Becca Cosmetics has blown up over the last few years, particularly on social media platforms YouTube and Instagram. Their success is due because of their incredible complexion and luminosity products (foundations, highlighters, contour powders etc.), their prominence amongst YouTube and Instagram beauty guru’s and their collaboration with the queen of highlighting Jaclyn Hill.
Estee Lauder the parent company for many prominent brands such as Bobbi Brown, MAC Cosmetics, and Clinique have acquired Becca for $200 million. Becca was acquired from their parent company, beauty brand incubator Luxury Brand Partners. The brand is set to earn $80 million in revenues in 2016, is seeking to leverage this partnership to not only expand their horizons but to learn from the larger beauty conglomerate.
Fabrizio Freda the President and Chief of The Estee Lauders Companies told the Business of Fashion that they are in a position to help the brand by adding resources to their social media, product development, research and development, and supplier access. Robert Debaker of Becca cosmetics has expressed concerns that with acquisition their brand would be absorbed into the new parent company. The brand, however, has been added to the portfolio of executive group president John Demsey who also oversee prominent luxury brands such as Tom Ford Beauty. From the BoF article, it can be surmised that Becca will be remaining true to their roots with the president and CEO John Demsey and the CFO/COO James MacPherson staying on in their present roles.
This transference of ownership will hopefully only continue to better the brand that the beauty industry holds as a holy grail staple. Estee Lauders reach into Asia and the Pacific will not only ensure the longevity of Becca but also bring about the potential for more collaborations like the Jaclyn Hill x Becca Cosmetics line!
Original Article from Business of Fashion: https://www.businessoffashion.com/articles/news-analysis/confidential
*Image: The Business of Fashion*