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Background:

2024 has brought forth the arrival of the “Sephora tweens,” which refers to members of Gen Alpha (roughly defined as those born between 2010 and 2024) who have enthusiastically taken to buying up skincare and makeup. This phenomenon, driven largely by beauty-related chatter on social media, has resulted in a new wave of brands catering specifically to this younger demographic.

“There are now teen brands, tween brands, 20-something brands, 30-something brands. … I think we can thank the DTC movement and everything that happened from 2014 on for this kind of innovation,” Rao says. “There’s been a total disruption in beauty overall with challenger brands like Glossier that have come and really taken market share away from the big conglomerates and companies … that have been household names for a really long time.”

This week on The BoF Podcast, senior correspondent Sheena Butler-Young and executive editor Brian Baskin sat down with Priya Rao, executive editor at The Business of Beauty at BoF, to delve into how tweens have taken over the beauty aisle and what this means for the future of the industry.

Key Insights:

• Kids have long experimented with beauty products, but today, they’re starting earlier and earlier. “If you look at social media today, it’s not just 10-year-olds or 11-year-olds. There are 5- and 6-year-olds putting on makeup and trying different lipsticks and lip glosses,” shared Rao. This early engagement with beauty is not just a passing trend, but is becoming a norm, fueled by the accessibility of products to try in stores like Sephora and the influence of social media platforms like TikTok.
• Another driving force behind this trend is the rise of celebrity-led beauty brands that resonate with young people. For example, Rare Beauty, founded by Selena Gomez, not only offers products but also promotes mental health awareness. “Tweens and teens can identify with these brands not just because of the products, but because of what they stand for,” explained Rao.
• The proliferation of skincare products has also led to some confusion and concern, with tweens using products like retinol that are meant for an older demographic. Brands and influencers play a crucial role in teaching young consumers what’s right for their skin. “Fear is not the way to lead here. It’s about education first,” advised Rao. Brands must strike a balance between engaging young consumers without overwhelming them with too many steps or products.
• As the beauty industry continues to evolve, brands that wish to stay ahead will need to be responsive to the needs of Gen-Z and Gen Alpha consumers. “Smart companies have to be agile and constantly communicate with their customers,” noted Rao. This means reflecting the diverse experiences of young consumers back to them, whether through representation in ad campaigns or through the products themselves.

Additional resources:

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Angelina Jolie is a beauty muse once again.

On Friday, Tom Ford Beauty announced that she will front the new Runway Lip Color franchise, which rolls out into stores on Sep. 3, replacing its existing Lip Color franchise. Prices start at $46 for lip liners, and $60 for lipsticks.

In 2017, Jolie began working with LVMH-owned luxury cosmetics brand Guerlain as an ambassador both for fragrance, and its philanthropic efforts to preserve global bee populations.

Her appointment, and the choice to reboot the lip category, comes at a pivotal time for the brand. In its full-year 2024 earnings, parent company Estée Lauder said net sales for makeup from Tom Ford Beauty decreased, primarily driven by the underperformance of its lip category.

Tom Ford Beauty’s high-glamour image juxtaposes against the leading indie brands who have rapidly cornered the lip category. Brands such as Summer Fridays, Naturium and Rhode favour more playful, personable branding, though there’s been viral hits for luxury lines such as Dior with its sheer Lip Glow Oil.

Lighter, more balm-like options have driven growth in the lip category, with market research firm Circana identifying that oils, balms and glosses are growing at a faster rate than lipstick.

In a press release, the brand described the Runway Lip Color as featuring a hydrating complex with “decadent emollience and rich, fade-resistant colour.”

The full campaign, which includes images and a video shot by the legendary fashion photographers Mert Alas and Marcus Piggott will be released on Sep. 3.

Sign up to The Business of Beauty newsletter, your complimentary, must-read source for the day’s most important beauty and wellness news and analysis.

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Chanel Ltd. is buying a minority stake in Swiss watch brand MB&F in a deal that will give the independent watchmaker financial security while boosting the French fashion brand’s standing in the high horology industry.

The Max Büsser & Friends brand, known for unusual designs and innovative movements, will sell a 25 percent stake to Chanel, the Geneva-based company said in a statement Thursday.

The stake sale, coming after MB&F tripled revenue in three years, “will make sure that this company survives us,” founder and creative head Maximilian Büsser said in an interview.

Financial terms for the deal were not disclosed. In 2023, MB&F produced 419 wristwatches and had revenue of 45.4 million Swiss francs ($53.3 million).

The Chanel agreement promises to bring stability to the 19-year-old watchmaker amid an industry-wide downturn in demand for expensive timepieces after a pandemic-era boom. Büsser, 57, will retain a majority 60 percent stake in the business, down from 80 percent, while MB&F’s head of R&D and production Serge Kriknoff now owns a 15 percent stake. Both executives will remain with the company.

The agreement gives closely held Chanel a right of first refusal on any future stake sales in the company, which has about 60 staff and expects to grow sales by about 5 percent this year, Büsser said. It will also head off the potential for unwanted takeover offers after his eventual departure.

“Somebody could come and say, ‘this is a big check,’ and if that somebody is a publicly owned group, which wants growth and profits and whatever, I don’t know who would take over,” Büsser said.

MB&F makes design-oriented timepieces that can resemble animals including frogs, panda bears and bulldogs as well as objects such as cars and spaceships. It also makes more traditionally shaped watches. The brand generates waitlists for buyers despite prices that can reach above $100,000 a piece.

Büsser said waitlists for some of the brand’s watches have shortened to as little as six months from a peak of nearly a decade during the pandemic-era boom as interest in independent brands including MB&F surged.

For Chanel, the deal adds credibility to its watchmaking operations. The French fashion house makes about 75,000 of its own branded watches per year with sales of about 400 million Swiss francs, according to Morgan Stanley estimates. That makes it among Switzerland’s 25 biggest watchmakers.

Chanel has previously made minority investments in other independent Swiss brands, including Romain Gauthier in 2011 and F.P. Journe in 2018. It also owns stakes in some Swiss watch components suppliers, including a casemaker that MB&F will now have greater access to.

The purchase of the MB&F stake is part of Chanel’s “long-term strategy to continue to preserve, develop and invest in specialist know-how and expertise,” Frédéric Grangié, Chanel’s president of watches and fine jewelry, said in a statement.

Büsser said the brand is planning a series of special releases to celebrate its 20th anniversary in 2025. The agreement with Chanel will preserve “the craziness and creativity” that MB&F has become known for, he said.

By Andy Hoffman

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