Earthly Beauty

Kevin Wachs is a big believer in natural beauty. Since its founding in 1994, the CEO and president of Chatsworth-based Earthly Body Inc. has remained devoted to creating completely natural skin and body products that contain no mineral oil, dyes, sulfates, propylene glycol, phthalates, parabens and other impossible to pronounce chemicals with names that populate the ingredient list of most beauty products. From a single beauty supply store in Woodland Hills, Earthly Body has grown into a significant producer of an all-natural line of beauty products, including hair care products, makeup and hand and body lotions. The company also makes its own line of candles and operates three retail stores in Simi Valley, Woodland Hills and Northridge. Its early years as a small business are a thing of the past. Revenues grew 60 percent to $8 million last year, and Wachs expects sales to hit $10 million this year. In a highly competitive field with major companies such as Bare Escentuals, Aveda and Aveeno, Earthly Body has three secret weapons: its own retail stores, low prices and hemp. Grass Roots Operation Wach’s experience in the beauty industry dates back 39 years, when he worked as a sales associate in his family’s Valley beauty supply store, Laura’s Beauty Supply. As an adult, he partnered with his family in opening a multi-tenant shopping center in Woodland Hills. The center included a retail shop called Earthly Body, also owned by the Wachs family, selling skin care products such as lotions and body washes. When the center became one of the many casualties of the 1994 Northridge Earthquake, Wachs and his wife Mare planned to rebuild the business and add their own private label line. “When you are a retailer, the next logical progression is to become a manufacturer,” Wachs said. “You see things that you’re selling and you think ‘Well, we can probably make this ourselves and increase our revenue.’” For the first four years or so, Wachs and his wife sold the label in their retail store in Simi Valley. In 1998, the two decided to “get serious” about expanding the brand. The company added new products and began participating in industry trade shows. Once word spread on Earthly Body, product orders began to increase and the company “ascended to the next level,” Wachs said. Sixteen years later, the company has grown into an international competitor sold in 25 countries. It’s also expanded from its core in beauty into health and adult industry products sold from small salons to big-name stores like Hustler and Sally Beauty UK. Having roots in retail has helped Wachs get a “leg up” on competitors. “When you have a retail store you’re hearing about what people are looking for,” Wachs said. “Beauty has always been based on what’s hot. As a retailer, you’re on the front lines of finding out what’s the new thing.” FOUNDERS: Kevin and Mare Wachs <br >Location: Chatsworth <br >CORE OF BUSINESS: : natural skin and hair care product manufacturing and distribution <br >NUmber of Employees: 45 <br >Revenues in 2009: $5 million <br >Revenues in 2010: $8 million Naturally Trendy What he found, early on, is that customers like natural products. Some of that came from necessity as the family tried to create its own line of products with easy-to-source ingredients. “We look at what’s out there that we can make our own,” Wachs said. The company has found success with big sellers like its sea salt scrub, manicure lotion and its line of Sun Kissed Candles that turn into a warm massage oil when lit. Earthly Body has managed to not only keep up with the ever-changing trends in the industry, but add its own natural twist by including a not-so-secret ingredient—hemp. “Most make-up doesn’t have anything in it that’s good for you,” Wachs added. The plant’s seed oil is an incredible moisturizer, no matter what you put it in, Wachs said. Tracie McWithey, a customer service representative for Redding-based Beauty Care Choices, a salon, said Earthly Body’s latest product, Marrakesh Oil, has built a loyal following. Wachs said it’s his best-seller. The leave-in hair treatment contains Moroccan argan oil and protects all hair types from the effects of thermal styling. McWithey said Earthly Body has generated some buzz since the salon and retail store first began carrying the products over a year ago. “Their products have done excellent,” McWithey said. “The (Marrakesh) kits are the best priced kits we offer.” The brand is also a best seller on its own turf — the Earthly Body retail store in Northridge, said Heather Miko, 22, store manager. Although hundreds of brands offer similar products, Earthly Body’s “manageable prices” and all-natural ingredients are major selling points with consumers, Miko said. “Considering the hard times, we’ve definitely held our own,” she said. “We sell quality product that give customers bang for their buck.” In-house operation From both a manufacturing and creative standpoint, Earthly Body has remained an in-house operation. For its first 14 years in business, the company had a contract manufacturer “cook the goop,” Wachs said. But two years ago, Earthly Body took control of production. The company now makes all its products in-house at a laboratory in Chatsworth. The company also counts on its own staff to come up with new product ideas. Before a new product is introduced, Wachs consults with the staff from his three stores. “He will not put a product out there until we give our consensus,” Miko said. “He gives everyone samples and takes everyone’s opinion into consideration.” The company’s team strategy and “family feeling” are what have kept Miko working for the company for six years. “Although every store has a different clientele, they all have an overall comfortable feeling,” Miko said. “We know our customers by their first names.”