The recent acquisition of Hailey Bieber’s skincare brand, Rhode, by E.l.f. Beauty has sent significant ripples through the beauty industry, generating an impressive $20 million in media impact value within just 48 hours post-announcement. This figure, evaluated through Launchmetrics’ proprietary metric for measuring the financial effect of marketing activities, underscores the remarkable buzz surrounding the $1 billion deal, making it the largest transaction ever for E.l.f. Beauty. Despite being a flagship acquisition for the company, E.l.f. is no stranger to founder-led partnerships, having previously acquired brands founded by Susan Yara and Alicia Keys. This reinforces E.l.f.’s strategic vision of guiding and supporting burgeoning brands.
Hailey Bieber expressed a profound sense of responsibility towards Rhode, describing the process of finding the right home for the brand as “scary.” However, her experience with E.l.f. reassured her. She identified shared values around community and team spirit, knowing that E.l.f. is committed to nurturing founders’ visions. This alignment made her decision to sell Rhode a calculated move, enabling the brand to grow and enhance its impact while maintaining the essence she built. The collaboration signifies more than just a financial transaction; it’s about continuing a shared journey in beauty and community.
In an exciting turn of events, Rhode has also launched a new campaign featuring actor Harris Dickinson as its first male ambassador. This strategic move sees Rhode entering the male skincare market, a burgeoning sector in the beauty industry. The campaign’s launch was met with enthusiasm, generating $1.1 million in media impact value within two days. Bieber spoke about her admiration for Dickinson and how she felt a synergy between him and the brand, emphasizing the importance of showcasing a male face to resonate with a broader audience. The choice reflects her forward-thinking approach to beauty.
E.l.f.’s ambition extends beyond the U.S. market, as plans are underway to take Rhode international, starting with launches in Sephora stores across the U.S. and Canada this fall. With her new roles as chief creative officer and head of innovation, as well as her position as a strategic adviser for E.l.f., Becker is set to play a central role in Rhode’s growing portfolio. This move not only highlights her commitment to the brand but also her aspirations to lead its evolution in the global beauty landscape.
Since its inception in 2022, Rhode has successfully carved out its niche with a focused product line, initially offering just three core skincare items. Over time, the brand has expanded significantly, introducing a diverse range of products, including cream blushes and lip treatments. By the end of 2024, Rhode achieved remarkable growth, topping the skincare sector in earned media value and displaying a staggering 367% increase from previous years. This trajectory marks Rhode not only as a contender but as a leader in the rapidly evolving beauty market.
In conclusion, the union of Rhode and E.l.f. Beauty showcases a progressive shift in beauty business dynamics, highlighting founder-led brand expansions and strategic partnerships. With Hailey Bieber at the helm, Rhode is poised to evolve further, embodying her vision of community and inclusivity. This synergy signals a promising future for both Rhode and E.l.f., as they embark on a journey to redefine beauty standards, outreach, and engagement with their audiences globally. The collaboration exemplifies how effective partnerships can amplify a brand’s voice, creating a lasting impact in the ever-competitive beauty industry.