For over a century, US-based multinational corporation Johnson & Johnson produced plenty of well-known household and consumer products purchased by consumers all over the world. The company, located in New Brunswick, New Jersey, manufactures some of the best-selling brands globally, including Listerine, Band-Aid, Tylenol, Lubriderm, Visine, and Bengay.
In 2019 alone, the company was able to generate $20.6 billion in sales worldwide. But how did the company rose to fame and reached its massive success?
Find out how Johnson & Johnson became one of the most important companies in the world.
Brothers Robert Wood Johnson, James Wood Johnson, and Edward Mean Johnson collaborated to produce a line of prepared sterile surgical dressings under the Johnson & Johnson company in 1886. Aside from sterile surgical products, the company also manufactured medical guides and household products.
By 1894, the company learned how to produce a baby talcum powder and sold it to the public as Johnson’s Baby Powder. It was the first item in their baby product line.
Johnson & Johnson grew from its initial 14-member team to over 1,200 employees by 1910. The company helped supply the serial surgical products for both World Wars. They were also able to invent and sell an epidemic mask to help prevent the spread of the virus during the flu pandemic in 1918.
After the successful start, the company started making more money by selling various products. It includes:
Almost half of the company’s total revenue comes from its pharmaceutical products. In 2016, Johnson & Johnson was able to sell around $7 billion of Remicade. It also produces the most in-demand psoriasis drug called Stelara and the psoriatic arthritis medication Imbruvica, which earned billions simultaneously.
The company’s second most-profitable venture is medical devices, especially in other countries outside the US. Some of their biggest sales include vision care products like contact lenses, diabetes care items such as LifeScan, insulin delivery devices, and other diagnostics devices.
Consumer health products
Despite its consumer care products’ popularity, it remains the least income-generating division of Johnson & Johnson. But items from brands like Listerine, Band-Aid, and Tylenol are still selling like hotcakes on store shelves. Some of the most popular consumer help products include oral health care items, over-the-counter medicines, topical and wound care, and skin and healthcare.
Other Ways That Helped Johnson & Johnson Earn Money
There are times when the company is on the slump, especially when they have yet to release a new product. However, Johnson & Johnson remains successful because it can acquire other businesses. Some of their biggest acquisitions are the Janssen Pharmaceuticals in 1961, the Depuy Synthes in 1998, and vaccine-manufacturer Crucell in 2010.
Johnson & Johnson continuously prove itself as the thought leader in the consumer healthcare, pharmaceutical, and medical devices industry over the years. Because of this, it is no longer surprising to know that they remain one of the most famous companies in the world and will continue to be one of the thought leaders in the industry for years to come.