Goop expands and diversifies G. Label merchandise, but questions of scalability loom

To-the-point analysis about one of the five important stories from the week.  

What happened

  • Goop, which launched in 2008 as Gwyneth Paltrow’s lifestyle newsletter, began selling apparel from its G. Label brand in late 2016 with limited monthly releases. Now G. Label is expanding the size of its monthly collections and diversifying its merchandise to offer jeans, athletic wear and home goods.

Why it matters

  • Goop started as a newsletter in 2008 and soon began creating products that reflected its ethos and aesthetic. (Glossier similarly started with the media site Into The Gloss in 2008, which turned into the consumer brand in 2014.) Goop had an estimated  $15-20 million in revenue for 2016, which tripled in 2017. However, its highly-specific and often unscientific products, not to mention its luxury products at inaccessibly high price points, continue to alienate potential customers. Though the company raised $10 million in venture capital last year, Goop must figure out how to remain relevant to its initial audience without driving away the potential customer base it needs to make investors their money back.
  • Goop is highly inaccessible compared to Glossier, throwing its potential scale into question. Paltrow’s celebrity may continue to attract a large number of potential followers, especially for Goop’s free-to-consume media, but that is vastly different than potential customers who will spend significant amounts of money with the brand over time. Glossier, with its more affordable price points and more welcoming ethos will resonate with a wider audience, even without a celebrity face at the forefront. Sometimes building an “aspirational” business, as Paltrow called Goop, is exactly that: a dream.


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