Dive Brief:
- As it prepares to open more locations in the U.S., direct-to-consumer beauty brand Madison Reed has tapped Jose Zuniga to serve as its new chief financial officer, the company announced on Wednesday.
- Zuniga will oversee the company's financial operations, data and analytics, as well as facilitate its expansion. He will report to the company CEO and founder, Amy Errett, according to the press release.
- Before joining Madison Reed, Zuniga was the CFO of Dollar Shave Club, and also held roles at major companies like Google, Yahoo and Overture. During his time at Dollar Shave Club, Zuniga contributed to the brand's $1 billion acquisition by Unilever, per the press release.
Dive Insight:
In addition to hiring Zuniga as its new CFO, Madison Reed also announced plans to open more than 80 Hair Color Bar locations across the country by the end of 2022. The company said it currently has more than 60 hair color bars in the United States.
"This is a full circle moment – as a past venture capitalist, companies like Dollar Shave Club sparked my obsession with revolutionizing a CPG category and we found that opportunity in hair color, an equivalent gap in beauty for women," Errett said in a statement. "I know with Jose we are in great hands and that we will surpass our business goals while upholding our unique and important values."
Over the past few years, Madison Reed has been raising capital to fund its expansion, growing its brick-and-mortar reach and introducing new services for customers. In 2019, the company teamed up with Ulta to offer its products in more than 1,200 stores. After announcing plans to open 600 hair color bars by 2024, the company raised $52 million in February 2021 from True Ventures, Norwest Venture Partners, Comcast Ventures, Shae Ventures, Goldman Sachs and multiple other venture capital firms to further that goal.
A few months later, the company introduced free video color consultations with licensed colorists to help customers choose their ideal hair color and receive instructions for their at-home coloring. And in the summer of 2020, the company expanded into the men's market.
Like Dollar Shave Club, Madison Reed offers a subscription as part of its business, allowing customers to sign up for repeat purchases of their preferred hair color. Maintaining such services remains complicated for many companies, and some of the most well-known, like Stitch Fix, have expanded their businesses to include other methods of operating.
via https://www.aiupnow.com
Tatiana Walk-Morris, Khareem Sudlow
