Black-owned brands have historically seen big changes post-acquisition, which can leave Black customers with less access to products catered toward them/us. Mented Cosmetics and Beauty Bakerie are just two on a list of Black-owned beauty brands that have relinquished their day-to-day oversight in some regard to non-Black management by way of acquisition to a large firm or beauty conglomerate. Another example of this would be Mielle Organics’ social media craze after their viral moment with their Rosemary Mint Scalp & Hair Strengthening Oil, and consumers of various demographics began purchasing the product. While this brought large amounts of revenue to the company, one could argue that this wider cast net of accessibility could minimize accessibility for minority women based upon supply and demand. Customers have responded to acquisitions such as these and many others with hesitancy as they’ve grown accustomed to the uncertainty that comes with the changes in brand ownership.
Having experienced an acquisition herself, KJ Miller is not taking her new role as Beauty Bakerie’s new leader lightly. “I immediately went to Cashmere and started having conversations with her [about] if I was the right fit because I’m committed to ensuring the spirit and foundation of the brand is intact,” Miller told GU. “There have been instances in the past, not just with Black-owned beauty brands but all types of indie brands that get acquired … you start to notice changes.”
Selling a brand you created from scratch is never an easy choice, but many Black brand founders have felt spread thin and burnt out by the high demand of keeping their businesses successful or even just afloat. That was certainly the case for Miller and Mented. “The options weren’t sell or not sell, the options were sell or perish.” As and more brands sacrifice their Black-owned status in order to survive and/or thrive, their Black customers are left to question whether brands can maintain their devotion to Black beauty needs authenticity and value when theirits funds are coming from mega corporations and private equity, where white people are usually at the helm the like. One may purchase from interacting with a brand solely based upon its Black ownership because it guarantees relatability and reliability. In Beauty Bakerie’s case, they were afforded the opportunity to still be orchestrated by a Black woman, and specifically one that also has her own experience with brand acquisition and building a Black-owned cosmetic brand from scratch. Sadly, this is not always the case for other brands.
“Consumers should recognize the unique challenges that entrepreneurs of color face, including limited access to capital, systemic barriers, and the pressures of sustaining a business in a competitive market. Taking on new ownership or entering partnerships can sometimes be necessary to ensure the business’s survival and growth. While it’s natural for consumers to be concerned about these changes, empathy and understanding are crucial in supporting the long-term success of Black-owned businesses,” said Djeneba Danioko, Managing Partner from The Fine Wine Series. Though understanding the sentiments of consumers of color, both Miller and Danioko have empathy and understanding for what really goes on behind the scenes as Black entrepreneurs. This sentiment is especially understood as Black female entrepreneurs, as the stakes raise higher for that demographic.
Many women of color face the uphill battle of trying to find hair care products that work positively on kinky and curly textures, foundation that blends properly with their skin tone along with under tone or even skin care that combats issues that melanated tones face more heavily such as hyperpigmentation. Black-owned businesses have been able to provide reassurance to this consumer base by allowing there to be products made solely with them in mind in comparison to being an afterthought to other brands. In turn, this has allowed for a gap to be filled that otherwise wouldn’t have been even in cases of there being a diverse staff present and chemists of diverse backgrounds in place formulating products. Now that more and more Black-owned brands, even beyond cosmetics, begin to get acquired at a faster rate the same sense of uncertainty is beginning to arise among consumers as it has in other capacities when someone that was one intended for a selected community expands beyond that.
“Trust can be established through transparency about the nature of the partnership and the continued role of Black ownership and leadership within the company. It’s crucial to communicate that the values and mission of the business remain intact,” Danioko explained when addressing how brands who are no longer deemed as fully Black-owned can continue to maintain trust and rapport among consumers.
For Djeneba and The Fine Wine Series team they utilize a meticulous selection process when it comes to choosing partners for their brand. This includes the reassurance of the partnership aligning with previously published core values and a mission statement that directly supports communities of colors, but especially Black sommeliers and wine company owners through the reinvestment into their goals.
“We are deeply committed to mentoring and developing Black talent in the wine and events industry. This commitment is reflected in our approach to succession planning, ensuring that leadership stays within the Black community and continues to embody our values, vision, and the distinctive approach that makes Fine Wine Series a standout in the industry. By nurturing the next generation of Black leaders, we aim to sustain and grow the legacy of the Fine Wine Series while staying true to our roots,” Danioko explained when asked about what efforts they have put in place to remain Black owned and operated. Arguably, White ownership of an initially established Black-owned brand does not always assume the role of no longer being able to provide the same experience, but is a concept that continues to change on a case by case basis.
In 2024 specifically, many Black-owned brands have been facing tougher times as they navigate a lack of customer support and lower revenue levels. While this is an issue that entrepreneurs of any cultural background face, Black and female entrepreneurs in particular face this at a higher volume due to lack of resources, capital, exposure, and bandwidth within their respective company. Society has continued to treat their support of these brands as a trend, and not as a necessity as we see today with business owners fighting silently to stay afloat both financially and mentally. One could even draw the correlation of the lack of prioritization of DEI efforts in numerous industries to the low performance levels of Black-owned brands as some people have just simply lost interest.
Overall, the acquisition of Black-owned brands, whether goods or services, has left for mixed emotions in the Black community. Consumers and brand owners alike want to be able to feel confident in their decision making. However, this may not be able to happen until there is collective understanding from both sides. With every company being operated differently, KJ Miller’s experience is a unique standout and example of the balance of power between the help from White owned parent brands believing in the vision of Black-owned businesses for their continued success and longevity.