German personal care giant Henkel has invested in two beauty start-ups as part of a strategic plan to strengthen its digital go-to-market business model.
WHO: Founded in 2017, Berlin-based Purish is a state-of-the-art e-commerce platform for beauty products geared towards millennials and Gen Z consumers.
Youtiful is based in Frankfurt, Germany, and offers a community-driven social-selling platform. Youtiful allows its community to decide which products will be added to the portfolio, recommended, and distributed through online voting.
Henkel Ventures is Henkel’s corporate venture capital engagement with a total volume of up to 150 million euros. The dedicated team actively evaluates and manages equity investments and joint development projects with start-up companies. Building on existing successful collaborations between Henkel’s three business units and start-ups, Henkel Ventures focuses on a variety of digital and technological search fields.
WHY: The new investments will help Henkel gain valuable insights into key beauty trends and new digital business models.
IN THEIR OWN WORDS: “We are excited about the two venture investments in Purish and youtiful. Both start-ups have proven their unique capabilities and expertise in innovative digital go-to-market business models,” said Gesa Geissel, Head of Corporate Venturing at Henkel Beauty Care. “Digital direct-to-consumer relationships are becoming increasingly important as they allow connecting with consumers to improve consumer experience and capture trends early. We look forward to collaborating with both Purish and youtiful and to help them grow their businesses.”
“We are delighted to win Henkel as a strategic partner for our journey. The partnership is a great opportunity to connect the vast knowledge of a leading global player with the agility of a digital start-up. We look forward to work with the outstanding team of consumer goods and retail experts at Henkel to strengthen our positioning in the market and to accelerate our growth internationally,” explained Philipp Mehler, CEO and founder of Purish.
“Henkel Beauty Care and youtiful share the same values. Together we want to revolutionize the beauty industry for more consumer participation. We are thrilled to have Henkel as our partner and are looking forward to developing meaningful, consumer-co-created products,”said Gerald Heydenreich, CEO and founder of youtiful.
“With the Henkel X platform, we foster exchange between partners, including start-ups and industry peers, to drive a culture of innovation—here the two start-ups will add real value. We learn from their experiences with specific e-commerce and emerging network marketing models, and in turn Henkel provides guidance on scaling internationally and identifying the best partners in our network to support their growth trajectory,” said Marius Swart, co-founder of Henkel X.
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