📦 - Spend Here, Profit There

Amazon DTC Ecosystem, Creative That Converts, The Art of Starting Small Wednesday, November 8, 2023 In this newsletter, you’ll find: - 📦 How Amazon fits in the Q4 DTC ecosystem - 📦 CPG and the art of starting small Let’s dive in: 👇 DTC ECOSYSTEM 🌐 Amazon’s Role in an Ecosystem Q4 Strategy Hot tip from the [team at Pilothouse](: Don’t put all your eggs in one channel basket this Q4. 🐣 Look at data, metrics, and the impact across your ecosystem of channels to leverage this Q4 to its full potential. 🔥 Let’s explain 👇 Throughout the next seven weeks, you need to take each channel's strengths and weaknesses into consideration when determining a) the role they play and 2) how to maximize their value. 📈 Early on in Q4, in October and early November, Meta is useful to generate brand awareness, grow your top-of-funnel, and build lists that will convert throughout the rest of the year (and beyond). But as we get further into the quarter, shoppers will start to feel the pressure of holiday deadlines. They may be traveling for the holidays, have family in town, or need a delivery ASAP, and trust that it will be at their door. 📦 Those last-minute, ‘need as soon as humanly possible’ attributes fit one platform in your ecosystem very well. 👀 If you guessed Amazon, you’re right! Having Amazon in your ecommerce toolkit lets you capture those last-minute conversions and ensure customers get their orders fast, with little to no extra shipping charges. Throughout the year, it’s typical to see a lift in Amazon revenue when Meta (or other channels) drastically increase spend. However, although ever-present, this metric is fundamental to monitor through Q4. As spend skyrockets, shopper intent will be high, and customers will be converting even more where they can confidently get their order as quickly as possible → Amazon. ✅ This only intensifies as we get closer to Christmas (where are our last-minute shoppers at? 🙋). Depending on your DTC fulfillment capabilities, having Amazon FBA inventory can net you an additional 5+ days of sales during some of the highest intent traffic times. So, how do you plan for this? 🤔 By zooming out and looking at your DTC ecosystem trends, you can explore a correlation between increases in off-Amazon spend and increases in Amazon sales — specifically branded search traffic. If you see a positive correlation, you may be able to spend heavier into a lower return on ad spend (ROAS) on Meta, knowing that you’re making it up with the increase in Amazon conversions. But you can only do this if you keep an eye on all your channels and watch for a correlation. 🤝 At [Pilothouse](, when running all channels for a brand, buyers collaborate on strategies and share data to ensure they’re operating with the best possible strategy for the brand as a whole rather than being siloed in single channel metrics. 👌 CREATIVE 👀 With Higher Q4 CPC’s and More Competition, Your Creative Needs to Be Converting * Enough said, right?! Well, there's more. [minisocial]( has helped thousands of DTC brands create content on budget that: - Converts - Goes viral - and drives engagement Streamline your micro-influencer strategy with minisocial. No commitments, just fully managed campaigns. What does this mean for you? 1️⃣ Peace of mind knowing your UGC needs are covered, and 2️⃣ more time to focus on other priorities. Join brands already using minisocial like Krave Beauty, immi, Super Coffee, and AdoreMe with a bonus 15% off your first project. [“I Want Creative That Converts”]( 📰 IN THE NEWS - 🧶Your favorite arts and crafts store vs. Etsy. [Michael's announced they will launch an online marketplace called Makerplace]( for artisans to sell handmade goods along with classes and how-to guides. You can shop and list one-of-a-kind items [here](. - 📈 Just in time for Black Friday. [Ecommerce brands like Endy and Vessi are opening a brick-and-mortar location.]( That way customers can test out the product in-store and help reduce the number of online returns during peak shopping season. PODCAST 🎈 CPG and the Art of Starting Small with Juliana Casale from Balloon 🎧 On today’s episode of the DTC pod, we spotlight Juliana Casale, the dynamic founder behind Balloon Seltzer. Hailing from Toronto, Juliana identified a gap in the seltzer market and took it upon herself to fill it. Throughout the ep, we'll discuss the intricacies of her journey — from the initial observation to the formulation challenges and the strategies she adopted. By embracing passion and innovation, Juliana discusses how she successfully navigated the complexities of launching a DTC beverage brand. Tune in to gain a deeper understanding of brand-building and the dedication required to transform an idea into a tangible product! The takeaways 👇 🛍️ Embracing pre-orders From her venture into the CPG world, Juliana’s insights underscore the value of a well-strategized pre-order campaign. Juliana's utilization of a pre-existing Shopify store coupled with a pre-order app proved instrumental in her approach. Moreover, her active presence on social platforms and an engaged mailing list, which included friends, family, and contacts in the CPG space, ensured she could generate sales even before her product was manufactured. This preemptive strategy doesn't just mitigate risks; it provides an accurate gauge of product demand, enabling businesses to refine their production process in real time! 🌽 Market testing through local initiatives If there’s one thing we learned in this week’s ep, it’s that one can't emphasize enough the importance of direct feedback from potential consumers. Juliana's decision to immerse herself in local farmers markets in Toronto served as a real-time feedback mechanism. These venues aren't just sales points; they're invaluable arenas to interact with consumers, understand their preferences, and gather genuine responses. Additionally, targeting local retailers offers a two-fold advantage: - It builds foundational relationships within the local business community - It acts as a litmus test, giving insights into consumer behavior and preferences on a retail level Starting small and focusing on localized efforts can provide in-depth insights that larger-scale efforts often overlook. 💰 What Juliana would do with an extra $50K: Two words: vending machines. By strategically placing them in airports, universities, and hospitals, she aims to capitalize on areas with consistent demand. 👉 Listen to the full episode with Juliana Casale [here](! SPONSOR DTC 📥 Promote your product to 160,000 digital marketing professionals DTC Newsletter + Podcast reaches a highly qualified audience of Shopify merchants, eCommerce founders, and digital marketers. [Talk to our team to learn more](. ⚡ QUICK HITS 🚀 [Supercharge profits with unrivaled shipping discounts.]( Join businesses cutting up to 43% off UPS & FedEx costs. Whether you spend $200K or $10M+ on shipping, Shipping Intelligent has you covered. [Save now!](* 💬 Are you sick of dry convos with Bard and ChatGPT? [Premium X subscribers will now have access to Grok](, a new AI chatbot with a sarcastic sense of humor. 📍Pinterest is cool again. [Over 42% of Pinterest's monthly active users are now Gen Z]( who love using the photo sharing app for fashion and style inspo. 👀 BANTER We can’t all be 5am, cold plunge, meditation morning people. Us snoozers wouldn’t want to take that away from you 😂 Have you heard our latest podcasts? - ⚖️ [Balancing Wellness & Nightlife](: Nishal Kumar of 'No Days Wasted' on DTC Strategy and Building Brand Communities. - 📚 [AKNF 348](: Unlock the Secrets of Profitable Meta Ads: Scale School Is Back! - 🌧️ [Owning the Weather and Scaling Through Nine Figures]( - Vessi's Tony Yu and Mikaella Go - 🚗 [AKNF 346](: Maximize Your Road to Q4 - 💋 [Form, Function, and Fragrance](: Cosmetic Industry Vet Sherry Jharwar on her Beautiful Journey in DTC Don’t forget to [rate the DTC Podcast]( on Apple (⭐️⭐️⭐️⭐️⭐️) Got an awesome DTC brand story to tell? Calling all brand-side founders and team leaders! Fancy joining us on the DTC Podcast as a guest? [Tap the link to toss in your application](. DTC Newsletter is written by [Rebecca Knight](, [Kate Gullett](, [Frances Du](, and [Michael Venditti](. Edited by [Claire Beveridge]( and [Eric Dyck](. Was this email forwarded to you? Sign up [here](. NEED MORE DTC? 🚀 [Advertise]( in DTC Newsletter. Please note that items in this newsletter marked with * contain sponsored content. [Direct To Consumer]( Pilothouse, 1011 Government St., Victoria, BC V8W 1X6, Canada [Advertise with DTC]( | [Work With Pilothouse]( [Preferences]( | [Unsubscribe](