On the heels of explosive 3x revenue growth in 2021, Gen Z skincare brand Topicals closed $10 million in Series A funding led by Cavu Consumer Partners.

WHO: Topicals was founded in 2020 by Olamide Olowe, who is on a mission to marry self-care with treating skin-related conditions. With one in four Americans experiencing chronic skin conditions, Topicals has reimagined how consumers treat flare-ups with effective products made with ingredients and herbals that have been scientifically proven via third-party, peer-reviewed clinical studies.

WHY: The funding will further propel Topicals' omnichannel growth, drive new hires, support channel expansion, and fuel brand marketing awareness. The company will also continue its mission of raising awareness around the connection between mental health and skin conditions.

IN THEIR OWN WORDS: "I love Cavu's focus on mission-driven brands, and from the first conversation with their team, it was clear that they shared our vision of disrupting the ointment category. They're very hands-on with their portfolio brands, which was the biggest differentiator. At this stage of growth, it's crucial for us to have an investment partner who can provide value outside of capital, and with Cavu we have a team of experts ready to roll their sleeves up and do the hard work of taking this brand to the next level," said Olamide Olowe, founder and CEO of Topicals.

"Through Topicals, we believe Olamide has set a new standard in beauty—not only by formulating and marketing effective over-the-counter replacement products for skincare—but also by destigmatizing the way consumers speak about their skin conditions," said Jenna Jackson, Principal of Growth at Cavu Consumer Partners. "Topicals is truly a category creator in that regard and truly aligns with Cavu's philosophy of investing in and building brands creating better-for-you products. I'm thrilled to partner with Olamide and this boundary-pushing beauty company."

TRIBE DYNAMICS EMV: Offering lab-tested products for skin conditions, and with a legacy of mental health advocacy, Topicals’ timely themes and messages resonated with consumers in Q4. The brand accrued $2.9MM EMV, a 68% QoQ gain that also represented a 124% YoY leap. While Topicals’ potency ($3.5K EMV per creator) declined by 10% QoQ, its 962 creators marked an impressive 86% QoQ surge, which led to a corresponding 135% QoQ spike in the brand’s content volume (2.1K posts). A majority of Topicals’ growth was powered by creators who hadn’t mentioned the brand in Q3. This incoming cohort accounted for $2.1MM EMV, along with seven of Topicals’ top 10 earners, including its No. 1 earner, musician Maiya The Don (@maiyathedonn on Instagram).

DETAILS:

• Topicals closed a $10 million Series A funding round led by Cavu Consumer Partners, bringing the total funding to date to $15 million. 
• Brand sales tripled in 2021 and projects revenue to grow by more than 600 percent in 2022.
• Topicals is reportedly the fastest-growing skincare brand at Sephora and has sold one product every minute this year. 
• To date, Topicals has donated more than $50,000 to support nonprofits providing mental health resources for marginalized communities. To expand this mission, Topicals is launching a 12-month accelerator program designed to provide nonprofits in the mental health space with leadership training, mentorship, and business advisory. 
• Jenna Jackson, Principal of Growth at Cavu Consumer Partners, will also join Topicals' Board of Directors.
• In 2020, Topicals raised $2.6 million over three rounds of funding. Among early supporters and investors in Topicals are several high-profile Black women, including Netflix CMO Bozoma Saint John, entrepreneur and DJ Hannah Bronfman, and the Emmy-nominated stars of the hit show Insecure Issa Rae and Yvonne Orji. The initial investment round, led by Lerer Hippeau, also saw participation from Humble Lukanga and Mucker Capital as well as the CEOs of Warby Parker, Allbirds, Casper, Harry's, Bombas, and Red Antler.