DTC Dispatch #045

LATEST NEWS

This former reality TV producer is betting on live shopping

Lauren Stevens, once a reality TV producer on shows featuring stars like Flava Flav and Travis Kelce, has transitioned into the growing world of social commerce. In 2020, she co-founded Orca, a company that creates shoppable livestreams, paid content, and affiliate marketing for brands. Orca also offers livestream studios and hosts, and recently launched its own beauty boutique, Bleu Beauty.

Social commerce is gaining traction in the U.S., with platforms like TikTok seeing rapid growth in shoppers. U.S. social commerce sales are expected to surpass $100 billion by 2025, and livestream shopping could account for 5% of ecommerce by 2026.

Despite early doubts, Stevens, now Orca’s chief content officer, says live shopping is thriving. Orca produces over 400 shoppable videos monthly for big brands like E.l.f. and Estée Lauder, leveraging Stevens' entertainment experience to help brands engage consumers and drive sales.

Our take: Lauren Stevens' move from reality TV to social commerce is a savvy pivot that highlights her ability to adapt and stay ahead of trends. With the rise of social commerce, especially livestream shopping, Stevens saw an opportunity to leverage her entertainment background to drive consumer engagement in a new, dynamic space. Co-founding Orca in 2020, she is tapping into the growing demand for interactive, shoppable content, which has already seen massive success in markets like China.

The U.S. is catching up quickly, with social commerce sales projected to surpass $100 billion by 2025. Stevens' work at Orca, producing over 400 shoppable videos a month for big brands like E.l.f. and Estée Lauder, proves that livestream shopping is not just a passing trend but a burgeoning industry. By bringing her experience in creating compelling content to the world of ecommerce, Stevens is helping brands capture consumer attention and boost sales in an increasingly competitive market. Her ability to bridge entertainment and commerce positions her—and Orca—at the forefront of this fast-growing field.

Luxury Beauty Brand Sarah Creal Launches in Sephora

Sarah Creal’s beauty brand has officially launched at 22 Sephora locations across the U.S. and is also available online. The brand focuses on high-performance makeup and skincare essentials specifically designed for women over 40.

Founded by Sarah Creal, a veteran product developer and brand builder with 30 years of experience, the luxury beauty line offers vegan, cruelty-free, gluten-free, fragrance-free, and clean products.

Creal, who is also the CEO, expressed her passion for the brand’s mission: “Women over 40 have been ignored by the beauty industry for too long. After decades of creating products aimed at women in their 20s and 30s, I knew it was time to fill this huge gap. At 54, this is personal to me. I’m excited to see it come to life with Sephora as our dream partner.”

Sephora will carry Creal’s core 'Everyday Essentials' line along with the newly introduced lip collection, 'Speak For Yourself.'

Our take: Sarah Creal’s beauty brand launch at Sephora is a refreshing and much-needed addition to the industry, focusing on a demographic that has long been overlooked—women over 40. With decades of experience under her belt, Creal brings both expertise and a personal connection to her brand, ensuring that it addresses the specific needs of older women.

In a market saturated with products aimed at younger women, it’s empowering to see a luxury line that caters to the evolving beauty needs of women over 40. The vegan, cruelty-free, gluten-free, and clean formulations reflect the growing demand for ethical and responsible products, while also showing that beauty doesn’t have to compromise on quality or values.

Partnering with Sephora solidifies the brand’s place in the mainstream market and demonstrates the increasing recognition of older women as a key consumer group. Creal’s dedication to filling this gap is not only commendable but also long overdue, and her brand has the potential to reshape the conversation around beauty and aging.

Secondhand luxury fashion thrives as Ozempic users purge their closets

Users of weight-loss drugs like Ozempic and Wegovy are driving a shopping trend in the luxury resale market. As they lose weight, many are selling their old clothes, leading to a sharp rise in secondhand fashion listings.

Poshmark reported a 103% increase in plus-size listings, particularly in sizes 3XL, 4XL, and 5XL, and a 78% rise in listings mentioning "weight loss." Poshmark cofounder Tracy Sun noted they are closely watching this trend to better serve customers.

The high-end fashion market is also feeling the impact. Rent the Runway CEO Jennifer Hyman sees a growing demand for smaller sizes. Brands like Lafayette and Amarra are also noticing the shift.

Leigh O'Donnell of Kantar explains that many people are turning to secondhand markets as they go through different clothing sizes during weight loss. Some use their old clothes for resale credit, while others see weight loss as an opportunity to upgrade their personal style, choosing higher-quality items for their wardrobes.

Our take: The rise of weight-loss drugs like Ozempic and Wegovy is influencing the luxury resale market, as many users shed pounds and revamp their wardrobes. Poshmark has seen a 103% increase in plus-size listings and a 78% rise in listings referencing weight loss.

As people transition to new sizes, they’re selling old clothes, reshaping consumer behavior and impacting brands like Rent the Runway and Lafayette, which are seeing a growing demand for smaller sizes. This trend also reflects a shift toward quality over quantity, with many opting for higher-end fashion as they redefine their personal style.

This shift highlights how weight loss, fashion, and commerce are interconnected, driving changes throughout the fashion industry from resale platforms to luxury brands.

Burberry exits London’s top-tier shares index, but the brand keeps its appeal

British luxury fashion house Burberry is set to leave London’s FTSE 100 after a 15-year run, the stock exchange announced on Wednesday. Analysts attribute the drop to strategic missteps and sluggish demand from China. Despite these setbacks, Burberry remains appealing to consumers, which could make it a target for a potential takeover.

Burberry’s removal from the prestigious index will be effective from the start of trading on September 23, according to the FTSE Russell. The company's recent struggles, including the abrupt departure of its CEO in July following disappointing earnings, have been compounded by economic challenges in China, a key market for global luxury brands. Burberry’s unsuccessful attempt to push further upmarket has also contributed to its decline.

Burberry, known for its iconic trench coats and signature red, camel, and black check pattern, is exiting the FTSE 100 as part of a routine reshuffle of the index, which tracks the 100 largest companies traded on the London Stock Exchange by market value.

Our take: Burberry’s exit from London’s FTSE 100 after 15 years marks a significant moment for the iconic luxury brand. Analysts point to a combination of strategic errors and waning demand from China as key factors in its fall from the top-tier index. Despite these challenges, Burberry continues to resonate with consumers, which might make it an attractive acquisition target.

The departure, effective from September 23, highlights a period of turbulence for Burberry. The recent leadership change and the brand's struggles to capture the Chinese market—a crucial area for luxury goods—have further compounded its difficulties. Burberry's attempt to shift further upmarket didn’t yield the desired results, contributing to its decline.

While Burberry’s removal from the FTSE 100 is part of a regular index reshuffle, it reflects broader challenges within the luxury sector. Nevertheless, Burberry's enduring appeal and strong brand heritage suggest that, despite its current setbacks, it may still hold substantial value in the market and could be poised for a potential revival or acquisition.

‘Maybe It’s Maybelline’ returns, reworked for TikTok era of beauty marketing

Maybelline New York is reviving its iconic jingle, “Maybe It’s Maybelline,” with a fresh, social media-friendly twist. The updated version captures the essence of New York City and promotes inclusivity and positivity.

Gigi Hadid, Storm Reid, Peggy Gou, and new ambassador Shay Mitchell are fronting the revamped campaign. Launched on TikTok, the jingle underscores the growing role of social media in beauty marketing. “Maybe It’s Maybelline” will feature prominently in the September campaign and future promotions.

Our take: Maybelline New York’s decision to revive the classic “Maybe It’s Maybelline” jingle with a modern, social media-savvy approach is a smart move that taps into current marketing trends. The updated jingle’s focus on New York City’s vibrancy and inclusivity aligns well with today’s emphasis on diverse representation and positivity in advertising.

Featuring high-profile ambassadors like Gigi Hadid, Storm Reid, Peggy Gou, and Shay Mitchell, the campaign is likely to resonate strongly with a broad audience. Launching on TikTok highlights the brand’s understanding of social media’s influence in beauty marketing, reflecting a strategic adaptation to new digital landscapes. By incorporating this nostalgic yet contemporary touch into their September campaign, Maybelline is effectively bridging the gap between classic brand elements and modern consumer expectations.