Indie Brands vs Celebrity Brands
by Erika Geraerts
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Is there any chance of survival?
Itβs a celebrities D2C world, and indie brands are just dying in it. Letβs be honest.
Every second day I open Instagram to see one of two things: another celebrity hasΒ launched a brand. Another indie brand hasΒ closed its doors.
Let me preface this article by saying I donβt think celebrities shouldnβt start brands β theyβre just as entitled as the rest of us.
What I want to point out is that itβs becoming increasingly hard for indie brands to compete with these celebrities, by sheer way of numbers.
How can Fluffβs 44,000 followers on IG compete with Hailey Bieberβs 52,500,000? Or Selena Gomezβs 426,000,000? How can Bread Beautyβs 60,000 followers compete with Beyonceβs 318,000,000? or Rhiannonβs 151,000,000?
10 years ago celebrities were only seen as the face of brands, or specifically, campaigns. They could support the founders and products they cared about. Now, theyβre running the show (or are the face of running the show) of products and messages that seem to bare no uniqueness or integrity β despite how rare they claim to be. Even when theyβre advocating for mental health, at the same time theyβre advocating for customers to eliminate under eye bags and cover up blemishes, because theyβre obviouslyβ¦ imperfect. The contradictions are wild.
I get it, why be paid a fraction of revenue for one campaign when you can have it all? Celebrities want their cake and to eat it too. Maybe theyβve earned it.
I think Rhode are doing a good job (at brand) β they know what works.
I think Fenty changed the game for beauty and lingerie. I donβt know if Beyonce or Rhiannon had to go into hair β and Iβm curious if it was their suggestion, or their managerβs or a VC incubator.
Aside from the loyal, original fans, I canβt see how indie beauty products will be chosen by customers in retailers like Sephora alongside these celeb brands. How will they ever pull the foot traffic that retailers demand?
Maybe we have to adjust our expectations.
Perhaps gone are the days to reach Glossier like status. What indie brand can we say has done the same in the last five years, without a celebrity or influencer backing?
At Fluff, weβve seen the needle move with mid-tier celebrity and influencer endorsements, but we quickly lose traction with these repeated audiences, particularly when said celebrities are posting about other brands (our contract is understandably not exclusive.)
We canβt afford the likes of the Kardashian family as an ambassador, nor do we think our values are aligned. So how do we gain access to a similar following of people?
Weβve seen some promising traction with organic content on platforms like Tik Tok, with our best performing video reaching 21+ million people. But did this convert? Letβs just say we wouldnβt be writing this piece if 21 million people bought Fluff.
So the next thing we can do is pay to play, and run ads (most celebrity brands still do).
But all this does is eat into our profits. Itβs becoming increasingly more competitive and expensive to acquire a customer.
But scale will help us negotiate our minimum order quantities and unit costs, as well as our shipping rates, and packaging costs. The more we sell, the more we can buy, the cheaper it becomes (if we can maintain steady growth).
Steady, organic growth, from the likes of a celebritiesβ following would allow us to reduce our paid spend and marketing efforts, especially if it meant that all I had to was record a 30 second lo-fi Tik Tok on my phone and watch the sales stream in.
TLDR: Iβm not famous and nor do I want to be.
I believe founder stories are interesting and important to the success of a brand, in building consumer connection and differentiating one brand from the next, but I donβt believe that a founder should have to be in every piece of brand content. I think this isΒ exhaustingΒ and unsustainable.
I guess this is the tradeoff β if I donβt want to be famous, I canβt expect to grow like celebrity brands.
Iβve sat in investor meetings and not been able to answer the question as to how Iβll bring in tens of thousands of customers through retailers doors, or how Iβll be able to consistently get millions of views on every reel, or hundreds of thousands of followers in a matter of days.
Itβs taken Fluff 7 years to get to where we are today, with 45,000 followers on IG. It takes celebrities a night to post about their brand, and shift 3x as many followers over to said brand account.
And yet some of the brands I have resonated with the most have been ones without a celebrity or influencer connection. Ones that I can see myself in, and feel comfortable being myself in. When Iβm not aspiring to be like the founder or someone else.
After all this, Iβm still left with the question: who is going to buy all these beauty brands?
Is a celebrity brand going to outlive the celebrity themself? Or will itΒ dissolveΒ along with their lip fillers, as they age?
This is the hard thing about hard things.
I used to think the marketing campaign βsupport localβ was slightly contrived, but with each year in business I understand it a little more. Perhaps this could be revised toΒ support indie, or support story, I donβt know. Spreading the wealth out, perhaps.
Fluffβs next dropΒ is live on Tuesday July, 23rd, for 7 days. Itβs your chance to support indie, and a message about beauty that I donβt think any other brand can claim:
Itβs ok to feel more with makeup, so long as you donβt feel less without it.
If this article resonates, Iβd love you to share it, orΒ tell meΒ what you think.