# e.l.f. Cosmetics: Joey Shamah. The Dollar Store Formula That Built a Cosmetics Giant

- Show: [How I Built This](https://hardwarepodcasts.com/podcast/how-i-built-this)
- Published: 2026-06-29
- Length: 1h 14m
- Page: https://hardwarepodcasts.com/podcast/how-i-built-this/2026-06-29-e-l-f-cosmetics-joey-shamah-the-dollar-store-formula-that-built-a-cosmetics-gian

## Summary

Joey Shamah, co-founder of e.l.f. Cosmetics, explains how he and partner Scott Vincent Borba launched a $1 makeup brand in 2004 by cutting out celebrity endorsements and premium packaging to focus on product quality and low-cost manufacturing in China. After initial rejection from dollar stores, a feature in Glamour magazine triggered massive online demand, leading to a viral rumor about a Bloomingdale's acquisition that spiked orders to 18,000 per day. Shamah details the operational scramble to fulfill these orders, the strategic pivot to retailers like H-E-B and Target, and the eventual sale of the company to private equity firms, culminating in a collapsed $225 million acquisition by L'Oreal.

## Chapters

- [0:00](https://hardwarepodcasts.com/podcast/how-i-built-this/2026-06-29-e-l-f-cosmetics-joey-shamah-the-dollar-store-formula-that-built-a-cosmetics-gian#t=0) Introduction: Joey Shamah and e.l.f. Cosmetics
- [9:19](https://hardwarepodcasts.com/podcast/how-i-built-this/2026-06-29-e-l-f-cosmetics-joey-shamah-the-dollar-store-formula-that-built-a-cosmetics-gian#t=559) Manufacturing e.l.f. products for $1 in China
- [17:21](https://hardwarepodcasts.com/podcast/how-i-built-this/2026-06-29-e-l-f-cosmetics-joey-shamah-the-dollar-store-formula-that-built-a-cosmetics-gian#t=1041) Rejection from Dollar General and Family Dollar
- [22:42](https://hardwarepodcasts.com/podcast/how-i-built-this/2026-06-29-e-l-f-cosmetics-joey-shamah-the-dollar-store-formula-that-built-a-cosmetics-gian#t=1362) Glamour magazine feature and launching the website
- [36:48](https://hardwarepodcasts.com/podcast/how-i-built-this/2026-06-29-e-l-f-cosmetics-joey-shamah-the-dollar-store-formula-that-built-a-cosmetics-gian#t=2208) The H-E-B test and proving incrementality
- [43:48](https://hardwarepodcasts.com/podcast/how-i-built-this/2026-06-29-e-l-f-cosmetics-joey-shamah-the-dollar-store-formula-that-built-a-cosmetics-gian#t=2628) The Bloomingdale's rumor and 18,000 orders a day
- [56:52](https://hardwarepodcasts.com/podcast/how-i-built-this/2026-06-29-e-l-f-cosmetics-joey-shamah-the-dollar-store-formula-that-built-a-cosmetics-gian#t=3412) Private equity deals and the L'Oreal collapse
- [1:07:48](https://hardwarepodcasts.com/podcast/how-i-built-this/2026-06-29-e-l-f-cosmetics-joey-shamah-the-dollar-store-formula-that-built-a-cosmetics-gian#t=4068) Post-e.l.f. ventures: Fit for Life and AS Beauty

## Topics

- [Pricing, margins & unit economics](https://hardwarepodcasts.com/topic/pricing-and-unit-economics)
- [Manufacturing partners & offshoring](https://hardwarepodcasts.com/topic/manufacturing-partners)
- [Retail, wholesale & distribution](https://hardwarepodcasts.com/topic/retail-and-distribution)
- [Direct-to-consumer & e-commerce](https://hardwarepodcasts.com/topic/direct-to-consumer)
- [Fundraising & investors](https://hardwarepodcasts.com/topic/fundraising)

## Most relevant to

early-stage companies

## Mentioned

- e.l.f. Cosmetics (company)
- Scott Vincent Borba (other)
- Hard Candy (product)
- Neutrogena (company)
- Dollar General (company)
- Family Dollar (company)
- Glamour magazine (other)
- H-E-B (company)
- Target (company)
- Bloomingdale's (company)
- L'Oreal (company)
- Revlon (company)
- Urban Decay (product)
- TPG (company)
- Fit for Life (company)
- AS Beauty (company)
- Laura Geller Beauty (product)
- Julep (product)

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