Skip to main content

Fusion Brands Plots Growth

Fusion Brands Inc., the parent company of the FusionBeauty cosmetics and Clean perfume brands, aims to become a $200M player at retail.

The Clean and FusionBeauty brands, born in Canada, are getting a fresh start in the U.S.

Their parent, Fusion Brands Inc., has relocated to New York after being acquired by Barbados-based pharmaceuticals and sports magnate Eugene Melnyk in May.

“Eugene’s vision for our corporation is to become a sizeable, global beauty entity,” said Caroline Pieper-Vogt, who took the reigns of Fusion Brands Inc. as its chief executive officer in June. “He felt you really need to be [in New York], where the trends are, where the big players are.”

According to industry sources, Fusion Brands Inc., the parent company of the FusionBeauty cosmetics and Clean perfume brands, is targeting global retail sales volume of $50 million for this year through a repositioning of its brands and numerous new product launches. Sources added that the company’s five-year plan calls for parlaying Fusion Brands Inc. into a $200 million entity at retail worldwide by growing FusionBeauty and Clean into $100 million brands.

Related Galleries

As a face for all this, Fusion Brands Inc. has signed Kim Kardashian to front FusionBeauty Colorceuticals in a magazine ad campaign, which will be augmented with several personal appearances.

You May Also Like

Pieper-Vogt and Roslyn Griner, who is the senior vice president of marketing and product development, contend that there is a need in the market for a pioneering category they call “colorceuticals.” These products are designed to combine advanced technology from dermatology, skin care and color cosmetics. The goal is to deliver immediate benefits and long-term transformational results, according to the company.

“We believe we can be the first in this white space, own it and create a whole new category,” Pieper-Vogt said of the colorceuticals concept. She added that Melnyk’s plan when buying a beauty company centered in part around the idea that “he could leverage over some of the [pharmaceutical] technologies into this entity.”

Melnyk, who Pieper-Vogt affectionately calls a “serial entrepreneur,” created a medical publishing company, called Trimel Corp., in 1982 and, seven years later, launched pharmaceuticals firm Biovail Corp. In October 2008, Melnyk launched Trimel BioPharma. He also is a major investor and chairman of PurGenesis Technologies, which utilizes an extraction technology to develop botanically based products for medicinal and other uses, including antioxidant and anti-inflammatory applications for conditions like psoriasis and signs of skin aging.

A hockey buff, Melnyk became the sole owner, governor and chairman of the National Hockey League’s Ottawa Senators in August 2003. Melnyk also owns two horse farms, both called Winding Oaks Farm, one of which is located in Ocala, Fla., and the other in Lexington, Ky., home to more than 500 thoroughbreds.

While watching a Senators game at a bar in Barbados nearly eight years ago, he met entrepreneur Randi Shinder, who subsequently launched Clean. Shinder later founded Fusion Brands, whose LipFusion lip plumper, a 2005 launch, put the firm on the map.

Melnyk acquired a 55 percent stake in Fusion Brands in August 2006 and bought the rest of the firm in spring 2009.

“I met [Shinder] by sheer fluke,” Melnyk said during a recent interview. Alluding to the apparent marriage between color cosmetics and skin care, he said the combination of “instant gratification” and “long-term results is going to be a huge competitive advantage for us.”

To build the colorceuticals concept this year, Fusion Brands Inc. has planned a bevy of product launches, and Kardashian will represent the LipFusion franchise as well as a new product to launch in June, called FusionBeauty Colorceuticals IllumiFill Line Filling Luminizer.

Within FusionBeauty, the firm has introduced a limited edition LipFusion line called the Luxe Boudoir Radiant Shimmer capsule collection that includes four gloss shades, as well as three new shades to an existing line called Infatuation. Each product is priced at $29.

The IllumiFill Line Filling Luminizer ($49 for 1 oz.) combines Amplifat technology — said to stimulate fatty acid production — with a technology called No-Line to stimulate collagen production and firm the face over 28 days. The Luminizer contains light-reflecting particles and has a pearlized pink hue.

Luxe Boudoir and IllumiFill will be the focal points of a $1.5 million spring advertising campaign for FusionBeauty, according to industry sources.

Due next month is FusionBeauty Colorceuticals SculptDiva Contouring & Sculpting Blush, which comes in four shades ($29 each) and features the concentrate of Amplifat and No-Line.

In June, the brand will introduce five shades of FusionBeauty Colorceuticals LipFusion Balm Tinted Lip Conditioning Stick, an SPF 15 hydrating plumper ($22 each). The balms feature Amplifat and Saliporene, which is designed to increase the water content of the skin by 6,000 percent in four weeks.

Slated to ship during the summer is StimulashFusion Triple Action Lash Enhancing mascara in black ($29). It uses peptides and a complex called bioenergizer to increase the length of lashes by up to 1 millimeter within 15 to 30 applications.

Globally, the FusionBeauty brand is distributed in 42 countries. In the U.S., it is carried chainwide at Sephora and at 323 Ulta doors, 100 Dillard’s doors, selected Nordstrom doors and on HSN.

The Clean perfume brand, meanwhile, is found in 39 countries globally. In the U.S., it is carried chainwide at Sephora and Ulta as well as on HSN.

Plans call for moving Clean perfumes “beyond just being a fragrance line,” said Griner, “[and] into being a lifestyle brand.” To that end, Clean is moving into bath and body care and home fragrance — and plans to add home products, such as linens and towels, in the fall and eventually skin care items.

For starters, Clean Bath and Body Line, a five-item range that will include a body veil, dry shampoo, body lotion, bath and shower gel and body butter, is due out in May. Products feature a technology called CottonVantage, which blends cotton seeds, cotton extracts and cotton proteins in liquid or dry forms.

Clean Fresh Body Veil, $28 for 3.8 oz., is a body powder that releases the original Clean fragrance over time, and Clean Dry Shampoo, $18 for 3.17 oz., which is designed to absorb excess oil in the hair, also features the time-released scent. Clean Soft Body Lotion is priced at $34 for 18.5 oz., while Clean Bath & Shower Gel is priced at $24 for 18.5 oz. and Clean Body Butter is priced at $26 for 5 oz.

Also on the launch slate are an aluminum-free deodorant ($18) with the time-released scent, and Clean Moisturizing Anti-Bacterial Hand Cream.

The antibacterial hand cream is designed to kill 99.9 percent of common germs and bacteria for up to four hours. It employs a technology called SafetyDerm, which is described as a molecule that bonds to cells to protect the skin’s outer layer of acid. The antibacterial hand cream is set to launch May 1 at Sephora and subsequently roll out to other retailers. A 1-oz. size will be priced at $10. A mass market version of the antibacterial hand cream is also in development, and could make its debut in mass stores as early as the fall.