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May 29.2025
2 Minutes Read

Why Science-Backed Skincare Is Captivating Conscious Consumers and Investors

Science-backed skincare products in sleek black bottles with droppers, highlighting luxury and variety.

Unlocking the Promise of Science-Backed Skincare

In a time when consumers are becoming increasingly discerning about skincare products, the rise of science-backed skincare is transforming the beauty industry. According to Diana Melencio, general partner at XRC Ventures, it has emerged as "the most compelling category for early-stage investors." With consumers seeking tangible results, brands that prioritize scientific credibility stand to gain a competitive edge.

The Current Landscape of Beauty Investment

The growing inclination towards effective skincare solutions has not gone unnoticed by investors. Data from XRC Ventures reveals that investment in science-backed skincare brands ballooned to 26% of VC funding in beauty and personal care in 2024—a notable leap from the previous average of 17% over the last five years. In an industry where proof points are paramount, science is proving to be a powerful differentiator.

Understanding the Science Behind Skincare

To demystify the sometimes-overwhelming world of skincare science, XRC outlines essential traits that characterize successful brands. Elements such as establishing a connection to biotechnology, utilizing in vivo clinical trials, and employing founders with scientific expertise— for example, dermatologist-led enterprises—are vital in creating a trustworthy brand. Terms like 'clinically tested' and 'backed by studies' are becoming more prevalent, but consumers are increasingly inquiring about the depth of these claims. Accordingly, savvy shoppers are advised to look for clinical studies with at least 30 participants to substantiate product efficacy.

Emerging Brands to Watch

As the market embraces this scientific shift, XRC identifies several rising stars in the skincare sector. Brands such as Protocol, Exoceuticals, and Angela Caglia are pioneering biotechnology-driven skincare, while leaders like Remedy and Dr. Sam's excel in dermatologist-led skincare. Additionally, brands focusing on sensitive skin—such as Soteri Skin—are garnering attention, showcasing the diverse applications of science in skincare.

A Bright Future for Science-Backed Products

The future looks promising for skincare brands that prioritize science. A study from Mintel found that 36% of science-backed skincare launches occurred in the last year alone, indicating a robust market interest. XRC Ventures anticipates that dermatologist-led and biotechnology brands will continue to flourish, driven by high retention rates and consumer demand for proven efficacy.

In an age focused on value, efficacy in skincare is evolving from a mere preference to a non-negotiable for many consumers. By aligning emotional connection with scientific validation, skincare brands can build lasting loyalty amid a crowded market. As consumers grow increasingly selective, understanding the potential of science-backed skincare becomes essential for both brands and buyers.

The Call to Action

For conscious consumers searching for effective and reliable skincare solutions, exploring science-backed products can be a game changer. Make informed decisions by researching the brands mentioned above and seeking out products that resonate with your skincare goals. The landscape of beauty is evolving, and by investing in scientifically validated options, you’re not just looking good—you’re taking control of your skincare journey.

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06.06.2025

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Update A Groundbreaking Move in the Beauty Industry Tom Porter, the founder of Malibu C, is making waves in the beauty industry by selling his company to his employees through an Employee Stock Ownership Plan (ESOP). In a world where many entrepreneurs opt for traditional sales to external parties, Porter's choice reflects a commitment to his team's future wellbeing. "If anyone were going to realize wealth out of [me selling my business], I would prefer that it be those who had invested or are investing in building it," he explains. This groundbreaking approach not only fosters loyalty among employees but is a rarity in the beauty sector. The Unique Benefits of Employee Ownership Employee ownership can create a powerful sense of belonging and accountability. According to the National Center for Employee Ownership, businesses with ESOPs have a significantly lower quit rate—at one-third the national average. For Porter, transferring Malibu C into an ESOP means his employees will not only benefit financially but also take active roles in shaping the company’s future. This aligns with the values that conscious consumers, particularly women over 35, often prioritize: sustainability and corporate responsibility. Ensuring Lasting Legacy: The ESOP Approach Porter's transition to an ESOP is not merely financial; it's about preserving the company culture and mission. As he stated, it allows for a culture where employees feel they genuinely belong and can contribute to the company's longevity. Unlike traditional exits, which often lead to layoffs or changes in company values, an ESOP ensures that employees remain at the helm, maintaining the integrity of the brand. Making the Switch: Challenges of Converting to an ESOP Transitioning a corporation to an ESOP can have its hurdles. While Porter found the process manageable, achieving the required 30% ownership for tax benefits involved navigating legal and financial complexities. Yet, he considers these challenges worthwhile in securing the company's future and enhancing employee investment. His experience reflects the importance of planning and professional guidance when considering such a profound change. Lessons Learned: What Would Porter Have Done Differently? For entrepreneurs contemplating a similar route, Porter wishes he had been familiar with ESOPs sooner. This realization can serve as encouragement for founders of small- to medium-sized businesses to explore alternative options for succession, rather than solely considering financial payouts. It also shines a light on the importance of community and collaboration in building sustainable businesses. Final Thoughts: The Power of Conscious Consumerism As conscious consumers increasingly steer their purchasing decisions towards companies with strong ethical practices, Porter's move to make Malibu C employee-owned embodies a revolutionary shift in the beauty industry. The implications are vast—not just for employee satisfaction, but for long-term brand loyalty and consumer trust. As you consider where to spend your beauty dollars, think about the stories behind the brands. Supporting companies like Malibu C not only contributes to a healthier industry but also empowers workers in tangible, meaningful ways.

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Discover K-Beauty’s Next Icons with Muskat: A Fresh Take on Trends

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