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Social media isn’t social media anymore but...
Plus: Celebrity brands you might’ve not know exist
Wishu
May 10, 2024
Time to face the latest in DTC news: today we unpack why the DTC boom has meant luxury retailers are struggling. We also look at the latest in innovative DTC brand packaging and new brand drops from Bella Hadid’s perfume to Christina Aguilera’s wellness brand. We also end the edition with a little tea spilling regarding paid sponsorship laws and the cost of not abiding to them…
3 brands whose packaging is disrupting their industry
From flavored probiotic water to tap tap tap dry shampoo, take a look at these exciting picks.
Josie Maran: Product Refill
Its canister refill for oils and pouches for lotions promotes a sustainable attitude towards its products meaning customers don’t need to repurchase.Billie: Dry Shampoo
Rather than sell in another aerosol bottle, Billie’s circular shaped bottle allows customers to tap the product onto the head (think of baby powder) rather than spray it in. The product comes in two shades; blonde and brunette.Karma: Plastic Water Bottle
This water comes with probiotics in the lid that you have to push down to merge with the water. The probiotics also flavor the water in different ways!
A special note from our sponsor Amplitude
Complex journeys can make it difficult to drive effective campaigns and measure impact across channels.
The good news? The right digital analytics platform can help you:
Generate personalized campaigns
Understand and optimize the path to purchase
Grow revenue and customer lifetime value
Explore six ways your company can get visibility into the impact of your marketing efforts — even when customer journeys get complicated.
Celebrity brands you might’ve not know exist
Thanks to Brooke of @thebluebrandprint on TikTok, we’ve kept up to do date with some of the latest celebrity DTC brands that aren’t a bore but that are actually aiming to disrupt their respective industries in innovative ways.
Playground: Christina Aguilera’s Wellness Brand
Just launched in Target with affordable products around the $20 mark.
Received $2 million investment after exceeding $700,000 in revenue.
They want to use the money to attract all genders and disrupt the wellness aisle.
Orabella: Bella Hadid’s Perfume Brand
The perfume disrupts the industry in promoting its skincare benefits. Most perfumes are bad for the skin and this isn’t wide consumer knowledge. Hadid hopes to change this.
The PR response has been overwhelmingly positive with editors raving across various publications.
Packing is disruptive in that its futuristic but also ethereal.
How social media has changed in the past five years:
Social media marketing has undergone a significant evolution over the past five years, with a move away from interaction-driven strategies towards those focused more on entertainment. While interaction and engagement were once central to brand presence on social platforms, the emphasis has now shifted to capturing users' time and attention through entertaining content.
TikTok is, unsurprisingly, the driving factor
TikTok's approach to content consumption, emphasizing public posting and time spent on the platform over likes and comments, has reshaped the landscape of social media. Platforms now prioritize entertainment value over social interactions, mirroring TikTok's model. This shift has major implications for marketing strategies, as brands need to adapt to the new paradigm centered around entertainment.
Is it even social anymore?
Essentially, the actual ‘social’ aspects that had long been the focus have now been relegated to a secondary plane. TikTok re-aligned this shift.
A special note from our sponsor Amplitude
Complex journeys can make it difficult to drive effective campaigns and measure impact across channels.
The good news? The right digital analytics platform can help you:
Generate personalized campaigns
Understand and optimize the path to purchase
Grow revenue and customer lifetime value
Explore six ways your company can get visibility into the impact of your marketing efforts — even when customer journeys get complicated.
Luxury e-commerce faces challenges amidst DTC boom
Luxury e-commerce retailers in the US, including Farfetch, Matches, and Net-a-Porter, experienced sustained declines in consumer spending throughout 2023, raising questions about the viability of the luxury e-commerce model.
Net-a-Porter, despite facing challenges over the years, remains a significant player in online luxury retail. Three bidders are vying to acquire the company, with Bain Capital and Mytheresa among the contenders. Mytheresa, known for its focused leadership and performance, could potentially combine forces with Net-a-Porter, signaling a potential shift in the industry landscape.
As brands are embracing DTC online sales more, these luxury retailers are facing increasing pressure. While overall luxury e-commerce grew slightly, many retailers struggled financially, prompting layoffs and acquisitions.
A contributing factor to the decline is that customers increasingly purchasing high-end fashion directly from brands' own e-commerce channels rather than multi-brand retailers. Challenges for these retailers include differentiation, high operating costs, and competition from brands' direct sales, necessitating strategic adaptation to remain relevant.
TikTok of the week:
“This app has become QVC and that’s bad enough”.
@bee.better.company #stitch with @Gabriela Moura In this video we have yet another influencer who did not disclose their ad properly, and why it is so importa... See more
That’s a wrap!
We’ll see you again on Friday 👋
Social media isn’t social media anymore but entertainment media