up formulas for special medical purposes.

Thus, commitments for follow-up formula products are only upheld in higher-risk markets, and for products that are not for special medical purposes, which represents 27% of the company’s global follow-up formula sales. The corresponding geographic penalty for this product type is 66%.

To further improve the scope of the company’s policy, ATNI encourages Reckitt to cover all follow-up formula, without exception, including formulas for special medical purposes, and in all markets.

Growing-up milk

The company does not apply its BMS marketing commitments to growing-up milks. This is evident from the country assessments where the majority of the observed incidences of non-compliance were attributed to growing-up milk products.

The corresponding geographic penalty for this product type is the maximum of 90%.

ATNI calls on Reckitt to consider the expanded definition of the Code, following the World Health Assembly resolution 69.9 recommendations, to cover any milk products up to three years of age.

Based on the company’s application of its BMS commitments to the different BMS product categories across its global markets, the final Corporate Profile score is 12%.

Topics Overview

Average score Highest score
These represent the initial overall scores before applying the penalty.

BMS commitments by topic

Most topics include assessments on both policy commitments and management systems, except for the topic on ‘Implementation and Monitoring’, which mostly considers management systems, and the topic ‘Overarching Commitments’, which considers policy commitments only. A separate topic assesses the level of disclosure and transparency practiced by companies on the different aspects of the Code.

Select one of the 11 topics from the drop-down menu below.
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