DTC Dispatch #024

America knows Temu, but will they buy from them?!

🌷 April Showers Bring May Flowers?

This week in DTC Dispatch:

🛍️ A Majority of Americans Have Heard of Temu but Haven’t Bought From the Retailer

⛳️ Golf Fashion Moves Into the Mainstream

💰️ Amazon and Walmart Race to Integrate Commerce and Content

👸 AI-Generated Contestants Will Compete for the Title of ‘Miss AI’ in World’s First AI Beauty Pageant


A Majority of Americans Have Heard of Temu but Haven’t Bought From the Retailer

The recent research conducted by YouGov reveals that Temu, a fast fashion retailer, has gained significant recognition among Americans despite its relatively short presence in the US market.

The study, which involved a sample of 700 adult participants, indicates that nearly 90% of Americans are familiar with the brand. Moreover, the findings demonstrate that women (95%) exhibit a higher level of awareness compared to men (80%). Notably, the primary source of information about Temu for 52% of respondents was the retailer's advertising efforts. This finding is unsurprising given that Temu reportedly allocated approximately $21 million towards advertising during the Super Bowl, in addition to over $15 million spent on coupons and giveaways.

However, it is important to note that while many individuals may be aware of Temu and hold a positive perception of the brand, a significant proportion of consumers (56%) have yet to make a purchase from the platform.

Our take: Temu is a popular fast fashion brand that has become very successful in recent years. They spent a lot of money on advertising during the 2024 Super Bowl to try to improve their reputation. However, many people are still unsure about buying from them.

Doubts about Temu's ethics, especially regarding labor laws and sustainability, discourage consumers from engaging with the company. Concerns about worker treatment in the fast fashion industry, including exploitative practices and poor conditions, have tarnished Temu's reputation. Potential customers hesitate to support a company that may not prioritize employee well-being.

Sustainability is a growing concern in fashion, as consumers are more aware of the environmental impact of their purchases. Temu's fast fashion model raises doubts about their commitment to sustainability. Consumers are now looking for eco-friendly brands, but Temu's track record has left many unconvinced and hesitant to support them.

In summary, Temu is struggling to turn its popularity into sales. People are skeptical about the company's labor laws and sustainability practices, which makes them hesitant to buy. To win back customers, Temu needs to show that it is truly committed to being ethical and sustainable.


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Golf Fashion Moves Into the Mainstream

Golf is currently experiencing a significant surge in popularity. This beloved sport is capturing the attention of a younger and more diverse demographic, who are embracing it as a lifestyle choice. Surprisingly, this newfound interest in golf can be attributed to an unforeseen cultural shift that affected people from all walks of life during the pandemic.

According to a comprehensive report released by the National Golf Foundation in February, the number of active participants in both on- and off-course golf has reached an impressive milestone. Over 45 million Americans are now engaging in this sport, surpassing the 40 million mark for the first time in 2022. This remarkable growth is a testament to the increasing appeal of golf as a recreational activity.

In 2024, the report shows a record-breaking level of diversity in golf. Asian, Black, and Hispanic golfers now account for 23% of players, over 6 million individuals. This inclusivity is a positive sign of progress and shows the sport's ability to attract people from different backgrounds.

More and more young people are getting into golf. The PGA Tour says that almost half of all golf fans are between 6 and 34 years old. This shows that younger generations are becoming more interested in the sport because they like the challenges and rewards it offers.

Moreover, the NGF report also sheds light on the increasing presence of women in the golfing world. In 2023, women accounted for 26% of all golfers in the United States. This rise in female participation demonstrates the sport's ability to break down gender barriers and create a more inclusive environment for all.

In conclusion, golf is becoming more popular again and attracting a wider range of people, including younger ones. The sport has been able to adapt and change during tough times, which has helped it succeed and gain new fans. With its increasing appeal and welcoming atmosphere, golf is expected to keep growing in the future.

Our take: Golf is currently witnessing an unprecedented surge in popularity, particularly among the younger generations who are wholeheartedly embracing the sport. Not only are these individuals captivated by the game itself, but they are also deeply intrigued by the remarkable fashion trends that have become synonymous with golf. This burgeoning interest in golf fashion has undeniably created a golden opportunity for fashion brands to seize the moment and curate their very own exclusive golf collection, or even collaborate with other esteemed sports retailers to cater to this burgeoning market.

YSL Beauty Adds New Zones to Rewilding Program

YSL Beauty has recently made an exciting announcement regarding their commitment to rewilding, as they have partnered with the global NGO Re:wild to launch not just one, but two new rewilding programs. This announcement comes at a perfect time, as it coincides with the celebration of International Rewinding Day. YSL Beauty has already made significant strides in the rewilding movement, having contributed to the rewilding of over 47,000 hectares across the globe.

The urgency of this cause cannot be overstated, as nearly 75% of all wild places have been degraded, and more than 1 million species are currently on the brink of extinction. Recognizing the dire situation, YSL Beauty is determined to take action, as they understand that if immediate measures are not taken, more than 50% of the remaining wild will vanish within the next few decades.

In light of these alarming statistics, YSL Beauty has launched the Rewild Our Earth program, which aims to protect and restore a staggering 100,000 hectares of wilderness by the year 2030. To put this into perspective, this surface area is almost 10 times the size of Paris. The primary objective of this program is to safeguard biodiversity in threatened priority areas, which not only inspire YSL Beauty but also serve as the perfect environment for their ingredients to flourish.

YSL Beauty's dedication to rewilding is commendable, as they recognize the importance of preserving our planet's natural habitats and the diverse species that call them home. By partnering with Re:wild and implementing these rewilding programs, YSL Beauty is making a significant contribution towards creating a more sustainable and biodiverse future.

Our take: Luxury beauty brand, YSL, renowned for its exquisite products and unparalleled elegance, has recently forged a groundbreaking partnership with a prominent global non-governmental organization (NGO) to bolster their rewilding programs. This remarkable collaboration not only showcases YSL's unwavering commitment to environmental conservation but also solidifies their position as trailblazers in the realm of sustainability, garnering widespread acclaim and admiration. By aligning their esteemed brand with such a noble cause, YSL has not only elevated their reputation but also demonstrated their unwavering dedication to making a positive impact on our planet.

Amazon and Walmart Race to Integrate Commerce and Content

As shopping and entertainment become increasingly intertwined, Amazon and Walmart are looking for new ways to drive sales via content.

Amazon Live has launched a new channel called FAST Channel. It is available on Prime Video and Amazon Freevee. This channel allows viewers to shop and interact with the content they are watching on their TV using their mobile devices.

“With the new ‘Amazon Live’ FAST Channel on Prime Video and Freevee, we’re making shoppable entertainment more accessible, interactive and engaging than ever before,” Wayne Purboo, vice president of Amazon Shopping Videos, said in a statement.

Walmart teamed up with TikTok and Roku to create a shoppable series called "Add to Heart." This series follows a professional woman who finds love during the holidays in her hometown. Viewers can buy the products they see in the show.

Also in November, the retailer shared that it was expanding its shoppable TV footprint via a new partnership with NBCUniversal’s Peacock platform, enabling viewers of “Below Deck Mediterranean,” a reality series about the crew of a superyacht, to buy themed products during “shoppable episodes.”

Amazon and Walmart are trying to become more important in people's everyday lives. A study called the Whole Paycheck Report looked at how much money people spend at each store. It found that in the last few months of 2023, Amazon had 4.4% of all the money people spent, while Walmart had 3%.

Our take: Two of the world’s largest retailers, Amazon and Walmart, understand that shopping and entertainment are deeply interconnected. Consequently, both retail behemoths are actively seeking innovative strategies to enhance their sales through engaging content. These industry giants persistently strive to establish an even greater significance in the lives of their valued consumers, constantly exploring novel avenues to become an integral part of their daily routines.

AI-Generated Contestants Will Compete for the Title of ‘Miss AI’ in World’s First AI Beauty Pageant

Introducing the groundbreaking future of AI - the world's very first AI beauty pageant! Prepare to be amazed as AI-generated contestants battle it out for the prestigious title of "Miss AI."

This extraordinary competition marks the inaugural event in a series of illustrious awards presented by the esteemed World AI Creator Awards (WAICA) and its esteemed partner, Fanvue - a cutting-edge subscription platform dedicated to hosting AI content. With a resolute mission to honor the remarkable achievements of AI creators worldwide, WAICA's Miss AI pageant will meticulously evaluate contestants based on their beauty, technical prowess, and influential presence, all in pursuit of the coveted Miss AI crown.

While traditional pageantry elements such as looks, poise, and eloquent responses to thought-provoking questions will be considered, contestants will also be rewarded for their exceptional technical skills and innovative utilization of AI tools. Moreover, judges will meticulously scrutinize contestants' social media reach, including the rate of audience growth and their ability to captivate fans on various platforms. Brace yourselves for an awe-inspiring display of AI brilliance like never before!

Our take: The marketing industry, which has already experienced the immense impact of AI-generated advertisements and the extent to which brands are willing to embrace AI-generated images, is now witnessing the emergence of an AI beauty pageant! This latest development raises intriguing questions about the future trajectory of AI. How far will this technology be pushed? What groundbreaking innovations will we witness in the near future? The possibilities seem endless as AI continues to push the boundaries of what was once thought possible.

Thanks for reading this week’s edition of the DTC Dispatch!