Monday Haircare signs $40m deal with US Target after Coles success
A 28-year-old who created a “salon quality” beauty brand with a supermarket price tag has just signed a huge multimillion dollar deal overseas.
A 28-year-old woman who created a range of $10 shampoos and conditioners has just signed a deal with US Target worth $40 million.
Jaimee Lupton from Auckland, New Zealand, created MONDAY Haircare because she was fed up with spending large amounts of money on the beauty essential.
The “salon quality” haircare brand launched with its affordable price-tag in Coles across Australia as well as in leading New Zealand supermarkets last February.
Shoppers quickly fell in love with the products, snapping up stock with their grocery shop and creating a buzz online that Ms Lupton told news.com.au “put MONDAY on the map”.
Now as the brand enters its second year of operating, it has launched in US Target stores and American beauty chain Ulta, in a deal that could bring the Australasian company’s worth to $55 million.
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“The interest from the US has been overwhelming almost from the start and although we’re only in year two of being in the market, the opportunity to expand presented itself and was too good to ignore,” she said.
“With the uncertainty the world is facing right now with the COVID pandemic, consumers more than ever are watching their spending and there is a real need for accessible products. MONDAY is able to fill that gap.
“The US expansion could add $40 million in retail sales to our business, putting the brand at $55 million in global retail sales for its first 12 months in the US market.”
Ms Lupton described the US launch as “incredible” adding it gave the brand “huge reach and traction” as Target has a huge customer base made up of Millennials and Gen Z – while Ulta was a “real authority in beauty”.
As a result, MONDAY has scaled up production, with 31 million of the signature Instagram-worthy pink bottles set to be produced this year.
There’s also a refill pouch – which uses 80 per cent less plastic than the recyclable bottles – in the pipeline so customers can fill up their existing containers when their shampoo and conditioner runs out.
It’s the “small details” like these that Ms Lupton credits to the brand’s early success.
“Nothing we’ve done has been a fluke – from partnering with a well-loved face like model Georgia Fowler, to our sustainability efforts, to our digital strategy, brand tone of voice, and the colour of our packaging – everything has been very intentional, to cater to our audience and what they expect of a brand in this day in age,” she said.
“I think that’s why it has been so well received. We listen, we care and we are trying to be more than just a haircare brand.”
While the product has been widely hailed as a “game-changer” and even compared to “liquid gold” there have been some hiccups along the way – including intense backlash after negative reviews appeared online.
But Ms Lupton described it as a valuable “learning curve” that has helped steer the company in the right direction.
“With our connection directly to our customers via social media, we were in a unique position to take feedback directly from the horse’s mouth, and make improvements in real time,” she said.
“Traditionally FMCG [fast-moving consumer goods] brands receive minimal feedback from their customers, often via the retailer. Whereas we are able to connect directly to our audience.
“This meant the process of making incremental changes was so much faster – and that, combined with the speed of our manufacturing partners, meant we’ve already made formulations and packaging improvements. We are giving customers exactly what they’ve asked for, and to do that within a year of launch is remarkable.”
Ms Lupton is now focused on what is ahead, telling news.com.au she has a very big vision for the future.
“Never in a million years did I think we would become one of Australasia’s fastest-growing haircare companies so quickly,” she said.
“Our team’s vision is a big one: When people hear the word MONDAY we want them to think of us before the day of the week.
“It sounds lofty, but at the rate things are going we might just get there.”
Continue the conversation @RebekahScanlan | rebekah.scanlan@news.com.au