Welcome to The Week in Direct-to-Consumer, a weekly roundup for marketers from Quad Insights that sums up the latest news in the DTC space.
Birkenstock DTC rises to 37% of total revenue
Per Birkenstock’s recent F-1 filing, total revenue increased 21% year-over-year with DTC rising to 37% of revenue — compared to 34% last year, reports Retail Dive’s Dani James. The footwear brand, which is readying a proposed initial public offering, reported $1.19 billion in revenue for the nine months ended June 30.
Mejuri launches an app and loyalty program to drive growth
DTC jewelry brand Mejuri has launched a new app and loyalty program, per Glossy’s Danny Parisi, who reports that both were developed with the “similar goal of increasing customer lifetime value” by leveraging increased personalization.
As Mejuri continues international expansion beyond its home market of Canada, it remains fully DTC in its strategy. “Early on, we had a small wholesale partnership with a retailer, and we really didn’t like the way they displayed the brand,” Mejuri Co-Founder Majed Masad told Parisi. “We’ve been DTC ever since, and I want to keep it that way.” Beyond its ecommerce operations, Mejuri currently has 24 stores across Canada, the U.S. and the U.K.
• “Mejuri Unveils New Loyalty Program To Support Growing Physical Footprint” (Retailbum)
USPS will not impose holiday surcharges in 2023
The United States Postal Service will not impose surcharges for the upcoming holiday season, it announced this week. Last year, surcharges were levied on packages processed during the peak holiday season. This year, though, USPS says that key investments, such as its new two-to-five business day shipping solution Ground Advantage, have eliminated the need for additional holiday fees.
• “USPS ends peak holiday surcharge as it cuts year-end demand for temporary hires” (Federal News Network)
Shein adds $85 million to ESG plan
Global fast-fashion DTC brand/retailer Shein has allocated an additional $85 million to its five-year ESG roadmap, adding to the $70 million already committed for a total of $155 million over the period, according to a company statement. The funds are meant to empower groups across three earmarked pillars: aspiring designers, the supply chain and local communities.
Shein has grown its designer incubator to nearly 3,000 designers from over 20 countries, accounting for the launch of over 25,000 original creations. Within its Brazilian, Chilean and Turkish supplier communities, the company will invest $70 million over five years for technology advancements and workforce training. Shein will also fund local community activities “focused on empowering women, promoting gender equality, supporting the development of young people and poverty alleviation,” according to the company.
• “Shein To Pile US$85 Million Into CSR Initiatives” (Global Cosmetics News)
• “Melissa & Doug Open First Retail Store” (License Global)
• “Luxury performance sneaker brand, APL, drives a 2% uplift in revenue and reduces returns by 15% with True Fit”(Retail Times)
• “Proven Raises $12.2 Million in Latest Funding Round” (Beauty Packaging)
• “Ritual Wakes Up the Sleep Care Category” (Women’s Wear Daily)
• “Allbirds Completes International Distributor Deals” (SGB Media)
• “Italian brand Moncler partners with rapper Pharrell Williams” (Fashion Network)