A method of forming a composite coating is provided including (a) applying a first powder base coating to a substrate; and (b) either (1) applying a second powder base coating comprising flake or platelet effect pigment and heating the first and second base coats to substantially level the second base coat and allow migration of the effect pigment to a surface region thereof but not sufficient to cause the second base coat to cure; and (2) applying a top coating and substantially curing the resultant composite coating; or alternatively, (3) heating the first base coat to form a generally continuous film; (4) applying the second powder base coating comprising the effect pigment and heating the second base coat to substantially level the second base coat and allow migration of the effect pigment to a surface region thereof; and (5) applying the top coating and substantially curing the resultant composite coating.