Starting off the new year strong, Procter & Gamble announced its plans to acquire the subscription-based, direct-to-consumer beauty brand Billie Inc. Billie, who calls itself the new body brand, will complement P&Gs growing female grooming product line which also includes Venus, Braun and Joy. The two-year-old, award-winning Billie offers premium personal care products for women including razors, shaving cream, body wash and body lotion. Terms of the deal were not disclosed.
The subscription comes with a starter kit with a Billie handle, available in an assortment of colors, magnetic holder and two five-blade razor cartridges encased in 360 of charcoal shave soap for $9. After that, Billie sends subscribers four replacement blade cartridges for $9 at the frequency of their choosing. Shipping is free, and Billie does not charge the pink tax, which women are charged for certain personal care products. The company donates 1% of all revenue to womens causes. Their current nonprofit of choice is Every Mother Counts, an organization that focus on making pregnancy and childbirth safe for women around the world.
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The companys co-founders, Georgina Gooley and Jason Bravman, will continue to run the company. The acquisition will help Billie accelerate their growth and provide the resources to develop new products for women.
We’re thrilled by the prospect of joining P&G to bring high-quality products at affordable prices to women around the world, said Georgina Gooley, co-founder of Billie, in a January 8 announcement. Their ability to create global household brands that have stood the test of time is a testament to their brand-building expertise; together, we’ll be able to create an even stronger brand for womankind.
Gary Coombe, CEO of P&G Global Grooming, also commented on the acquisition.
The impact and consumer connection Georgina and Jason have been able to make with Billie in a short period of time has been remarkable. The combination of Billies high-quality, naturals-focused razors and body care products, and P&Gs highly-skilled and experienced people, resources, technical capabilities and go-to-market expertise will allow us to further reach Millennial and Gen Z women through a fresh, bold attitude, said Coombe.
The company has a clear focus on women first. They explain their philosophy on their About Us page.
Shaving companies have always been created for men which may explain why were still overpaying for womens razors and referred to as goddesses for shaving. Women shouldnt be an afterthought in the shaving category. We deserve to have a great shave and no, were not paying more for it. Were here to make a daily routine a little more delightful and a lot more affordable, says Billie.
This deal seems like a no brainer. P&G can add a cool, new brand to its female grooming portfolio, appealing to younger generations of consumers. It may also help reverse the trend of declining sales in the Grooming segment of its business. For its first quarter fiscal year 2020, Grooming was the only business segment that had negative growth. It was up 1% year-over-year, but still represented a negative 1% in net sales. All other segments showed an increase year-over-year, including Health Care (17%), Fabric & Home Care (6%), Beauty (3%) and Baby, Feminine & Family Care (2%) for a total net sales increase of 5%. Billie can bring P&G some growth opportunities, while P&G can give Billie some capital, visibility and resources to help it grow and expand.