With hundreds of millions of followers on social networking sites, Rihanna has an excellent foundation to start a career in the beauty industry.

After establishing a strong foothold in the music industry, Robyn Fenty, also known to the world by her stage name Rihanna, launched cosmetic brand Fenty Beauty in 2017.

Perhaps even Rihanna herself did not think that after only 4 years, Fenty Beauty would be a turning point that would change her life. The cosmetics company was successful beyond expectations, turning Rihanna into a successful businessman – a billionaire and no longer having to run tours with a tight schedule like before.

Rihanna at the launch of a Fenty Beauty store in Paris (France). Photo: Reddit
Forbes estimates that Rihanna currently owns a fortune of $1.7 billion and is the richest female singer in the world. She is second only to American “media queen” Oprah Winfrey in the list of richest female celebrities in the entertainment world.

Collaboration with luxury giant LVMH

Obviously music is not the main reason why she became so rich. Most of Rihanna’s assets come from 50% of Fenty Beauty shares (estimated at up to 1.4 billion USD) and shares in the lingerie company she founded Savage x Fenty (worth about 270 million USD).

However, music is a great launching pad to help Rihanna start her career. Her successful singing and acting career has helped her become one of the most famous people in the world with more than 101 million followers on Instagram and 102.5 million followers on Twitter.

Such a huge number of followers on social networks is the dream of any beauty company in the 4.0 era. As soon as it launched, Fenty Beauty was offered a joint venture by luxury giant LVMH, with the ownership ratio divided equally 50-50.
Rihanna with billionaire Bernard Arnault – head of LVMH. Photo: The Fashion Network.

With LVMH behind it, the company continuously launches diverse products for all ages and skin colors. Fenty Beauty products are also sold online and in Sephora luxury stores – all distributed by LVMH.

The French luxury group said that by 2018, after only 1 year of operation, Fenty Beauty had reached 550 million USD in revenue. This number far exceeds other celebrity-founded beauty brands such as Kylie Cosmetics (Kylie Jenner), KKW Beauty (Kim Kardashian), and Honest Co. (Jessica Alba).

The golden age of beauty companies

Despite a slowdown in cosmetics sales during the pandemic, beauty companies are still more highly valued by investors than ever. Shares of industry leaders such as Estée Lauder and L’Oréal are on the rise, reaching all-time highs and trading at an impressive 7.5 times annual revenue.

Smaller independent brands such as Beautycounter and Charlotte Tilbury were also valued in the billions after signing deals with investment firms earlier this year.

This is all good news for Rihanna. According to Forbes, thanks to the trend of investing in beauty companies, Fenty Beauty’s valuation also increased to 2.8 billion USD and the parameters show that the company will continue to grow.

In its annual report for 2020, LVMH said the Fenty Skin brand launched last year had a “very promising start” and “generated unprecedented buzz”. Meanwhile, Fenty Beauty is described as “maintaining its appeal as a leading makeup brand”.

Billion dollar lingerie company and its unfortunate failure

Fenty Beauty isn’t the only billion-dollar brand that Rihanna founded. In February, lingerie company Savage x Fenty raised $115 million in a new round of funding, bringing its official value past the $1 billion mark.

Savage x Fenty launched in 2018 and quickly attracted major investors such as TechStyle Fashion Group, Marcy Venture Partners (owned by rapper Jay-Z) and L. Catterton (in which billionaire Bernard Arnault is an investor private). According to Forbes, the ‘Love The Way You Lie’ singer currently holds 30% of the company’s shares.

Rihanna has not released a new album since 2016. Photo: ALT

However, Rihanna’s business path is not always easy. In February 2021, LVMH and the singer announced that they had closed a high-end fashion and accessories joint venture called Fenty.

Rihanna only launched Fenty in 2019, but like many other high-end fashion brands, the high-priced line fell out of favor during the pandemic. The label released its last collection in November 2020 before being shut down just a few months later.

Overall, Rihanna is still a successful entrepreneur. However, many fans are still complaining because Rihanna’s business career keeps her too busy.

Before founding Fenty Beauty, Rihanna used to release a new album almost every year. But currently, she hardly appears on music stages and the most recent album she released was 5 years ago.

From a financial perspective, experts say that Rihanna will still live well even if she leaves the entertainment industry.

“She’s creating a brand that’s bigger than herself. Even if you don’t like Rihanna’s music, there’s no denying she’s created a true style in the fashion and beauty industry.” , consultant Coyne shared.