This Week's Beauty Wave
Startup Highlight: Glossier
Just this week we saw Glossier Inc. announcing their Series D round for $100 million at a $1.2 billion valuation. The round saw numerous existing investors participating in the latest financing.
Emily Weiss (Founder and CEO of Glossier) has often cited their relationship with their customers to be the reason for their success. From product development to crafting experience, Glossier has always strived to celebrate individuality and personal choice.
Founded about 5 years ago, the company has reached remarkable success with global offices and over 200 employees working hard to bring the best product and experience to their next million customers.
Nimble Incumbent: Sephora
Sephora is taking loyalty programs to the next level by launching their own credit card line. For loyal shoppers, this means more added rewards to the retailer's existing loyalty program.
Sephora has always been well known for their physical locations. By the end of 2019, the company is expected to have almost 500 stores in the United States. Given that the typical Sephora shopper engages with the brand through their brick and mortar stores, the credit card extension makes perfect sense.
Unlike the digitally native brands, brands that were born offline have the disadvantage of being unable to tie purchases to a specific customer. Although loyalty programs try to address that gap, sometimes the incentives aren't strong enough to get people to sign up. On the other hand, being able to purchase your beauty products on credit just might do the trick.