Beauty Mogul Kylie Jenner’s Business May Be In Big Trouble Because of These 2 Telling Reasons
A couple of months ago, reality star Kylie Jenner achieved a new milestone in life after Forbes announced her as the youngest self-made billionaire ever at just 21 years old. But it seems like she’s up for a nosedive as her company, Kylie Cosmetics, supposedly valued at $900 million, is reportedly seeing a large decline in sales.
According to reports, the three-year-old company suffered a drop of 14% in product sales from January 1 to May 31 of the current year. This fall is attributed to the fact that most of the people who bought products from the brand in the past months didn’t become repeat consumers of Kylie Cosmetics. According to an analysis done on consumer’s habits, 60% of the company’s buyers bought only one product from it in the time span of June 2016 to May 2019.
This is a far cry from the good numbers the company was pulling in during its first year of launch a few years ago when their lip products were consistently selling out. Kylie Cosmetics is currently privately owned but there’s been speculation that another beauty company, Coty Inc. is looking to buy a majority stake in Jenner’s company for $600 million.
The now-22-year-old billionaire’s profits from her makeup products reached a high in November of 2016. However, two years later revenue reportedly declined by 62%.
While their declining revenue is bad enough, the company might be at risk of losing more of their customer base as people are beginning to come forward on the Internet to complain about the brand’s bad customer service.
According to these consumers, they faced issues from order mistakes, product quality issues and a no return or refund policy. Others complained about not getting all of the items they bought with customer service being unable to fix the problem. Some online listings of Kylie Cosmetics products on Ulta.com have also received some 1-star ratings.
Jenner began selling her famous lip kits a year prior to officially launching Kylie Cosmetics.
Fortunately, for the reality star, there’s still some good news amidst these problems. The brand’s lip kits sales only declined by 2.3% during the same time period. This is a big deal since the lip products actually make up about 69% of the company’s total sales. What more, the lip kits’ seemingly enduring popularity is a bright spot in the lip product niche as sales of similar products has declined by 5.3%.
It can be remembered that demand for Kylie lip kits got so high at one point that some people even sold them on eBay for up to 10 times their original price. Similarly, Jenner’s Kyshadows also enjoyed high demand during their launch in 2016 and even sold out in less than a minute.
More in Celeb Justice
Unsure of How to Organize Your Finances? These Tips Might Be Just What You’re Looking for
Being confined to the solitude of our homes, most of us have been forced into thinking about our lives before the lockdown....June 10, 2020
Worried About Your Mortgage Payments? Experts Claim These Tips Might Solve Your Problem
The COVID-19 pandemic continues to raise towers of problems for all of us alike. With companies laying off thousands of employees...June 9, 2020
Are You a Millenial Struggling with Financial Insecurity? Here are a Couple of Tips That Might Help
Let’s face it- living through a pandemic lockdown was the last thing we expected for 2020 to bring our way. Yet,...June 8, 2020
‘Money Issues’ Is the Third Leading Cause of Divorce in America—Here’s How Couples Can Avoid Fighting About Financial Matters
After ‘basic incompatibility’ and infidelity’, ‘money issues’ is cited to be one of the leading cause of a couple’s decision to...May 22, 2020
Extremely Vital Things We Need to Do Before Writing Our Will
The morbid truth is that we are all going to die. It’s part of the cycle of life; and as harsh...May 21, 2020
Avoiding a Pricey Divorce: Legal Alternatives You Must Consider
There are many reasons why a couple may wish to separate, and usually the only legal solution to end a marriage...May 21, 2020
Unilever Stole This Product Idea from a Scientist, 13 Years Later Justice Has Been Served
Waging a legal war against a corporate giant is no easy feat but it is a battle worth fighting for, especially when there...May 20, 2020
Good Guy Turned Bad? Judge Portrayed in American Gangster Faces a Five-Year Probation Because of This SHOCKING Reason
Have you watched the 2007 film American Gangster? There’s a reason it got a series of nods from award-giving bodies: its...May 20, 2020
A Couple Got Arrested After Making THIS Mind-Blowing Claim
Leon Roberts and Jade Muzoka spent their one-week holiday at Cornelia Diamond Golf Resort in Turkey, July 2015. The couple had...May 20, 2020