Private equity escalates market share of rebranded beauty company
The company filed for a newly branded trademark in October of last year and approval came in February. The goods and services the new company is set to offer comprise not only personal care products but also “online retail store services featuring fragrances, hair care preparations, bath products, skin care preparations, personal care products, skin soaps, and non-medicated foot soaks,” according to the filing.
Funding frenzy
In 2012 Yellow Woods Partners invested in Parfums de Coeur. And, the company’s annual retail sales have risen substantially since then to an estimated $300m + globally. pdc anticipates that number will double by December 2017.
The growth is credited to success in the company’s original domain, mass-market perfume, as well as in segments that pdc has gotten into through purchasing. “pdc brands has successfully transformed from a singularly-focused fragrance company, to a leading global purveyor of beauty and wellness brands and products," says CEO of pdc brands James Stammer.
"We plan to expand even further by investing in our current brands as well as adding new and unique brands and products to our portfolio via acquisition."
Let’s buy that
Following the current convention in investment strategy, pdc and Yellow Woods Partners have grown by acquiring competing and complementary brands. The company has, since 2012, acquired Dr Teals (a brand know for its Epsom salt and related products), The Healing Garden (an organic bath and body care line) and Calgon (the iconic bath brand).
These brands complement pdc’s core business. Citing 2014 Nielsen retail sales data, the company boasts “over a 40% unit share of women's mass-market fine fragrance and over a 30% unit share of men's mass-market fragrance,” according to a press statement announcing the rebranding.
International incident
The Darien, Connecticut–based company will operate an increasingly international business under its on-going relationship with Yellow Woods Partners.
Presently, “PDC's products are sold in over 40 markets globally, and the company has plans for further international expansion,” stated the release.
Attention grabbing
Sustainable growth relies on consumer retention as well as the continued procurement of new consumers. "We are constantly seeking new ways to cultivate consumer connections for our brands," says Jessica Donoghue, vice president of marketing for pdc brands.
To encourage organic growth across the pdc portfolio, the company is intently “focusing on strategic media partnerships and social advocacy programs that we know will directly influence our consumers," Donoghue says.
