Features September 20, 2023

Loving the Business: How Gen Z Couple Kath Melendez and Ryan Armenta of HerSkin and Nekothione Built a Multi-million Peso Business After College

With youthful determination and a strong entrepreneurial spirit, Kath Melendez and Ryan Armenta founded HerSkin and Nekothione and grew it into the success that it is today.

With 51% of Filipino internet users following influencers on social media and 70% of Filipino online consumers buying products based on their recommendations—there is beauty in leveraging technology for your businesses. The same holds true for beauty businesses, which have seen monumental growth that is directly proportional to the rise of influencer marketing.

Simply put, local endorsers and influencers hold influence over beauty and personal care product purchases and many brands have been seen using this avenue to promote their products and create brand awareness. This—paired with the fact that 2% to 5% of the total population, or around 110 million Filipinos, can afford higher-end products—makes the ideal combination for the fast path to success.

Case in point: HerSkin and Nekothione. Established at the height of the pandemic in 2020, HerSkin has seen monumental growth since then—leading to the birth of more beauty and wellness products, including Nekothione: the first-ever 9-in-1 glutathione supplement.

Winning at business and in love, real-life partners Kath Melendez and Ryan Armenta share their entrepreneurial journey in an exclusive interview with The Business Manual, which spanned their early days as Medical Technology (Medtech) students-turned-professionals, content creators, and eventually, business partners…all at their early 20s!

Bringing together their knowledge as Medtech professionals, their charisma as content creators, and an overall passion for beauty, power couple Kath Melendez and Ryan Armenta started the next chapter of their lives as entrepreneurs, with HerSkin and Nekothione.

From MedTech to Content Creators

Like most modern-day beauty business owners, the path for Kath and Ryan was not linear, as the two first started out as Medtech professionals, where Kath even discovered that she had a knack for content creation—particularly in the realm of skincare.

“Nagstart ako as medtech, and then, napapansin ko sa mga ka-work ko… mahilig ako magsuggest or magshare ng mga information na kahit di ako tinatanong,” Kath begins. “Kung baga, mayroon akong mga na-try na skincare [tapos] sasabihin ko sa kanila, ‘Uy, i-try niyo ‘to kasi maganda ‘to. Nagwork ‘to sa akin.‘”

[Translation: I started as a medtech professional, and then, I noticed while working that I like suggesting or sharing information, even when I wasn’t asked to. For example, I’ve tried a skincare product and I’ll tell them “Try this because it’s good. It worked on me.”]

From there, a coworker suggested that she start vlogging. “Nagsimula po ako sa pagrereview ng mga makeup…lipsticks,” she reveals. “Syempre sa una po, walang nanunuod talaga. Ako lang nagpiplay. Kaming dalawa nagpiplay pa-ulit ulit nung videos hanggang sa 50 views. Okay na ‘yun. 100 views. Okay na ako doon.“

[Translation: I started reviewing makeup, like lipsticks. At first, no one was watching. I’d replay my videos. Ryan and I would play my videos over and over again until we reached 50 views. That was okay for us. 100 views. I was good with that.]

She adds, “Pero naging seryoso po siya noong mayroong na pong mga taong nakakaappreciate nung content ko. Hanggang sa di ko na namamalayan, marami na po pala sila. Tapos yung mga recommendations ko na skincare, tinatry po nila. So sabi ko, ‘Hala. Someday, gusto rin magkaroon ng sariling skincare brand.’”

[Translation: Eventually, we became serious when people started appreciating my content. I didn’t even notice that I had so many viewers! They would try out my skincare recommendations, and this got me thinking: Someday, I want to have my own skincare brand.]

Her claim to fame? “Mga tipid tips,” Kath says proudly. “Kasi siyempre tayo, mga budgetarian tayo, ‘tas ang dami pala naming mga budgetarian so nakakarelate po sila sa mga PHP 500 na skincare, kung anong mabibili mo doon. Mga makeup na worth PHP 500, pagkakasyahin mo.“

[Translation: Saving tips. We’re budgetarians ourselves, and many people around us are budgetarians, too, so they can relate to things like PHP 500 skincare—what you can buy with that amount. Or makeup that’s worth PHP 500 and how you can make the most of it.]

Building a following as content creators means knowing what kind of content they want and giving that to them. In Kath and Ryan’s case, this meant appealing to a budget-friendly market with tips and affordable makeup and skincare recommendations.

The Start of Their Entrepreneurial Journey

Soon after, Ryan joined her in her videos, focusing more on skincare. During the course of their career as content creators, Kath recalls a co-vlogger who was reselling skincare products—which she wanted to do for herself for extra income beyond her video content. But it was through Ryan’s encouragement that they made their own skincare brand instead.

“Si Kath kasi, nakita ko na gustong-gusto niya yung mga skincare na product,” Ryan notes. “So naisip ko, na kami na lang gumawa ng sarili naming brand at product. So yung mga followers and viewers na yun, sobra siyang inaadmire at maraming nakakafollow sa kanya ng mga tips kung paano magskincare.“

[Translation: I saw how at really likes skincare products, so I thought that we should just make our own brand and products. She has followers and viewers that admire her, and a huge following for skincare tips and products.]

Even then, Kath was apprehensive. “Noong una, hindi ako naniwala kasi sabi ko, ‘Hala. Sinong bibili? Sinong maniniwala sa ‘tin?’ Tapos, si Ryan po yung unang-una kong supporter talaga. Siya yung unang-una kong fan,” she recalls.

[Translation: At first, I couldn’t believe him because I said “Who’d buy our products? Who’d trust us?” But Ryan was my very first supporter—my very first fan.]

This meant going back to what she knew best—educating her viewers. This was the strategy she applied in her business, but instead of talking about other brands, she focused on her own products. “Gusto kong magamit din ng mga followers ko. [I want my followers to use my products, too.]”

Overcoming Challenges in Sourcing During the Pandemic

For the business to function, this meant having products to sell in the first place. But for Kath and Ryan, who started HerSkin during the early stages of the pandemic, they faced difficulties in sourcing products—not just the beauty and wellness products that would soon earn them their millions, but even for the t-shirts that they briefly sold as part of their merchandise.

“Before skincare, nag-tshirt po kami. Merchandise,” Kath reveals, saying that this was their eureka moment and that they had potential as entrepreneurs, as people were supporting them by buying shirts with their own designs. “May sumusupport sa atin kahit papaano. Kahit konti lang po. Mga 500 pieces to 1,000 pieces. Doon po kami nagstart.“

Soon after, the couple revisited their dream to own a skincare brand—which meant that Kath personally searched online for suppliers. But this proved to be a challenge, given that manufacturers weren’t replying to them. “Akala ko kasi dahil may following na kami, may mga followers kami, mapapansin kami agad,” she laments. “Mali yung inakala ko. Noong una po talaga, hindi kami pinapansin nung manufacturers na minemessage namin online, ganun.“

[Translation: I thought that because we had a huge following, people would notice us right away. But I was wrong. At first, manufacturers weren’t replying to my online messages.]

One supplier, however, gave them a chance—which set everything in motion. “Noong nagboom na po yung business namin, yung Herskin, ayun. Doon na po pumasok yung mga ibang manufacturers. Gusto kaming makatrabaho. Even international, gusto na rin po kami makatrabaho,” she says.

[Translation: When our business HerSkin was booming, that was the only time when other manufacturers wanted to work with us. Even international suppliers wanted to work with us.]

Breaking Stereotypes and Reaching a Wider Audience

Although Kath and Ryan had an early advantage—with their loyal following who also became their customers—having a competitive advantage over other beauty brands was still just as important in capturing new users.

For HerSkin, its unique selling proposition lies in its affordable price point, its ability to cater to both men and women, and its complete range of daily essentials—from facial sets to soaps, lotions, and sunscreens.

“Noong ginawa namin ‘to, naisip ko talaga yung mga first time magskincare kasi ang dami pala namin. Kung baga, si Ryan. Hindi siya mahilig magskincare. Sabi ko, ‘Lalaki ka. Okay lang ‘yan. Magskincare ka.’ Tapos first time niya magskincare. [Sabi niya] ‘Ah, ito pala yung toner, ito pala yung sunscreen.’ So ako, natutuwa ako kasi sabi ko, kahit papaano may natututunan siya sa mga luho ko,” Kath laughs.

[Translation: When creating this business, we really thought of first-time skincare users because there are a lot of us! Like Ryan, for example. He doesn’t usually use skincare products, but I told him “You’re a guy, but it’s okay to use skincare products.” And when he did it for the first time, he learned what a toner and sunscreen was for. I was happy because somehow, he learned things from my spending on skincare.]

“Yes. Lahat po ng mga product namin for first-time users talaga,” Ryan chimes in. And on the topic of creating a unisex product, he adds “Kaya din siya color blue. Inaalis din namin yung stigma na ang skincare [na] para lang po sa babae. Kami po yung unang skincare brand na color blue kasi before po, lahat po ng mga skincare is—nakikita po namin—color pink.“

[Translation: All our products are made for first-time users. This is also why our packaging is blue. We’re removing the stigma that skincare is just for women. We are the first skincare brand that uses the color blue because a lot of the other brands we see are pink.]

Learning How to Match Supply and Demand

With a clear direction in mind, an audience to target, and a reliable supplier, the next step was to sell. The couple had about PHP 500,000 to PHP 800,000 capital—collectively saved in a span of three years—to work with. But while the couple wanted to start with a smaller inventory, being new and all, they did not anticipate the demand from their customers.

“Noong una po kasi talaga, 5,000 lang po order namin sa manufacturer,” Ryan explains. “Tas nagulat na lang po kami [na] iba po yung naging pagtanggap po sa amin ng mga tao. From 5,000, naging 40,000 po yung order namin in just one snap po. Promise.”

[Translation: At first, we ordered 5,000 pieces from our manufacturer. Then we were surprised with the way people perceived us. From 5,000 it quickly ballooned to 40,000 orders in just one snap. Promise.]

This was, according to Kath, because the couple constantly posted their products online. And while it did sound like a good thing, the real challenge was getting the stocks to meet the demand—and the storage space to keep it all, too!

“Wala kaming storage noon eh. Nasa apartment lang po kami,” Kath laments. “Kaya bigla po kaming lumipat from Valenzuela to Pampanga. Nagrent po kami ng medyo malaking space. Tapos yun, doon talaga kami nagstart talaga as HerSkin.”

[Translation: We didn’t have storage space back then. We were just in an apartment. This was why we suddenly had to move from Valenzuela to Pampanga. We rented a big space there. And that’s where we started HerSkin.]

Eventually, Kath and Ryan’s next hurdle was getting their products across the country. This was where their distributors and resellers came in. “Yung mga distributors and resellers po namin, willing po sila maghelp sa amin. [Our distributors and resellers were willing to help us.]”

Revisiting Existing Knowledge and Skillsets

Credibility is important, especially for beauty products, and Kath and Ryan both know that for a fact. This is why the couple revisited their knowledge and skills as Medtech professionals for the next chapter of their business: Nekothione.

“Dream ko [rin] magkaroon ng sariling supplement brand dahil din sa pagiging Medtech,” Kath reveals. “Mayroon po kaming background sa health. Sabi ko gusto ko rin magcreate ng supplement na pangpaganda at the same time magbebenefit din po yung mga tao.”

[Translation: It’s also my dream to create my own supplement brand because I am a Medtech professional. We have a background in health, so I said that I wanted to create a supplement that can give people both beauty and health benefits.]

Thankfully, sourcing a supplier this time around was no issue, as the couple has already built a following and reputation for themselves through HerSkin. But not just anyone will do.

“Dahil nga po nakilala yung business namin, nagreach out na din po yung mga international manufacturer sa amin. And dito rin po sa local, marami,” Ryan explains. “Pero sa akin naman, sobrang mapili po talaga ako pagdating sa supplement kasi gusto ko nga po yung safe talaga. Yung confident po ako na ito, pag ininom ‘to ng mga tao, safe sila. Trusted.“

[Translation: Because our business is now well-known, international manufacturers have reached out to us—even local suppliers, too. So many of them! But for me, I’m very selective when it comes to the suppliers for our supplement because we want it to be safe. I want to be confident in the fact that when people drink it, they’re safe. It’s trusted.]

As for the name, Nekothione was Ryan’s idea. Taking inspiration from the fact that their products are made in Japan, he wanted their brand name to incorporate a Japanese word. “Yung product po kasi namin, made in Japan,” Ryan explains. “Sa part din namin, willing kami itaya yung name [Kath Melendez] na pinaghirapan namin through the years na i-build. ‘Neko’ in Japanese means cat and -thione comes from the word glutathione. So Nekothione.“

[Translation: Our products are made in Japan. And on our part, we’re willing to stake the name Kath Melendez as a testament to the many years spent building the brand. “Neko” in Japanese means cat and -thione comes from the word glutathione, so Nekothione.]

“Tapos 9-in-1. Di ba yung cat, mayroon siyang nine lives,” Kath quips, noting that cats have nine lives—just like their 9-in-1 product.

Witty wordplay does not just inspire brand recall, but it should encapsulate what the product offers. For Nekothione, an amalgamation of “Neko,” which means cat in Japanese, and “-thione” from glutathione, the name does not just pay homage to Kath Melendez, but it also highlights the brand’s key ingredient and benefits.

Using the Persuasive Power of Credibility in Product Sales

Noting a pain point—that glutathione is expensive—the couple decided to incorporate that in their own supplement. And this became the foundation of Nekothione. “Kailangan makagawa tayo ng supplement na affordable pero premium and good quality. At tsaka safe,” she adds.

[Translation: We needed to make a supplement that was affordable but still premium and good quality. Also safe.]

But beyond its whitening properties, Kath and Ryan wanted to emphasize to their audience that glutathione does more than that. “Pag sinabing glutathione, pampaputi yung unang pumapasok sa isip natin eh,” Kath chimes in. “Pero si Nekothione po kasi, marami siyang mga health benefits na nakakatulong po sa mga tao. And also, yung glutathione, hindi lang siya pampaputi. Ang glutathione…marami siyang pwedeng gawin, like nakaka-cleanse siya ng body, nakakadetox siya bukod sa pagpapaputi.“

“And mayroon rin siyang collagen. Siyempre para sa mga nage-age na rin, kailangan na magcollagen. And iba-iba pang mga ingredients na nakakatulong sa health ng mga tao. So ano siya, beauty plus wellness,” she adds.

[Translation: When you say glutathione, whitening is the first thing that comes to mind. But Neothione offers more health benefits that help people. Also, glutathione doesn’t just whiten—it does a lot, like cleanse and detox the body.

Nekothione even has collagen. When you’re aging, you need collagen. It even has different ingredients that help with people’s health. So it’s beauty plus wellness.]

Following positive reception for the products and a surge in sales, Kath and Ryan kept the momentum going with more products—like Nekocee, a vitamin C and collagen capsule with brightening, anti-aging, and moisturizing properties. “Continuous pa rin po talaga kami sa pagiinnovate ng product, paggawa ng product. So, marami pa rin po talaga kaming balak na ilabas sa market. Lalo na po yung mga supplement na nakakahelp po sa health ng mga tao,” Ryan explains.

[Translation: We’re continuously innovating products and making new products. We plan on releasing more of these to the market—most especially supplements that help with people’s health.]

What’s more, getting experts to help the company was key. “Nakapaginvest na rin kami sa research and development team kasi before, tatlo lang po kami sa HerSkin. Talaga pong nagiisip kami. Mano-mano talaga yung anong product gusto natin, anong pangalan,” Kath adds. “Ngayon, mayroon nang mga tao talaga na tumutulong sa amin na mga expert pagdating po sa product development. So laking help po talaga.“

[Translation: We invested in a Research and Development team before when there were just three of us at HerSkin. Back then, we thought of the name and we just sold the products we liked. But now, we have people who are helping us and experts who help us with product development. And that has been a big help.]

Making it Work: Kath and Ryan on the Importance of Working Together

As both business partners and real-life partners, Kath and Ryan admit that the dynamic can be challenging, but when done right, it can be fulfilling. And for the couple, it took a lot of reconciling and alignment to get to where they are today.

“Sa una po, hindi siya madali kasi siyempre mayroon po akong opinion. May opinion din po siya,” Ryan notes. “So, nagka-clash po talaga yung ano namin…mga suggestions, opinions namin. Yung mga gusto pa naming mangyari sa business. So, magkaiba po talaga kami.“

“Pag nagkaroon ka pala ng business, dapat committed ka. Hindi lang sa partner mo, pati na doon sa business. So kailangan mo ng respect sa partner mo para magtuloy-tuloy yung pagsasama niyo,” he advises.

[Translation: At first, it wasn’t easy because I have my own opinion, and she has hers. Our suggestions and opinions would clash at times, especially for business matters. We were different from each other.

But when you have a business, you need to be committed—not just with your partner, but even with the business itself. This is why you need to respect your partner so that you can both be together and work together.]

What’s more, it takes assigning a clear set of tasks for each other, based on what each person is good at. The same holds true for Kath and Ryan. “Sa marketing, of course, ako po ‘yun. Tapos sa operations, sa pagmamando ng mga tao, pagkausap ng mga distributor, si Ryan po. And then, kapag mga big decisions po, yun po yung pinaguusapan namin talagang dalawa. Kailangan mutual po yung decision namin,” Kath clarifies.

[Translation: I (Kath) handle the marketing side, while the operations, handling the people, and talking to the distributors…Ryan does that. And then, whenever there are big decisions, that’s what we both talk about. Our decision needs to be mutual.]

As for learning points that the two have picked up from working together, that includes seeking guidance and having a team from the early onset, as their insights could have helped prevent mistakes. “Company na nga po kami so mayroon talaga kaming team na nagdedecide ng decision para wala po talagang mali. Before po kasi pag kaming dalawa lang po, nagsisisihan po kami,” Ryan explains.

“Doon po magii-start yung parang magaaway kami. ‘Dapat ganito yung ginawa natin.’ Pero ngayon po, ang ginagawa po namin para maiwasan po ‘yun… nagcocollect po namin ng suggestions and opinions. Papakinggan namin tapos mas gagawin po namin is kung ano po ang pinakabest decision, doon po kami,” he continues.

[Translation: We’re already a company, so we needed a team to help us make decisions in order to avoid mistakes. Before, it was just us two, so anytime there were mistakes, we’d blame each other. This was why we started fighting. “We should have done this, we should have done that.” But now, what we do to avoid that is to ask for suggestions and opinions. We’d listen and only do something based on what’s the best decision at that time.]

It takes two to make a business work, and while Kath and Ryan had their share of disagreements and fights at first, finding compromise and playing to each other’s strengths have made the two closer and their relationship, stronger than ever.

Success Secrets for Winning at Business

While the two are just in their early 20s, the world is their oyster—given the success that they have achieved and the many possibilities that await them and their business. Amid the years of hustling, the challenges faced, the stress, the failure, and the successes celebrated Kath and Ryan come imbued with lessons and insights way beyond their years.

“Sa akin, alam ko gasgas na ‘to pero talagang kung may gusto ka, simulan mo na ngayon,” Kath advises. Kasi pag iniisip mo siya, hindi mo siya magagawa. Isip ka lang ng isip tapos, siyempre, may takot ka. Pero why not simulan mo na siya ngayon? Huwag kang maghesitate. Kung ano ang gusto mo, yun yung gawin mo.”

[Translation: For me, I know this has been said many times, but if you really want something, do it now. When you keep thinking about it, you won’t end up doing it. And when you keep overthinking, you’ll get scared. But why not start it now? Don’t hesitate. Do what you want to do.]

Alluding back to the formative days of their business, the entrepreneur notes that the challenge is not just starting a business—it’s maintaining the business that is just as hard. “Ngayon, nagiging problem po namin is yung pag maintain ng business. Sobrang hirap po pala. Akala nung iba na yung pagsisimula ng business yung mahirap pero yung pagmemaintain po ng business yung mahirap.“

“Kaya magfocus ka. Magfocus ka sa sarili mo. Huwag ka masyadong tumingin sa iba, [sa] kaliwa, kanan. Kasi mapepressure ka. Kailangan talaga nakafocus ka sa sarili mo, sa brand mo,” she adds.

[Translation: Now, our challenge includes maintaining our business. Turns out, it’s so hard! Other people think that starting a business is hard, but maintaining it is the real challenge.

So focus. Focus on yourself. Don’t look at what other people are doing because then, you’ll feel pressured. You really need to focus on you and your brand.]

On the other hand, Ryan’s advise involves looking into the passion of the aspiring entrepreneur and business owner. “Para sa mga nagstart magbusiness [look at] kung ano yung hobby mo, kung saan ka masaya…gawin mo yung business. Kung mahilig ka sa laruan, gawin mong business. Kung mahilig ka sa skincare, gawin mong business. Kung mahilig ka magpicture, gawin mong business.“

[Translation: When you want to start a business, look at what your hobby is and at what makes you happy—that’s what you turn into a business. If you like toys, turn that into a business. If you like skincare, turn that into a business. If you like taking photos, turn that into a business.]

“Kasi sa mundo natin, mabilis lang yung buhay. So kung saan ka masaya, doon ka. So as long as happy ka sa ginagawa mo, contented ka sa lahat, tuloy-tuloy eh. Magugulat ka na lang, yung success mo napakalaki na pala, napakalayo mo na. Kasi di mo nakikita yung progress mo eh. Ang makakakita niyan sayo yung mga taong nasa likod mo na sasabihin ‘Ang galing mo naman,'” he ends.

[Translation: In this world, life is short. So do what makes you happy. As long as you’re happy with what you do and you’re content with what you have, everything will fall into place. You’ll just be surprised that you’ve already become so successful—that you’ve already come so far. That’s because you don’t see your progress. You’ll just see people from the back, telling you that you’re so, so good at what you do.]