Compacts date from the early 1900s, a time when make-up had not gained widespread social acceptance and the first powder cases were often concealed within accessories such as walking sticks, jewellery or hatpins.
From 1896, American handbag manufacturer Whiting & Davis created lidded compartments in its bags where powder rouge and combs could be stowed. In 1908, Sears’ catalogue advertised a silver-plated case with mirror and powder puff (price 19 cents) and described it as small enough to fit in a handbag.
In the US, manufacturers such as Evans and Elgin American produced metal compacts with either finger chains or longer tango chains. Designed to be displayed rather than fitted in a handbag, they required more ornate designs and many from this era are examples of sleek Art Deco styling.
As make-up became more mainstream and women were increasingly active outside the home, compacts became more popular. British manufacturer Stratton began importing part-finished powder boxes from the US for assembly at its Birmingham plant in 1923 and by the 1930s it was creating them from scratch and producing half the compacts used by the UK cosmetics industry. The company developed self-opening inner lids in 1948, designed to protect the powder and prevent damage to fingernails, and by the 1960s it was exporting to agents worldwide. Reference: Wikipedia