Industry Rebooting Founders and Celebrities – Sophia Bush and Randy Synder Test the Products – … [+]
The global cosmetics industry has experienced exponential growth since 2004 and is predicted to become a $758 billion market by 2032. This growth is driven by a wide range of consumer preferences and trends that are accelerating investment in everything from new products and formulations to technology and services.
This ever-expanding sector is also benefiting from the growing use of personalization, AI/AR technologies, and the growing popularity of social media channels like Instagram and YouTube. Not only do these platforms have a huge influence among certain demographic groups, they are also helping to generate demand for beauty products and bridge the gap between brands and consumers.
Today, social media is much more than just influencers interacting with their audiences while trying on and promoting makeup products. Social commerce has made it possible to buy directly on platforms like TikTok, primarily through live selling. This growth is being rapidly fueled by a major societal shift towards prioritizing self-care and using products to maintain healthy skin and look their best.
Celebrity-backed businesses
Celebrities and the beauty industry have been ubiquitously linked for generations, but in recent years, celebrities have gone beyond simply endorsing or being the face of brands to launching their own beauty brands.
Global superstar and ageless beauty Christie Brinkley became a brand ambassador for SBLA Beauty after being introduced to it by a friend during the pandemic, Selena Gomez has partnered with Rare Beauty, Scarlett Johansson with The Outset and Michelle Pfeiffer with fragrance brand Henry Rose.
Women who make an impact and then exit
According to the Female Founders Fund, in 2022, companies with two or more female founders will receive 18.4% of total venture capital investment, a total of $42 billion, up 74% from 2020. The same study also found that the average exit time for female founders is shorter at just 7.5 years, with notable recent exits including Knix, a women's underwear brand that sells period and incontinence products founded by Joanna Griffiths, which was acquired by Essity for $320 million, the largest publicly traded female-founded private DTC company.
Before the rise of Girl Boss in the 2010s and its gradual adoption in the 2020s, beauty entrepreneur and pioneer Randi Synder revolutionized the fragrance industry with Clean Perfume in 2002, which became one of the most successful independent fragrance brands. She went on to launch Desert Beauty in collaboration with Jessica Simpson, which became the first brand at Sephora to exceed $10 million in sales, and Fusion Beauty, which was the first brand at Sephora to exceed $50 million in sales before selling both Clean and Fusion.
When I interviewed Synder and asked her what the serial entrepreneur is up to, it became clear that her next venture is an area that excites her. After launching the fragrance brand I Smell Great with Sophia Bush, she realized there was a white space with potential and decided to go back to the lab to develop the idea for her next project, SBLA Beauty.
Non-invasive treatment solutions
Driven by trending conversations and dialogue around self-care and consumers' desire to maintain a youthful appearance, skincare is predicted to become a $186 billion market by 2028. As self-care and influencer culture has grown, conscious consumers have begun to seek out products that can help with skin issues, such as serums that firm facial muscles and reduce signs of aging. With this growth and Gen-Z's dominance of the market, one area seems to be getting left behind: skincare that specifically caters to the needs of mature women.
Synder founded SBLA to target a void: technology and formulas to smooth problem areas, boost collagen production, and even skin tone in mature women. The company's first product, the Neck, Chin & Jaw Wand, specifically targets sun damage, boosts collagen, reduces wrinkles, and tightens skin. To date, it has attracted over 700,000 users. Since then, product expansions have included the Liquid Facelift Wand and the patented Eye Lift Wand, which have been such a hit that they've sold out.
Eyewand Technology SBLA
Continued growth in transparency backed by science
According to Skincare News, the growth of science-based beauty, and particularly the skincare category, is driven by consumer demand for evidence-based products backed by scientific research and specific formulations. When developing SBLA, Synder realized that to dominate such an underserved market, they needed to ensure consumers were following each step correctly to get real results.
“I think consumers today are so much more knowledgeable and smarter than they were 20-plus years ago when I got into this industry. We want to be very transparent about the science because brands should be empowering people and explaining the science and the tools to age more beautifully at home,” Synder said.
To put it into action, she enlisted the help of a senior team of cosmetic chemists from the beauty industry to develop an industry first flagship product, the Original Neck, Chin & Jawline Sculpting Wand. They discovered biomimicking, or copycat, technology that allows this wand to replicate how skin works in its prime. Because who doesn't want to be in their prime?
“Backed by scientists from Columbia University, our device is a targeted technology that works on the specific areas customers want to treat, with an antibacterial wand that applies the precise amount of product that meets the marketing claims,” said Synder. “Our first product, the Original Neck Wand, uses Macrosphere technology to create an invisible layer on the skin. This layer can't necessarily be felt, but it uses skin matching and biomimicry to make skin look like it was in its prime. Studies have shown that within 17 days, it can help replace some of the collagen lost from the neck line, tightening skin that naturally declines with age.”
Raising the bar for informed consumer expectations
As consumers become more careful about what they eat, drink, and apply, they are increasingly skeptical of products and whether their claims are true. When developing SBLA, Shinder was very careful, wanting to provide more chemist-formulated, science-backed solutions that deliver results. More educated consumers are looking for proof from clinical studies conducted by independent research groups. After completing an independent, third-party clinical study, SBLA tested the product on a group of women ages 40-65, who used it for 15 minutes daily for two weeks. Some of the data I have observed seems to be positive, with subjects reporting significant improvements.
96% of patients saw improvement in deep wrinkles around the neck
95% of patients saw improvement in wrinkles and sagging skin
92% demonstrate improvement in fine lines
SBLA's combination of industry-leading chemists and third-party testing to help consumers is becoming the norm rather than the exception. Smart founders are becoming more wary of this “show me the evidence” trend. For example, in an interview with Beauty Independent late last year, Suveen Sahib, co-founder of K18 Biomimetic Hairscience and Aquis, said, “Brands that harness the power of science and biotech have an obligation to provide deeper educational context for consumers,” adding, “Upping your information game is more than just smart branding. It's a responsibility to make science accessible in beauty and personal care.”
Even amid fears of a recession, empowered and savvy consumers don't appear to be cutting back much on spending in these growing categories. The prestige skin care sector is expected to grow 11% in the first half of 2023, outpacing the market, according to research firm Circana. Anti-aging, science-backed skin care is taking social media by storm, and the trend isn't likely to slow down anytime soon.
Personalization has the power to make products, technologies, and services even more targeted and effective, like Curology, the industry's first personalized formulation skincare company. With over 90% of skincare not personalized at the product level, the next five years could see more custom solutions take the category to a whole new level.
Beyond celebrity and brand hype, the bar has been raised for smarter, science-backed products and the marriage of targeted beauty and effective technology. This perfect storm of trends will continue to provide incredible opportunities for the next generation of female founders, from start-up to exit.
