Lush reveals brand success plan: “Goodbye Meta, hello collabs”

28 Aug 2023 --- British cosmetic retailer Lush aims to create a “cosmetic revolution,” bursting with innovation and product experiences alongside regenerative supply chains and animal-free testing. To enact this goal, the brand is sharing its growth strategy involving collaborations to spread its presence to the masses.

“Lush has carefully selected collaborations with charities and people historically. As a global brand – that does it all in-house – sourcing the finest ethical ingredients, inventing, manufacturing and retailing, we can innovate unique products and experiences for every partnership,” Annabelle Baker, global brand director at Lush, explains.

It has collaborated closely with lifestyle and entertainment brands since the past year, with a Netflix partnership confirmed before the end of the year.

Mario and Barbie movie success
The Super Mario Bros. Movie collection has been highlighted as a driving force for creating cross-generational excitement.

In the past 12 months, five entertainment collaborations have produced a total sales of £15.4million (US$19.4 million).

In addition, the Barbie x Lush collaboration, following the success of the movie, generated over £1.7 million (US$2.1 million) in sales across the UK, Ireland, USA, Canada, Australia, France, Germany, UAE, Taiwan, Bahrain and Hong Kong with remaining markets yet to launch.

Upon launch in the US, online app sales “were the biggest in its history, +146% on the day of launch for Super Mario Bros. and +44% versus the Boxing Day sale.”Asteroid City and Barbie theme shops.

“Following the first week, the Barbie X Lush perfume had sold out across the UK with many other products following suit. Barbie, the second most popular collaboration collection from first week UK sales, is closely on the heels of Super Mario Bros. Movie at £335K (US$421K),” shares the brand.

Twelve months ago, Lush first collaborated with Japanese Anime One Piece, bringing in 71% new digital customers. Its stocks were sold out by two in the afternoon on launch day.

Popular social media presence
Lush has been leveraging collaborations and creating viral launches to be present on social media despite exiting the main platforms in November 2021.

“Personally, I don’t think people watch a lot of brand-based content. People buy from people,” says Melody Morton, concepts creative director.

“What’s great about collaborations is that we’ve seen much organic content shared, not by us as a brand but by real customers and the real bathroom experiences with those products. This has been way more valuable than our previous brand content.”

The brand has experienced “big community reactions” for the sneak peek of Lush x Stranger Things, for instance, having its most engaged tweet ever since the brand account was created in 2009. Its Bathing Duo was especially popular, bringing a 6% increase vs. target turnover.

Lush, Nickelodeon and Paramount Consumer Products collaborated on SpongeBob SquarePants earlier this summer. This generated over £1.3 million (US$1.6 million) in the first week and over £4 million (US$ 5 million) globally.

The “x” factor
Lush wants cosmetics innovation to be collaborative instead of white labeling products. The brand believes the creative, design and manufacturing process will feel cohesive through collaborations.Manufacturing process.

“Ultimately, collaborating with other brands is a way to introduce Lush to new audiences. That can sometimes mean working with partners who may have historically not aligned with our heritage and ethics,” explains Morton.

“This said, we’re only partnering with brands with a progressive view of where they would like to go, what they would like to be and who are open to change. We won’t be partnering with companies that aren’t trying to improve.”

For instance, the collaboration with Paramount supported its SeaChange campaign and promoted picking litter in July. Contributions went to co-founder Rowena Bird’s plastic grab challenge of clearing 60 metric tonnes of waste in the UK.

“We also obviously know our value chain and ethical stance on issues, so we are keen to introduce Lush to as many people as possible,” continues Morton. 

Cultural currency
According to Morton, Lush wants to ensure collaborations are considered in sports, music, entertainment, fashion, art and gaming.

“Taking the commercial side away, we want to make sure there’s a product for every need on offer and that there are communities that align with smaller collaboration offerings,” she says.Lush collaborations.

For instance, Lush’s only collaboration with a brand, Lazy Oaf, shares synergies: “Both proud, British-born businesses, Lazy Oaf and Lush both like to do things a little differently to the rest of our respective industries, with ethical buying and transparent supply chains end to end.”

“Collaboration is a big part of Lazy Oaf’s brand ethos. Aligning on our core values of responsible, intentional production, Lush has been incredible to collaborate with. We’re so excited to be their first-ever brand-to-brand partner,” says Emma Shephard, brand manager at Lazy Oaf.

Morton believes that Lush has to prioritize “cultural currency” over financial currency to future-proof the brand.

For instance, Lush’s collection with Asteroid City (a film by Wes Anderson) sold out at a pop-up store in Soho after having only eight weeks to launch the products.

Retail for an immersive experience
Lush has recently been using its shop space in Soho, London, to create an immersive environment based on its collaborations.

For instance, it has recently been “putting pink on pink on pink” to celebrate Barbie x Lush’s partnership with Mattel. It has been offering free pink drinks and enabling customers to think they have entered Barbie’s dreamhouse.

Its Miracle Mile shop in Las Vegas in the US features the Asteroid City and Barbie collection. The brand also reopened its “Century City premise in Los Angeles as a hub for all things pink and powerful.”

Next year plans
For the coming years, Lush aims to collaborate and offer something enjoyable to its audiences, which taps into the excitement of cultural moments. 

“New customers are shopping with Lush following the collaborations with March to June FY23 vs. FY22 up 11.2% and 12-month rolling traffic up 1.2% on the same time last year,” shares the brand, aiming to bring 30% new customers for each collaboration.

Apart from the Netflix collaboration this year, the brand has five more lined up for next year. The brand will also open new shops in Covent Garden, Aberdeen and a new anchor (flagship) destination in Glasgow from 2023 to early 2024.

By Venya Patel