What Is Kylie Jenner's Entrepreneurial Genius?
For pop culture fanatics, the Kardashian-Jenner clan is often synonymous with reality shows and celebrity magazine fodder, but one member of the family has emerged as the most successful of them all. Kylie Jenner, the youngest member of the clan and the daughter of Kris Jenner, found immense success just a few years after launching a cosmetics line called Kylie Cosmetics.
In an interview with Elle Canada in November of 2015, Kylie states, "I remember telling my mom a year ago that I wanted to do some acting, and she said, 'Kylie, you're a businesswoman.'"
Understanding Kylie Jenner's Entrepreneurial Genius
For the launch of the lipstick line, Jenner went through a merry-go-round of interviews with a vast range of media from WWD to Bustle to PerezHilton. When Jenner speaks to the press, she tends to share just enough information to entice her followers and the media to come back and find out more.
- Kylie Jenner founded Kylie Cosmetics in 2016.
- At 21 years old, she became the world's youngest self-made billionaire.
- In November of 2019, Jenner sold a 51% stake in Kylie Cosmetics for $600 million to Coty.
She has used social media platforms to build her brand and capitalize on the widespread use of mobile devices to create a buzz. As of early 2020, she has almost 150 million followers on Instagram.
Kylie was the sole owner of Kylie Cosmetics for most of its existence. The youngest member of the Kardashian clan has proven adept in business, and her cosmetics company sits like a crown jewel in her family's business empire.
According to Elle magazine, four of the six lipsticks released sold out in eight minutes, and in ten minutes, all six sold out. The shades have unique names such as True Brown K and Dolce K, with one color inspired by Kylie's half-sister Khloe Kardashian.
Online retailers, perhaps, also had a role to play in its popularity. Jenner’s lip kits were on eBay Inc. (EBAY) before the sale ended with starting bids as high as $225, a leap compared to the $29 retail price. The least popular lipstick shade, True Brown, even sold for $68. In a move that could be considered good PR, Jenner urged her fans to avoid buying the kits at the jacked-up prices from outside vendors.
Millionaire to Billionaire
In October 2015, Jenner hinted on Instagram that she would be releasing a lipstick line. She then posted a picture of herself modeling off various lipstick shades on her official Instagram account.
In addition to marketing her cosmetics via Instagram, Jenner has an official app for both iPhone and Android that features exclusive images and videos, which often promote her various products.
In January of 2015, her estimated net worth was $5 million. As of early 2020, Forbes estimated her net worth at over $1 billion. When she surpassed a billion by age 21, she passed Facebook Founder and CEO Mark Zuckerberg as the youngest self-made billionaire in the world.
Jenner collaborates with established brands to give her brand more mileage. In February 2016, the German shoe and sportswear company Puma confirmed that they signed a $1 million contract to retain Jenner as a spokeswoman. She has since jumped ship, joining her family at Adidas.
In November of 2019, Jenner sold a 51% stake in Kylie Cosmetics for $600 million to Coty. That price suggests a company valuation of $1.2 billion.