Some of the earliest and best-known direct-to-consumer online brands were famous—and successful—because they chose that lane and owned it, forging a strong and unfettered connection with consumers. Warby Parker did it with eyeglasses in 2010, Harry’s with razors in 2012, and Casper with mattresses in 2014.
But much has changed in the last decade, and there’s a growing consensus that for many new and emerging brands, taking a DTC-only approach is putting all your eggs in one shopping basket.
“DTC was never a story, or a dream, or a business,” Richard Kestenbaum, co-founder and partner at Triangle Capital LLC, wrote in Forbes in February. “It’s a channel and as channels go, it’s a good channel, sometimes a great one, but the idea of DTC as a strategy was always a distraction.”
Kestenbaum continued that brands that started as online DTC absolutists increasingly are opening stores and partnering with retailers—for the best of all rationales.
“That’s where the customers are,” he wrote.
So it was fitting that at a recent conference in New York, The Lead Innovation Summit, Kestenbaum was tapped to lead a session on making DTC more profitable, and the brand execs he jawboned with were DTC enthusiasts who also took a broader, omnichannel approach to sell their wares.
Keep reading here.—AAN
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