Standout SMBs: 2010

Small companies don't have the big budgets of their larger competitors, yet they are a hot bed for some of the most cutting-edge innovations in the consumer goods market today. On the pages that follow, CGT connects you to a handful of standout small to midsized consumer goods companies (each with revenue equal to or less than $1 billion) that are making it big despite unfavorable economic conditions of late. Empowered by creative and sometimes risky ideas, dedicated teams, and enabling technologies and business processes, these companies are doing a great job winning the loyalty of consumers everywhere. 

Type of Company: Private
No. of Employees: About 73
Founded: 2008 (launched June 2009)
Headquarters: Middleton, Wis.

What it Does: Alice.com is disrupting the traditional retail market by re-thinking the giant consumer packaged goods (CPG) industry. The company's e-commerce platform allows CPG manufacturers to create branded storefronts that make it easy for the mainstream consumer to buy household goods online.

Biggest Achievement in 2009/10: Since its launch, Alice.com has grown rapidly. Outreach to 31 bloggers at its launch spread to more than 161 posts that week alone, and more than 500 blogs have been written about the company since. What's more, site traffic has doubled each month since launch, and it now has more than two million unique visitors to the site.

Type of Company: Private
No. of Employees: Less than 100
Founded: 1995
Headquarters: Cromwell, Conn.

What it Does: Amerifit Brands is a developer, marketer and distributor of a variety of innovative health and wellness products. Leading the way is the Estroven brand, which currently offers the No. 1 selling menopause supplement in America. Amerifit Brands' other key product lines include the AZO brand of products for pain and symptom relief of urinary tract and yeast infections, and Culturelle, America's leading probiotic for immune and digestive health.

Biggest achievement in 2009/10: Amerifit Brands achieved double digit growth despite the recession during which many of its retail customers implemented inventory reduction strategies. The company is also leveraging demand data to improve overall sales and supply chain performance. In 2008, it tapped Relational Solutions Inc. to design and implement its POSmart data warehouse system.

Type of Company: Private
No. of Employees: 225
Founded: 1992
Headquarters: Union City, Calif.

What it Does: Ariat International Inc. pioneered the application of advanced athletic shoe technology into English riding boots and authentic Western boots. It is now a leading manufacturer of innovative performance equestrian footwear, apparel and belts.

Biggest achievement in 2009/10: Last year, Ariat launched a major project migrating to SAP ECC, including SAP's Apparel and Footwear Solution and Cognos reporting tools. Even with the implementation in play, Ariat was able to continue regular business activity and transition seamlessly to the new system.

Type of Company: Private
No. of Employees: More than 500
Founded: 1990
Headquarters: Bedford, Mass.

What it Does: iRobot designs and builds practical robots that make a difference in people's lives. The company's home robots, which include the iRobot Roomba, are revolutionizing the way people clean. Plus, its government and industrial robots are used by the military and public safety organizations worldwide to conduct dangerous missions.

Biggest achievement in 2009/10: iRobot's international home robot revenue in 2009 increased 35.2 percent and comprised more than half of total home robot revenue for the year. Using RightNow Technologies, iRobot also overhauled its customer service program, while controlling costs and leveraging customer data across the organization.

Type of Company: Private
No. of employees: 300
Founded: 1987
Headquarters: Tualatin, Ore.

What it Does: Since 1987, Pacific Natural Foods blazed trails in the natural foods industry. It now has a full line of beverages made from nuts and grains, creamy and hearty soups, broths, pot pies, pizzas and ready to drink coffees, matés and teas sold throughout the United States and Canada in mainstream grocery and natural food stores. 

Biggest Achievement in 2009/10: Launching nearly 30 new products, including 12 ready-to-drink organic beverages served in an aseptic prisma package and all natural artisan-styled frozen pizza.

Type of Company: Private
No. of employees: 5
Founded: 2008
Headquarters: Southlake, Texas

What it Does: Project 7 Inc. has set a very high bar for consumer packaged goods capitalism with a conscience. The company sells bottled water, gum, mints and t-shirts, and then donates more than 50 percent of its profits to help seven critical areas of need in the world: 1. House the Homeless 2. Feed the Hungry 3. Save the Earth 4. Help those in Need 5. Build the Future 6. Hope for Peace 7. Heal the Sick.

Biggest Achievement in 2009/10: Project 7 recently scored the water contract for Caribou Coffee in place of Coca-Cola and replaced Caribou's branded gum and mints with Project 7 products.

Type of Company: Private
No. of Employees: More than 800
Founded: 1994
Headquarters: Toronto, Ontario

What it Does: Spin Master is the largest privately-held children's toy and entertainment company in the world. It makes some of the world's most beloved brands, including Bakugan, Liv, Tech Deck, Air Hogs, Aquadoodle, Moon Sand, PixOs and many more.

Biggest Achievement in 2009/10: Spin Master launched the next big thing to shake up the doll aisle: Liv, a new line of teenage fashion dolls available in retail stores across the United States and Canada. The company also grew its product line, sales and shelf space for most brands and expanded Spin Master Entertainment, a division focusing on television and other media properties.

Next Big Goal: Now the third largest toy company in North America, Dave Balkaran, director of retail operations and consumer care, says Spin Master will "continue to provide high quality products that provide high quality experiences and to grow our product line and content divisions."

Type of Company: Private
No. of employees: 250
Founded: 1889
Headquarters: Orchard Park, N.Y.

What it Does: The Mentholatum Company (TMC) is a global health and wellness company, providing non-prescription pharmaceutical, healthcare and cosmetic products to consumers worldwide. Brands include Softlips, Keri and Selsun.

Biggest Achievement in 2009/10: The Softlips brand introduced its Naturals line of tints, glosses and lip butter that is free from preservatives, phthalates, parabens, sulfates, mineral oil and gluten. The line is also cruelty free while the packaging is printed on recyclable material and uses vegetable based inks. While making this 100 percent natural line, Softlips maintained its truly feminine branding while still delivering a pleasant flavored product with the added protection of SPF 15 sunscreen.

GMCR's Shopping Spree
Lately, Green Mountain Coffee Roasters Inc. (GMCR) is on an acquisition roll, buying Tully's Coffee brand and wholesale business for $40.3 million and the Timothy's World Coffee brand and wholesale business for $157 million in 2009. GMCR is also currently in a bidding war with Peet's Coffee and Tea for Diedrich Coffee Inc.

Jones Seeks New Home
The challenging economic environment has made it difficult for Jones Soda to operate on a standalone basis. Thus, the company is exploring buyout offers. At press time, it was considering offers from Reed's, a natural soda maker, and an unnamed third party.           

Diamond Grows Chip Portfolio
Diamond Foods Inc. plans to acquire Kettle Foods, maker of premium potato chips, from Lion Capital LLP for $615 million in cash. Its addition would add more than $250 million in revenues and almost double Diamond's EBITDA.

Smart Balance Gains Best Life
In November 2009, Smart Balance Inc. signed an exclusive global agreement with the Best Life Corporation to develop a popular Bestlife brand, consisting of food and beverage products that offer great taste, nutrition and convenience.