Sales: $1.5 billion

Rodan and Fields entered the hair care category with Smooth+ and Volume+.

Rodan+Fields entered the hair care category last year with a line of shampoos, conditioners and styling products sold under the Smooth+ and Volume+ brands. The line includes a proprietary RF TriEnergy Complex, which is said to replenish essential and energy-generating nutrients immediately and with continued use. The products contain amino acids and silk peptides, which nourish roots, repair damage and protect color, according to the company.

The Smooth+ formulas are designed to replenish dry, frizzy hair with the use of hyaluronic acid. Volume+ promotes fuller, thicker hair from the root, via plumping ingredients such as ceramides and acetyl glutamine. There’s also a smoothing oil treatment with thermal protection and a densifying treatment. The new offerings from R+F also include Refresh+ dry shampoo and Define+ curl cream.

Last year, Rodan and Fields was involved in a class action lawsuit regardings its Lash Boost serum. The company offered $38 million to resolve the issue as well as change the verbiage on the product usage, instructions and warnings.

Sales: $1.4 billion

Privately-held Rodan + Fields doesn’t reveal sales figures, but Happi estimates sales were $1.4 billion last year. R+F sells its skin care lotions, serums and devices in the US, Canada and Australia. Pre-COVID-19, the company planned to enter Japan in 2020. The new Deep Pore Cleansing MD System enables users to pull blackheads and debris out of their pores to reveal a clearer, healthier and more radiant-looking complexion after just one use, according to the company. The $260 tool is designed for use with Rodan + Fields Pore Prep Solution, which contains glycerin, salicylic acid and lactic acid. Together, they lift oils, dead skin cells and impurities to reduce breakouts and minimize pore size.

When it enters Japan, Rodan + Fields will offer products designed exclusively for the Japanese market.

“We are looking forward to the opportunity to enter this important market and bring our innovative, regimen-based skincare brand and business proposition to Japan,” said Diane Dietz, president and CEO. “Our brand heritage resides in giving women life changing skin care through the highest quality products and it makes Japan a natural next step as we expand Rodan + Fields’ global footprint.”

Rodan + Fields’ team of scientists and innovators spent five years developing skin care regimens and formulas tailored specifically for Japan where they underwent clinical testing to ensure their efficacy.

“The best skin of your life has no borders; as dermatologists, we understand the universal importance of healthy, beautiful skin and believe our innovative solutions made specifically for this market are a strong fit for Japan, one of the world’s most sophisticated skin care markets,” said Dr. Katie Rodan, co-founder of Rodan + Fields.

“After five years of intensive research and product testing in Japan, we are bringing life-changing skin care and the confidence it inspires to the discerning Japanese market,” added Dr. Kathy Fields, co-founder of Rodan + Fields.

In keeping with its commitment to Do Good in the communities it serves, Rodan + Fields’ Prescription for Change Foundation is partnering with Kids’ Door, which is dedicated to helping young people in Japan succeed in school and in life. This effort will expand Kids’ Door programs to reach 3,000 more high school students.

Sales: $1.5 billion.

Rodan + Fields, LLC, which was founded by Stamford-trained dermatologists Dr. Katie Rodan and Dr. Kathy Fields, was ranked the No. 1 skin care brand in the US and North America in 2018 by Euromonitor International Ltd. In addition, merely two years after the brand’s launch in Australia, the company’s second global market after Canada, Rodan + Fields was ranked as the fastest-growing skin care brand in Australia in 2018.

“We’re excited to be recognized in so many great categories by Euromonitor but what really inspires us is seeing our founders’ vision come to life and giving people healthy skin and the confidence that goes with it,” said Diane Dietz, president and chief executive officer.

In February, the company announced the launch of Spotless, a patent-pending teen and young adult acne solution. Spotless features a BPO2 technology that leverages benzoyl peroxide in a groundbreaking new liquid form to get through the skin’s stubborn biofilms, helping to bring the microbiome inside the pores back to balance and effectively combat the entire acne cycle. The company has also updated its Unblemish Regimen, designed to address adult acne, as well as the visible signs of aging, with new formulas that feature benzoyl peroxide and salicylic acid.

At the Society for Investigative Dermatology’s 77th Annual Meeting held in Chicago, Rodan + Fields presented three scientific posters highlighting work developed by Drs. Rodan and Fields, and a team of scientists, on skin renewal and skin pigmentation. They also showcased the company’s newly launched Concept-to-Commerce portal, for innovation and collaboration, which enables individual inventors and companies to submit ideas for new products and technologies to be developed in partnership with Rodan + Fields, underscoring the company’s focus of fueling innovations in skincare.
“We have been learning more and more about how the skin works and how it interacts with the environment and novel technologies,” said Dr. Timothy Falla, chief scientific officer. “We hope this research will lead to further novel innovations in skin care providing demonstrable benefit to those who use our products.”

On June 21, Rodan + Fields donated $1 for each makeup-free selfie shared with #RFGoNaked to its nonprofit, Prescription for Change Foundation, to fund educational and leadership programs for students around the world. It was the fifth year of #RFGoNaked Day. Last year, the event generated more than 500,000 makeup-free selfies and raised $561,000 for youth.

“Our $1 million goal is not just a number—it is about changing the lives of young people. It is about supporting youth and having an influence on these students becoming leaders in their communities,” said Amnon Rodan, chairman of Rodan + Fields.

Sales: $1.5 billion.

Private equity loves beauty. In May, Rodan + Fields announced that TPG Capital had made a strategic minority investment in the company. According to the companies, TPG’s investment will help Rodan + Fields continue to accelerate its next phase of growth as it transforms the skin care industry with its dermatology-inspired skin care products, disruptive consumer connected commerce model and powerful consultant community. Additional terms of the transaction were not disclosed.

The minority investment by TPG will provide Rodan + Fields with access to best-in-class business building expertise, capabilities and resources as the brand continues its path of disruptive growth domestically and in new markets across the globe. The founders, Doctors Katie Rodan and Kathy Fields, will remain at the heart of the brand and committed to their vision, while the company’s senior leadership team will keep leading the strategy for growth and day-to-day operations.

“TPG’s successful track record growing iconic brands and their belief in our disruptive model, innovative products and powerful independent consultant community make them an excellent partner,” said Diane Dietz, CEO and president of Rodan + Fields. “We are energized by the opportunities that lie ahead of us as we expand domestically and globally and look forward to optimizing our strengths with TPG’s expertise.”

“As a firm with a history of investing in businesses that are fundamentally changing their industries, we see Rodan + Fields as being at the intersection of emerging consumer trends and technology disruptions,” said Jim Coulter, co-CEO and co-founder of TPG. “This is exactly the kind of partnership we look for—an outstanding brand with proven success, an experienced and talented management team, and significant runway for growth.”

This isn’t the first beauty investment for TPG. Four years ago, the company acquired interests in Beautycounter and e.l.f. Beauty. And now, TPG is said to be in talks to acquire a minority stake in Anastasia Beverly Hills.

But in Rodan + Fields, TPG has a real blue chip. The company maintains it was the No. 1 skin care brand in North America in 2017, based on data from Euromonitor International.

“We are incredibly honored to be the No. 1 skin care brand in the US for two consecutive years, and now, in North America,” said Dietz. “This is a testament to our products that deliver visible results, our personalized, direct-to-consumer approach and the entrepreneurial power of our consultant community. We look forward to the continued momentum and sharing our life-changing skin care with more consumers globally.”

More gains are sure to come as CFO Chris Newman projects double digit growth for the next five years.

“(We) expect to continue to be a global leader pushing the boundaries of skin care and social commerce,” he added.

Still, angry consumers are everywhere these days, so it’s no surprise that R+F faces a class-action lawsuit filed on behalf of four plaintiffs who claimed the company’s Lash Boost burned their skin and led to swelling around the eye. Lash Boost is a $150 eyelash growth serum that contains isopropyl cloprostenate.

In a statement, R+F said it stands behind the safety and efficacy of Lash Boost.

“Many of the legal allegations involve comparisons to unrelated products, including prescription products that have different ingredients and formulations. We are going to let the specifics of our legal defense play out in court.”

Sales: $850 million

Talk about momentum! Annual sales at the company have averaged 90% growth for the past several years. No wonder why Rodan + Fields was ranked as the No. 1 skin care brand in the US last year by Euromonitor International.

Company founders Katie Rodan and Kathy Fields, who just happen to be doctors, too, are said to be worth nearly $600 million each. The dynamic duo met at Stanford where they were completing their dermatology residences. After leaving the Cardinal campus, they opened practices in the Bay Area and remained friends and business partners.
Rodan and Fields developed Proactiv, got turned down by then Neutrogena CEO Allan Kurtzman and ended up striking a deal with Guthy-Renker in 1995—all it took was five years and $30,000 of their own money. Under Guthy-Renker’s guidance, Proactiv became a $1 billion brand before G-R bought out the dermatologists for millions.

In 2002, they launched Rodan+Fields and sold it to Estée Lauder a few years later. When Lauder wasn’t marketing the brand to their liking, the derms bought Rodan+Fields back in 2007 and opted for a multi-level marketing plan. Last year, the company brought in Diane Dietz to run the day-to-day business. Dietz had been chief marketing officer at Safeway and prior to that she spent nearly 20 years at P&G in the health and beauty category, where she rejuvenated Crest and led the expansion of the brand into Crest Whitestrips, Pro Health and Glide. She also played a lead role in the Gillette acquisition.

Now, Rodan+Fields’ focus is outside the US. The company debuted in Canada in 2015, is entering Australia this year and is eyeing Asia in the coming years.

Sales: $624 million.

After developing the hugely successfully ProActiv line, Stanford-trained Dr. Katie Rodan and Dr. Kathy Fields founded Rodan+Fields in 2002. Amnon Rodan is credited with taking the brand out of department stores and into direct sales.