Sallve brings again the Incorporates 1g
Sallve – the cosmetics startup founded by influencer Julia Petit – is bringing back the traditional makeup brand Contains 1g, which at its peak reached 5% market share.
In 2018, the company filed for bankruptcy protection and, since then, has closed all of its more than 200 stores.
The purchase of the brand took place in October last year at an auction in the bankrupt estate. Sallve decided to sell only the brand, leaving aside assets such as factories. Since then, the company has been working on product creation and launching strategy.
“We were looking for assets and last year this opportunity arose. I called Júlia and she was thrilled about the possibility,” Daniel Wjuniski, the other founder and CEO of Sallve, told Brazil Journal. “This is the first step towards our project to be a house of brands.”
The deal marks Sallve’s entry into makeup. According to Daniel, the idea was to make this debut only in 2024, but the opportunity to buy Contains 1g accelerated the process.
The purchase price was not disclosed, but the money came from the Series B round, made in May 2021. At the time, the company raised BRL 110 million from a valuation of BRL 500 million (premoney).
Contains 1g, which grew mainly through franchising and direct sales, should also help Sallve in its ambition to grow with its own stores.
The startup was born only in e-commerce and, more recently, started to sell its products in more than 2 thousand pharmacies of chains such as RD, DPSP and Panvel – in addition to having a flagship in the neighborhood of Pinheiros, in São Paulo.
According to Daniel, the first steps of Conte 1g will be on the internet. However, starting next year, it will be possible to have temporary company stores. In 2024, the idea is to start an expansion with franchises.
“Makeup is something that the customer likes to test before buying. So, it will be necessary to have stores to bring a better experience,” said the executive.
Contains 1g resumes with 50 products, still far from the 300 that the old company reached, but Daniel says that a series of other products are already being managed by the company’s creative team.
The CEO said Sallve’s plan is to buy or launch new brands in the future. For now, he says the company is not looking for new rounds of investment.
Source: Brazil Journal