2PM - No. 371: Post "D.T.C."

Sweatpants Forever: On Post "D.T.C."

DTC / New York Times: You probably know what D.T.C. is even without knowing it. Reformation, Everlane, Outdoor Voices, Warby Parker, Allbirds — all those sans-serif, venture capital-funded brands that have proliferated so much in the last decade that you’re probably wearing one of them right now. Have you ever bought clothes from an Instagram ad? That’s D.T.C. Entireworld is sort of post-D.T.C., which is to say that there is no Silicon Valley boardroom trying to solve a problem for you. It’s just Sternberg, a fashion-industry refugee, feeling his way through it.

Editor's Note. First and foremost, this article was elegantly presented. From the creative design to the typography and graphics, the format served to emphasize the point of the article's substance. We have changed how we dress. The fashion industry is adjusting to the shift away from business casual attire. In a recent report by Marc Bain at Quartz, he explicitly asks: can men's suits survive Covid-19? 

The men’s suit business has been in decline for years in the US, thanks to the century-long trend of clothes getting more casual and even the most conservative office places loosening up dress codes. [1]

The question remains. But rather than focusing on what's been lost by the shift in apparel consumption, this New York Times report covers what's risen in its place. It's long been the case that casual wear was growing in popularity. Now, the threads are being welcomed into offices, schools, churches, and virtual social events. Brands like MadHappy are taking the spotlight from traditional (modern) luxury brands that were once statements of luxury. In that way, the shift to casual shouldn't be observed as apathy. Rather: a number of brands have elevated the format for a generation who feels comfortable in the same attire, in the home or office. 

Amazon and mall operator look at turning stores into fulfillment centers

A. New Landscape / Thoughts (2PM Team): Amazon, long hailed as the enemy of traditional retail, is now in discussions with the country’s largest mall ownership group to begin transforming former department store spaces into new distribution hubs. The move could provide some vitality to these otherwise declining structures, and would surely be huge for the eCommerce powerhouse.

From Polymathic Daily (June 2020) / Excerpt: 

That would mean better protection for the future of JCPenney than if Sycamore Partners stepped in, as a private equity company that would saddle the retailer with debt and only prolong an eventual breakdown. And Amazon, it’s safe to assume, would only turn the retailer into a network of warehouses.

Read the short analysis: JCPenney's Newest Takers

Amazon reportedly considering mall space for fulfillment centers

B. Retail Real Estate / The Verge: Simon is the biggest mall owner in the US, and looking to fill empty retail spaces, particularly those left behind by former anchor tenants like Sears and JCPenney. Having its fulfillment center warehouses closer to residential areas would help Amazon make deliveries more quickly, the WSJ notes.

Nelk's obnoxious but effective business strategy

New Media / Thoughts (2PM Team): Nelk hasn't backed down from their party-driven lifestyle amidst the pandemic. They are are becoming analogic of a larger issue. Their decisions may be sending a dangerous message to followers, but their business is booming.

The American Dream

Sociology / 2PM (unlocked brief): Our actions should consider that the American experiment performed best when the majority of the country thrived in the middle. Our new minority and majority are unclear but the direction of their growth or contraction are evident. The American Dream diminishes with each instance of shunned collectivism.

Editor's Note: this was a popular one over the weekend. It's worth your time. 

There are only a few moments in life when buying habits change, and a pandemic is one of them

eCommerce / Quartz: The buying habits of shoppers tend to change slowly. Covid-19, however, has been disruptive enough to shake them up, and companies are trying to take advantage. Josh Silverman, CEO of Etsy, an online marketplace focused on handmade and vintage goods, described how he sees the pandemic reshaping normal consumer behavior during an Aug.

StockX launches product release model 'DropX'

eCommerce / WWD: DropX will allow for brands to launch or auction products direct-to-consumer through StockX and its millions of users. The concept is similar to StockX’s IPO model where the marketplace would do blind Dutch auctions for limited-edition collections and items, but according to Tom Woodger, StockX’s vice president of cultural marketing, the new concept allows for an increased frequency of product launches.

The end of the department store era

Retail Real Estate / Glossy: “The outcome of the current economic climate will most likely be the disappearance or major restructuring of many national department store chains. Their precarious finances pre-crisis will make it nearly impossible for them to prosper post-crisis, without major restructuring.”

Hypotenuse AI wants to take the strain out of copywriting for eCommerce

Artificial Intelligence / TechCrunch: “We use computer vision to understand product images really well. And we use this together with any metadata that the product already has to generate a very ‘human fluent’ type of description. We can do this really quickly — we can generate thousands of them within seconds.”

Editor's Note: please hurry, thanks.

The beauty trends customers are buying during Covid-19

Beauty / Vogue Business: New data from Spate indicates that four key beauty trends have emerged during the pandemic: at-home beauty tools, purple haircare products meant to preserve colour, serums and blue light-blocking skincare.

Intro: There are three types of infrastructure. One is visible: roads, dams and bridges. The second is invisible: broadband internet provisions and the entirety of our cellular infrastructure. Both are still vital in building our present. The third form of infrastructure is one being rebuilt in order to be repurposed for future use.

Read more here