The Debrief

What Happened to Pat McGrath Labs?


Listen Later

Pat McGrath is widely regarded as one of the most influential makeup artists of all time. Known simply as “Mother” to some in the industry, she’s been behind some of the most memorable runway beauty moments for decades. In 2015, she launched her namesake brand, Pat McGrath Labs, which quickly became a beauty phenomenon – going viral with its glittering gold pigment and reaching a $1 billion valuation just two years later.


But almost a decade on, the business tells a different story. With its valuation now a fraction of what it once was, high executive turnover, limited product accessibility, and internal challenges, the brand’s future hangs in the balance – even as McGrath's own star continues to rise with a new role as beauty director for Louis Vuitton.


The Business of Beauty editor Brennan Kilbane and executive editor Priya Rao, explore what went wrong and how the business can get back on track.


Key Insights: 


  • In its early years, Pat McGrath Labs thrived as a high-concept beauty brand that translated runway artistry into consumer excitement. The first product, Gold 001, was a multipurpose pressed gold pigment that sold out within minutes and crashed the website. As Kilbane describes, the brand began as “a direct pipeline from her creative brain to the cosmetics market.” The initial success solidified McGrath’s cult status – and set high expectations for what came next.


  • When Pat McGrath's 'glass skin' look went viral after the Maison Margiela couture show, it could have been a pivotal brand moment. But the product inspired by the look – and released more than a year later – failed to maintain momentum. “They tried to capitalise on it by scheduling a masterclass a week later,” says Kilbane, “but it wasn’t fast enough.” Additionally, according to Rao, the bigger issue with late deployment was product wearability: “It’s not something that’s everyday or wearable in any capacity.”


  • Pat McGrath’s artistry is legendary, however operationally, Pat McGrath Labs fell flat. “Pat McGrath Labs was Pat McGrath. She is the CEO, she is the founder, she's the creative director – the buck stops with her,” says Kilbane. With final say on everything from product formulation to packaging, this all-encompassing control created a bottleneck that affected every part of the business. The result was a company where decision-making was slow and fragmented.


  • With valuation plummeting and Sephora shelf space dwindling, both Kilbane and Rao agree that McGrath’s company needs a reset. “Does it need new investors? Probably,” says Rao. “But it also needs leadership and operational know-how for it to actually scale. Otherwise, it’s going to be a pet project in comparison with what she does with Louis Vuitton.” Kilbane adds, “Fixing the company culture is going to be integral – if not even more impactful than integral – to the brand’s longevity.”



Additional Resources:

  • What Happened to Pat McGrath Labs? | BoF 
  • Louis Vuitton to Launch Makeup Line | BoF 


Hosted on Acast. See acast.com/privacy for more information.

...more
View all episodesView all episodes
Download on the App Store

The DebriefBy The Business of Fashion

  • 4.8
  • 4.8
  • 4.8
  • 4.8
  • 4.8

4.8

40 ratings


More shows like The Debrief

View all
Fat Mascara by Jennifer Sullivan & Jessica Matlin

Fat Mascara

1,687 Listeners

The Glossy Podcast by Glossy

The Glossy Podcast

250 Listeners

Blamo! by Blamo! Media, Jeremy Kirkland

Blamo!

421 Listeners

The Business of Fashion Podcast by The Business of Fashion

The Business of Fashion Podcast

558 Listeners

Second Life by Second Life

Second Life

2,855 Listeners

Dressed: The History of Fashion by Dressed Media

Dressed: The History of Fashion

1,501 Listeners

Superwomen with Rebecca Minkoff by Rebecca Minkoff

Superwomen with Rebecca Minkoff

509 Listeners

Let's Get Dressed by Liv Perez

Let's Get Dressed

268 Listeners

The Run-Through with Vogue by Vogue

The Run-Through with Vogue

675 Listeners

Retail Reborn from The Business of Fashion by The Business of Fashion

Retail Reborn from The Business of Fashion

10 Listeners

Morning Meeting by Air Mail

Morning Meeting

211 Listeners

The Who What Wear Podcast by Who What Wear

The Who What Wear Podcast

89 Listeners

Climbing in Heels with Rachel Zoe by Cloud10 and iHeartPodcasts

Climbing in Heels with Rachel Zoe

518 Listeners

Drive from The Business of Fashion by The Business of Fashion

Drive from The Business of Fashion

0 Listeners

Transforming Luxury from The Business of Fashion by The Business of Fashion

Transforming Luxury from The Business of Fashion

5 Listeners

Fashion People by Audacy | Puck

Fashion People

148 Listeners

Fashion Neurosis with Bella Freud by Bella Freud

Fashion Neurosis with Bella Freud

150 Listeners

The Good Buy by Harper's Bazaar

The Good Buy

2 Listeners