Why Ren Clean Skincare quietly cut a third of its portfolio

The brand has discontinued 29 products and put the brakes on five planned launches but still plans to grow revenues by 46 per cent by 2027. CEO Michelle Brett explains how.
Why Ren Clean Skincare quietly cut a third of its portfolio
Photo: Courtesy of Ren Clean Skincare

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Ren Clean Skincare’s strategy to boost sales is an unusual one: growth through reduction. Instead of a slew of new launches to generate buzz, the company is axing around one-third of its portfolio either entirely or reinvesting into another range. 

“We fell into the trap that many brands do and launched new products to fill perceived gaps,” says Michelle Brett, who joined as CEO in 2022. “We’re now more disciplined.” 

The brand is also betting big on skin sensitivity as an ownable space, as well as expanding in the US, to hit a targeted 46 per cent rise in annual revenues between 2023 and 2027 (parent company Unilever doesn’t break out figures for its brands, but Ren Clean Skincare sits in the eight-digit territory for revenue).

Michelle Brett CEO of REN Clean Skincare.

Michelle Brett, CEO of REN Clean Skincare.

Photo: Courtesy of Ren Clean Skincare

Carving out white space in a very saturated market is a priority. An early adopter in the clean skincare space, Ren Clean Skincare was founded in the UK in 2000 by Anthony Buck and Robert Calcraft. Acquired by Unilever in 2015 for an undisclosed sum, it now sits in the Unilever Prestige stable headed by Vasiliki Petrou, alongside other skincare brands such as Tatcha, Dermalogica and Kate Somerville. The 23-year-old brand was once a big fish in a small pond when it came to clean, natural-focused skincare — that’s no longer the case. “When we launched, we probably had about three competitors,” says Brett. “Now, they’re a dime a dozen.”

Lauren Leibrandt, a director in investment bank Baird’s consumer division, says Ren Clean Skincare’s veteran status may have hidden benefits. “There is some fatigue with so many new brands popping up. When a brand has a longer history of serving consumers, they can be the experts — providing they communicate effectively.”

Making less, selling more

The brand has discontinued 29 products, and Brett killed five new launches that were slated for the next three years. The anti-ageing Keep Young Beautiful range was one of the first to go. Brett says fans of the brand disliked the name. “If we can be really clear about what our products do and who they’re for, the guesswork is removed,” says Brett.

When choosing which products to axe, Brett says the criteria was usually low sales, the product or line not gelling with the brand values or a combination of both. Ren Clean Skincare previously had two acne-focused lines, which have been consolidated into one, Clearcalm, which Brett says is easier for the consumer to navigate. “We’ve recycled many of our formulations,” confirms Brett. Discontinuations were done quietly, Brett says, to avoid sudden spikes in demand for the outgoing products.

The strategy of selling fewer but better products has both cost and sustainability benefits, Brett says. The cost and complexity of a packaging refit begun by previous chief executive Arnaud Meysselle in 2018 highlighted the need for a cull, while other ranges simply needed to be streamlined. The target, dubbed the “Zero Waste Initiative”, was to use only recyclable, recycled or reusable by 2021. As of December 2021, the company claims to have achieved this milestone through steps such as increasing the use of glass and recycled materials and switching from single-use plastic sample sachets to aluminium.

Baird’s Leibrandt notes that paring back production may also improve productivity. “It can free up the team to focus on the SKUs that are real value drivers for the brand,” she says. 

Establishing authority

Aside from trimming costs and encouraging more mindful consumption, Brett is hopeful that a more streamlined selection will help reassure consumers of the brand’s efficacy. “Many of the products were in the wrong range or weren’t communicated with the right benefits,” says Brett. 

Evercalm Ren Clean Skincares leading sensitive skin range.

Evercalm, Ren Clean Skincare’s leading sensitive skin range.

Photo: Courtesy of Ren Clean Skincare

The brand is also betting big on skin sensitivity. The number of people who self-identify as having sensitive skin has risen to 71 per cent, an increase of 55 per cent in two decades, according to a survey carried out by skincare company Aveeno in 2022. Different theories for this include the popularity of chemical and physical exfoliating products, which can cause irritation, and the wider proliferation of retinoid-derived products, which can be sensitising. The skin barrier has become of utmost concern for many consumers who are now looking to mitigate the damage caused to their skin by overzealous product usage. 

Evercalm, Ren Clean Skincare’s leading sensitive skin range, has long been a top performer, and Brett quickly identified further potential in the space. “Our non-irritating formulations weren’t shining through from an efficacy and point of differentiation standpoint,” says Brett. This year, the brand has doubled down on the sensitive skin niche on social media with an “All skin is sensitive skin” campaign, leaning into the #sensitiveskin micro-community. 

Leibrandt predicts that consumer appetite will be high. “Consumers love learning more about why their skin is the way that it is and what they can do to support it. Leaning into [Ren Clean Skincare’s] roots and not trying to jump on every trend is advisable,” she says.

The road to growth

Before joining Ren, American native Brett was latterly chief sales officer at its Unilever stablemate Living Proof, a US-based brand that focuses on science-led haircare. She also worked with natural skincare brands such as L’Occitane and Caudalie in the early days of their US expansion. The UK is Ren Clean Skincare’s biggest market — making up 34 per cent of the global business — and part of Brett’s remit is to expand the brand in the US, where she says awareness is still very low. 

The ambition is to grow the US by 50 per cent in 2023, then maintain momentum of 30 per cent annual growth for 2024 and 2025. Currently, the brand is stocked in 34 branches of Sephora in the US, having launched there in 2009 — a comparatively small offering given Sephora’s network of over 500 stores. The brand is also on Sephora’s website.

“The US market is enormous, but it’s also crowded with a lot of chatter,” says Brett. “We worked with Sephora very closely over the last year to modernise our branding and to ensure our messaging on sensitive skin and in that clean space is at the forefront,” explains Brett, adding that Ren has relaunched with new merchandising in the US, and has also invested in revamping its own website. 

In the UK, distribution is wider — it is available in Space NK, Boots and department stores such as John Lewis. Around 20 per cent of Ren Clean Skincare business is direct-to-consumer, another area Brett is keen to drive growth in — the US and UK websites have both been overhauled to improve the user experience and better showcase the product claims and results. Baird’s Leibrandt suggests that Unilever’s distribution network will likely be a boon for the brand: “Unilever can help amplify that voice and really try to make Ren Clean Skincare into the authority on sensitive skin,” she says.

Striking a balance between conscious consumption, sensitive skin, and still growing a business double-digits is no mean feat. As Leibrandt notes, “part of being a skincare brand is continuing to push the envelope on the latest ingredients and the best formulations.” Brett says they’re up to the challenge. “Now, we lead with efficacy first.” 

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