Posted February 04, 2019 09:00:10When the Secret Islands cosmetics company shuttered in 2014, it wasn’t the first time a company had closed.
In 2007, it was when the now-defunct Cosmetics Inc. sold to cosmetics giant LVMH.
That deal resulted in a $1.7 billion loss for the cosmetics industry.
When LVMh was sold in 2012 to rival Sephora, the company had a new CEO.
It wasn’t known how the deal would impact the cosmetics business, so the company changed the name to Secret Island, according to an internal memo from that year.
It was a good business, but it also changed the face of beauty.
At first, it looked like Secret Island had an immediate impact.
“The brand has become more popular than ever,” the memo said.
But as the company went through its transformation, its beauty brands, which include L’Oréal and Urban Decay, started losing customers.
L’Orèal’s sales fell 50% from 2013 to 2019, while Urban Decay’s sales declined 30%.
A recent survey of beauty industry executives found that a large portion of the beauty industry’s brands were losing money, but some brands were doing well.
Some companies, such as Clinique, did better.
The company’s revenue was up 42% in 2019 from the year before, and its profit increased 33% in that time.
Even more notable, though, was that the company continued to grow, and as of 2019, it had a $16 billion market cap.
This is what Secret Island looks like today: