The eTail West conference highlights retail evolution with insights from KiwiCo and eBay on direct-to-consumer strategies and the growing recommerce market.
The eTail West conference, held this week, brought together approximately 2,500 attendees to discuss the evolving landscape of retail, particularly in the direct-to-consumer (DTC) sector. Key conversations highlighted the expansion strategies of KiwiCo, a toy and play brand, as well as the ambitions of eBay in the fashion resale market.
KiwiCo has recently made significant strides in its retail expansion, marking six months since it began selling at Target and Barnes and Noble. During this period, the company has not experienced the feared cannibalization of its DTC sales, according to Lisa Hom, chief product and merchandising officer at KiwiCo. “We had specific products that were going viral on ads, and so people were going to Amazon and looking for our products,” Hom told Modern Retail. She noted that customer inquiries for products such as the “Domino machine” indicate an increasing demand for KiwiCo’s offerings beyond its own website.
The brand, which has its roots in a profitable DTC business established since 2011, decided to venture into the retail space as online awareness of its products surged. Hom explained, “Instead of us spending the advertising dollars trying to get everybody to come to our site, now we’re meeting customers where they’re already shopping.” She pointed out that retail customers tend to be more impulsive and are often looking for specific products that meet their immediate needs. KiwiCo’s retail strategy includes a curated assortment at approachable price points, featuring popular items like a $29.99 domino machine at Target.
Hom acknowledged that transitioning from a DTC model to wholesale retail posed challenges. There was initial hesitation due to concerns about losing valuable customer relationships and sales to larger retailers like Amazon. “That direct-to-consumer relationship was so valuable, it was hard to let that go,” she said. However, the brand’s successful foray into retail illustrates the importance of an omnichannel presence for contemporary consumers.
The discussions at eTail West also featured insights from Alexis Hoopes, vice president of fashion at eBay. Hoopes highlighted the rapid growth of the recommerce market, emphasizing that customers, brands, and retailers are increasingly engaging in this sector. “Recommerce is growing incredibly fast,” she noted. eBay’s initiatives focus on making it easier for sellers to operate on the platform and to enhance the buyer experience through the use of artificial intelligence. One such feature, called “Shop the Look,” promotes outfit coordination, allowing users to view products styled together for inspiration.
Hoopes further elaborated on the evolving shopping habits of younger consumers, particularly Generation Z, who favor thrifting and purchasing secondhand items. “Recommerce is certainly a big area for Gen Z,” she stated, noting its distinction from past generations who primarily relied on traditional mall shopping.
In the wake of shifting consumer demands, both KiwiCo and eBay reflect the changing paradigms in shopping behavior and brand engagement. The broader discussions at the conference included a variety of perspectives from industry leaders regarding current retail challenges. One e-commerce executive remarked on the importance of versatility in marketing strategies, while another digital officer expressed concerns over the volatility in market conditions.
As the retail landscape evolves, the insights shared at eTail West provide a lens into the strategies brands are using to adapt to consumer expectations, including the integration of technology and expanded channels for visibility and engagement.
Source: Noah Wire Services
