EOS’ Keys to Success in a Crowded Market

Sanjiv Mehra and Jonathan Teller, the founders of the Evolution of Smooth, discussed the story behind their success. The company skyrocketed from a small start-up into a major contender in the lip balm industry. According to Kline research firm, EOS has become the second best-selling lip balm company in the nation. With an estimated value of $250 million, EOS has successfully outgrown Chapstick and Blistex. The two founders admitted that the stagnation in the lip balm market proved to be an excellent window of opportunity. Mehra and Teller understood how introducing a revolutionary product to such a “lazy” market would encourage major growth.

From the beginning, EOS lip balm deliberately chose to market their product specifically to women. The company understood that a vast majority of lip balm sales consisted of women. Instead of taking on the difficult task of designing something appealing to both men and women, Mehra and Teller decided to focus on the most profitable portion of the consumer base. In order to appeal to the target demographic, the founders at EOS set out to redesign the lip balm container. With the help of a sculptor, they created a spherical, orb design. EOS wanted to create a product that was appealing to all five senses. From the clicking of the container to the myriad flavors and colors that come with the lip balm, the founders at EOS created a unique and fashionable product.

After experiencing great success in major retailers such as Walmart and Target, Mehra and Teller invested in their own manufacturing facility. This allowed the team to cut costs in the long-term and gave them greater control and oversight during the production process. With the help of celebrities and Facebook bloggers, EOS quickly became the most active and influential advertisers in the lip balm market. This investment helped the company to continue to generate interest and sales.

Product Links:

http://www.ebay.com/bhp/eos-lip-balm

https://www.amazon.ca/eos-Pomegranate-Raspberry-Lip-Balm/dp/B00B6A9KTU