Striking the Balance: More Brand Awareness or Better Margins? 🤹♂️💰
Ah, the struggle is real for big DTC brands like Warby Parker, Allbirds, and Olaplex. Cutting down on digital ads has given a nice boost to their bottom line, but customer growth? Not so much. 😬
The trio is opting for old-school methods: TV ads, physical stores, and even samples. The goal? Expand reach without dipping too far into the profit pool. 📺🏬🛒
Allbirds is diving into international markets via distributor partnerships. Meanwhile, Olaplex is leveraging third-party stores like Sephora to dish out samples, boosting site traffic even if direct sales slump. 🌍💇♀️
But Warby Parker has got a puzzle to solve. Even with new stores and reduced ad spend, they're struggling to rope in new customers. So, they're switching gears, targeting an older demographic with TV ads. 🤓📺
While these strategies look promising, the jury is still out on their long-term impact. Will these tactics churn out new customers? Or is this just a temporary fix? 🤷♂️
Cost-cutting is great and all, but growth can't be sacrificed. Balancing the two? That's the billion-dollar question. 🤑
#DTC #BrandAwareness #BusinessStrategy https://bit.ly/48aLUmO
Electrical Engineering Leader at Reynolds Consumer Products
3moMy son is a huge John Cena fan and is so excited that we team up with him on our advertising. He told me I work for a cool company😊