Wellness brand valuation has reached historic premiums as strategic acquirers and private equity compete for assets in the $6.8 trillion wellness economy. Beauty M&A multiples averaged 14.9x EV/EBITDA in 2025, more than five turns higher than the consumer industry average of 9.8x. L’Oréal paid $4.7 billion for Creed Fragrance. PepsiCo acquired Poppi for $1.95 billion. These transactions establish benchmarks for founders, investors, and acquirers navigating wellness valuations.
This guide breaks down valuation methodologies, comparable multiples, and factors driving premiums across wellness categories.
What Is Wellness Brand Valuation?
Wellness brand valuation is the process of determining the economic worth of companies operating in health, fitness, beauty, and wellbeing markets. Valuations inform M&A transactions, funding rounds, equity distributions, and strategic planning. Multiple approaches exist, including revenue multiples, EBITDA multiples, and discounted cash flow analysis. The appropriate methodology depends on company stage, profitability, and comparable transactions.
Wellness Brand Valuation Multiples by Category
Valuation multiples vary significantly across wellness subcategories based on growth profiles, margin structures, and competitive dynamics.
| Category | EV/Revenue | EV/EBITDA | Key Drivers |
|---|---|---|---|
| Beauty & Skincare | 3-5x | 12-15x | Brand equity, margins |
| Premium Beauty | 4-6x | 14-20x | Luxury positioning |
| Wellness Technology | 8-15x | 20-50x+ | Recurring revenue, growth |
| Med Spa Chains | 2-4x | 8-12x | Scale, geography |
| Supplement Brands | 2-3x | 8-12x | DTC metrics, margins |
| Fitness Franchises | 1-2x | 6-10x | Unit economics, growth |
Technology-enabled wellness businesses command the highest EV/EBITDA multiples due to scalability and recurring revenue characteristics. High-growth, tech-driven brands can achieve 10x to 20x EBITDA, while some subscription platforms with strong retention exceed 30x.
What Drives Wellness Brand Valuation Premiums?
Several factors consistently correlate with higher valuations in wellness M&A and funding transactions.
Recurring Revenue Models
Subscription businesses attract premium multiples. Oura’s $11 billion valuation reflects not just hardware sales but its $6 monthly membership generating predictable recurring revenue. Wellness brands with membership models, subscription boxes, or contracted services command higher valuations than transaction-based businesses.
Vertical Integration
Companies controlling manufacturing, formulation, or proprietary technology reduce margin compression risk. Contract manufacturing consolidation is driving M&A activity in vitamins and supplements as brands seek vertical integration.
Demonstrated Unit Economics
Acquirers scrutinize customer acquisition costs, lifetime value, and retention metrics. D2C wellness brands with proven unit economics after years of CAC inflation are attracting renewed investor interest.
Clean Beauty and Wellness Positioning
Brands addressing consumer preferences for natural, sustainable, and efficacious products garner premium valuations. The Honey Pot’s $380 million acquisition by Compass Diversified reflects eco-friendly feminine care demand.
Tracking wellness deals? Our Wellness Startup Funding Tracker monitors capital flows in real-time.
Notable Wellness Brand Valuations (2025)
Recent transactions provide valuation benchmarks across wellness categories.
| Brand | Transaction | Value | Implied Multiple |
|---|---|---|---|
| Oura | Series E | $11B | ~11x Revenue |
| Poppi | PepsiCo Acquisition | $1.95B | Premium strategic |
| Olipop | Funding Round | $1.85B | High-growth consumer |
| Medik8 | L’Oréal Acquisition | $1.1B | Premium skincare |
| Creed Fragrance | L’Oréal/Kering | $4.7B | Luxury fragrance |
L’Oréal’s acquisition spree illustrates strategic buyer appetite for wellness assets. The company executed six transactions in 2025, including the $1.1 billion Medik8 deal and $4.7 billion Creed acquisition that includes a joint venture exploring luxury, wellness, and longevity.
Wellness Brand Valuation: Segment Deep Dives
Med Spa Valuations
The med spa sector demonstrates significant valuation stratification based on scale and sophistication.
Single-Location Med Spas: 3x to 6x EBITDA due to operational risk, owner dependence, and limited geographic reach.
Mid-Size Regional Chains ($5-20M revenue): 5x to 8x EBITDA with stronger brand equity and customer diversification.
National Platforms ($20M+ revenue): 8x to 12x EBITDA for established companies with proven profitability.
High-Growth Tech-Enabled Platforms: 10x to 20x EBITDA for companies demonstrating scalable expansion through technology or acquisition.
Supplement Brand Valuations
Vitamins and supplements face headwinds from inflation and competitive intensity, but contract manufacturing assets attract buyer interest. Vertical integration and consolidation of manufacturing operations support strategic growth initiatives. Brands with proprietary formulations, clinical validation, or strong DTC metrics command premiums.
Fitness Brand Valuations
Recovery and wellness concepts are posting unit growth rates that traditional fitness hasn’t seen in decades. Cryotherapy, infrared sauna, and stretch studios operate on membership models with margins exceeding conventional gyms. Franchisors with proven unit economics and expansion pipelines attract strategic and private equity interest.
How to Maximize Wellness Brand Valuation
Founders and operators seeking liquidity events should focus on value drivers that command premiums.
Build Recurring Revenue: Transition transaction-based models toward memberships, subscriptions, or contracted arrangements.
Demonstrate Scalability: Prove unit economics can replicate across locations, channels, or geographies without margin degradation.
Invest in Technology: Tech-enabled platforms attract higher multiples than traditional service businesses.
Document Everything: Clean financials, customer data, and operational metrics facilitate due diligence and reduce buyer risk perception.
Time the Market: Strategic acquirers are actively seeking wellness assets. L’Oréal, PepsiCo, and other corporates demonstrate appetite for premium valuations.
Explore the Complete Investment Series
This analysis is part of our comprehensive Wellness Industry Investment Guide. Continue your research:
- Wellness Startup Funding Tracker — Latest rounds and investor activity
- Wellness SPAC Analysis — Public market pathways
- Celebrity Wellness Investment Portfolios — Star capital deployment
- Wellness Franchise ROI Analysis — Franchise investment returns