Hello, and happy Monday!
This is issue no. 7 of the Nebulab newsletter, your bi-weekly newsletter about retail, DTC, and eCommerce technology.
In case you didn’t notice, physical stores are kind of a big thing now. What strikes me as interesting is how this industry is only now coming to the collective realization that (1) DTC doesn’t mean “digital only,” and (2) you can’t escape the need for an advertising channel.
To be clear, it’s nothing to be ashamed of: when no one knows you, you need to get in front of people, and the only way to do it is to ride on the shoulders of someone who already has an audience. Whether that happens through a Meta ad, a Target partnership, or an owned store placed on a busy street is, at the end of the day, an implementation detail.
Today’s reads are about the resurgence of the physical store in all its forms and shapes. They’re a reminder, if it wasn’t clear enough, that we all need to put the digital-only-at-all-costs craze behind us—for good.
🔒 The rise of DTC 4.0. As always, 2PM is spot on. The key to DTC 4.0 (maybe let's not call it DTC at all?) will be channel diversification: wholesale offers scale at an accessible cost, while DTC offers zero-party and first-party data. Brands need both if they want to succeed.
How DTC brands are navigating big-box distribution. Wholesale partnerships come with unique marketing and logistics considerations—it's a space that's still hard for DTC operators to navigate successfully, and the ecosystem as a whole could use some ambitious problem solvers.
Welcome to the Shoppy Shop. Why does every store suddenly look the same? On that note, Faire is one such bunch of problem solvers. Take from this story what you will, but keep in mind that wholesale doesn't necessarily mean going the Walmart route: there's plenty of shoppy shops out there.
Swiss brand On is profitable and growing. It also has a deep wholesale presence. The author of this newsletter is an On customer, so take this with a grain of salt, but. On has always focused on product quality, omnichannel distribution, and profitability. We could all steal a page from their playbook.
Case study
Transforming Coffee Into a Wellness Ritual
Most of us don't give a second thought about the bazillion cups of coffee we drink every day, but coffee startup Rarebird wants to elevate everyone's favorite beverage into more than a simple pick-me-up.
Rarebird coffees are designed to boost mental awareness, reduce stress, and let us enjoy all the benefits of coffee without the annoying downsides.
We met the Rarebird team in 2022, after they had completed their first round of product testing. We immediately set to work to design a nimble, streamlined experience that would allow them to stand out in a somewhat crowded space.
Upcoming webinar
Lightning-Fast Checkout with Bolt
Retailers like Forever 21, Fanatics, Casper and Revolve use Bolt’s lightning-fast, one-click checkout to convert, retain and delight shoppers, and see 47% higher completion rates compared to traditional checkout flows.
Join us for an informational webinar with the Bolt and Nebulab teams: we'll talk about how Bolt can help you convert more customers and collect more data, all while offering a superior user experience.
See you on Wednesday, March 8 @ 11am-12pm ET!
That's it for today!
If you have any questions, comments, or physical stores you want us to check out, send a picture or two to [email protected].
See you in two weeks! 👋
Psst! If you know someone who might be a good fit for our strategy, design or engineering services, you can now refer them. You get a $250 gift card, and both you and your referral get 20% off your next invoice.