Ipsy

Ipsy is a beauty box subscription service and e-commerce site which was established in the year 2011 by the YouTuber Michelle Phan. The headquarters is based in San Mateo, California, U.S. 

The monthly subscription service for the ‘’Glam Bag’’ is €10.2 and subscribers are provided with a makeup bag of five cosmetic samples. The founder has expanded their business by commencing a more expensive subscription known as: Glam Bag Plus. This subscription is an advanced one as it ships five full sized products for €21.2 monthly to customers. Currently, the firm provides over 10 000 diversified makeup combinations in its Glam Bag memberships.

Ipsy also partners with celebrities such as Halsey and many others to launch its ‘’Glam Bag X’’ which offers a total of 8 full-size beauty products for a monthly fee of €47. The business also provides ‘’Mystery Glam Bag Bundles’’ that sends out 5 mystery items.

In 2020, Ipsy acquired BoxyCharm and currently has more than 4.3 million subscribers combined.

The company also creates social media campaigns for brands and organises online workshops about new products on the market.

Compared to their rival company Birchbox, Ipsy has more subscribers which accounts to over 3 million respectively. A plus point of Ipsy is that it ships products in reusable makeup travel bags which is highly beneficial for customers.

In the year 2017, the firm launched an e-commerce app which is called Shopper which consists of a reward system which allows customers to earn cash back on the purchases they make from the brands included in the monthly boxes.

The company does not only focus on the money made on the subscription, instead their focal point is helping brands reach social media influencers and gain exposure.

In 2020, Ipsy achieved a turnover of €217 million and employs 1500 people. It is noteworthy that the firm achieved over $100 million as growth capital from their premier investors such as TPG and Sherpa (non-exhaustive list).

The firm is specialized in the personal care category which includes products such as skin care, perfumes, nails and makeup products, etc. 

Ipsy offers 600 active brands among which some are listed below:

• Tarte
• Smashbox
• Mac
• Clinique

Vegan, cruelty-free, paraben-free, phthalate-free, sulfate-free, gluten-free and nut-free goods are available.

Moreover, items provided by Ipsy are clinically, allergy and dermatologist tested. Ipsy abides by the BFA Clean Standards.

In November 2019, Ipsy launched its first brand, Complex Culture, which is a line of make-up brushes which are vegan and cruelty-free. 

Ipsy is expanding its business by starting a brand incubator, IPSY Labs, which is working on developing new brands in the cosmetics industry to meet the gaps Ipsy has identified in the market.