Celebrity and entrepreneur Jessica Alba announced the online retailer she co-founded in 2011, The Honest Company, will expand to include a full cosmetic and skin care line called Honest Beauty next month.
Honest Beauty, which will operate on an entirely separate website from The Honest Company and have its own logo and look, will officially launch on Sept. 9, Women’s Wear Daily reported yesterday (Aug. 19).
“The values we stand for — safe, effective products to lead a healthy life — translate into every vertical,” Alba told WWD in an exclusive interview. “Beauty was always part of the plan. It was just a matter of when, how and being able to execute it properly.”
While The Honest Company continues to see significant growth, reportedly raising $100 million in a recent funding round, valuing the site at nearly $1.7 billion, the forthcoming Honest Beauty may have the potential to outpace its parent company.
“The size of the beauty market is much larger than the other categories we are claiming today, so does it have the potential to be larger than The Honest Company? Absolutely,” Brian Lee, co-founder and CEO of The Honest Company, told WWD.
“We wouldn’t go into a category unless we thought we could make a large impact,” he added.
Honest Beauty will comprise an 83-piece collection of both skin care products and makeup, ranging in price from $8 to $40 for skin care and $15 to $30 for cosmetics.
“We are building a prestige brand, but we are offering it at a price point that is within reach. That has been challenging operationally as far as figuring out what that sweet spot is, where we’re willing to take a hit on margins, and will certain things ever scale,” Alba explained.
“The company was founded to help create a healthier environment for everybody, not just rich folks. That’s why we take a hit on margins, because we’ll only make a difference if we get it in people’s hands,” Lee added.
The beauty line is also expected to have its own brick-and-mortar presence.
According to WWD, Honest Beauty will host a pop-up shop at The Grove in Los Angeles on Sept. 25, and it will remain open for six months. The shop will also utilize new technologies to allow customers to virtually try on makeup at real-time 3-D application stations.
For now, the company says that no other physical stores are in the works, but, looking ahead, the idea is not being ruled out entirely.
“Having the choice to come in or order online is a convenience we know customers want,” she told WWD.
Earlier this year, the company confirmed its sales increased to $170 million last year, a sharp increase from $60 million in 2013.
According to The Wall Street Journal, 75 percent of product sales by Honest take place through its online store. But Alba’s business is also beefing up its store distribution, with items available in more than 2,500 locations.
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