DTC’s Daily Digest brings you the latest news on the world’s fastest growing direct-to-consumer brands. In today’s edition: Simba raise USD$24m for global push; Avon and Natura join forces; and Hims and Hers partner with J-Lo and A-Rod.
Simba raise USD$24m for global push
The latest investment, which comes as Simba achieves profitability in core markets, brings a cash injection from Cartesian Capital Group.
With Cartesian’s global expertise and proven practice of internationalising household brands, the funding will be used to help Simba grow profitability in core markets, accelerate and deepen Simba’s existing business in Canada, and fuel future expansion in China.
Simba’s recipe for success is also based on a direct e-commerce strategy, amplified through strategic retail partnerships, putting Simba in principal position to succeed in the global sleep market. Half of the UK’s retail distribution network now stocks the brand, whilst in Canada, Simba has partnered with Canada’s largest specialist sleep store, Sleep Country.
Steve Reid, CEO at Simba said, “This year Simba achieved UK profitability whilst delivering significant global EBITDA improvements, and we are now in a position where we are primed for profitable growth on a global scale”.
In August 2019 it was announced that Eve Sleep and Simba were in early stage merger talks.
Avon and Natura join forces
Avon and Natura &Co have joined forces to create a leading DTC global beauty group. The landmark transaction creates the world’s fourth-largest pure-play beauty company. This marks a major new step in building a purpose-driven group committed to a different way of doing business.
The combination of Avon, Natura, The Body Shop and Aesop significantly amplifies the reach of a multi-channel, multi-brand group that will be an unparalleled leader in the Direct-to-Consumer space, bringing beauty to over 200 million consumers across the world at their convenience.
Natura &Co will hold leading positions in relationship selling, on and offline, through both Avon and Natura, with over 6.3 million Consultants and Representatives. The group will also have a strong position in retail with more than 3,000 stores and an expanded digital presence across all the companies. Natura &Co will have combined annual gross revenues of over US$10bn, more than 40,000 associates, a broad and complementary product portfolio across key categories and a global footprint in over 100 countries.
Hims and Hers partner with J-Lo and A-Rod
DTC wellness brand Hims and Hers has entered a partnership with Jennifer Lopez and Alex Rodriguez. The brands offer direct-to-consumer solutions for issues including hair loss, erectile dysfunction and skin care.
The collaboration with Lopez and Rodriguez was announced this month and will lead to an assortment of new wellness products for Hims and Hers in 2020. Lopez and Rodriguez will also help spread the message that “feeling good is a right, not a privilege.”
Hilary Coles, who joined the Hims and Hers team as a founder alongside Dudum (and another founder Jack Abraham), shared more about the partnership: “Like Jennifer Lopez and Alex Rodriguez, at Hims & Hers we will never shy away from tackling a tough or uncomfortable problem and really putting in the work to get it right. That effort will be reflected in our product launches for 2020, which will reflect multiple categories that have been historically overlooked by traditional brands.”
DTC Daily spoke to Hims and Hers founder Andrew Dudum in September 2019.
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