Josephine Esther: America's (First) Cosmetics Queen

A big breakthrough came when she began giving product away. While her facial creams worked wonders, they did not always drive demand. So she'd sell lipstick or a fragrance, and include a small sample of the cream. Thus began "gift with purchase." The giants of the industry let her know she would never succeed, as she was "giving away everything." Esti(C)e Lauder gift bags began to appear at charity ball after charity ball. Eventually, all of her "wiser" competitors were to adopt the "gift with purchase" pattern.