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1) Goop will sell its wellness products in Sephora, a wholesale partnership that risks diluting the luxury lifestyle brand.

WHAT HAPPENED: Starting this week, Goop’s wellness products will be available for sale on Sephora.com and Goop skincare will be available in Sephora stores in February, with more product categories to come in the following months. This is the first time that Goop’s products will be available outside of its own retail channels and at select independent retailers. The brand’s partnership with Sephora coincides with the launch of its Netflix series “The Goop Lab.”

WHY IT MATTERS

  • It will be challenging for Goop to communicate its brand ethos without the direct connection to its own platform. Goop’s positioning as a lifestyle brand—it offers recipes, wellness tips, products (beauty, apparel, wellness, etc), workshops, events and more—enables the company to keep building the Goop world. Up until now, customers have to buy directly from the company to access the Goop world, which has been key to its success. Controlled distribution channels forced consumers to interact with the brand in its entirety, giving them a clear understanding of what the Goop brand stands for, even before making a purchase. The strong sense of connection the brand organically promotes on its own platforms will be difficult to establish in the mass retail format.

  • A wholesale partnership with Sephora moves Goop away from the curatorial role that made it famous in the first place. Selling its products in Sephora challenges Goop’s status as a taste-maker, replacing the novelty of handpicked items by Gwenyth Paltrow and her band of “Goopies” with that of Sephora’s buying department. Seeing Goop’s private label products outside of the brand’s bubble could make the high price-tag off-putting for Sephora customers unfamiliar with the brand. For current loyal brand fans, availability in Sephora could challenge the existing community as the brand transitions away from its niche roots and into the mass-market.

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