Paula’s Choice, the skin care brand best known for its consumer advocacy, transparency and efficacy, is being purchased by Unilever from TA Associates for an undisclosed sum. The transaction is expected to close in Q3 2021.
In February, Paula’s Choice gained nationwide distribution in Sephora. Over the past two years the brand has more than doubled direct-to-consumer sales, according to the company.
The brand came to be after Paula Begoun published many articles focusing on skin care and the ingredients that are best to use—and avoid. These standards translated into her skin care line, which quickly connected with a community of loyal followers. As the line grew on a global scale, its community of fans did as well. Today, Paula’s Choice is sold in the U.S., Europe and Asia and bills itself as the largest DTC skin care brand in the world. According to an April 2021 webinar featuring Erika Kussmann, Chief Marketing Officer, General Manager of North America & Australia for Paula’s Choice, more than 50 percent of the company’s business comes from outside the U.S. Its recipe for success has been to monitor demand across digital channels and identify white space to convert consumers. Precision marketing combined with relevant content has helped the brand attract consumers. In 2021, new customer acquisition was up three times the previous year.
Vasiliki Petrou, Unilever EVP and CEO Prestige, said of the deal, “We are thrilled that Paula’s Choice will join our Unilever Prestige family. Paula’s Choice is a true pioneer in the digital space for beauty and has created a mission-based brand rooted in truth and transparency. We can’t wait to introduce the brand and its iconic products to an even bigger audience.”
Paula Begoun, Founder, said, “I am so excited that Unilever and Paula’s Choice are joining forces, and I want to thank Vasiliki and the Unilever team for believing in us, our mission and our values. With Unilever we can build on our work and vision spanning 26 years of creating brilliant products, and by giving people the self-confidence that comes from knowing they are taking the best care of their skin possible.”