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Up and Coming Independent Beauty Firms Snapped Up by Major Players, Business and Industry Trends Analysis

Top beauty firms such as Estee Lauder, L’Oreal and Coty are hunting for popular startups to acquire, in order to boost revenue and enhance customer perceptions of these well known, traditional brands. For example, Estee Lauder paid about $1 billion for Canadian skincare and makeup firm DECIEM (the parent company of The Ordinary and Shiseido) in February 2021, after spending $1.45 billion for Too Faced, a hip cosmetics brand with products such as Better Than Sex mascara, Hangover primer and Born This Way foundation in 2016. Also, in 2018, Procter & Gamble purchased First Aid Beauty for $250 million. June 2019 saw the acquisition of Tatcha by Unilever for $500 million. More recently, E.l.f. acquired Naturium for $355 million in August 2023.

The big beauty companies are well aware of the competition from the little guys. Small brands are picking billions of dollars in annual revenues that otherwise would have gone to the major manufacturers.

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Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum.

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