On July 8th, a reporter from Beijing Business Daily learned that Unilever Venture Capital recently led a $5 million financing for hair care brand Messy. Messy was founded by Alli Webb, the founder of Drybar. With the founder's successful experience and product innovation in the hairdressing field, it has become a new lever for Unilever to expand into the high-end hair care market. In recent years, Unilever has continued to bet on the hair care industry, while domestic and foreign giants such as L'Oreal and L'Oreal have also entered the market, accelerating the internal competition of this 30 billion dollar market. Technological differentiation and brand strength may become key breakthroughs.
Lead investment of 5 million US dollars in financing
Unilever has made another move on the hair care track. On July 8th, a reporter from Beijing Business Daily learned that hair care brand Messy has recently completed a $5 million financing led by Unilever Venture Capital, of which over $3 million has been received.
It is understood that Messy brand is one of the most popular independent hair care brands in recent years. The founder of Messy brand is Alli Webb, who founded the innovative hair salon brand Drybar with annual sales exceeding 500 million yuan in 2010 and received private equity investments from Castanea Partners and Roark Capital. In 2015, the Drybar brand's products and salon business were split, and Helen of Troy acquired Drybar's hair products division for $225 million in 2019; In 2021, WellBiz Brands acquired the franchise rights for Drybar Salon business.
Regarding the lead investment in Messy, a Beijing Business Daily reporter interviewed Unilever, but as of press time, no response has been received. But from the industry's perspective, Unilever's investment is likely to be based on the rich entrepreneurial experience of Messy's founder in the field of hair care and hairdressing. It is reported that Messy has launched five core products, covering three basic hair care processes: care, styling, and repair. Meanwhile, according to Messy's official disclosure, it is planning a richer product matrix, including mini outfits, hair accessories, travel sets, etc., and plans to expand into more lifestyle related fields.
Hair care track becomes hope
In recent years, Unilever has adopted a series of bold reform strategies to drive its own performance growth, such as cutting down inefficient businesses and concentrating resources on the high gross profit, high growth beauty and health track; Promote the high-end brand and further improve the business matrix. Overall, the hair care track is becoming one of Unilever's important drivers of growth.
In the past two years, Unilever has been making frequent moves in the hair care industry. In February of this year, Unilever officially launched its high-end hair care brand NEXXUS into the Chinese market. In May, the brand announced that renowned actor Tan Jianci would become the global brand spokesperson, further expanding its visibility and influence in China.
At the time when NEXXUS officially entered the Chinese market, Chen Ge, President of Unilever Greater China and General Manager of the Beauty and Health Division, stated to the public: "The launch of NEXXUS as a high-end beauty and hair care brand not only further enriches the brand matrix of Unilever Beauty and Health Division in the Chinese market, but also helps us deepen our layout in the high-end hair and hair care market with its cutting-edge hair care technology and professional repair concepts. "
Coincidentally, in the past year, L'Oreal has also accelerated its layout in the high-end hair care market. Recently, L'Oreal acquired the high-end professional hair care brand Color Wow from the United States. During the 2024 CIIE, L'Oreal's high-end hair care brand PUREOLOGY announced its official launch in the Asian market, debuting on cross-border e-commerce channels.
In addition to international beauty brands, many domestic brands are also joining the hair care track. In 2021, domestic beauty leader L'Oreal entered the field of hair care by acquiring hair care brand Off Relax; Subsequently, in 2024, a new hair care brand called "AWAKEN SEEDS" will be launched. In 2023, Shangmei Group, which also focuses on the beauty market, will launch the technology aesthetic scalp care brand "2032". In the same year, the parent company of domestic cosmetics brand Juduo, Juyi Group, reached a cooperation agreement with Pierre Fabre Group, fully responsible for all business of high-end hair care brand Fulu Deya in China. In addition, in 2022, Huaxi Biology launched the brand Sansen Wanwu, which focuses on scalp care and hair maintenance; In 2024, Juzi Biotechnology will launch the scalp care brand Handeshi; In 2025, Beteini will complete its strategic investment in the skincare brand "Bath Vision"
Obviously, the competition in the hair care industry is rapidly intensifying. Industry data shows that in the field of hair care and scalp care, the Chinese market size has exceeded 30 billion yuan in 2024, with a year-on-year growth rate of over 33%. As the number of entrants increases and industry competition intensifies, who can stand out remains to be tested by the market. However, in the view of Wu Daiqi, CEO of Shenzhen Siqisheng Company, the washing and care market is already a highly mature market, making it difficult for new brands to succeed. Unless the enterprise has excellent technological differentiation, redefines segmented categories, and combines strong brand building and marketing capabilities, it is possible to succeed in such markets.
