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Why 99% of Beauty Brands Fail to Hit £300M (Is Sephora the answer?)

David Olusegun's avatar
David Olusegun
Dec 01, 2025
∙ Paid

Hey there,

Since 2005, only a handful of new beauty brands have scaled past £300 million in retail sales after five years.

Meanwhile, the global beauty market hit £334 billion in 2024, growing 10% year-over-year. The category is absolutely booming.

So why do 99% of brands fail to capture any meaningful piece of a £334 billion pie that’s growing at 10% annually?

The answer isn’t what most people think. It’s not about better formulations or prettier packaging or more Instagram followers.

It’s about understanding a fundamental truth that most founders ignore until it’s too late: The beauty industry doesn’t reward great products. It rewards products that work within the system.

Let me show you what the 1% know that the 99% don’t.

The Gatekeeper Problem

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