SKINCITY – A profitable online growth star dedicated to customer experience
Rite invested in Skincity in 2014 when the company was in its early growth stage and had a turnover of 34 MSEK and were profitable.
At Rite, we were impressed by the founders, Annica Forsgren and Mikael Kjellman, the high level of customer satisfaction as well as the positioning Skincity had in the professional skincare market niche. The entrepreneurs wanted a partner that could support them in taking the company to the next level.
After investing, Rite worked closely with the entrepreneurs to create the right internal structure to build the company´s strong position, brand value, and high level of customer satisfaction. Value creating initiatives have involved short- and long-term strategy, reporting, internal processes, and building of a management team.
At the end of 2017, the Swedish family owned business conglomerate Axel Johnson acquired 70% of the shares in Skincity. Skincity had a turnover of around MSEK 279 and an EBITDA of MSEK 12 and had developed into an online skincare clinic with a leading position in the professional skincare market, while maintaining very high levels of customer satisfaction and customer loyalty. Rite remains as minority owner and continues to have an active role in the Board and close cooperation with management.
Skincity is currently focusing heavily on international expansion outside of Sweden. Norway and Finland are now prioritized markets as well as UK which Skincity entered in 2018 by acquiring the well-run UK-company Effortless skin.