If you walked into a drugstore in the 1950s, the "ethnic" hair care section didn't exist. Not really. Black men and women were basically forced to use harsh, generic products or homemade concoctions that often did more harm than good. Then came George E. Johnson Sr. He didn't just start a business; he built a category from scratch. Honestly, it's hard to overstate how much this one man changed the literal face of American retail.
George E. Johnson Sr. started with a $250 loan. That’s it. In 1954, that was enough for a vacation or a used car, but he turned it into the first Black-owned company to be traded on the American Stock Exchange. He saw a gap in the market that white-led corporations were too blind to notice. He realized that Black hair had specific needs, and more importantly, that Black consumers had buying power that was being completely ignored.
The Ultra Sheen Revolution
The breakthrough wasn't just luck. It was chemistry. Before George E. Johnson Sr. became a household name, he worked as a production chemist for Samuel B. Fuller. Fuller was another legendary Black entrepreneur, and that's where Johnson learned the ropes of manufacturing. He noticed that the "relaxers" of the day were incredibly caustic. They burned the scalp. They destroyed hair.
So, he went into his garage.
He developed Ultra Wave, a hair relaxer for men. It was a hit because it actually worked without leaving people with chemical burns. But the real game-changer was Ultra Sheen. Launched in 1957, Ultra Sheen was a revolutionary cream press and conditioner for women that could be used at home. Suddenly, you didn't need to spend all day at a salon to get the look you wanted. This was the birth of Johnson Products Company (JPC) as a powerhouse.
By the 1960s, Johnson Products wasn't just a small Chicago business. It was a movement. George E. Johnson Sr. understood something that modern marketers still struggle with: community trust. He wasn't just selling "grease." He was selling dignity and choice in a world that often denied both to Black Americans.
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Afro Sheen and the Cultural Shift
Then the 60s happened. The "Black is Beautiful" movement changed everything. Suddenly, the slicked-back, straightened look was out. The Afro was in. For many businessmen, this would have been a disaster. Their lead products were designed to straighten hair.
Johnson didn't panic. He leaned in.
He launched Afro Sheen. It became one of the most iconic brands in history, partly because of the "Wantu Wazuri" (Beautiful People) advertising campaign. He didn't try to fight the cultural tide; he rode it. This is a massive lesson for any entrepreneur today. Don't fall in love with your product; fall in love with your customer’s needs. If the customer changes, you change.
Soul Train and the Power of Media
You can't talk about George E. Johnson Sr. without talking about Soul Train. Seriously. In 1970, Johnson took a massive gamble. He became the first national sponsor for a little show hosted by Don Cornelius. At the time, national advertisers were terrified of Black-centric programming. They thought it would alienate white audiences or that the "market" wasn't big enough.
Johnson knew better.
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By putting Afro Sheen and Ultra Sheen commercials on Soul Train, he reached his audience directly in their living rooms. It was a masterstroke. The show became a cultural juggernaut, and Johnson Products Company grew right alongside it. By 1971, JPC went public. Think about that for a second. In less than twenty years, he went from a garage to the American Stock Exchange.
The Challenges of the 1980s and the Sale
Success attracts competition. It's the oldest story in business. By the late 70s and early 80s, giant conglomerates like Revlon noticed the massive profits Johnson was making. They started pouring millions into their own "ethnic" lines. They had deeper pockets, more distribution muscle, and they started squeezing JPC.
There's a lot of debate among business historians about what happened next. Some say Johnson didn't innovate fast enough. Others point to the predatory pricing of larger firms. There were also internal struggles, including a public and difficult divorce from his wife, Joan Johnson, who had been a vital part of the company's rise.
Eventually, in the 1990s, the company was sold to Ivax Corp, and later it ended up in the hands of L'Oréal. For many in the Black community, this was a heartbreaking moment. It felt like the loss of a crown jewel. But the legacy George E. Johnson Sr. left behind wasn't just about who owned the shares of the company; it was about the blueprint he created for Black excellence in corporate America.
Why George E. Johnson Sr. Still Matters
He didn't just sell shampoo. He built a bank. In 1964, he co-founded Independence Bank in Chicago because he knew Black entrepreneurs couldn't get loans from traditional institutions. He understood that wealth-building is a systemic issue.
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He also founded the George E. Johnson Foundation to support education. He wasn't just "giving back"—he was investing in the future of his own market. He lived the "circular economy" before it was a buzzword.
Common Misconceptions
- He was just a "hair guy": Nope. He was a chemist, a banker, and a media mogul.
- The company failed: It didn't fail; it was a victim of its own success, proving the market was so valuable that global giants had to buy their way in.
- He did it alone: He always credited his team and his wife Joan for the operational side of the business.
Actionable Lessons from the Johnson Playbook
If you’re looking at George E. Johnson Sr. as a model for your own career or business, there are a few things you can actually apply right now.
First, find the ignored niche. Don't compete where everyone else is. Look for the people that "big" companies think are too small or too difficult to serve. That’s where the real money is.
Second, control your narrative. Johnson didn't wait for white magazines to feature his products. He sponsored Soul Train and created his own media presence. In the age of social media, this is easier than ever, but people still forget to do it.
Third, invest in your infrastructure. He didn't just make the product; he made sure there was a bank to fund the people who used the product.
George E. Johnson Sr. passed away recently in 2024 at the age of 96. He lived to see the industry he created become a multi-billion dollar global force. While the brands might have changed hands, the path he blazed is still there for anyone brave enough to take it.
To truly honor his legacy, start by looking at your own community. What's missing? What is everyone else ignoring because it’s "too niche"? That's where your $250 loan moment is waiting. Focus on solving a specific problem for a specific group of people with absolute excellence. Build the distribution channels yourself if you have to. Don't wait for permission from the established players to enter the room; build your own room and invite everyone in.