Kylie Cosmetics now belongs to the same company that owns Rimmel and Max Factor.
Less than a year after she was named the world’s youngest self-made billionaire (‘self-made’ title still questionable), Kylie Jenner has sold off a chunk of her Kylie Cosmetics brand.
Coty, the parent company of brands like Rimmel, Sally Hansen, and Max Factor, will now own 51% of Kylie Cosmetics, with the reality star taking the remaining share.
The deal earned Kylie a cool $600m – and while Coty will have financial control over her brand, Kylie will still be the face of the brand, and involved in creating new products.
“I’m excited to partner with Coty to continue to reach even more fans of Kylie Cosmetics and Kylie Skin around the world,” she said in a statement.
I look forward to continuing the creativity and ingenuity for each collection that consumers have come to expect and engaging with my fans across social media. This partnership will allow me and my team to stay focused on creation and development of each product while building the brand into an international beauty powerhouse.
Kylie launched her beauty line in 2015 with her now-iconic Lip Kits, which sold out in seconds online – they were followed by Kyshadow palettes, blushes, highlighters, and the Kylie Skin range.
However the New York Post reports that by November 2018, three years after the first product launched, Kylie Cosmetics revenues were down 62%, while sales have declined 14% as of May this year.
Rakuten Intelligence, a company that tracks online shopping receipts, thinks that the hit in sales is down to a lack of consumer loyalty.
Nevertheless, Coty said that Kylie Cosmetics is “not a fad”, and hopes the brand can boost its sales with shoppers under 35. Let’s see how this all turns out…