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DTC Lessons: Future-proofing DTC brands with GoodKarma

Each week, we're chatting to an expert in the eCommerce space to share their wisdom on building a resilient DTC brand in 2022 and beyond. This week we're handing the mic to Orsi Szentes, Co-founder at GoodKarma.

Take it away Orsi…

Interview with Orsi Szentes, Co-founder at GoodKarma

Let us know your role and what you do day to day.

I am the co-Founder of GoodKarma, a digital agency based in Amsterdam. Together with my team we launch and grow future-proof brands.

It’s a tough year for eCommerce. Which area should DTC brands be focusing their time and efforts towards, and why?

The solution is never as simple as ‘do this and you’ll succeed’ - there are no shortcuts, no matter what some might promise ;) I am a firm believer of a holistic approach and having a solid base. For eCommerce brands that means having a good product that people love and/or solves a problem. If this means holding off on scaling acquisition, then so be it - it might be tougher for a short while, but it will pay off down the line. Then when you are ready to scale you’ll stand a much better chance to hit your targets. That’s where we can help you.

At GoodKarma you help leading brands to grow and scale. Can you give us 2 success stories with DTC brands?

We recently worked with Planet Organic, my absolute dream company, as I am a bit of a sucker for niche health and wellbeing brands. They are growing so fast and their email marketing strategy couldn't keep up. Challenges included account structure, list hygiene and outdated automations. We did a complete clean up of the account and created a whole new set of Klaviyo flows for them. They are now set to engage every single customer at the right time, with the right message throughout the customer lifecycle. 

Another recent favorite case of mine is Bundleboon. They makes parents’ lives easier through a hassle-free, personal shopping experience for kids. Their brand lacked consistency which had an impact on all KPIs, including the bottom line. So we worked with them on a complete rebrand: refining their proposition, creating a new look and feel, and developing a new Shopify site with the physical assets to match. After the relaunch, the conversation increased by 28% and the CAC went down by 35% and the feedback from the customers was also incredibly positive. A perfect example of what a holistic approach can deliver.

You specialize in launching and growing future-proof brands - what piece of advice would you give to DTC brands who want to scale sustainably? 

To focus on profit, not growth. There is a general shift in this direction anyway, but it can be tempting, for example, to keep throwing money at acquisition and neglect retention. In an ideal, holistic approach, you’ll focus on both.

What are the biggest trends you’re seeing right now in DTC?

Trends I’m seeing are acknowledging that TikTok is a viable channel for a broader audience then initially thought, SMS and WhatsApp marketing becoming more accepted by consumers and the increase of brands offering subscriptions. 

My advice is to test all of the above if it suits you brand, audience and business model! You have to be agile and you have to take risks within reason and testing is the best way to explore whether a new channel can and should become part of your strategy.

If you could tell DTC brands to stop making one mistake, what would it be?

To not rely on one channel only. You simply must diversify and constantly be trying new ways to reach your existing or a new audience. Otherwise you are too reliant and therefore exposed to sudden changes. This is your hint to launch that TikTok campaign!

Complete the sentence: DTC brands that survive and thrive in 2022 will ____.

Test and learn, stay agile and look at their marketing strategy holistically in order to see the synergies between each channel and funnel part.

Who are 3 people in the eCommerce ecosystem you look up to and recommend everyone should follow?

Nik Sharma - perhaps a bit of an obvious one, nevertheless, I look forward to opening his newsletter every Monday morning with my first coffee. I love it because it’s full of concrete, actionable tips. 

Daphne Tideman - she was Head of Growth at Heights, one of my favorite supplements brands. I still look to Heights as an example of a subscriptions supplement done right and I would know, I was a loyal customer for a long time. Daphne has tons of super useful insights especially when it comes to subscription brands.

Ana Andjelic - for a more in depth understanding of trends and consumers from a sociology perspective, there is no one better to look to then Ana. 

Thanks Orsi! Where can we hear more from yourself & GoodKarma?

You can find out more about GoodKarma via our website, and you can follow me on Linkedin!

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