MGR eCommerce Edge Weekly | February 3, 2021
Top News This Week
2021: The Year eCommerce and Retail Merge
As eCommerce boomed and retail got hit hard in 2020, both sides are realizing the advantages of the other. Traditional retailers are investing heavily in their online efforts, while eCommerce brands are taking their new found fortunes and using that money to expand into brick and mortar.
Brands like Nike, who rely heavily on retail for the majority of their revenue, are shifting to a stronger DTC focus and it’s paying off handsomely. Nike saw eCommerce sales grow 83% YoY. Retailers like Target have also seen tremendous eCommerce sales growth by combining retail pick up options with online purchases.
On the flipside traditionally DTC brands are expanding beyond online, both creating their own physical spaces and by partnering with retailers. DTC brands like Casper, Allbirds, Buff City Soap, & many others are quickly expanding their retail footprint nationwide. Commercial Real Estate firm JLL expects over 850 DTC brand stores to be opened in the next three years.
Ultimately the true to key to massive growth is omni-channel. While many brands find their footing and early success by dominating one channel, it’s through partnerships, retail, distributors and more that will successful brands to truly scale.
Other Notable Links:
1. Jeff Bezos is stepping down from being Amazon’s CEO – CNBC
2. Amazon reports numbers, breaks eCommerce sales records – BLOOMBERG
3. Lexus is letting live streamers design their new cars – MARKETING DIVE