Buffy is part of a growing cohort of digitally native brands that are prioritizing longevity over fast growth out of the gates. It’s a sign that the category’s maturing: In the past, brands saddled with millions in VC-funding could squash competition by outspending them on flashy marketing campaigns and brand awareness. With customer acquisition becoming prohibitively expensive, young brands like Hims and Rothy’s, in addition to Buffy, are turning their attention to loyalty plays and long-term growth plans.
Additionally, Buffy isn’t afraid of Amazon like most brands in the direct to consumer category. Instead they see the ecomm giant as an ally to strengthen their brand awareness and complement their owned channels. Buffy’s goal is making sustainable bedding more readily available and affordable for their customers, so they’ve taken the unpopular route of selling through Amazon to quickly gain awareness and volume.
“What Amazon represents is a way to get the word out and get product into people’s hands. If you look at it just from a business standpoint, Amazon is the world’s marketplace and they do so much so well, and they represent a door into everyone’s home in a way,” said Shaked. “For us, I think recognizing those opportunities as non-threatening to our brand is important. It’s not something that gets in the way of people going to our site, so I don’t see it as a problem. It’s a way to leverage technology.”
Why it’s hot?
This shift among DTC brands signifies a new perspective on how brands in this category are focused on fulfilling their brand’s mission by leveraging competitive giants to their advantage and focusing on retention versus fast scale growth. This requires a shift from traditional acquisition strategies to retention and loyalty focused demand gen strategies.