COSMOFACTORY

53 - Beauty that Begins in Kenya, featuring O’Bao CEO Suzie Wokabi
[00:00:00] This episode is about the growth of the African beauty industry. It's about indigenous ingredients and an equitable supply chain. It's about beauty made in Kenya. For local tech savvy consumers and for the global market. It's about the opportunities created by competition and the opportunities for informed international investment.
We are recording today in the Cosmo Factory Podcast booth at cosmoprof Worldwide Bologna. My guest is [00:01:00] Suzie Wokabi, CEO of O'Bao. Welcome, Suzie.
Thank you so much, Deanna.
Yeah. I, I really appreciate your making time to speak with me today. Um, you have made a career, if I may say so, of being an influential force in beauty industry growth throughout Africa.
Will you just tell us what that means? Uh, what sort of changes have you been able to affect?
Um, well, this is a privilege to be here. Thank you again. Sure. Um, so what I think it, what I mean, I'm called a pioneer, um, in the Kenyan beauty space. Um, I apparently hold a space in the Hall of Fame because, um, I was in, I was away in the US for almost 10 years, um, working in beauty and fashion and moved back home to be a part of the media makeup industry.
Mm-hmm. So my background is in makeup artistry. Um, now coming back home, came and hit the ground running. Um, worked in a lot of [00:02:00] big, you know, stations and, and all the media houses and that type of thing. And then, um, you know, sort of a year into it, found a big gap in the retail cosmetic space. And, um, I have some mentors in my head such as like the Bobby Browns and the founders of Mac, Frank and Frank, and sort of always wanted to have my own brand and realized that this could be the time and space because, um, what I was finding that every single product that was in the market was imported.
And barely, uh, correct for our skin tones, our skin textures. Um, and also way overpriced because everything was imported and way unaffordable. What I would buy in the US for 10, $12 was like the equivalent of 18 $90. Mm-hmm. Um, so I realized there's a gap to fill and this might be also my time to shine to my, that dream of mine, that distant dream of creating my own brand.
So that's where the kind of pioneer story starts.
Yeah. [00:03:00] Excellent. Yeah. Yeah. I, I'm curious, um, if you can say a little bit about how the cosmetics and personal care industry, um, might grow in Kenya or, or larger, um, you know, from a larger perspective throughout Africa over the coming years. Can you say anything about what you might like to see happen or what you might expect to happen?
Um, well, so far it's, it's grown every year Yes. And quite exponentially. So there's no doubt that it will continue to do so. Stats show. Um, I mean, Google is all our best friend, but the stats show growth and growth and growth. And right now, when I started Suzy Beauty in 2009, um, the industry was worth 5.4 billion and now it's worth a hundred billion.
Mm-hmm. Mm-hmm. Just these years later, 15 years later. So you can see, uh, the spurt. Have been there and, and Will for sure will continue. Yes. It's not stopping. Yes. Yeah.
No, that's wonderful. Mm-hmm. Now, I know that as part of the educational programming here at cosmoprof Worldwide Bologna, you [00:04:00] spoke on a panel, um, a Cosmo Talks panel session about beauty ingredients that are indigenous to African countries.
I have a couple questions for you that maybe you've already shared with the audience, uh, during that session, but certainly, um, some folks listening, we're not there. Mm-hmm. Um, first off, could you please give us, uh, an example of maybe a typical ingredient supply chain and, and let's say in Kenya, since this is where you are based, what, what, what's an ingredient supply chain look like for you?
Um, a great question. So for me, um, I'm, I'm currently running a brand called oau. Mm-hmm. Um, which is made in fully made, made in Kenya, plant-based, um, skincare brand, and we call it from harvest to skin. Okay. So it's based on the baab seed. Mm-hmm. Which, from which we extract, um, the baab powder, which is edible, but also used in the cosmetics product.
Okay. Um, as well as, um, seed that's, I mean, oil that's extracted from the seed. Mm-hmm. Mm-hmm. And so there's a pure, um, like organic seed body oil, which works, [00:05:00] you know, on the hair, on the face, on the body. So the cycle is, um, the harvest, um, dealing with the farmers, getting the right, um, time of year to, to harvest the correct fruit that can actually be used.
Mm-hmm. Mm-hmm. And then, um, bringing it to factory, uh, um, which is in a different part of the country, extracting all that we need for the cosmetics to be created, or the powder. We also have an edible powder. Mm-hmm. Mm-hmm. Um, so. So now separating, uh, the ingredients accordingly, and then everything is else that's maybe added.
So like the seed oil is poorly only, uh, nothing is added to it. Yes. It's a single ingredient product. Yes, exactly. But like the serums or the moisturizers or the cleansers, we add maybe some essential oils. Um, no, no chemicals, of course. And, um, and so that's, you know, that's where, where the whole cycle comes.
And then there's the impact story because we deal with the [00:06:00] farmers themselves enriching their lives and their families' lives. So the impact is definitely there. The sustainability level comes in. Even with the packaging, you know, we have no plastic film on the. On the boxes so that can, you know, it disintegrates.
Mm-hmm. Um, so that's, that's, um, that's a, and then for now we mostly sell in Kenya, uh, but definitely looking to expand, uh, to different parts of the continent and, and outside. Yeah. In, in Europe, our sort of main and, um, shareholders in, out of Austria. They already, you know, carry the powder in the sea and the oil and it's used out there.
Yeah. So it's already some expansion here and there. Excellent. And in, in London as well.
Yeah, no. Fantastic. A couple notes. Um, you know, for my friends in cosmetic science listening, when you say you don't add chemicals, I presume you mean you're not adding what we would think of as maybe chemicals of concern.
Certainly pretty much everything is chemical.
No chemicals of concern. Yeah. But, um, you know, like what, what [00:07:00] we would add. Um, like essential oils the most, we, we do have a, a proprietary ingredient that, you know, we have to add some alcohol into it. Sure, sure. But that's, I think, the extent of it because, um, yeah, we keep it as natural as possible.
Excellent. Excellent. Yeah.
And the other note, um, you know, just as a reminder, and maybe you can say a bit about this, um, Balbo is a tree. Yes. It's a huge
tree. Um, up to, um, 500. To 2000 years old. Yeah. Uh, the, the minimum that we extract from is a 500 year old tree. Mm-hmm. And we try to go, so we have, you know, 500, um, extract, we have a thousand extract and it can go up to 2000.
So, which will continue to expand throughout and, um, yes. And support that amazing tree because the, the output of the product is, is kind of unmatched, um, compared to other ingredients. For example, you know, there's. The vitamin C level is, you know, [00:08:00] I don't know how many. Hundreds of times more vitamin C than an orange.
Sure, sure. Or like, you know, and then the antioxidant and the fixing properties. And the nourishing properties are just a lot. Yeah. And amazing. That's wonderful.
I appreciate that clarification. So I am curious to learn so much more, but while I'm on the topic of curiosity, I want to say thank you to everyone listening.
We recorded the first episodes of the Cosmo Factory Podcast here in our booth. In the Cosmo Pack section of cosmoprof one full year ago. Um, and we have reached this milestone moment very much because of you, the listener. I thank all of you for listening and for your curiosity, uh, um, and what I would call your openness to learn about the ideas and innovations that are shaping the cosmetics industry.
Cosmo Factory is truly a global community and it means so much that you make time every week to listen, to connect with your peers, and to stay engaged, uh, with the future of beauty. Let me continue the conversation with you, Suzie. Maybe you can quench a bit of our curiosity. Will you tell us how [00:09:00] in Kenya, farmers, processors, and beauty makers are collaborating?
You've shared with us a picture of the supply chain, but, uh, maybe share a bit about the collaboration, um, and, and how it can ensure that the supply chain grows in a way that's sustainable, ethical, equitable.
so it's, you know, it's up to us as, um. Brand owners or, or company owners to, to make sure that the whole, the what, what we are promising is true and the impact that we hope to have actually happens.
There's, um, you know, of course things go wrong here and there, and. Um, there's a, some corruption levels and whatever that we have to dissipate. Um, so even if we have to move, um, from one area, I mean, where, where we harvest from is about 300 kilometers around. Okay. Um, so if, you know, if one area, um, is, is is going bad or even, even maybe the harvest is not [00:10:00] going to work that time.
So just surrounding ourselves around. Where it actually is working.
Right. And that this isn't unusual with folks who work with natural ingredients. There are multiple sources. Right? Exactly. Exactly. Or location. Exactly. Exactly. Exactly, exactly. And
so even the one area in, uh, Kenya that we source from, there's still many others around, um, like, you know, further down in the coast and that type of thing.
That we haven't even venture into, which we can and, you know, eventually will. Right, right. Because like maybe the more, the merrier and also what, what harvest we can get from there could be different from this side. Mm-hmm. And then, uh, and then it's about also, um, education, um, showing them how to improve, um, the yields.
Sure. Um, and, and also there's, um, there's a, a, a little project that was had a few, a few years ago too. Show them how to even produce more than just the bab, for example, ashwagandha. Mm-hmm. Um, although we brought the, [00:11:00] the, the seeds for them to try to grow. Okay. So that we can also now use that in our different products because we do.
Yes. So why, why get it from somewhere else? We can get it from the same farm. Mm-hmm. Mm-hmm. And then, um, even also educating, um, you know, the, maybe the men of the farmers, so making sure even like their wives and children's livelihood. Are sustained. Mm-hmm. And, and monitoring that in a way that, you know, it's, it's, it's not being misused.
Mm-hmm. So, yes, people on the ground, of course, we have to ke you know, go back and forth and, and make sure that what. What we're saying is real and what we ask them to do actually happens. Mm-hmm. Yeah. Mm-hmm. No, perfect. So monitoring.
Yeah, no, that makes, that makes sense. Mm-hmm. And certainly I hear that from, you know, folks in other countries around the world mm-hmm.
Who are working with, um, you know, natural harvest, as it were. Yes. Um, I would like to move on to the topic of digital technology. You know, and if we generalize, I think it's fair to say that the global beauty industry and, and the global tech industry. Are not truly global, uh, in terms of racial and cultural [00:12:00] inclusivity.
Uh, when we look at clinical testing and product development, for instance, ingredient makers and brands often don't gather data that includes all hair textures or all skin tones. And, and something quite similar is true with digital technology. I, I think of something like virtual tryon, for example. This tech relies on con computer vision.
It relies on artificial intelligence, real time image processing. All of these technologies as, as they've been developed thus far. And, and. these technologies are less accurate for people, especially for women with darker skin tones.
When you and I spoke before the podcast, um, you told me that besides the brand oba, where you're currently serving as CEO, you've also founded a brand for Gen Z and millennials called SB Dadda. Um, and for this brand, you're building virtual tryon technology that will be used to help create product and to help create community.
I would like to hear your thoughts on the importance of developing your own technology.
Why it was important, um, to us, and it's still under development 'cause it's kind of complicated. Sure. Um, is, [00:13:00] so our option was to license it out. Um, I, I was insistent on, on the virtual try-on, uh, situation because I'm trying to do as much sales online as possible.
Um, my, my target audience lives on tech, so I want them to be able to shop makeup on their tech because that's where they live. The kids, the kids are walking through the mall. Um, passing the store, different stores yet shopping on Instagram for home delivery. Mm-hmm. On other things, you know? Mm-hmm. Mm-hmm.
So it's not something to not be ignored. Um, Africa having like the youngest population in the world, those are the main consumers. So that's why I'm focusing on these, this group, you know, and I appreciate
your reminding us about the, the age group of, I, I guess the population in general on the African continent because so much of the industry is, is really looking at expanding its consumer base.
In both directions. Right. Uh, to younger consumers, but also to older consumers. But, um, yeah, as you're saying, there's a Go ahead. Yeah. Um,
Kenya's average age is [00:14:00] 19. Yes. Yes. 19.7 to be exact. Um, so it's, it's like such a no brainer to cater to, you know, what, what was like an 8-year-old girl's birthday party used to be a jumping castle.
Now it's a makeup party or a spa party, so all this can't be ignored. So yeah, I created a product for them now with a tech also. So I'm trying to do 70% of sales online. How can I do that? Um, you know, so that's where the virtual try-on comes in. So, you know, put your face on, hit by based on what you love.
And, um, we had the option to license it out, but out of like Norway. Right, exactly. Licensing someone else's technology. Yes. Right. So that wasn't making sense. So who I got to, uh, to develop it locally is now focusing on making sure it works on the darker skin tones. Um, and that's important because that comes back even, like, reminds me of my past life with creating Suzie Beauty, Kenya's first homegrown makeup brand.
It was the [00:15:00] first time that, um, somebody created makeup for the African woman by an African woman, um, to fit our skin tones and textures so that that's, that, you know, past life. And the, and the continuation of that is with this, um. Uh, vr, uh, a ar, sorry, tech. Yes. Yes. Now created to, uh, cater directly to our skin tones.
Mm-hmm. Um, which
are very,
very particular. Yeah.
Yeah. Yeah. Yeah. No, that's fantastic to hear. So, you know, in my imagination now, you will have some very unique facial data, um, and very, very much required, necessary, I should say. Mm-hmm. I'm wondering. If Kenyon Beauty Tech then has real potential to make the global cosmetics and personal care industry more inclusive.
Yes. And unfortunately it's not a today story because, um, we're still going, um, internally before as, as we walk towards the global stages. Yeah,
no, [00:16:00] tomorrow's good too. Tomorrow. Tell me more. Tomorrow.
Tomorrow's a new day as, as well, you know, so. And there's not enough beauty entrepreneurs out there.
Obviously I'm a serial one. You're setting a good example. There's not enough. There's not enough, and there's so much space for more of me, um, so that we can start to play in the global field. Um, I've been coming to Cosmo Pro since 2009. Yes, yes. That, that makes, that sounds like crazy. Um, but, but nobody else.
I, I don't have any Kenyans around me like even now. Yeah. In this, this time around
it's, it's, well, you're welcome. If, if the Kenyans are listening, Lisa, you guys join,
join, come. Let's play. It's a wonderful place for discovery. Yes. And, and learning and, and seeing the world in a different way. And then.
Localizing it. Yeah.
Into our own. Yeah. Yeah. No, I love that you say that. I have certainly got to see the world through Cosmo pro of blood bologna. Absolutely. It's [00:17:00] terrific. Mm-hmm. Absolutely. Terrific. Um, let, let's think a little bit about Oba, the brand you're, uh, leading now as CEO. Um, I'm curious, you know, I, I think you've said that this, this brand is very much, you know.
Focused on local consumers within Kenya. But I know you mentioned also that you've been, you know, retailing in Europe as well. How are you received there? How do you sort of, I guess, bridge that gap, right? Resonating with, with local consumers, but then also speaking to, um, a more of a global market.
So what's great about the product is it literally will work on any, any, anybody, any skin tone.
Um. And also, you know, with a focus on even more sensitive skins. Mm-hmm. Um, and it's not, it's not a color problem, you know, it's not, it's, it's not an ingredient problem. So it will work on anyone, anyone on the globe. So, well fortunately, our, um, we have partners in, in Austria, um, [00:18:00] who have, you know, taken the, the product with them to try and to test it in the market.
So well received that, you know, uh, George, my partner has to keep coming back and taking stuff back with him. So we're, we haven't like, sort of officially started exporting in the right, it's just like trial, trial, trial and it's well received. So now we are actually ready to see how we can expand production mm-hmm.
In order to cater to more markets such as that. Um, because that's, that's obvious. I mean, it's, you know, we are partners there, so that works. Uh, immediately, but we have, um, requests from the US we have, um, requests from, you know, um, we dealing with a spine, Mauritius, like that type of thing. So there's interest as we expand.
So what, what, where I came in, even into the brand is to expand market reach, um, and, uh, and, and [00:19:00] penetration. Sure. So we're still working on that, even on a local level. So our, our production now has upped, and then now when we start to expand further, it has to up more. Mm-hmm. And what does that mean for the harvest?
What does that mean for the, you know, uh, for our raw materials? So it's, uh, yeah, it's a bit of a journey. Mm-hmm. Which is on its way and, and very exciting to be a part of.
No, it does. It sounds it does sound very exciting. And, and I think it's, it's useful. You know, you mentioned that there's so much space and opportunity for entrepreneurs and brands to develop in Kenya and throughout Africa, and.
I imagine that the, you know, sort of the scalability challenges that you are solving now with Obba will, you know, be, um, I don't know, a benchmark of sorts, right? A guideline that other brands maybe can at least mimic as they're learning, you know? Sure, sure. Of course, of course. Other entrepreneurs will have creative solutions as well.
That
Exactly, exactly. So it's, it's an exciting, um, time. Let's, let's give that, uh, to, in Africa. [00:20:00] What we have also the advantage of is that we don't have a lot, as much as the market seems saturated, it's not, it's so not, um, a lot of international brands have been flocking in through the years, um, and very, there's very few locally grown brands.
Um, when I started Suzy Beauty, I had no local competition. I was of like, just years ago now there's a, you know, a little, a few smaller, um, local brands that have sprouted up. And they're, you know, thriving in their own little ways. And, uh, because we don't, we how, how you in the US or in Europe, there's so much we don't have so much.
Mm-hmm.
Um, that's why there's so much space. Anyone who lands in the country is like, oh my God, that's an opportunity. There's that opportunity. We can do this. Why don't we do this? How they did that over there. And it's so fun to watch because they're like, oh, but then also we also, also, yeah, yeah, yeah. So we're, [00:21:00] we're in that space.
And then, um. I say, Africa is not the next frontier. It is the frontier. I love it. So because yeah, we're so, we're so ready. We're so ready for, uh, to receive and, and, and get great stuff and, you know, and it comes to fashion as well. Um, it's all, all, all
realms. Yeah. Yeah, yeah. No, that's, that's wonderful to hear.
You know, we started our conversation talking about growth in the African beauty industry and certainly, you know, you're very much speaking to that now, but it's no secret, uh, that growth does require capital. What would you like to say about the importance and, and opportunity particularly for international investment here?
Of course, there is so much opportunity because, um, one, okay. Uh, I'll tell you in for, in for sure. In Kenya there's a serious entrepreneurial spirit that lives in us. Um, everyone wants to start something. Everyone wants to do more. Um, it used to be that, uh, [00:22:00] if you have your own business, this is maybe 20 years ago, then Oh no, it's 'cause she couldn't be employed.
Oh, it's 'cause they couldn't get a job. Now it's, ew, you have a job. You don't have a business, so it's really not a fun place to be in. Um, so and, and of course, of course with, um, starting anything new investment is necessary. Um, there's local investment is not as big. You'll, you'll find, uh, European investors coming in, flocking in.
Mm-hmm. Mm-hmm. In fact, the, the main. Um, investors of, uh, Obama. Yeah. Like I said, out of Austria. Mm-hmm. You know, they came, fell in love with, uh, Kenya. Looked for opportunity. Found a brand invested. Yes. And, and this is happening, um, in different, uh, industries as well. And yeah, we are open to them. We're open, ready, willing, [00:23:00] able come and come and see what's going on.
It's, there's lots of opportunity. Fantastic. And, and, and of course like need for. Um, opening our own minds to the global opport like ways of thinking and, and working on businesses.
Yeah. Yeah. No, that's fantastic. I love the, the come with me attitude that you have, Suzie, and, and you certainly have shared, you know, a very particular point of view on our industry.
I, I'm, I'm very glad for our conversation here. Thank you for speaking with me today on the Cosmo Factory Podcast.
Thank you so much for having me. It was fun. You welcome.
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