Our Investment in Ettos

If you dig into any e-commerce dataset, especially in markets like the US, you’ll notice beauty and personal care products are part of the growth story: they account for ~8% of total e-commerce sales, and nearly 50% of all beauty-related sales are done online.

In part, this is because of specialty e-commerce players like Sephora, Ulta, and Glossier that have built world class experiences consumers crave: tech-enabled, large product assortments, quick fulfillment, and loyalty.

In Latin America, however, it’s a different story.

While the Latam beauty market is not remotely insignificant ($69B annually, and growing!), a majority of this spend happens in offline channels: crowded storefronts, mom-and-pop shops, and large retailers like Walmart, where consumers shop for milk and bread alongside their lipstick and lotion.

While many e-commerce players like Falabella, Amazon, and Rappi have made a dent in the rapidly growing $85B Latam e-commerce market, there are few focused beauty and personal care players. Also, international players like Sephora are starting to open stores in the region, but serve a small high net worth segment of the market and lack local context (less than 5% of the Latin American population).

Simply put, there is a massive opportunity to build the online beauty destination for Latin America.

Enter Ettos.

Ettos is the brainchild of hipster, hustler, and hacker trio Isabel, Andres, and Clara.

Ettos is building an e-commerce platform for beauty products catered to the next generation of Latin American consumers. They are building an inclusive experience with social shopping at the core, affordable prices, vast product selection, sticky loyalty, and rapid fulfillment.

Since beauty is contextual and culture-specific, so is Ettos. 75% of Latinas consider beauty an important part of their culture, and around 1/3 of Gen Z consumers purchase beauty products >1x/month. Ettos is catering to their unique needs with an e-commerce platform that delights at every step of their consumer journey: from discovery to fulfillment.

The entire Ettos team is on a mission to re-think the future of beauty and personal care in Latin America.

We at 2048 Ventures couldn’t be more thrilled to lead Ettos’ pre-seed round, alongside Snapchat’s Yellow Accelerator, Pareto Holdings, and several strategic angels, as they embark on this journey.

Vamos, Ettos!