Consumers say they are still looking for wellness products that speak to them, which means opportunities for new brands. According to information released by McKinsey in 2022, approximately 50% of U.S. consumers said wellness is a top priority in their day-to-day lives, up from 42% in 2020. For these Americans, priorities include their health, appearance, sleep, fitness, nutrition, and mindfulness.
Consumers are spending more than ever on vitamins and supplements, skincare, hygiene products, yoga classes, health tracker apps, wearables, life coaches, and therapy—to name just a fraction of the myriad products and services that fall under the guise of wellness today.
And while there has been a flurry of media hype around and dollars spent on wellness, not all consumers are content with the current assortment of offerings. According to the McKinsey survey, 47-55% of Black consumers said they needed more wellness products and services to meet their needs, compared to just 30-35% of white consumers.
In today’s omnichannel marketplace, consumers seek products from a range of sources. The online marketplace provides the best window shopping for consumers and exposure for small brands.
In fact, according to Amazon’s U.S. Small Business Empowerment Report released in May, the most-shopped categories from U.S. independent sellers in Amazon’s store are health and personal care, followed by home, beauty, grocery, and apparel.
Unfortunately, not every small seller will survive—even if they have a great product. Overall, 50% of small businesses fail after five years (major reasons are the inability to secure finances and running out of money). And the odds of failure are higher for small businesses owned by Black, indigenous, and people of color (BIPOC). According to sources, eight out of 10 BIPOC businesses fail within their first 18 months due to a lack of resources and funds.
Funding & Support
Koia sells plant-based protein drinks.
To bolster the success rates of smaller brands and startups, access to funding and mentoring programs are gaining traction—and more are emphasizing wellness.
Maesa, the New York-based company behind high-profile mass market brands like Hairitage and TPH by Taraji, this summer announced the Maesa Magic Incubator, which will provide mentorship, education, and funding of $35,000 to three early-stage CPG companies. The effort aims to empower and amplify early-stage, underrepresented voices in the beauty and wellness sectors and provide them with the tools necessary to build successful brands from concept to aisle, according to company officials.
“The #MaesaMagicIncubator is about empowering early-stage entrepreneurs from underserved communities, and giving life to their unique ideas. It was created with the intent to foster an inclusive community of empowered beauty and wellness entrepreneurs. By uplifting voices from underserved communities, we are paving the way for a broader spectrum of perspectives, experiences, and ideas that can better cater to the diverse needs of consumers,” said Oshiya Savur, chief brand officer at Maesa.
In the Maesa program, beauty or wellness CPG startups will have an opportunity to take part in a 12-week intensive curriculum that includes mentorship, hands-on education, and funding. In addition, it offers admission into the “Future of Commerce and Work” program, hosted by the Emerson Group, located on-site at the Harvard Faculty Club. The application deadline for Maesa’s program was set to close on Sep. 1, and the process will culminate with a pitch deck presentation to an advisory board comprised of Maesa executives, founder partners, and leading industry experts.
By empowering early-stage entrepreneurs to create successful brands, Maesa’s incubator also contributes to economic growth and community development, noted Savur.
“As a woman of color in business, I find this initiative personally fulfilling, and I’m proud to be a part of a program that will help these talented voices create a tangible career out of their dreams,” she concluded.
Glossier, another big name in beauty, in July unveiled its new slate of entrepreneurs that will participate in its Glossier Grant Program, which invests in Black beauty entrepreneurs. The 2023 cohort are makers of halal-certified skincare, feminine hygiene, and wellness, among others. Since 2020, Glossier has given $1.4 million to the program and partnered with more than 35 founders.
Funding and support are coming from sources outside of beauty, too. Now and Later—the iconic chewy candy—is committing $50K in financial support through the “Pause Now, Hustle Later” Grant, in which each business will receive $10K to aid in their continued growth. Additionally, the candy company rolled out a campaign with media personality/entrepreneur La La Anthony to shine a light on emerging black-owned businesses in the self-care space.
While a sweet treat like candy can be considered self-care, by some, healthy food is a large portion of the wellness world.
Venerable food brand Heinz provides funding for those in the culinary space through its Black Kitchen Initiative (BKI). Together with The LEE Initiative, and Southern Restaurants for Racial Justice (SRRJ), Heinz this year is adding another $1 million to its BKI grant coffers for Black food business entrepreneurs.
The new funding brings Heinz’s total contribution to $3 million over the past three years. BKI grant recipients in 2022 included BKLYN Blend, a New York juice bar and health food restaurant that says its goal is to support the health and wellness of its community with nutrient-dense menu items inspired by the owners’ West Indian roots, and Elise Organic Ice Cream in Atlanta, the first Black woman-owned and operated organic ice cream shop in Georgia. In 2023, Heinz will distribute up to 60 grants through The LEE Initiative (which stands for Let’s Empower Employment) and SRRJ. Recipients will receive support of up to $25K, depending on need.
Organizations are also filling gaps in mental health and wellness.
Miraval has a collaborative relationship with Dr. Alfiee Breland-Noble, founder of BIPOC mental health nonprofit The AAKOMA Project. This fall, Miraval Austin will host Dr. Alfiee’s second annual “Elevation: Diverse Women’s Wellness Retreat.”
Partners in Health and Wholeness (PHW)—an initiative of the North Carolina Council of Churches—recently closed the application period for a mental health funding opportunity for BIPOC faith communities. With support from the Duke Endowment, PHW offered two grant opportunities—amounts ranging from $5,000 to $50,000—to begin and strengthen mental health efforts in local churches.
From beauty company incubators to grants from candy makers and faith-based organizations, support for BIPOC wellness entrepreneurs is coming from a growing array of sources.
Wellness Brands To Watch
From trailblazers that have made it on to the national stage to lesser known but energetic start-ups with innovative ideas, here’s a short list of BIPOC brands that are active in the
wellness ecosystem.
Mela Vitamins: This brand sells vitamins designed for melanated people, according to founder Ashley Harmon. Harmon was inspired during her own health issues when she found an alarming stat—that 80% of Black Americans are vitamin D deficient.
Honey Pot: Founded by trailblazer Beatrice Dixon, this plant-based feminine care brand that sells tampons, pads, and topical products is stocked at Wegmans, Target, Walmart, and elsewhere. At the Aug. 11 Beyonce concert at the Mercedes-Benz Stadium, the Honey Pot Company launched a test to provide more than 70K free menstrual products to concertgoers using Strapt’s 15 cashless, high-tech vending machines. Honey Pot said it will evaluate and execute a national rollout of this program, targeting concerts and major sporting events across America.
Primitiv: This cannabis and wellness company was co-founded by former Detroit Lions teammates Rob Sims and 2021 Pro Football Hall of Fame inductee Calvin Johnson Jr. The Primitiv Performance product line uses a proprietary blend of electrolytes, vitamins, and water-mixable nano phytocannabinoids (CBD, CBG, CBC, and CBN) formulated to aid in rehydration, recovery, and support the immune system.
Listener Brands: The parent of fast-growing hair care brands CurlMix and 4Conly recently received a $1 million equity investment from The BrainTrust Fund, which focuses on early-stage investments in the beauty and wellness sector identified via BrainTrust Founders Studio—the largest platform dedicated to Black founders of beauty and wellness companies.
Butter Roll: This New York-based “skate brand and social enterprise” says it is focused on BIPOC wellness through roller skating and the arts. It recently received a $25K grant from the Orbit gum brand.
Rebundle: Founded by Ciara Imani May, Rebundle makes plant-based hair extensions. Rebundle’s braidbetter extension—which is made with repurposed biopolymers—is 97% biobased.
Buttah Skincare: This Black-owned skincare brand recently won the Emerging Brand Partner of the Year Award from Macy’s.
Natural Radiant Life: A clean, organic, and vegan brand that harnesses the power of 100% whole-food ingredients in skincare.
BLK+GRN: This online marketplace is home to more than 136 Black artisan brands selling a range of products across “health, wellness, and community cultivation.” The curation site was founded in 2018 by Dr. Kristian Edwards, a graduate of Yale and Johns Hopkins University.
ReKlame Health: Founded by Evans Rochaste, NP, ReKlame is a Black-founded and Black-led telepsychiatry and addiction medication management company for historically undertreated BIPOC communities.
Golde: This brand’s products range from supplements to lattes to skincare—all fueled by superfruits and other hero ingredients like turmeric, matcha, and collagen. It was founded in 2017 by Trinity Mouzon Wofford and Issey Kobori.
Scotch Porter: This growing men’s personal care brand—founded by Calvin Qualis—offers a range of key grooming products as well as Superfood Supplement for skin, hair, beard, and immune support.
Movita: This wellness brand offers multivitamins. It was founded by Tonya Lewis Lee, a high-profile advocate for women’s health and wellness and social justice.
Asutra: 60% of the Asutra team are people of color. Backed by Venus Williams, the brand recently announced a new amenities deal with United Airlines.
Flora & Noor: Founded by Spellman College alum Jordan Karim, Flora & Noor claims to be the only halal-certified skincare brand made and based in the U.S. Its products are designed to treat the skin concerns of melanin-rich skin and those with chronic skin conditions (like eczema and hyperpigmentation).
Koia: This brand sells a plant-based protein drink that serves as a vegan alternative to whey-based beverages. It was founded in 2013 by Maya French, who was named to Forbes 30 Under 30 list in 2019.
Black Girl Vitamins: Black Girl Vitamins was launched to provide “Black women with unique nutrients and vitamins that generic brands tend to overlook.” Through the BGV Promise, the brand donates $1 from every bottle sold to provide scholarships for Black women in school for healthcare-related fields.
Humanrace: Humanrace was founded in 2020 by Pharrell Williams. Williams says the brand is guided by his experiences from his own wellness journey with the help of Chief Dermatologist Dr. Elena Jones.
ProBlk Health: This Atlanta-based company was founded by a wife and husband duo (Dr. Karleena Tuggle-McDaniel and Darian McDaniel) to promote health consciousness in the Black community. ProBlk offers women’s and men’s multiday vitamins, probiotics, and more.
Movita Organics: Movita relies on a proprietary fermentation process that makes its vitamins more easily absorbable and digestible.
Brown Girl Jane: This “wellness-first” multicultural beauty and health brand just graduated from Sephora’s 2023 Accelerate program. It uses proprietary data and olfactive science to offer a scent collection designed to support one’s mood.
