Unilever Ventures Again Invests in Australian Hair Care Brand Straand

Unilever Ventures, the corporate venture capital arm of Unilever, has shown increased confidence in Australian hair care brand Straand by doubling down on its investment.

In a recent seed round, Straand successfully raised 4 million Australian dollars ($2.62 million), with Unilever Ventures as a major backer. This comes after Unilever Ventures had previously invested in a pre-seed round earlier in the year. Notably, the family office of Australian entrepreneur Gerry Harvey also participated in the funding round.

Straand, a Melbourne-based hair care line, made its debut in 2022 with a range of products that utilize prebiotics and are specifically formulated to promote scalp health. This focus on scalp health aligns with the growing trend in the industry. Consumers are increasingly seeking hair care products that resemble skincare, with brands like Living Proof and The Ordinary introducing scalp treatments aimed at soothing and protecting the scalp. Analysts refer to this trend as the “skinification” of hair, as consumers recognize the importance of holistic hair and scalp care.

Straand has secured a significant distribution deal that will expand its presence to over 70 Sephora stores across Australia, Southeast Asia, and the United Kingdom by March of the upcoming year. The brand has also established a presence in the United States through various retailers, including Amazon. Local reports suggest that Straand aims to achieve 25 million Australian dollars in sales within the next five years.

Gerry Harvey, reflecting on his decision-making process, emphasized the significance of seeking consensus among his business partners. He highlighted the collaborative approach to decision-making, where the opinions and support of multiple stakeholders are taken into account. Mr. Harvey acknowledged the constant influx of proposals and the necessity of careful consideration to make informed choices in a dynamic business environment.