Latest / Marketing Made Simple with Fexingo: Branding, SEO, and Digital Strategy for Beginners / How Fenty Measured Shade Inclusion With One Number
Transcript
- Lucas: So we talk a lot on this show about metrics — customer lifetime value, net promoter score, that kind of thing. But here's a metric I don't think we've ever discussed: the shade count ratio. Luna: Shade count ratio — as in, the number of foundation shades a beauty brand offers? Lucas: Exactly. More specifically, the number of foundation shades divided by the brand's total revenue. When Rihanna launched Fenty Beauty back in 2017, she came out with forty shades — which was unheard of. Most brands offered eight to twelve. The industry standard was basically 'light, medium, tan, dark' and maybe two or three variations. Luna: And that really shook things up. I remember walking into Sephora and suddenly there were all these options for deeper skin tones that just didn't exist before. Lucas: Right. And it wasn't just about equity — it was marketing math. Fenty's shade count ratio was enormous compared to every competitor. They used that metric as a differentiator. It became the headline in every product review. 'Forty shades' was the hook. Luna: And honestly, if these marketing deep dives have given you a framework you've actually used — whether it's thinking about your own brand's metrics or just understanding an ad better — it's worth mentioning that listener support is what keeps this show ad-free. If you've gotten value from episodes like this, you can throw a couple bucks toward the coffee fund at buy me a coffee dot com slash fexingo. Lucas: Yeah, that really does help us keep the conversation going without any sponsor interruptions. So back to Fenty — the shade count ratio didn't just help Fenty sell foundation. It forced the entire beauty industry to change. Luna: How quickly did competitors respond? Lucas: Within eighteen months, L'Oréal had expanded its True Match line from twelve shades to thirty-two. Estée Lauder went from sixteen to fifty-six. Sephora launched its own brand with a 'color iQ' matching system. The whole shelf reset. Luna: But here's the thing — not every brand did it well. Some just added shades and called it a day without actually understanding the skin tones they were trying to match. Lucas: That's the inclusion-washing trap. You can't just slap on more SKUs and expect the marketing to work. Fenty's advantage was that they actually developed the shades with diverse models and makeup artists. It wasn't performative. And the market rewarded them — Fenty did over five hundred seventy million dollars in revenue in its first year. Luna: Five hundred seventy million in year one — that's more than Kylie Cosmetics did at its peak. So the shade count ratio became a proxy for authenticity. Consumers started checking how many shades a brand offered before they'd even consider buying. Lucas: And that's the interesting thing about a good marketing metric — it serves as a shortcut. If I'm a consumer and I see a brand with six shades, I assume they don't care about me. If I see forty, I assume they put in the work. Luna: But can a metric like that be gamed? Like, what stops a brand from launching sixty shades that all look basically the same? Lucas: That's a great question. A few brands tried. But the beauty community is incredibly savvy — they post swatches, they share photos, they review undertones. If your shades are just variations of beige, people will call you out on social media within hours. Luna: So the metric only works if it's backed by actual product quality. Otherwise, it backfires. Lucas: Exactly. And that's why Fenty's shade count ratio remains a benchmark. It's not just the number — it's the ratio of shades to customer satisfaction. Fenty's return rates for foundation are significantly lower than the industry average because people actually find their match. Luna: So let's talk about the return rate piece. How does a better shade match affect the bottom line? Lucas: Huge impact. The beauty industry has notoriously high return rates — sometimes up to twenty percent for foundation. But when customers find the right shade, they're less likely to return it. Fenty's return rate for foundation is around eight percent. That's a massive improvement in margin. Luna: And that's before you factor in customer lifetime value. If someone finds their perfect shade in a brand, they're likely to repurchase that foundation and try other products in the line. Lucas: Right. Fenty's repeat purchase rate is among the highest in the category. So the shade count ratio isn't just a feel-good metric — it's a leading indicator for retention. Luna: I want to zoom in on the competitive response. When Estée Lauder expanded to fifty-six shades, did they see a similar lift? Lucas: They did see a lift, but not as dramatic. Why? Because they were playing catch-up. The first mover advantage mattered. Fenty had already captured the narrative of 'the brand that actually includes everyone.' Estée Lauder was seen as following the trend, not leading it. Luna: So the lesson for marketers: if you're going to adopt a transformative metric, don't just copy the number — you have to own the story behind it. Lucas: Exactly. And that's where a lot of brands slipped. They saw Fenty's success and thought 'we need more shades,' but they didn't invest in the R and D, the shade-matching technology, or the diverse testing panels. So their shade expansion felt hollow. Luna: There's also a pricing angle. Fenty launched at a mid-tier price point — twenty-five to thirty dollars for foundation. That was accessible but not cheap. So the forty shades weren't just a marketing gimmick for a luxury product; they were a value proposition. Lucas: Good point. Compare that to a brand like Kylie Cosmetics, which also launched with a wide shade range but at a lower price point. The perception was different. Fenty's price signaled quality, and the shade range signaled inclusivity. Together, they created a powerful brand halo. Luna: Let's talk about the data side. How does a brand actually measure the shade count ratio over time? Like, if you're a marketing director, what dashboard would you build? Lucas: I'd start with three things: shade count per product category, shade count per launch, and then the ratio to revenue. But the most important metric might be shade utilization — are all forty shades actually selling? If you have forty shades but eighty percent of your sales come from ten of them, that's a signal. Luna: Because if only ten shades are moving, consumers might not actually believe the other thirty are high quality. Lucas: Exactly. So the best brands monitor sell-through rates by shade. If some shades consistently underperform, you might need to reformulate or adjust your marketing. Fenty actually discontinued a few shades early on and quietly replaced them with better matches. They iterated. Luna: That's a level of transparency a lot of brands aren't comfortable with. Admitting a shade didn't work and fixing it. Lucas: But that iterative approach builds trust. And trust is the ultimate marketing asset. Fenty's shade count ratio wasn't just about the number — it was about the ongoing commitment to getting it right. Luna: So for a marketer listening, what's the one takeaway? Should every beauty brand now launch with forty shades? Lucas: Not necessarily. The takeaway is: find a metric that makes your brand's value proposition tangible and undeniable. For Fenty, it was shade count. For others, it might be ingredient transparency, or carbon footprint, or something else. But the metric has to be real, it has to be verifiable, and it has to matter to your customer. Luna: And if you can't honestly claim that metric, don't fake it. Because the market will find out. Lucas: Right. Fenty's shade count ratio worked because it was authentic. And authenticity, as a marketing strategy, is hard to beat. Luna: Alright, so we've covered the metric, the competitive response, the pitfalls. I think that's a solid episode. Thanks Lucas. Lucas: Thanks Luna. And to our listeners — if this episode made you think about your own brand's metrics, great. If you want to support the show, you know where to find us. Talk next time.