A recurring debate: Distribution or Product?
Digital upstarts and young brands catalyzed self-reflection by incumbents. But the inherent advantages from controlling distribution are continuing to show why scale remains a competitive advantage (or at least me confirming my bias)
Digital upstarts and young brands catalyzed self-reflection by incumbents. But the inherent advantages from controlling distribution are continuing to show why scale remains a competitive advantage (or at least me confirming my bias)
Nike's shift from wholesale to DTC
"Nike has intentionally choked off its business with what it calls “undifferentiated multi-brand wholesale”
"Nike has intentionally choked off its business with what it calls “undifferentiated multi-brand wholesale”
Pepsi's Direct-Store-Distribution
“We are vastly improving our ordering algorithms to automatically generate the perfect order for that store based on sales histories, counter trends and inventories”
https://www.digitalcommerce360.com/2018/04/04/pepsico-drives-a-more-digital-supply-chain/
“We are vastly improving our ordering algorithms to automatically generate the perfect order for that store based on sales histories, counter trends and inventories”
https://www.digitalcommerce360.com/2018/04/04/pepsico-drives-a-more-digital-supply-chain/
Disney + BamTech
"That’s going to be a massive business, and BamTech is going to be a massive winner in it” (Oct. 2017)
https://www.nytimes.com/2017/10/08/business/media/bamtech-disney-streaming.html
"That’s going to be a massive business, and BamTech is going to be a massive winner in it” (Oct. 2017)
https://www.nytimes.com/2017/10/08/business/media/bamtech-disney-streaming.html
Lululemon's wholesale-to-retail:
Chip Wilson: "Everybody else basically made clothing then wholesaled it to somebody else. Not only was I doing my own manufacturing but I owned my own stores so I was basically taking the profit of 2 middlemen out of the business"
Chip Wilson: "Everybody else basically made clothing then wholesaled it to somebody else. Not only was I doing my own manufacturing but I owned my own stores so I was basically taking the profit of 2 middlemen out of the business"