After months of swirling rumors about a potential sale, Color Wow, a dynamic family-run hair care brand known for its precision in innovation, has been acquired by L’Oréal, the global beauty giant and #1 player in the professional hair care industry. This strategic move marks a significant expansion in L’Oréal’s portfolio, reinforcing its commitment to offering diverse and cutting-edge solutions in the beauty industry.
Color Wow has enjoyed a steady trajectory, in terms of both sales and salon distribution. According to the latest Kline data published in April, Color Wow’s sales have increased at a CAGR of 30% from 2019 to 2024. Its distribution in salons has also steadily risen, with it now being carried in 17.8% of U.S. salons in Kline’s panel, up from 12.4% less-than-two years ago.
Color Wow has garnered a loyal following for its unique formulations, which address common hair concerns, such as frizz, color fading, and lack of volume. Dream Coat—the brand’s hero product, which accounted for 15% of its total U.S. dollar volume in Kline’s U.S. salon point-of-sale database—has become a cult favorite. The brand resonates not only with stylists but also strongly with DIY-minded consumers seeking salon-quality results at home. This at-home appeal reinforces its cult following and aligns with broader shifts toward self-styling and convenience. Its strong digital footprint and successful track record in driving traffic via DTC channels aligns with L’Oréal’s focus on deepening its e-commerce and omnichannel presence.
By integrating Color Wow into its lineup, L’Oréal aims to leverage the brand’s expertise and innovative approach to further strengthen its position in the competitive hair care market and helps give it a stronger position in both styling and treatment categories. Under L’Oréal, Color Wow can retain its innovative edge and appeal while scaling globally using L’Oréal’s infrastructure.
As the beauty industry continues to evolve, L’Oréal’s acquisition of Color Wow underscores its dedication to staying at the forefront of innovation and meeting the ever-changing needs of consumers. This exciting development promises to bring even more groundbreaking products to beauty lovers worldwide, solidifying L’Oréal’s status as a leader in the industry.
Kline + Company has been tracking the professional hair care market for over 30 years. Contact our expert teams if you are interested in assessing the impact of Color Wow’s acquisition or other market developments in the professional hair care industry.
