ENTREPRENEURSHIP

Has The Small Beauty Brand Explosion Imploded?

In a recent piece by McKinsey & Co. outlining an agenda for the consumer goods industry, which it projects will grow at a 3% to 5% rate annually going forward, making it hard for brands to expand and it more important they steal market share, the management consultancy wrote, “The explosion …
Rachel Brown·November 20, 2024·1 min read
The 30-second read
In a recent piece by McKinsey & Co. outlining an agenda for the consumer goods industry, which it projects will grow at a 3% to 5% rate annually going forward, making it hard for brands to expand and it more important they steal market share, the management consultancy wrote, “The explosion of small brands has effectively paused, but the underlying drivers of consumer preferences for ‘special, different, and authentic’ remain in place.”

Prompted by McKinsey’s pronouncement about the state of small brands, for this edition of our ongoing series posing questions relevant to indie beauty, we asked 14 investors and investment bankers the following: In beauty and wellness, is “the explosion of small brands” essentially over? What are the implications for existing beauty and wellness brands big and small? How do they factor into beauty and wellness investment philosophies?

The players

2 mentioned
Brand

AS Beauty

Founded2019
HQNew York, New York, United States
Revenue Range$150M+
Investor

T Investment

Founded2021
Up nextCapital
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