As someone who has previously worked at a large beauty supplier,...

As someone who has previously worked at a large beauty supplier, I can assure you the profit margins on cosmetics, skincare and most key beauty segments are mutually beneficial to both manufacturers and retailers.

Adore Beauty run a slick operation and from a relationship management perspective were much easier to deal with than the likes of Mecca and Sephora.

To your point earlier around manufacturers creating their own competing site, you'd be amazed at how difficult it is to set up from a warehousing point of view, as well as the fact that the vast majority of beauty shoppers are not loyal to a specific brand across multiple segments. A manufacturer would not be able to compete on price, delivery (cost and speed) as well as missing out on brand agnostic shoppers.

They have a strong shopper base that should continue to grow and although the valuation is high I believe it's justified in the medium term considering the structural shift to e-commerce.