Nail Your Retailer Strategy For 2024 & More Woes For Farfetch
Wizz Selvey
Strategy Advisor & Mentor | Co-founder Valerie a Women’s Health Brand | Retail & Consumer Trends | Voted Top Retail Expert
Hi friends,
In this week's newsletter, I have some Christmas gifts for you, I share my insights of Farfetch and their recent challenges - yes more challenges! Marketplaces for indie brands and nail your retailer strategy for 2024.
Christmas Gifts
I have some special gifts for you this Christmas if you have been thinking about working together. Any bookings made in December have some special offers, from a bonus business lunch for 1:1 work and sponsoring events, early bird rates for workshops and a special rate for online training programmes. Book a free discovery call to discuss your goals for 2024 and how I can help you achieve them.
It’s Been A Tough Year For Farfetch
Farfetch is looking to take the business private. But why? There are several factors with the change in consumer behaviour over the last year that may have impacted Farfetch’s performance and they will need to consider moving forward.
Whilst expanding the range with YNAP will offer more choices, it will also come with more challenges. I think YNAP should be wary of adding too many additional products to their assortment as they are a destination for curated and edited ranges for customers and already house a huge range of brands.
As the trend for marketplaces increases it comes with challenges. There is an overwhelming amount of choice for customers and this can cause decision paralysis. Unless you know exactly what you are looking for then it can be difficult to browse. I forecast retailers with a strong focus on product curation and personalisation to win in 2024.
Consumers are shopping a lot more in physical retail, we already know the challenge around return rates and sizing when buying fashion online. The combination of the trend of shopping in-store again and the need to try on fashion will have an impact on their performance.
Taking the business private after a lot of scrutiny over the past year, from the failure of the beauty, a drop in revenue with the incubator brands to challenging trading performance may provide an opportunity to review and pivot the strategy without being under public scrutiny.
I shared my thoughts with Drapers HERE
Read more about what went wrong for Farfetch beauty and the learnings you can apply to your business in the blog I wrote a few months ago HERE
领英推荐
Indie Beauty Marketplaces
On the flipside, we are seeing marketplaces boom. We’ve seen major retailers have huge success with marketplaces and now indie beauty brands are bringing third-party brands to their websites to diversify revenue.
Why? Saturation in the beauty industry and the rise in CAC is causing brands to band together to fill gaps in their assortment and reach more customers through collaboration. This could be particularly helpful for brands as they piggyback on each other’s customer base and audience as long as there is genuine synergy and common values/audience.
BUT this does come with a word of warning - it can be like running two businesses, so ensure you have the capacity to execute this. I am a big fan of collaboration to extend reach as for indie brands but make sure it’s done in a manageable way.
Read more in Beauty Independent .
Set Your Strategy For Winning In Retail In 2024?
You are invited to join me for a day of strategy planning to improve your business with retail partners for 2024. Together we will develop your sales and marketing plan for retailers, map out your 2024 distribution strategy and focus on what you need to do to make more sales with your retail partners.?
What We Will Focus On:
After hearing many frustrations of flagging e-commerce sales, drops in engagement online, social media dwindling and the cost of customer acquisition increasing it’s time to focus on where more sales can be made - retail! Retail partnerships are where brands are seeing the biggest increase in sales. There is a bounce-back to physical retail with the ONS reporting 73% of sales coming from physical stores in October. Join me and we can make retail partnerships your biggest growth channel in 2024.
Please Will You Help Me Hit Some Milestones?
If you’re not following me on LinkedIn or Instagram I would appreciate a follow, I’d love to end the year with some milestones I am SO close to. Follow me on YouTube and Instagram .
That is it for now, I look forward to speaking with you about your goals for 2024.
Wizz x