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Subscribe to Full Coverage by Priya Rao: unpacking how shifting ideals, new players and cultural movements are transforming the global beauty and wellness industries.
Hello! And happy New Year. I know we are eight days into 2026, but I hope all of you had restful holiday breaks.
It’s been a quieter week for beauty, but I’m eager for all the change that is inevitably coming — new brand launches, category expansions, M&A activity and more. My motto this year: Change is hard, but it’s almost always good.
Speaking of change, you may have seen my scoop yesterday that the Estée Lauder Companies is actively trying to offload three underperforming brands — Too Faced, Smashbox and Dr. Jart — in a package deal. On the bright side, the company was also upgraded by Raymond James to a strong buy. It looks like chief executive Stéphane de La Faverie’s turnaround plan is working.
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This week, Full Coverage is all about beauty’s woman of the hour: Hailey Bieber, as she continues Rhode’s hot streak, by bringing her beauty brand to Australia and New Zealand.
Do They Like Glazed Donut Down Under?
It would be an understatement to say that it’s been a busy few months for Rhode.
After being acquired by E.l.f. Beauty for $1 billion in late May, the three-year-old brand has entered retail at a fast and furious pace. Its September launch in Sephora in the US and Canada was the retailer’s largest-ever brand debut, with LVMH chief financial officer Cécile Cabanis touting it as “record-breaking.” According to YipitData, Rhode exceeded $10 million in retail sales during its first two days at Sephora and reached around $40 million in its first month. Next came Sephora UK in November and now Rhode has set its ambitions on Australia and New Zealand, both DTC and with Mecca starting February 12.
Over a Zoom in December, founder Hailey Bieber called Australia a “crazy diehard beauty market.”
The cool, clean-girl look largely originated there with brands like Aesop, Ere Perez and Frank Body, making it an obvious home for Rhode, which has exuded natural, effortless beauty since its founding in 2022.
“We’ve had so much ask and request around that market to bring Rhode there, the Australian fan base is really excited. The way they’ve experienced the brand [until now] is they have someone buy it for them in America and ship it to them or they come to America and they get it and then they bring it back. … Now, a whole new wave of people get to experience the brand, especially in person.”
The in-person piece has been critical to Rhode’s recent success. Bieber told me the brand’s Pocket Blush has become a bestseller at Sephora, which makes sense given the customers’ ability to test the brand’s 10 vibrant shades. (Five of the shades are sold out on Sephora.com.) Remember Rhode started as a skincare label. Its Glazing Milk is its top skincare product across Sephora and Rhode.
“As much faith as you can have in something that you believe in, it’s been really cool to see the response and to see how it’s going. That’s all you can hope for — that people gravitate towards it and they have great IRL experience with it,” she said. “I definitely am always humbled by the response.”
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The full suite of Rhode products will land across 80 doors in Australia and New Zealand.
It’s actually not surprising that Rhode chose Mecca as its partner of choice when it headed down under. Sephora dominates most markets, but there are exceptions, including Olive Young in Korea, Nykaa in India and Mecca in Australia and New Zealand. While Mecca carries many of Sephora’s brands, including Tower 28, Phlur and Glossier, its smaller network of stores means each door manifests differently with brands, activations and services. Mecca is also known to be a hunter for the best brands across the globe; they have the lines that department stores and local Priceline Pharmacy don’t, making customers especially loyal and excited to shop in stores. It is also known for its give and take with brands.
“We aren’t the kind of retailer that just presents a line like Rhode to the consumer. We collectively shape the beauty conversation in Australia, so we want Rhode to be part of what we do and how we do it,” said Mecca founder and co-chief executive Jo Horgan. She called Mecca Rhode’s boots on the ground in the region.
Nailing retail distribution will be critical for Rhode as it grows larger and stretches across the globe — choosing the largest retailer in a new market is a safe bet — but so will product innovation. For those wondering what comes after Pocket Blush or juicy Peptide Lip Treatments, Bieber has already answered. Just days ago, she teased nearly a year’s worth of launches, from pimple patches and new lip products to highlighter/contour sticks.
What I’m Reading
K-beauty everything, Middle Eastern fragrances and at-home med spas: Liz Flora outlines the themes that will shape beauty this year. [The Business of Beauty]
Battling balding is a “matter of survival,” says South Korea’s president, who wants to divert tax dollars towards the cause. [The Wall Street Journal]
Ridiculous wellness is the theme of the week. In Silicon Valley, illegal injections imported from China are taking over, one “peptide rave” at a time. [The New York Times]
Meanwhile in San Francisco, “Longevity Ravers” are working on a wearable that can track joy. [San Francisco Standard]
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Beauty’s resilience continues to be tested as buyers fall into two disparate camps: savers and splurgers. [The Business of Beauty]
That’s it for today. Thanks, and see you next week!
Priya
Want to dive deeper into an insight from this article? Check out The Brain of Fashion, BoF’s new generative AI tool where you can unlock BoF’s beauty archive with a single question.
