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Drunk Elephant—Bright, Happy, Clean. Tiffany Masterson talks about the brand’s meteoric rise, ‘near-unicorn’ sale to Shiseido, & colorful packaging.
February 3, 2021
By: Jamie Matusow
Editor-in-Chief
Beauty Packaging’s online community voted Drunk Elephant ‘Beauty Company of the Year: Excellence in Packaging.’ What role did packaging play in the prestige brand’s meteoric rise and ‘near-unicorn’ sale to Shiseido? What are the ‘Suspicious 6’? How did the brand get its curious name? Here, in an exclusive interview, Tiffany Masterson, the brand’s founder and chief creative officer and president,talks about developing serious products with a lighthearted personality, how doing things differently can be effective—and how anyone can achieve their wildest dream with enough determination, conviction, discipline and hard work. An elephant sauntered into the room (so to speak) in 2013, and disrupted the Beauty conversation. This wasn’t just any pachyderm—it was a prestige Indie beauty brand called Drunk Elephant, which boasted innovative formulas that joined “good synthetics with good naturals”—and was playfully packaged in fun, eye-catching colors. It was founded by mompreneur Tiffany Masterson, now an industry icon known for achieving the ultimate beauty startup goal—selling to a global giant in less than 10 years. An enterprising, stay-at-home mom, Masterson was passionate about creating skin care products that would treat her own sensitivities. She became somewhat of a DTC pioneer of clean formulas at the time, and built a strong social community of loyal users—while also delivering a clean, colorful, vibe with the packaging she created. Her hard work paid off: Just seven years post-founding, Masterson achieved the near-unicorn dream, when, after a bidding war among leading global beauty companies, Shiseido herded in the brand in November 2019, paying a hefty $825 million. (The Estée Lauder Companies and Unilever were rumored to be among the bidders.) Drunk Elephant had achieved net sales of close to $100 million in 2018, according to Forbes, which described the nine-digit acquisition a year later, at the time of sale, as “one of the biggest ever for a skin care brand.” In addition, Forbes said “the brand has become one of the fastest-growing prestige skin care companies in history.”
“Drunk Elephant was a bit perplexing to some at first—but ultimately, the brand broke the norm as far as prestige packaging. I thought the multi-color design for the packaging was a bit off message, and I found the ‘faint’ logo hard to read.” “When the brand launched, no one could quite believe the name. Who could believe this was meant to be ‘serious’ skin care. But here we are, years later, part of the Shiseido family of brands and no one questions any of these elements any longer.” “The color is now an essential part of the brand, certainly reflected on their website. It’s serious skin care, without taking itself too seriously.” “Tiffany put a stake in the ground, stuck by it and has done well. The brand was smart about packaging components, using lots of airless containers; given the focus on antioxidants in the formulas, it was a good call.”
“Both visually and from a messaging perspective, the brand straddles that difficult line of being serious skin care, focused on efficacy, yet feeling human, community-focused and friendly. A tough position, requiring a great deal of discipline. Kudos to them. My guess is, it’s all these elements put together that caused your readers to select them as the winner.”
“Consumers rank Drunk Elephant among the top brands that they consider to be socially responsible, trustworthy, clean and free of ‘bad for you’ ingredients.” She added: “These are all key attributes that are driving growth for many successful brands on the market today.”
“We can expect further expansion of Drunk Elephant beyond its home market, notably Asia Pacific, whereby Shiseido can leverage its strong regional ties and abundance of resources. With Asia Pacific expected to be the fastest-growing skin care region globally, at 4% CAGR over 2019-2023, Drunk Elephant has the opportunity to blossom as Asian consumers continue to develop a greater appetite for clean beauty.” “For Shiseido, the acquisition is yet another step towards enlarging its global footprint, targeting a younger audience, and expanding its scope beyond J-beauty. According to Euromonitor figures, Shiseido generated 52% of its beauty and personal care sales outside of Japan in 2013, compared to 56% in 2018.”
“A perfect marriage of product amplified through packaging, Drunk Elephant’s stripped-back product philosophy ethos carries through to the packaging, finished with a cheeky nod, rather than glum science. Drunk Elephant has a modern, clean, aesthetic—it is approachable yet premium. It is a collectable range due to its consistent aesthetic style across all products and has become the must-have product for every Millennial’s bathroom ‘shelfies.’ Online, the brand is ‘Millennial click bait,’ but also has strong shelf impact, with its eye-catching neon colors.” “With its unfussy packaging, Drunk Elephant represents the modern woman. It eschews ubiquitous premium finishes and voluptuous curves, instead using primitive shapes and simple forms. The bright fun colors and neon dip design add to its collectability factor, and the modern minimalism aesthetic stands out in a crowded beauty sector.” “Overall, the brand nicely balances credibility through the natural and scientific with an attitudinal vibrancy and energy. The packaging absolutely captures the essence of this brand ethos.”
“I develop products based on what I feel is missing in my own routine and also based on feedback from our online community. I’m incredibly picky about what I launch and if I’m not reaching for it daily while in the testing phase, it’s not likely a product I’ll end up launching.” “I can get an idea, prepare an ingredient deck, submit to my chemist and have a sample in hand within two weeks, but that’s only if I hit it on the first go around. It’s taken me a year and more to settle on a formulation before, so it just depends. Sunscreen takes the longest.” “Once you approve a formulation, you have to choose packaging and do stability and compatibility testing. You also are required to do other testing before you can manufacture a product. Timing can be delayed for different reasons, like a hard-to-get ingredient or a glitch in the testing, meaning you then have to go back and reformulate.” “Next you have to name the product and write a sell-sheet with all of the key ingredients, directions, claims, what it is, what it does, etc. You must also do the clinical testing to back up the claims. You also must make sure the product is globally compliant.” “Then the art is due and you have to write the copy for the inner and outer packaging. You get a prototype to check color and after that it can take 3-6 months. Then you have to fill and get it to the distribution warehouse, where it goes before it’s sent to the retailer.” “Six weeks after it’s sent to the retailer, it’s finally on the shelves. It’s a long process.”
“Stay true to your vision. As you grow, there are a lot of well-meaning cooks in the kitchen, with lots of opinions, but you must remember how and why you got where you are.” “What worked early on is what will continue to work and keep your brand authentic, innovative and outstanding.”
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