Dive Brief:
Searching for growth, DTC model Function of Beauty introduced Wednesday that it has acquired Atolla, a personalized skin care company.
Both corporations are centered within the custom-made magnificence house: Function of Beauty started as a personalized hair care model, and Atolla provides shoppers tailor-made formulations and skin care regimens primarily based on a patented at-home skin care check, in line with a company press launch.
Function of Beauty had already launched into the personalized skin care market with an providing of “over 3 billion attainable formulations.” The acquisition of Atolla will enable it to make use of the company’s data-driven product suggestion system and skin care check to enhance its personal choices, with a brand new skin care providing set to launch in Q1 subsequent 12 months.
Dive Insight:
As DTC manufacturers develop past their preliminary levels, many are looking out for his or her subsequent part of progress, whether or not it is an IPO or, in Function of Beauty’s case, an acquisition to broaden its attain.
Founded in 2015, co-founder and CEO Zahir Dossa has been on a mission from the start to broaden entry to personalized magnificence merchandise. “It’s an trade that we predict might have an insane quantity extra specialization and personalization for any single individual,” Dossa advised Retail Dive in 2019. “I do not assume it is a area of interest drawback. I believe it is a mass market drawback that wasn’t capable of be addressed largely from a technological perspective.”
Now, Function of Beauty touts its hair care merchandise as “essentially the most superior providing of custom-made haircare so far in the marketplace,” and the model has set its sights on altering the skin care recreation subsequent. Personalized skin care is one of the up-and-coming traits within the magnificence house, with many corporations taking part in round with how you can attain shoppers with customizable merchandise.
Proven, an AI-based customizable skin care model, made “multi-million greenback gross sales” after showing on (and being rejected by) Shark Tank. The company has raised $6 million so far, in line with Crunchbase. Heyday, which emphasizes a personalized method to skin care by knowledge and the experience of licensed estheticians, raised $20 million in February with plans to open lots of of shops. And extra established gamers like Clinique and Shiseido have additionally engaged with the development.
“With the acquisition of Atolla, Function of Beauty now has the power to supply the world’s most superior skincare system — one that’s really personalized to each single buyer by the mixture of our groundbreaking manufacturing applied sciences and Atolla’s patented skincare system,” Dossa mentioned in a press release. “Function of Beauty is striving to revolutionize the sweetness trade by making personalization the brand new norm, and that is one step additional to make that imaginative and prescient a actuality.”
https://www.retaildive.com/information/function-of-beauty-acquires-personalized-skin-care-company-atolla/604449/
