Welcome to the latest issue of Cuppa, a quick-fire newsletter for internet-first brand builders. Filled with analysis on the art, science and culture of building breakout brands in a digital age, it's quick enough to read over a cuppa. (Or something stronger, if you need it. No judgement). To get it direct to your inbox every other Monday, subscribe here.
ART
More brands are getting into TV
"Why rent someone else’s space where you have little control when you can invest in bespoke content for your audience and own your place in culture?" L'Oreal is the latest to dip their toe into narrative-led, broadcast-quality content with a TV show designed for hair pro's. (On the flip side, Netflix launched their own e-commerce website Netfix.shop)
4 olympic champions are starting a media and commerce company
TOGETHXR is a "media-commerce brand designed to elevate women's voices, around but not exclusively within sports". They've got 11m instagram followers between them, and their approach involves original content, licensing deals, and merch.
Billie rewrites classic fairy tales with an inclusive twist
Pride month is an incredibly interesting time to observe brands, and see whether they'll be celebrated as progressive, or brandished as opportunists. Context and the brand's historic positioning are key. Billie, a DTC razor brand long known for their support of the LGBTQ+ community, got it right.
SCIENCE
The evolving lingerie market explained in data
Bralettes and sports bras eclipsed push-ups by 382% and 162% respectively. High waist, full coverage briefs outsold hipster styles by 225% over the past three months. In other words - comfort is in.
Atoms offers shoes in quarter sizes based on one piece of data: 60% of people have a quarter-size difference between their right and left foot. They started as a single SKU challenger attacking an industry that has seen little innovation in >30 years. Since launch, they've climbed to an 85% repeat purchase rate and a recent cash injection of $8.1m.
Ssense raises their first investment round at a valuation of $4.1 billion
The luxury e-commerce marketplace, known for their curation and focus on editorial content, took their first piece of external investment to crack China. As a family-run business that's been profitable since launch it's likely this is their first foray into accelerated, more aggressive growth.
What we look for in digital brands.
Charlie Oscar is a brands group, so we're a little different to the standard investor. Unlike VC or private equity, we're operators with our own capital, and investing is just 10% of what we do. The other 90% involves using our data science lab and digital know-how to accelerate scale.
We're category agnostic, but look exclusively for high potential digital brands. That's brands that are:
Digitally native.
Product focused.
Have fans > customers.
Making money.
Different to the rest.
Taking a responsible approach.
