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How a seasoned DTC brand brought clarity to contribution margin, streamlined decisions, and grew profitably across Shopify and Amazon.
Before partnering with Bark, Magnolia’s e-commerce strategy treated the online store as a single unit. Conversion rates were measured at the store level, making it challenging to identify which products were underperforming or had high potential. This approach led to missed opportunities and inefficiencies in marketing and inventory management.
During the COVID-19 pandemic, Gottex’s online store experienced exponential growth. However, by 2023, growth had stalled. The usual strategy, scaling up ad spend on Google and Meta —was no longer working as before. Despite increasing marketing budgets, the return on investment eroded.
Rikushet, a leading outdoor gear brand with 40 brick-and-mortar locations, struggled to turn its e-commerce channel into a meaningful contributor to revenue. Despite the size of their catalog and brand recognition, online sales lagged behind — contributing just 1.5% of total sales by the end of 2023.