What's Happening?
Olsam Group, a former Amazon marketplace aggregator, has acquired the Australian skincare brand Wrinkles Schminkles as part of its rebranding into Avenir Collective. This acquisition marks a strategic pivot for Olsam from its roots in aggregating Amazon-native
brands to establishing a dedicated beauty and personal care platform. Wrinkles Schminkles, known for its reusable, medical-grade silicone patches, has been a profitable venture with annual sales nearing $14 million. The acquisition aligns with Avenir's vision to focus on founder-led brands that emphasize efficacy and problem-solving. Avenir plans to expand its portfolio by acquiring additional brands with annual revenues between $15 million and $20 million, targeting consumer issues such as skin concerns and odor management.
Why It's Important?
This acquisition is significant as it represents a shift in strategy for Olsam Group, now Avenir Collective, from being an Amazon aggregator to a focused beauty and personal care brand house. The move highlights a broader trend in the industry where companies are seeking to build emotional and enduring relationships with consumers through effective and problem-solving products. By acquiring Wrinkles Schminkles, Avenir aims to leverage its existing infrastructure to grow the brand's presence in the U.S., Europe, and Australia. This could potentially lead to increased competition in the beauty sector, particularly in the niche market of reusable skincare products. The acquisition also underscores the importance of strategic partnerships and brand alignment in achieving long-term growth and market expansion.
What's Next?
Avenir plans to extend Wrinkles Schminkles' retail footprint in the U.S. and enhance its presence in Europe and the U.K. The company is considering a brand refresh, assortment extensions, and increased awareness efforts to drive future growth. Avenir's leadership team, with expertise in mergers and acquisitions, consumer products, and brand strategy, will play a crucial role in executing these plans. The company aims to add three to five more brands to its portfolio over the next several years, focusing on those that address persistent consumer issues. This strategic direction could lead to further acquisitions and partnerships, positioning Avenir as a significant player in the global beauty and personal care market.
