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Posts tagged with E.L.F.

Case study: e.l.f. is changing the cosmetics industry, $1 at a time

Through a mix of social media, word of mouth and user generated content, women around the country have slowly been learning the secret to buying cheap cosmetics online. It comes in the name e.l.f. The brand (which stands for Eyes Lips Face) has been selling cosmetics online for five years at absurdly low price points. For a long time all their products could be found for $1 each.

Designed by Scott Borba, the man behind Hard Candy and Neutrogena Men, e.l.f. cuts out the marketing budget — and markup — that most cosmetics companies attach to their products. And the results have been astounding. This week, e.l.f. is making a large push into Target stores and online. The company is on track to reach over $20 million in sales this year.

With price points at $1, $3 and $5 an item, that's a lot of lip gloss. How did they do it?