Is BeautyMNL Shutting Down or Rebranding?
With a sudden drop in online activity and an enigmatic single-page placeholder on their website, many are left wondering: What is happening with BeautyMNL? BeautyMNL is a popular online shopping platform in the Philippines that primarily focused on beauty products, skincare, makeup, and wellness items. The site has been known to feature a wide range of local and international brands, making it a go-to for many Filipinos in search of beauty and wellness products.
Before we proceed, full disclosure: my company is also a merchant at BeautyMNL and we are still unpaid,
The Silent Treatment
BeautyMNL's last update on their social media platforms dates back to August 10, an unusual hiatus for a platform that was once bustling with content and promotions. Furthermore, the vague message on their website - "BeautyMNL. For every Filipina every step of the way" - neither confirms nor denies any major shift. However, the addition of an email address "wecare@beautymnl.com" for urgent concerns does imply that they are not entirely out of the scene.
The Backstory
The e-commerce platform garnered significant attention back in December 2017 when Robinsons Retail Holdings, Inc. (RRHI) acquired a 20% stake in its operator, Taste Central Curators, Inc. This was seen as a strategic move for the Gokongwei-led firm to fortify its position in both the beauty and e-commerce spheres. Robinsons Retail's faith in the platform was further solidified with an additional P280 million investment in 2019, pushing their ownership to 30%. The acquisition touted BeautyMNL as a leader in the local beauty e-commerce space, combining both beauty advice and marketplace functionalities.
However, beneath this glamour lay unsettling tales of unpaid merchants. By September 2022, murmurs of BeautyMNL's alleged neglect in fulfilling payment obligations began to surface. This led to the creation of the BeautyMNL Unpaid Merchants community on Facebook in April 2023. Within this space, the distressed merchants found solace and camaraderie, sharing their grievances and seeking solutions collectively. Recently, a few merchants have been paid, but there are still many with hundreds of thousands worth of unpaid consignment fees left hanging.
Closing Down or Rebranding?
There are several guesses that can be drawn from the current scenario:
Financial Struggles: The unpaid dues to suppliers might indicate financial difficulties. The e-commerce space, although lucrative, is also highly competitive. Operational costs, coupled with alleged unpaid dues, could suggest the platform is facing insolvency.
Rebranding or Restructuring: The sudden silence and the placeholder website could be an indication of a rebranding or restructuring phase. Given the strong backing from RRHI, it's plausible that they might be steering the platform in a new direction, aiming for a relaunch with a refreshed identity.
Potential Sale or Merger: With the earlier involvement of RRHI and the subsequent challenges faced by BeautyMNL, there could be potential negotiations behind the scenes for a sale or merger. This might explain the temporary hiatus.
While the fate of BeautyMNL remains uncertain, what is evident is that its sudden transition has left many in suspense. Until an official statement is released, all we have are speculations. However, with the platform's previous significance in the Filipino beauty market, one hopes for a positive resolution for all parties involved.
