Black beauty brands are taking over, emerging as the go-to companies for shoppers of all races.
A new report has revealed an uptick in sales for Black-owned beauty brands from shoppers of all backgrounds. However, the upward trend comes amid a decline in venture funding for these very companies.
Fortunately, the data assures that these businesses are not dependent on a majority Black consumer base for profits. In fact, customers of Asian, Hispanic, and white descent combined bought more products than their Black counterparts.
“These data further prove Black entrepreneurs create beauty and wellness products that everyone buys,” explained Kendra Bracken-Ferguson and Lisa Stone, co-founders of the BrainTrust Fund. “Despite the fact that venture funding to Black founders has fallen to a three-year low, Black beauty and wellness entrepreneurs are growing the American economy with new, innovative products and services that drive sales by leading retailers, online and in-store, and create jobs. We are celebrating this commercial and cultural leadership by our members, most of whom are Black women.”
This achievement indicates the profitability and longevity of Black beauty brands. As they find new ways to thrive within the beauty and wellness sphere, they are also forging a path for more diverse founders to come next.
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Source: Black Enterprise
