1. The private equity boom in DTC can be explained by the fact that as that DTC brands have gotten older, there are simply more of them who may qualify for private equity investment: One of the most active private equity investors in the direct-to-consumer space is L Catterton, which is a partnership between Connecticut-based consumer-focused private equity group Catterton and LVMH and Groupe Arnault, the family holding company of LVMH chairman Bernard Arnault. – Read More on Modern Retail
2. Maria Raga: the CEO behind Gen Z’s favorite shopping app. Under Raga’s direction, Depop has surged remarkably, though most of its growth remains organic – a friend tells a friend, a friend buys from a friend. “In 2018, there was an 85% year-on-year growth in sales,” Raga says. Depop takes a 10% cut of every item sold through the app, and as Techcrunch recently reported, Depop “has handled more than $500 million of gross merchandise value since its launch” in 2011. – Read More on the Guardian
3. Amazon changed search algorithm in ways that boost its own products: Late last year, Amazon optimized the secret algorithm that ranks listings so that instead of showing customers mainly the most-relevant and best-selling listings when they search—as it had for more than a decade—the site also gives a boost to items that are more profitable for the company. – Read More on WSJ
4. The Rise of the Resale Market: Dozens of digital startups are fueling “recommerce,” the fastest-growing category in fashion retail, as traditional merchants are looking at the potential of the pre-owned market. Second hand clothes and accessories, from $1,000 designer handbags to $11 tank tops, are the fastest growing category in clothing retail. – Read More on CO.
5. The Danger for Luxury Brands that Fail at Storytelling: “Many luxury brands talk about craftsmanship, experience, design, bespoke and exceptional service. Sounds great, but it’s too vague. Instead, they need to tell their customers what unique value they create specifically for them by the things they do exceptionally well.” – Read More on Jing Daily