Sales: $850 million
Key Personnel: Katie Rodan, co-founder; Kathy Fields, co-founder; Diane Dietz, president and chief executive officer; Chris Newman, chief financial officer; Ralph Loura, chief technology officer; Tim Falla, PhD, vice president, research and development.
Major Products: Rodan + Fields skin care products.
New Products: R+F Active Hydration Serum.
Comments: Talk about momentum! Annual sales at the company have averaged 90% growth for the past several years. No wonder why Rodan + Fields was ranked as the No. 1 skin care brand in the US last year by Euromonitor International.
Company founders Katie Rodan and Kathy Fields, who just happen to be doctors, too, are said to be worth nearly $600 million each. The dynamic duo met at Stanford where they were completing their dermatology residences. After leaving the Cardinal campus, they opened practices in the Bay Area and remained friends and business partners.
Rodan and Fields developed Proactiv, got turned down by then Neutrogena CEO Allan Kurtzman and ended up striking a deal with Guthy-Renker in 1995—all it took was five years and $30,000 of their own money. Under Guthy-Renker’s guidance, Proactiv became a $1 billion brand before G-R bought out the dermatologists for millions.
In 2002, they launched Rodan+Fields and sold it to Estée Lauder a few years later. When Lauder wasn’t marketing the brand to their liking, the derms bought Rodan+Fields back in 2007 and opted for a multi-level marketing plan. Last year, the company brought in Diane Dietz to run the day-to-day business. Dietz had been chief marketing officer at Safeway and prior to that she spent nearly 20 years at P&G in the health and beauty category, where she rejuvenated Crest and led the expansion of the brand into Crest Whitestrips, Pro Health and Glide. She also played a lead role in the Gillette acquisition.
Now, Rodan+Fields’ focus is outside the US. The company debuted in Canada in 2015, is entering Australia this year and is eyeing Asia in the coming years.