Numlock News: March 10, 2020 • Muppets, Danger, Heist
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By Walt Hickey My friend Emily Atkin of the excellent climate newsletter Heated is on vacation, so I subbed in for her yesterday with an all-climate guest Numlock if you want to check that out. DTC A whole lot of direct-to-consumer brands are between the hammer and the anvil, with their venture capitalist investors getting antsy and their cost per new customer getting, if anything, worse. Whether they’re hawking eyeglasses, or razors, or generic drugs, it’s an increasingly tough environment for the DTC wonders that have dominated an era of Silicon Valley investment in the post-Warby Parker era. One issue is that it’s actually really, really hard to build a national brand from scratch, and that oodles of Facebook ads can only go so far: now that all the DTC brands are armed with the same war chest of VC money and all targeting the same upwardly-mobile consumers on the same social networks, they’re all driving each other's marketing costs way up.
Numlock News: March 10, 2020 • Muppets, Danger, Heist
Numlock News: March 10, 2020 • Muppets…
Numlock News: March 10, 2020 • Muppets, Danger, Heist
By Walt Hickey My friend Emily Atkin of the excellent climate newsletter Heated is on vacation, so I subbed in for her yesterday with an all-climate guest Numlock if you want to check that out. DTC A whole lot of direct-to-consumer brands are between the hammer and the anvil, with their venture capitalist investors getting antsy and their cost per new customer getting, if anything, worse. Whether they’re hawking eyeglasses, or razors, or generic drugs, it’s an increasingly tough environment for the DTC wonders that have dominated an era of Silicon Valley investment in the post-Warby Parker era. One issue is that it’s actually really, really hard to build a national brand from scratch, and that oodles of Facebook ads can only go so far: now that all the DTC brands are armed with the same war chest of VC money and all targeting the same upwardly-mobile consumers on the same social networks, they’re all driving each other's marketing costs way up.