Beauty and cosmetics supply chains prioritize cost-effectiveness and broad availability of ingredients over environmental impact and ethical considerations. This conventional approach can lead to significant environmental degradation, including deforestation, overharvesting of natural resources, and labor exploitation.
The lack of traceability and transparency in these supply chains also leads to a disconnect between consumers and the origin of the products they use.
Growing consumer awareness and demand for ethically produced goods have highlighted the challenges of traditional ingredient-sourcing methods and emphasized the need for sustainable sourcing solutions.
Sustainable ingredient sourcing focuses on obtaining raw materials with a minimal environmental footprint, fair trade practices, and the economic viability of local communities.
This sourcing approach addresses environmental concerns and builds consumer trust and loyalty by aligning products with the values of eco-conscious buyers. It also involves innovations in biotechnology and recycling processes that can create high-quality ingredients without the drawbacks of traditional methods.
This article showcases five pioneering early-stage startups practicing sustainable ingredient sourcing in the beauty industry with their innovations. These startups have the potential to grow rapidly, are in a good market position, or can introduce game-changing technology to the market in the next 2-3 years.
This makes them a great option to partner, collaborate, or acquire.
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1. Cay Skin Providing Vegan Sunscreen and Other Beauty Products Made of Sea Moss
| Founding Year | 2022 |
| Headquarters | Miami, Florida, US |
| Total Funding Amount | $4.1 Million |
| Last Funding Round/Amount | Seed/$4.1 Million |
| Website | https://cayskin.com/ |
The market lacks strong sun protection options that do not compromise skin health, inclusivity, or environmental sustainability. Many sunscreens can clog pores, leave a white cast, or contain ingredients harmful to marine ecosystems.
To solve these problems, Cay Skin developed a line of sun care products that are inclusive and suitable for all skin types and tones. Its key product, the Isle Glow Face Moisturizer SPF 45, contains a blend of ingredients like sea moss, nectar, niacinamide, ferulic acid, and watermelon fruit extract, providing hydration, antioxidant benefits, and effective UV protection.
The products are vegan, cruelty-free, silicone-free, non-comedogenic, and dermatologist-tested. Furthermore, the company emphasizes sustainability, with 75% of its primary product packaging comprising at least 30% post-consumer recycled content.
Unlike many sun care products, Cay Skin’s offerings are designed to be gentle, effective, and suitable for diverse skin types while prioritizing ecological responsibility.
CEO Karen Barner leads this startup with her experience in similar roles with companies like Aspirational Beauty Marketing, LLC, and WBCD Hair and Body, LLC. She also handled the responsibilities of the President (Barner Consulting) and Senior Vice President (Guthy-Renker).
Barner holds a Bachelor of Science in Business Administration from California State University, Los Angeles.
Cay Skin raised its latest funding of $4.1 Million through a seed round on Mar 8, 2022.
2. Kinship Using Plant-Based Microbiome Technology Kinbiome To Create Beauty Products
| Founding Year | 2019 |
| Headquarters | San Francisco, California, US |
| Total Funding Amount | Undisclosed |
| Last Funding Round/Amount | Venture Series |
| Website | https://lovekinship.com/ |
Skincare products and their packaging often raise ethical concerns, such as animal testing and using genetically modified organisms (GMOs) in product formulations, which can have health implications.
Kinship is focused on addressing the need for sustainable, effective, and ethical skincare solutions. It aims to provide skincare that supports the skin’s microbiome and barrier, catering to consumers who value clean and conscious beauty products.
The startup developed a range of products with its proprietary microbiome technology called Kinbiome, a plant-based pre-probiotic ingredient designed to support a healthy skin barrier.
It offers products like the Self Reflect Probiotic Moisturising SPF 32 Sunscreen, Naked Apple Niacinamide Deep Pore Gel Cleanser, and Supermello Hydrating Gel Cream, designed to be clean, cruelty-free, and plant-based.
These products are GMO-free and focused on sustainability. The packaging is made from recycled ocean plastic and other post-consumer recycled materials.
Christin Powell has led this startup as co-founder and CEO since its inception. She also has 6+ years of experience as CEO and co-founder of Juice Beauty, Inc.
Powell worked as a Marketing Director (The Understanding Business) and in various Product Development Management roles, such as Director(Perricone MD), Vice President (Stella & Dot Family of Brands), and President (The Beauty Studio LLC).
Kinship raised its first and latest funding from a venture (series unknown) round on Dec 1, 2020.
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3. Mented Cosmetics Providing Cruelty-Free Nude Shades for Women of Colors
| Founding Year | 2017 |
| Headquarters | New York, US |
| Total Funding Amount | $9 Million |
| Last Funding Round/Amount | Series A/$5 Million |
| Website | https://www.mentedcosmetics.com/ |
The beauty industry has often overlooked the diverse skin tones and undertones of women of color. It offers a limited range of shades that do not adequately represent the spectrum of these consumers.
This gap in the market led to the creation of Mented Cosmetics, which aims to provide inclusive, high-quality makeup options.
The startup developed a product line that includes a wide array of makeup shades, especially focusing on ‘nude’ colors that are truly representative of women of color.
Its flagship product, Skin by Mented, is a 16-shade foundation collection designed to cater to this diversity in skin tones.
The startup emphasizes creating products with a “skin-like” finish, aiming for a breathable and livable formula that feels natural and enhances rather than masks the wearer’s skin.
Mented Cosmetics products are cruelty-free, vegan, paraben-free, and non-toxic, catering to the ethical and health-conscious values of the target market.
KJ Miller is the Co-founder and CEO of Mented Cosmetics. She spent most of her career working in retail, with a two-year pause to attend Harvard Business School for a master’s degree.
KJ worked with Deloitte as manager of Retail practice and as a Lecturer (Practice of Management) at Yale School of Management.
In its latest Series A funding round on Jan 17, 2022, Mented Cosmetics raised $5 Million from CircleUp and Corazon Capital.
Related Read: Transforming Kitchen Staples into Innovative Cosmetic Ingredients
4. Raw Apothecary Producing Chemical-free Natural Beauty Products
| Founding Year | 2016 |
| Headquarters | Distrito Federal, Mexico |
| Total Funding Amount | Undisclosed |
| Last Funding Round/Amount | Seed |
| Website | https://rawapothecary.mx/ |
Latin America’s beauty market needs more natural, inclusive, and ethical skincare products that cater to a broad audience beyond the 25-35 age range. The market is oversaturated with chemical-laden, neither environmentally friendly nor ethically sourced products.
There is a noticeable gap in the beauty industry for products that empower consumers to understand and craft their skincare rituals using simple, unprocessed ingredients that align with their personal needs and ethical values.
This situation has created a demand for skincare products that are effective, accessible, sustainable, fair in trade, and follow ethical practices.
Raw Apothecary developed a range of skincare products free from chemicals, cruelty, and additives, focusing on the simplicity and purity of ingredients. These products include all-natural butter, oils, and soaps, encouraging consumers to use DIY beauty and create personalized skincare items.
The startup provides clean, pure beauty solutions that are both environmentally and socially responsible. Its success in the market, with over 200% sales increase during a global pandemic, underscores the demand for such transparent and inclusive beauty products.
Andrea Sanchez is the co-founder and CEO of Raw Apothecary. She also works as an e-commerce consultant.
Sanchez has experience as a Marketing and Audience Development Manager, Digital Product Specialist, and Digital Analyst for companies such as Expansion Group and MMK Group.
Raw Apothecary raised its latest funding from a seed round on Sep 20, 2018.
5. Beauty Bakerie Smudge Proof Cosmetics for Range of Skin Tones
| Founding Year | 2011 |
| Headquarters | San Diego, California, US |
| Total Funding Amount | $14.7 Million |
| Last Funding Round/Amount | Venture Series/$5.1 Million |
| Website | https://www.beautybakerie.com/ |
The beauty industry lacks inclusivity and diversity, especially for women of color. Many makeup lines do not adequately cater to diverse skin tones, often neglecting the deeper shades that match darker complexions. There is also a need for beauty products that are ethical, cruelty-free, and vegan.
Beauty Bakerie developed a range of products focused on inclusivity and quality to address these challenges. It offers cosmetics, including the Lip Whip, a long-lasting matte lipstick, and the Oat Translucent Flour Setting Powder for a flawless finish.
These products are designed to cater to a wide range of skin tones and are known for their smudge-proof, waterproof, and durable properties. The brand’s unique approach combines playful, bakery-themed branding with serious performance, offering products like eyeshadow palettes, setting powders, and lipsticks that are cruelty-free, vegan, and gluten-free.
Beauty Bakerie products are cruelty-free and vegan, which sets it apart in the beauty industry for consumers looking for ethical and inclusive beauty options.
Cashmere Nicole has been the Founder, President, and CEO of Beauty Bakerie since its inception. Nicole is also a VC advisor and investor. Previously, she was president of Sugar Homes.
Nicole was a Board Member of the Independent Beauty Association and an Instructional Design Nurse at Houston Methodist.
She completed Nursing at the Ivy Tech Community College and attended Indiana University Indianapolis for a Bachelor’s in Social and Behavioral Sciences. Harvard Business School was also her alma mater.
Beauty Bakerie closed its latest funding round on June 7, 2022. It raised $5.1 million from this venture (Series Unknown) round.
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Authored By: Naveen Kumar, Market Research
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