True Beauty Ventures

Hot of the Press! VC Top Predictions for CPG in 2025 💰💰💰 'Tis the season to publish our annual venture capital predictions in CPG. 2025 marks the fifth year we've published annual advice for founders from many of the nation's best brand investors: Willow Growth Partners, BFG Partners, Verity Venture Partners, BrandProject LP, Lunr, Fab Co-Creation Studio Ventures, True Beauty Ventures, Coefficient Capital. This year, VCs are predicting fewer funding rounds, focus on solid fundamentals, earlier and more diverse exits beyond strategics, personalized video-driven retail, and new audiences and products at the intersection of health and wellness. Enjoy!

Huge congratulations to Ron Robinson on this very well-deserved recognition! Receiving the Market Maker Award from WWD and Beauty Inc is a testament to Ron’s visionary leadership and the remarkable work of the BeautyStat Cosmetics team. True Beauty Ventures is so proud to be on this journey with Ron and his incredible team and we celebrate this recognition alongside you. This recognition also speaks to the power of collaboration, from the innovation behind the brand to the strong partnership with Ulta Beauty. Cheers to this honor and all the future wins ahead! Cristina Nuñez Caroline Weintraub

The Bridge Mentorship program, a collaboration between True Beauty Ventures and Beauty Independent, continues to empower emerging beauty brands with the strategic expertise needed for growth. This year, brands like LIGHTSAVER SKIN, Lion Pose, and Miss Rizos highlight the diverse impact of mentorship. Lightsaver, for instance, focuses on simplifying sun protection to prevent skin cancer, while Lion Pose champions inclusivity through its highly efficacious skincare products, and Miss Rizos celebrates textured haircare. To date, the program has successfully yielded two investments for TBV, Sofie Pavitt Face and Youthforia. These success stories showcase the program’s ability to connect promising brands with resources that propel them to new heights. Applications for the 2025 cohort are now open. Indie beauty founders eager to elevate their brands are encouraged to apply. With our guidance, the next generation of innovative beauty leaders could be you! #bridgementorship

Don’t forget to apply!!

Exciting insights on investing in the fragrance industry from industry leaders in Beauty Independent's latest article by Rachel Brown and Claire McCormack. I shared my perspectives on the current landscape: • Beauty remains resilient despite economic challenges • Brands with strong fundamentals are still attracting investment • Valuation multiples have moderated but remain healthy for top performers Our recent investments in The 7 Virtues Beauty Inc. and The Maker showcase continued activity in the fragrance space. Other notable contributors to the article included Tina Henry Bou-Saba, Anna Whiteman, Madeline Kaplan, Andrew Ross, Odile Roujol and Ashleigh Barker - all offering nuanced views on beauty's investment outlook. It is always great to see the industry's adaptability and optimism shine through. Looking forward to seeing how these trends evolve! Cristina Nuñez True Beauty Ventures #BeautyInvesting

Please make sure to tune in this Wednesday, December 4, for the recap of our second cohort of 2024. Cristina Nuñez and I will join the founders of Lion Pose, Miss Rizos and Lightsaver to discuss our findings and action plans for these great brands. Beauty Independent Nader Naeymi-Rad Jane Carlson True Beauty Ventures #bridgementorship

Tis the season .... The forecasts for prestige beauty holiday shopping in 2024 are generally positive, with several key trends and predictions: Overall Growth and Consumer Sentiment Prestige beauty sales are expected to continue their strong performance during the 2024 holiday season. From January through September 2024, the U.S. prestige beauty market grew by 7% to $22.8 billion, outpacing mass market sales which increased by 2%. This trend is likely to continue into the holiday season. Consumer sentiment for holiday shopping has improved compared to the past two years. Holiday shoppers plan to spend an average of 2% more than last year, with Black Friday hitting a four-year high in expectations for the best holiday deals. Fragrance Prestige fragrance is positioned as the fastest-growing category in 2024, with year-over-year sales increasing by 14% through September. The holiday season is particularly crucial for fragrances, traditionally accounting for over 40% of annual sales in both prestige and mass channels. Makeup Makeup, the largest category within the prestige segment, grew by 5% through September. Lip products and blush are expected to be strong performers during the holiday season. Hair Care The prestige hair category has shown significant growth, with dollar sales up 8% through September. Hair wellness products and styling items are expected to be popular gift choices Consumer Behavior and Demographics 29% of shoppers plan to purchase beauty products as gifts this year, slightly up from 2023. Notably, 41% of households with children intend to buy beauty products, which is 11 percentage points higher than overall intentions. Higher-income households with children under 18 are showing significant increases in prestige beauty spending, indicating that parents are indulging Gen Alpha with these products. E-commerce and Discounting Online sales are expected to play a significant role, with Adobe Digital Insights predicting a record $240.8 billion in online sales between November 1 and December 31 across all retail categories. Discounts are anticipated to be around 30% off listed prices across brands, similar to the 2023 season. These promotions are expected to have a strong impact on consumer behavior, potentially contributing between $2 billion and $3 billion in online spending. The prestige beauty industry is poised for a strong holiday season in 2024, driven by growth in fragrance, makeup, and hair care categories. The influence of Gen Alpha, increased spending by households with children, and the continued strength of e-commerce are expected to be key factors in driving sales during this period. Hope everyone has a wonderful holiday season. Happy shopping! True Beauty Ventures Cristina Nuñez #beautyinvesting

Exciting insights from Vennette Ho Lee on the beauty industry's current investment landscape! Key takeaways: • Beauty M&A landscape remains robust despite economic challenges • Strategic buyers are becoming more selective, focusing on profitability • Private equity firms are actively pursuing beauty investments • Indie brands are gaining traction, especially in haircare and body care • Sustainability and clean beauty continue to be major industry drivers True Beauty Ventures plays a critical role in providing strategic capital to help indie brands scale, supporting the next generation of beauty innovators. What are your thoughts on the current state of beauty investments? Let's discuss! Cristina Nuñez BeautyMatter #beautyinvesting https://lnkd.in/ekvmHhm8

🔮 Exciting insights from Euromonitor International's 2025 Consumer Trends report! Here are the key takeaways shaping the future of beauty and wellness: * Rise of Preventative Wellness and Healthspan: Consumers prioritize living better, not just longer. The global vitamins and supplements market is projected to reach $139.9 billion by 2025. * Strategic Spending: Economic uncertainty drives strategic spending. Premium beauty growth outpaces mass alternatives in key regions. * Eco Logical: Sustainability is now essential, but affordability remains key. 63% of consumers try to make eco-friendly choices, yet only 15% will pay more for sustainable products. * Filtered Focus: Simplifying consumer experiences is crucial. 67% of consumers actively seek ways to simplify their lives. Beauty and wellness brands can capitalize on this trend by streamlining product discovery and enhancing user experiences. * AI Ambivalent: While 43% trust generative AI, concerns about accuracy and ethics persist. The trends shaping 2025 show a consumer landscape that values longevity, affordability, sustainability, simplicity, and ethical innovation. For beauty and wellness brands, aligning with these shifts requires a balance of creativity, transparency, and adaptability. By leveraging the insights from these trends, companies can position themselves as market leaders able to meet evolving consumer demands. True Beauty Ventures Cristina Nuñez BeautyMatter #beautyinvesting https://lnkd.in/eB3sykDY

Please make sure to tune in this Wednesday, December 4, for the recap of our second cohort of 2024. Cristina Nuñez and I will join the founders of Lion Pose, Miss Rizos and Lightsaver to discuss our findings and action plans for these great brands. Beauty Independent Nader Naeymi-Rad Jane Carlson True Beauty Ventures #bridgementorship