Frederic Fernandez & Associates

FFA is a word leading strategy and M&A consulting firm and thought leader in the FMCG industy with 14 of the 20 largest FMCG companies being repeat clients.

What I do:

• D2C turnaround 
• 4P marketing strategy 
• Target audience definition
• Consumer and market insights (quant/qual)

D2C & Organic Growth Expert in FMCG

Julia Kinner & Associates SA

JK&A helps consumer businesses to attract and retain profitable customers.

What we do:

• Business strategy 
• Product positioning 
• Value proposition design
• Marketing roadmap and execution
• Customer lifetime value development
• Consumer and market insights (quant/qual)

Marketing Consultant & Interims Manager & Fractional CMO 

I am available for consultations via GLG.

Industry Expert

Salt Mobile SA

Salt is the third largest and fastest growing telecommunications provider in Switzerland making 1b yearly revenue.

• Leading the Marketing Department with 25 employees (Budget: 25m): E-Commerce (Website and E-Shop), Product Management (Landline, Postpaid, Prepaid), Customer Value Management, Branding, and Campaign Management

• Responsible for the brand presence across all Above-The-Line (ATL) and Below-The-Line (BTL) communication channels, ensuring brand conformity in accordance with guidelines and brand values

• Developing, creating, executing, and coordinating all Point-of-Sale (POS) and trade communication activities. Defining the annual program based on the Marketing Roadmap

• Overall management of media planning and media purchasing

• Strategic development of digital marketing and creative direction in new media (website, e-shop, intranet, social media presence)

• Establishing a benchmark brand presence integrated with sales and service messages

• Rebranding

Chief Marketing Officer Member of the Management Board 

Sunrise GmbH

Sunrise is the second largest telecommunications provider in Switzerland making 3b yearly revenue.


Senior Marketing Manager Customer Value Management

Leading +20 cross-functional projects to reduce customer defection and increase CLTV creating incremental value of +2m per year.

Senior Marketing Manager, Customer Value & Churn Management

Marketing Manager Customer Value Management

Implementation of projects to improve the CLTV in telecommunication as business lead.
Requirements design.
GTM of new processes and services.

Marketing Manager, Customer Value & Churn Management

Analysing consumer sentiments and NPS and driving the roadmap for improvement. 
Was great - but I was promoted after 4 months :)

Customer Insights Specialist, Customer Value & Churn Management

ZHAW Life Sciences und Facility Management

Project management in sensory consumer research, R&D projects and lecturing.

Scientific Associate, Sensory & Consumer Testing

Scientific Assistant, Sensory & Consumer Testing

LVA GmbH

Monitoring and auditing food and pharmaceutical companies.

Quality Inspector, Food and Pharmaceuticals

Symrise AG

Developing a flavouring system for low-fat margarine that later was commercialized.

Diploma Student, Product Development Flavors

esarom gmbh

Junior Quality Manager

𝗙𝗲𝘄 𝗯𝘂𝘀𝗶𝗻𝗲𝘀𝘀𝗲𝘀 𝘂𝗻𝗱𝗲𝗿𝘀𝘁𝗮𝗻𝗱 𝗺𝗮𝗿𝗸𝗲𝘁 𝗱𝗲𝗺𝗮𝗻𝗱, 𝗰𝗼𝗻𝘀𝘂𝗺𝗲𝗿 𝗻𝗲𝗲𝗱𝘀 𝗮𝗻𝗱 𝘁𝗵𝗲 𝘃𝗮𝗹𝘂𝗲 𝗯𝗲𝗵𝗶𝗻𝗱. 𝗧𝗵𝗮𝘁'𝘀 𝘄𝗵𝘆 𝘁𝗼𝗼 𝗺𝗮𝗻𝘆 𝗳𝗮𝗶𝗹 𝗼𝗿 𝘀𝘁𝗮𝘆 𝗯𝗲𝗹𝗼𝘄 𝗲𝘅𝗽𝗲𝗰𝘁𝗮𝘁𝗶𝗼𝗻𝘀.

Yours is one of them?
Let's change that.

𝗜 𝗵𝗲𝗹𝗽 𝘆𝗼𝘂 𝗮𝗰𝗾𝘂𝗶𝗿𝗲 𝗮𝗻𝗱 𝗿𝗲𝘁𝗮𝗶𝗻 𝘆𝗼𝘂𝗿 𝗺𝗼𝘀𝘁 𝗽𝗿𝗼𝗳𝗶𝘁𝗮𝗯𝗹𝗲 𝗰𝘂𝘀𝘁𝗼𝗺𝗲𝗿 𝘀𝗲𝗴𝗺𝗲𝗻𝘁𝘀.

If you struggle to acquire new customers and/or retain them you are in the right place.

I spent my entire career on consumer insights, marketing and customer value management, was CMO of the fastest growing Swiss Telco and scaled a startup from 0 to 5m in 12 months. 

I left "corporate marketing" because it isn't solving business problems which I want to do in life :D

---
For anyone that is interested in D2C, marketing strategy and customer value there is plenty of useful content on my profile. 
Feel free to connect, comment and ask.
---

𝗪𝗮𝗻𝘁 𝘁𝗼 𝘄𝗼𝗿𝗸 𝘄𝗶𝘁𝗵 𝗺𝗲 
I offer consulting, coaching, interim and fractional services.
 
I work with consumer businesses that have a current revenue run rate 5m upwards.

My focus areas are subscription businesses, Telco, D2C, D2C Tech/SaaS, supply demand platforms (real estate, cleaning services etc.), VMS, medical services.

𝗣𝗹𝗲𝗮𝘀𝗲 𝗼𝗻𝗹𝘆 𝗿𝗲𝗮𝗰𝗵 𝗼𝘂𝘁 𝗶𝗳 𝘆𝗼𝘂 𝗺𝗲𝗲𝘁 𝗔𝗟𝗟 𝗼𝗳 𝘁𝗵𝗲 𝗳𝗼𝗹𝗹𝗼𝘄𝗶𝗻𝗴 𝗰𝗿𝗶𝘁𝗲𝗿𝗶𝗮.

1. Revenue of at least $3 million 
2. D2C OR selling B2B online 
3. Ready for substantial changes (I don't do cosmetics)
4. Ready to invest >10k into market research 
5. You see consulting as an investment and can spend 15-20k on fees without having panic attacks.

𝗠𝘆 𝗱𝗿𝗲𝗮𝗺 𝗰𝗹𝗶𝗲𝗻𝘁𝘀 𝗮𝗿𝗲 𝗗𝟮𝗖 𝗦𝗮𝗮𝗦 / 𝗧𝗲𝗰𝗵 𝗯𝘂𝘀𝗶𝗻𝗲𝘀𝘀𝗲𝘀 🤩.
Please reach out!!!

Looking forward to hearing from you.
Let's grow!

Cheers,
Julia

I just came across this amazing brand report that CMOs and CEOs might want to know.

It's the insurgent brand report by Bain.

Insurgent brands are independent or acquired brands that 

- generate more than $25 million of annual revenue in tracked channels

- have a 10x growth rate vs. the average category GR over the past five years

- maintained at least 10% growth over the past two years 


If you are interested in a deep dive that covers the most exciting brands and what they do, stay tuned.

#brands #growth #marketing



Julia Kinner

Helping D2Cs to identify, acquire & retain their most profitable customer segments | Business Consultant | Interim CMO | "Consumer-Back" Business Strategy

𝗧𝗵𝗲 𝗔𝗜 𝗯𝘂𝗯𝗯𝗹𝗲'𝘀 𝗳𝗶𝗿𝘀𝘁 𝗰𝗿𝗮𝗰𝗸𝘀
Meta loses 190m (-15%) in market cap after its announcement that 

AI investments could take several years to scale up and being profitable.
Curious to see if, when and how much.

How many businesses will never see a payback on AI? 
Most probably many - but selling AI is a great business.

𝗧𝗵𝗲 𝗪𝗶𝗻𝗻𝗲𝗿𝘀 
E.g. Boston Consulting Group (BCG) states that 20% of their booked revenue for 2024 is on AI. 
2023 revenue of BCG: 12b.

𝗕𝗼𝘁𝘁𝗼𝗺𝗹𝗶𝗻𝗲 𝗔
At this point there is for sure one big winner - consultancies selling AI.

𝗣𝗢𝗩
Fancy tech can't replace a solid consumer back strategy and I would much prefer to see more investment into "the basics" - with most likely greater payback.
FOMO is a nasty thing!

𝗪𝗿𝗶𝘁𝗲 𝗢𝗳𝗳 𝗙𝗹𝗮𝘀𝗵 𝗕𝗮𝗰𝗸
You remember the Metaverse Hype?
Meta itself has thrown $36 billion at MV.

By 2022 10-17% of IT, finance, education and marketing business had stated investments into the metaverse
Big write offs? Most likely.

Are there too many resources going into AI?


Your strategy should be so good, it almost feels unfair. Giving you a tiny feeling of pity for your doomed competitors. How do you get there?

There are endless great strategy frameworks, models and theories that can help, but you also need a perspective shift.

You must read the visual story to learn it.

Let us discuss in the comments to elaborate on it.


---
If you want us to turn you inside out, send us a mail at info@georgson.org.

Unfair!

𝗡𝗼𝘁 𝗮𝗹𝗹 𝘁𝗵𝗮𝘁 𝗴𝗹𝗶𝘁𝘁𝗲𝗿𝘀 𝗶𝘀 𝗴𝗼𝗹𝗱
I love the insurgent brands report. It summarizes 100 fast-growing FMCG brands.

𝗪𝗶𝗻𝗻𝗲𝗿𝘀 & 𝗟𝗼𝘀𝗲𝗿𝘀

All brands on the list are 
- fast-growing
- major contributors to category growth despite small market share
- outperform category growth by at least a factor of 10 

However, the report doesn't consider bottom-line performance and looking into more detail, some brands have been deceptive in terms of profitability, while others managed top-line growth AND profitability.

Let's look at some examples.

𝗠𝗼𝗱𝗲𝗹 𝗦𝘁𝘂𝗱𝗲𝗻𝘁 𝗘𝘅𝗮𝗺𝗽𝗹𝗲

Chobani

The founder Hamdi Ulukaya immigrated to the US from Turkey and was struck by American yogurt, which he found overly sweet and full of additives. He started Chobani in 2005 and began making Greek-style natural yogurt which almost immediately saw steep growth.

Today, Chobani holds the largest share of the US yogurt market (21%, Nielsen), generated a 14% sales growth (NS $1.75 billion) and doubled adjusted earnings to $325.2 million in the first nine months of 2023.

End of 2023, Chobani acquired ready-to-drink coffee maker La Colombe for $900 million and launched an RTD coffee beverage to disrupt the RTD category with coffee shop quality on the shelf.

- Full taste and texture of a cold latte, with a layer of froth
- 50% less sugar compared vs. alternatives
- Variety: Double, Triple, Mocha, Vanilla, and Caramel

Personally, I am very curious to see how this is going to evolve, but Chobani is an excellent example of a brand that managed to achieve top and bottom-line growth (total funding of $1.3 billion according to Crunchbase).

𝗢𝘁𝗵𝗲𝗿 𝗯𝗿𝗮𝗻𝗱𝘀 𝗼𝗻 𝘁𝗵𝗲 𝗶𝗻𝘀𝘂𝗿𝗴𝗲𝗻𝘁 𝗯𝗿𝗮𝗻𝗱𝘀 𝗹𝗶𝘀𝘁 𝗵𝗮𝘃𝗲 𝗯𝗲𝗲𝗻 𝗱𝗼𝗶𝗻𝗴 𝗹𝗲𝘀𝘀 𝘄𝗲𝗹𝗹

Famous examples include Oatly and Beyond Meat in the plant-based category.

𝗕𝗲𝘆𝗼𝗻𝗱 𝗠𝗲𝗮𝘁

Owing to slowing sales, poor unit economics, and failed food service partnerships with McDonald's and Dunkin' Donuts, Beyond Meat has lost 88% of its market cap since IPO with total funding of almost $500 million.

Overall, meat alternatives are a category that failed to create incremental value for consumers in terms of taste profile and price vs. alternatives. An inital hype that did not sustain. 

𝗢𝗮𝘁𝗹𝘆

Oatly has lost 95% of its market cap since its IPO in 2021 ($14 billion to $0.7 billion in 2023). Potential reasons for this are (1) high price vs. replacement and competition, (2) an unattractive GM structure, (3) a rapid expansion strategy leading to massive cash burn.

𝗧𝗼 𝗦𝘂𝗺𝗺𝗮𝗿𝗶𝘇𝗲

Not every brand that makes it to the insurgent brands list is set up for long-term success and profitablity, but there are some gems that seem to get in all right. 

👉 For more insights and deep dives on the insurgent brands stay tuned.

I am Julia Kinner, I help D2C brands to identify, acquire and retail their most profitable consumer segments. 

#brands #profitablity #plantbased #growth

80% of direct-to-consumer (D2C) businesses are not profitable.
63% are not profitable at all.

This is what a survey by MMA India and Publicis Commerce shows. 

𝗧𝗵𝗲 𝗺𝗮𝗶𝗻 𝗿𝗲𝗮𝘀𝗼𝗻 𝗳𝗼𝗿 𝘁𝗵𝗶𝘀: 
𝗣𝗼𝗼𝗿 𝗖𝘂𝘀𝘁𝗼𝗺𝗲𝗿 𝗩𝗮𝗹𝘂𝗲 𝗙𝘂𝗻𝗱𝗮𝗺𝗲𝗻𝘁𝗮𝗹𝘀

D2C is a "CAC/CLTV Game" and attempts to out-scale poor unit economics and value fundamentals are doomed to fail. 

Profitability on D2C is only possible with sound CAC/CLTV.
There is no way around.
Period. 


𝗗𝗿𝗶𝘃𝗲𝗿𝘀 𝗯𝗲𝗵𝗶𝗻𝗱 𝘀𝘂𝗯𝗽𝗮𝗿 𝗖𝗔𝗖/𝗖𝗟𝗧𝗩 

1. Low repeat [naturally limited occasion footprint/subpar value proposition vs competition/insufficient consumer stimulation & top of mind]

2. Low AOV [pricing, portfolio and promotion strategy]

3. High variable cost [COGS, shipping, transaction fees, handling fees]

4. Non digital path to purchase [increasing acquisition cost AND causing lack of volume to absorb fix cost]

5. Suboptimal digital marketing strategy / conversion funnel leading to high acquisition cost.

If those aren't met D2C can't be profitable and scale is irrelevant.
When will CEOs and investors finally understand fundamentals?

#ecommerce #D2C #cosumervalue #CLTV

Open article: Majority of D2C businesses still not profitable, shows a study by economictimes.indiatimes.com • 2 min read

economictimes.indiatimes.com • 2 min read

Majority of D2C businesses still not profitable, shows a study

𝗧𝗵𝗲 𝗔𝗺𝗯𝗶𝘁𝗶𝗼𝗻 𝗦𝘁𝗿𝗮𝘁𝗲𝗴𝘆 𝗚𝗮𝗽
D2C, FMCG, SaaS CEOs & CMOs - is your strategy commensurate to your ambitions?


𝗜 𝗻𝗲𝘃𝗲𝗿 𝗺𝗲𝘁 𝗮 𝗯𝘂𝘀𝗶𝗻𝗲𝘀𝘀 𝘄𝗵𝗼 𝗱𝗶𝗱𝗻'𝘁 𝘄𝗮𝗻𝘁 𝘁𝗼 𝗴𝗿𝗼𝘄.

However, I met many, where growth ambitions and strategy were detached, and strategy was misaligned with short and/or long term growth ambitions.


𝗧𝗵𝗲 𝗡𝗮𝗴𝗴𝗶𝗻𝗴 𝗤𝘂𝗲𝘀𝘁𝗶𝗼𝗻 
𝗗𝗼 𝘆𝗼𝘂𝗿 𝘀𝘁𝗿𝗮𝘁𝗲𝗴𝘆 𝗮𝗻𝗱 𝗲𝘅𝗲𝗰𝘂𝘁𝗶𝗼𝗻 𝘀𝘂𝗽𝗽𝗼𝗿𝘁 𝗽𝗿𝗼𝗷𝗲𝗰𝘁𝗲𝗱 𝗴𝗿𝗼𝘄𝘁𝗵?

Do you have:

✅  A clear definition of your target group and an understanding of the growth potential of subsegments.

✅ Good understanding of channel profitabilities and expandabilities.

✅ An appealing value proposition and a clear Unique Selling Proposition (USP) that resonates with your target audience’s 4P preferences.

✅Flawless and consistent execution of sales fundamentals across all channels, ensuring a strong FMOT (first amount of truth).

✅Strong enough executional capabilities

✅Appropriate marketing investment 


𝗡𝗢𝗧𝗔 𝗕𝗘𝗡𝗘
Appropriate marketing investment is the final point on the list.
When discussing growth, the conversation often turns to budget first. However, a budget acts like fuel to accelerate a machine, it cannot replace the mechanic.

I am regularly asked for marketing strategies to increase awareness and consideration, "drive sales". Often, I need to tell my clients "you lack fundamentals, we need to fix this first, or you will likely just waste your budget".


𝗙𝗶𝗻𝗮𝗹 𝗥𝗲𝗳𝗹𝗲𝗰𝘁𝗶𝗼𝗻
Fix your machine before attempting to reach the stars.
A broken trampoline won’t launch you into the skies. 
It's not just about mending what's broken—it's about ensuring that every part of your business is ready for the ambitious leap.

#strategy #D2C #ecommerce

Time to say "thank you" 👏
Over the years I met a lot of great people on LinkedIn.

One of those gems is Aryan.
Aryan has been supporting me on many design projects with my clients over the years and I would not want to miss his brilliant design brain :D

It's time to say thank you, for all the support.
Keep rocking Aryan 💪

If you need a great designer that supports you flexibly, you know where you find one 🙂

Aryan Kumar

Graphic Design, Visual Design, Social Media Marketing, and Content Marketing

I can highly recommend to work with Aryan.
We have been working together since 2022 on different design projects which always went very smooth with great results.

Thanks a lot Aryan!

Julia Kinner reviewed Aryan’s Visual Design services

𝗠𝗼𝗿𝗲 𝗖𝗵𝗮𝗻𝗻𝗲𝗹𝘀 - 𝗟𝗲𝘀𝘀 𝗣𝗿𝗼𝗳𝗶𝘁
The Value Dilutive Omni-Channel Strategy

Is it time for a Chief Value Officer?


We live in a complex business world, and the sales ecosystem has been fragmenting heavily over the past 20 years.
Amazon, D2C, retail, online retail, TikTok shopping, social selling...

Overall, holistic omni-channel value management is still in its infancy, and businesses struggle to understand the function and present/future value of their channels.


𝗧𝗵𝗲 𝗥𝗲𝘀𝘂𝗹𝘁

Omni-channel becomes a value-dilutive play with misaligned pricing, product, and consumer recruitment strategies where allocated resources are misaligned with profit potential.



𝗠𝗼𝘀𝘁 𝗖𝗼𝗺𝗺𝗼𝗻 𝗕𝗹𝗶𝗻𝗱 𝗦𝗽𝗼𝘁𝘀

[1] Channel Economics

An inaccurate view of the P&L for each channel [GSV, NSV, GP, expenses] and comparing channel profitability not on a like-for-like basis, driving profit-dilutive channel prioritization.


[2] Consumer Economics

Not understanding CAC/CLTV and payback per channel, consequently leading to unfavorable allocation of marketing spend, i.e., investing too much in channels with an unfavorable CAC/CLTV ratio, or underinvesting in channels with good customer value metrics.

CAVE: Channel and consumer economics aren't the same thing! Channel economics give you a view of net unit economics per channel, while consumer economics help you to understand the future consumer value per channel.


[3] Channel Potential & Addressable Gaps

Unclear understanding regarding relative performance [under-/over-trading market share (MS) vs. total MS and growth rates per segment].

What does it take in terms of assortment, pricing, and visibility to win a channel, and what's the size of the prize?


𝗜𝗳 𝘆𝗼𝘂𝗿 𝗯𝗼𝘁𝘁𝗼𝗺-𝗹𝗶𝗻𝗲 𝗿𝗲𝘀𝘂𝗹𝘁𝘀 𝗶𝗻 𝗮 𝗺𝘂𝗹𝘁𝗶-𝗰𝗵𝗮𝗻𝗻𝗲𝗹 𝗲𝗻𝘃𝗶𝗿𝗼𝗻𝗺𝗲𝗻𝘁 𝗸𝗲𝗲𝗽 𝗱𝗲𝗰𝗿𝗲𝗮𝘀𝗶𝗻𝗴, 𝘆𝗼𝘂 𝘀𝗵𝗼𝘂𝗹𝗱 𝗮𝘀𝗸 𝘆𝗼𝘂𝗿𝘀𝗲𝗹𝗳 𝘁𝗵𝗲 𝗳𝗼𝗹𝗹𝗼𝘄𝗶𝗻𝗴 𝗾𝘂𝗲𝘀𝘁𝗶𝗼𝗻𝘀:


1. What is the strategic function of a channel in your omni-channel strategy (visibility/awareness, discovery/consideration, purchase/repurchase/brand), and how do we manage/prioritize a channel accordingly?


2. What is the present and future net value of a channel in a like-for-like comparison? (volume, growth rates per segment, acquisition cost, profit, acquisition cost, repeat/CLTV, resources)


3. How exactly should we play in each channel to maximize omni-channel value long term? (assortment, price, promotion, marketing investment)


𝗧𝗵𝗲 𝗖𝗼𝗺𝗺𝗼𝗻 𝗗𝗲𝗻𝗼𝗺𝗶𝗻𝗮𝘁𝗼𝗿 

Superficiality driven by a responsibility vacuum. 
No one owns omni-channel value!
In most organizations, there is no function that manages omni-channel value holistically, and those questions rarely find a clear answer.


Is it time for a Chief Value Officer who is in charge of omni-channel value?

When Elon Musk wants to "try a little marketing" 🙀

Hire and Fire!

How come, even the brightest brains just don't get it?

Open article: Tesla lays off its new marketing team months after launching it: report by businessinsider.com • 2 min read

Tesla lays off its new marketing team months after launching it: report

𝗛𝗼𝘄 𝘁𝗼 𝗧𝗮𝗻𝗸 𝗬𝗼𝘂𝗿 𝗕𝘂𝘀𝗶𝗻𝗲𝘀𝘀 𝟭𝟬𝟭
𝗢𝗻𝗲 𝗶𝗻𝗴𝗿𝗲𝗱𝗶𝗲𝗻𝘁. 𝗭𝗲𝗿𝗼 𝘀𝗸𝗶𝗹𝗹𝘀.

CEOs can make many mistakes.
Hiring misfits, dodging wisdom, innovation inertia etc.

But there's one thing that beats all!
A Market & Consumer Ignorant Strategy.


Positioning, product, value prop — in their own little world, far away from market reality.

𝗪𝗵𝘆'𝘀 𝗼𝘂𝗿 𝗺𝗮𝗿𝗸𝗲𝘁 𝘀𝘁𝗿𝗮𝘁𝗲𝗴𝘆 𝗮 𝗯𝗹𝗶𝗻𝗱 𝗺𝗮𝗻'𝘀 𝗯𝗹𝘂𝗳𝗳?

- Because we’re totally in the dark about consumer 4P preferences—think barriers, drivers, unmet needs, and why different segments don’t think we’re top of the crop. Plus, we’re puzzled on how to tailor our 4Ps to scoop up profits.

- We're totally clueless about penetration, frequency, SOW, SOG, and why consumer segments either adore us or ignore us.

- Because we’re fumbling at the starting blocks like category entry points (CEP), the point of market entry (POME), and key influencers/gatekeepers.


𝗕𝗼𝘁𝘁𝗼𝗺 𝗹𝗶𝗻𝗲

If you want to tank your business.
Ignore consumer needs, high value segments as well as penetration and frequency metrics.

If not, drop me a line.


Me, I am Julia Kinner, I help consumer-facing businesses to identify, attract, and retain their most valuable consumer segments.

#segmentation

#growthstrategy

#marketing

#strategy

CMOs and CEOs: Do you understand what drives your target group? 
A micro use case.

Turo 

Turo, the peer to peer car rental, has a clear message to attract supply side.

"Start your business with car sharing".
1 car = 10k additional income 
9 cars = 100k additional income 

Sounds appealing.

- BUT is it the right way to build supply?

- What's the share of car owners that have a strong intention to build a serious business?

- What's the share that just wants to monetize on a barely used vehicle?

- What are drivers, barriers and triggers?

- What's volume and value behind?


Let's be honest, I don't know.
Maybe it's the perfect pitch :D.


The point I am trying to make:
It's essential to understand your most valuable consumer segments, their size ,value, drivers, barriers and triggers and shape your value proposition accordingly.

You think it's a good idea to focus on aspiring entrepreneurs?

#carrental #consumers #marketing #mobilityasaservice #saas







𝗔 𝗠𝗶𝗻𝗶 𝗤𝘂𝗶𝗰𝗸-𝗖𝗼𝗺𝗺𝗲𝗿𝗰𝗲-𝗣𝗻𝗟 𝗳𝗼𝗿 𝗗𝟮𝗖
The Winners and Losers

The only winners of quick commerce are Quick Commerce players. It's a transfer of profit from D2C to QC.
On a side note, most QC consumers are unprofitable, but that's a topic for another post.

Why?
𝗧𝗵𝗲 𝗙𝘂𝗻𝗱𝗮𝗺𝗲𝗻𝘁𝗮𝗹𝘀


[1] D2Cs pay 30-45% commission for a spot.

[2] Spend around 20% of sales volume on platform promotions.

[3] Discount their products by 20%.


𝗧𝗵𝗲 𝗣𝗻𝗟

Let's put this into a mini PnL. 
Just to make a point.


Gross Sales Value: $100,000
Discounts: -$20,000 (20% of GS)
Net Sales Value: $80,000

COGS: -$32,000 (32% of Gross Sales Value)
Gross Profit from Net Sales: $48,000


Sales Commissions: -$28,000 (35% NSV)
Marketing Expenses: -$20,000

Net Profit (or Loss): $0.0

With a Gross Margin of 68% (way above average) you break even; not considering additional expenses like HR, agencies, production etc.
Good luck.


𝗧𝗵𝗲 𝗽𝗿𝗼𝘀 𝗼𝗳 𝗤𝗖:

- "Freeride" on existing traffic
- Build awareness, trial etc.

𝗧𝗵𝗲 𝗰𝗼𝗻𝘀:

- Low to no short or long term profitability

Let's stop hunting revenue. 
𝗥𝗲𝘃𝗲𝗻𝘂𝗲 𝗶𝘀 𝘃𝗮𝗻𝗶𝘁𝘆, 𝗽𝗿𝗼𝗳𝗶𝘁 𝗶𝘀 𝘀𝗮𝗻𝗶𝘁𝘆, 𝗖𝗟𝗧𝗩 𝗶𝘀 𝗸𝗶𝗻𝗴.

Is Quick Commerce part of your omni-channel strategy?


#ecommerce #d2C

Open article: D2C brands cough up 30-45% commission for a spot on quick-commerce platforms - ET Retail by etretail.com • 12 min read

retail.economictimes.indiatimes.com • 12 min read

D2C brands cough up 30-45% commission for a spot on quick-commerce platforms - ET Retail

👉 3 Things D2C and Tech CMOs / CEOs need to learn from FMCG 


I've had the privilege of working with various industries over the years.
D2C, FMCG, Tech.
Each of them has strengths and weaknesses, and there is a lot to learn.

𝗣𝗢𝗩
FMCG approaches things differently and has the best consumer and market understanding by far.
They have been doing it for a while ;)

𝗪𝗵𝗮𝘁 𝘁𝗼 𝗹𝗲𝗮𝗿𝗻 𝗳𝗿𝗼𝗺 𝗙𝗠𝗖𝗚

There are KPIs that I haven't encountered in D2C or tech.
It's typically FMCG.

However, I'm absolutely convinced that the FMCG approach would do good to many businesses. It's a structured and analytical way to look at the market, consumers, and opportunities shaping "where to play" and "how to win" choices.

Penetration and frequency guide the path to growth because 𝗴𝗿𝗼𝘄𝘁𝗵 𝗶𝘀 𝗻𝗼𝘁𝗵𝗶𝗻𝗴 𝗺𝗼𝗿𝗲 𝘁𝗵𝗮𝗻 𝗱𝗿𝗶𝘃𝗶𝗻𝗴 𝗽𝗲𝗻𝗲𝘁𝗮𝘁𝗶𝗼𝗻 𝗮𝗻𝗱 𝗳𝗿𝗲𝗾𝘂𝗲𝗻𝗰𝘆.

𝟭. 𝗣𝗲𝗻𝗲𝘁𝗿𝗮𝘁𝗶𝗼𝗻
Penetration measures to what extent a product or service is used.
It's defined as the nr. of people who buy (at least 1x) in a given period divided by the size of the relevant population.

WHY
Knowing 1. Category Penetration 2. Brand Penetration 3. DRIVERS enables to increase penetration [awareness, consideration, value proposition, channels, price...]

𝗗𝗲𝗮𝘃𝗲𝗿𝗮𝗴𝗲𝗱 𝗽𝗲𝗻𝗲𝘁𝗿𝗮𝘁𝗶𝗼𝗻
Allows you to understand which consumer segments are currently (not) buying your product and identify barriers and drivers.

𝟮. 𝗙𝗿𝗲𝗾𝘂𝗲𝗻𝗰𝘆
Frequency refers to how often customers use a product or service within a given time.

WHY
Knowing the delta between 1. Category Frequency 2. Brand Frequency 3. DRIVERS enables you to remove potential barriers.

𝗗𝗲𝗮𝘃𝗲𝗿𝗮𝗴𝗲𝗱 𝗙𝗿𝗲𝗾𝘂𝗲𝗻𝗰𝘆
Allows to understand which consumers are heavy, light, and lapse.
A tailored market research helps to understand respective addressable barriers, drivers, and preferences to improve your value proposition/4P mix and close potential frequency gaps.

𝟯. 𝗣𝗲𝗻𝗲𝘁𝗿𝗮𝘁𝗶𝗼𝗻-𝗙𝗿𝗲𝗾𝘂𝗲𝗻𝗰𝘆 𝗚𝗮𝗽
According to Frederic Fernandez, the majority of marketing problems can be spotted and identified with the "penetration-frequency gap", i.e., the gap between expected penetration and frequency.

A good understanding of 1. penetration-frequency potential 2. Status Quo 3. Underlying Reasons, is a great way to spot market share drivers.

𝗦𝘂𝗺𝗺𝗮𝗿𝘆
There is a lot of value in penetration and frequency.
Especially the drivers behind.

Penetration and frequency do more than just measure; they guide the path to growth because 𝗴𝗿𝗼𝘄𝘁𝗵 𝗶𝘀 𝗻𝗼𝘁𝗵𝗶𝗻𝗴 𝗺𝗼𝗿𝗲 𝘁𝗵𝗮𝗻 𝗱𝗿𝗶𝘃𝗶𝗻𝗴 𝗽𝗲𝗻𝗲𝘁𝗮𝘁𝗶𝗼𝗻 𝗮𝗻𝗱 𝗳𝗿𝗲𝗾𝘂𝗲𝗻𝗰𝘆. Not only for FMCG.

👉 Hit the repost if you find this useful.
👉 Reach out to grow your B2C business.

I am Julia Kinner. I help B2C companies to indentify, attract and retain their most valuable consumer segments.  

#d2C #saas #tech #marketing

𝗧𝗵𝗲 "𝗛𝗼𝘄 𝗕𝗿𝗮𝗻𝗱𝘀 𝗚𝗿𝗼𝘄 𝗢𝗯𝘀𝗲𝘀𝘀𝗶𝗼𝗻".
𝗖𝗘𝗢𝘀 𝗖𝗠𝗢𝘀 𝗦𝘁𝗼𝗽 𝗥𝗲𝗹𝗶𝗴𝗶𝗼𝗻 - 𝗦𝘁𝗮𝗿𝘁 𝗧𝗵𝗶𝗻𝗸𝗶𝗻𝗴.


I wrote about HBG a couple of months ago - glad the topic is propelling.

𝗪𝗲 𝗵𝗮𝘃𝗲 𝗮 𝗽𝗿𝗼𝗯𝗹𝗲𝗺.
𝗔𝗻 𝗛𝗕𝗚 𝗽𝗿𝗼𝗯𝗹𝗲𝗺.

It starts when businesses think they can solve all their problems with mental and physical availability and prototypicality.

Me, I see that frequently and there are numerous businesses that must urgently rethink their cult-like HBG attitude.

It's a 𝗴𝗿𝗼𝘄𝘁𝗵 𝗯𝗮𝗿𝗿𝗶𝗲𝗿 if you consider it "a magical pill".

𝗪𝗵𝗮𝘁 𝘆𝗼𝘂 𝘀𝗵𝗼𝘂𝗹𝗱 𝗱𝗼?
𝗘𝘅𝗽𝗮𝗻𝗱 𝘁𝗵𝗲 𝗳𝗿𝗮𝗺𝗲𝘄𝗼𝗿𝗸!

What I personally like about HBG is the "Easy To Buy" notion.

But what is easy to (re)buy?

- a great product
- an appealling value proposition
- pricing strategy
- channel strategy 
- promo strategy 

I think so.
In most cases, growth requires to go beyond mental and physical availability and prototypicality.

It requires to fix the basics and align with consumer demand.


In case you wonder, no I don't have any evidence to back that up, just sharing my thoughts and experience 😜.

Let me know what you think.

Georgson & Co - we combine the academic, the strategic and the creative powers to create breakthrough brand and business uplifts. And what is more - we put the fun back into doing this.

This week I had two marketing friends sing the praise of the "How brands grow" in a slightly reckless way. You know, in the "It changes everything, and [other prominent marketing thinkers/scientists] were completely wrong"

Clearly, a lot of people just love that work. Well, I do too, on many levels. But I think there are a few things to consider before calling that book the best thing since advertising of sliced bread. I will just mention what I see as the most important ones.

1. If you base your research on categories where the alternatives are undifferentiated and easily replaceable (Nielsen definition, I have not yet seen the def. in How brands grow - very odd considering it is an absolutely central concept in the research) it is not surprising to find consumers to see brands as undifferentiated and easily replaceable in said categories. And of course with the disloyalty that would follow, and the propensity to go with the market leader everything else being equal.

2. There are literally thousands of empirically based peer reviewed papers published every year. If empirical science is so important, why does it sound like EBI is in any way unique about this? Why are people not equally astounded by BAV, Binet & Fields and other practical scientific empirical research?

3. Why the mixup of brand and advertising? It is very ambitious about how advertising works. But what about directing innovation, having differentiation in pricing and payment models, disruptive technology, and all the things that are so evident in so many brand success stories. It is just like these things happen on another planet.

Now. What irks me the most is this idea that one guy is RIGHT and all others are therefore now WRONG. Of course not. Marketing is extremely contextual, and the difficulty is that we are dealing with almost endless independent variables of anything we want to study as a dependent variable.

Keep reading, keep searching, and keep thinking.

I coauthored Kevin Keller's Strategic Brand Management, European Edition, by the way, and even when I did that I did not buy into everything that good ol' Kevin wrote. 

I probably don't even agree with everything I said last year.

And I think that makes me a better professional, frankly.

What a great example of category expandability.

It's all about going beyond the obvious and identifying products and services that solve the consumer job to be done from new angles.

The beauty industry as we know it is evolving and the smartest leaders in the beauty business know this. Dave Kimbell, CEO of Ulta Beauty recently talked about this at the JPMorgan Chase & Co. annual event and said "Ulta knows it need new ideas to compete with Sephora" 

Jolie is the clear leader in the filtered shower market, a new category that is fast growing and very big. It's so big that as the filtered shower market continues to become part of the beauty category, it will grow the market size of the beauty category.  

When we hear this we get incredibly excited. Jolie is a catalyst for the beauty industry and where hardware has often been overlooked, Jolie has shown that it is an essential in all of our customers daily lives. That's a BIG, NEW idea that we are leading and one the industry is now supporting. 

Come on in, the water's great.

Open article: Ulta Beauty knows it needs new ideas to compete with Sephora, CEO says by qz.com • 2 min read

Ulta Beauty knows it needs new ideas to compete with Sephora, CEO says

Is the fractional CMO concept really a mystery?

It's actually quite straightforward.
It's a CMO that supports companies on a part time basis for a tbd amount of time :D

The study below comes with fab stats

Highest demand in #saas
Majorly hired for #strategy, #digitalmarketing
Key factor: industry expertise

I am a big believer in FCMO.
It's the perfect offer for business that want the taste with less calories 🍬💰

If you need help with your business strategy, feel free to reach out.

The Benefits of Hiring a Fractional Chief Marketing Officer (fCMO): Perspectives of Agencies, Buyers, and fCMOs

Open article: The Benefits of Hiring a Fractional Chief Marketing Officer (fCMO): Perspectives of Agencies, Buyers, and fCMOs | Databox Blog by databox.com • 25 min read

The Benefits of Hiring a Fractional Chief Marketing Officer (fCMO): Perspectives of Agencies, Buyers, and fCMOs | Databox Blog

𝗢𝗻𝗹𝗶𝗻𝗲 𝗚𝗮𝗺𝗯𝗹𝗶𝗻𝗴 𝗚𝗿𝗼𝘄𝘁𝗵 𝗶𝘀 𝗜𝗺𝗽𝗿𝗲𝘀𝘀𝗶𝘃𝗲.

- Global penetration of 5%.
- Reaching almost 200 million consumers.
- Generating 89b in revenue in 2023.

Looking at the 3 main verticals, sports betting shows the highest growth rate (21%), followed by online casinos (18%) and online lottery (13%). 
Source: Statista.

We are currently working on an industry review focussing on winners and losers accross the three main verticals. Stay tuned to learn more.

#gambling #gaming #D2C #betting #sportsbetting #lottery

CEOs - your innovations aren't meeting consumer demand. 
That's why 95% fail. 

I am always suprisded by how much is spent on consumer resarch and consumer data, without REALLY understanding consumer needs.

Why?
We are asking the wrong questions.
We aren't rigourous enough.
We fail to put the pieces toghether.
Data quality is often sh*it.

The result
We spend on marketing and innovation "randomly".
Don't understand true potential in the market.
Don't understand our most valuable target groups.

What you should do
Ask yourself who are your heavies.
Ask yourself who are your lapse.
Ask yourself who are your non-users.
Understand the potential behind each group.
Understand addressable barriers.
Understand their 4P preferences.
Adjust your value proposition.

If you need help, send me a DM.

Strategy Consulting: FMCG / Retail | INSEAD | Remote Advocate

Are premium innovations all the #CPG players have to offer to (cost-of-living-stressed) consumers?
 
At a time all #FMCG companies are doubling down on organic growth, most are accelerating their innovations machine, often with premium priced innovations. 

That could end up being a large resources misallocation (dilution of scarce shelf space, marketing investments, supply chain & organizational resources) & a major strategic misstep for many
 
At a time the largest threat is de-consumption, more premium priced innovations will just not cut it
 
The painful truth is that too many FMCG marketing organizations do not own the 4Ps and are solely focused on ‘global innovations/ marketing campaigns’. Then the organizational bias/ 'default setting' is to try to solve all brands’ problems with those two levers (global product innovations & media)
 
In the current context, those could be deadly mistakes
 
We continue to be amazed by the little resources that get into:
 
i)  Generally, understanding rigorously Consumers, esp. their barriers/ drivers/ triggers/ 4Ps preferences 
ii) Specifically understanding what:
- The Heavy Consumers have in common/ try to recruit more of them
- Are the addressable lapse/ non-users’ barriers
iii) Leveraging strategic segmentation to identify under-served segments & craft ownable strategies to address them
iv) Rethinking how to recruit/ retain Consumers with innovative marketing/ point of market entry strategies
Etc…
 
Marketing leaders need to have a holistic view on what are the levers across all the 4Ps that will drive the most disruptive return
 
There will be no sustainable (volume) growth outperformance in many FMCG organizations without strenghtening the Marketing Function & giving them formally full 4Ps ownership. That goes against the last decade Doxa but it is essential

𝗧𝗼 𝗸𝗻𝗼𝘄 𝗺𝗼𝗿𝗲 𝗮𝗯𝗼𝘂𝘁 𝗼𝘂𝗿 𝗽𝗲𝗿𝘀𝗽𝗲𝗰𝘁𝗶𝘃𝗲 𝗼𝗻 𝗵𝗼𝘄 𝘁𝗼 𝗮𝗰𝗰𝗲𝗹𝗲𝗿𝗮𝘁𝗲 𝗼𝗿𝗴𝗮𝗻𝗶𝗰 (𝘃𝗼𝗹𝘂𝗺𝗲) 𝗴𝗿𝗼𝘄𝘁𝗵 & 𝗰𝗿𝗲𝗮𝘁𝗲 𝗶𝗻𝗰𝗿𝗲𝗺𝗲𝗻𝘁𝗮𝗹 𝗰𝗮𝘁𝗲𝗴𝗼𝗿𝘆 𝘃𝗮𝗹𝘂𝗲, 𝗿𝗲𝗮𝗱 𝗼𝘂𝗿 𝗹𝗮𝘀𝘁 𝗽𝘂𝗯𝗹𝗶𝗰𝗮𝘁𝗶𝗼𝗻:
 
FMCG CEOs: Managing Finally For Sustainable (Volume) Growth Or How To Stop Shrinking To Glory - From ZBB to ZBG® (Zero-Based-Growth)
 
https://lnkd.in/eG62xkNE
 
To receive the corresponding deck, pl. leave your name in comment
 
To get all our insights, follow us/ subscribe to our CEOs newsletter: https://lnkd.in/eR8vDpvE
 
#strategy
Frederic Fernandez & Associates

Great screensaver for marketers
"Just because you can measure it, it's not meaningful".

Marketers are obsessed with numbers. Let's just make sure it's meaningful ones.

Dale W. Harrison brilliant as always 🙂

Proven Fractional CMO | Executive Advisor | Speaker | Evidence-Based Training for Marketers

Digital Marketing Attribution is a challenge not matter what model we use (first touch, last touch, multi-touch, data-driven etc) Check out this clip from our interview with Dale W. Harrison to find out why.

Just because you can measure something doesn't give it any meaning. Attribution (giving credit to a channel for a conversion) is rife with challenges. Every advertising platform wants to take credit for conversions so that we feel better about our...

Open video: The Challenge with Digital Marketing Attribution with Dale Harrison on youtu.be

The Challenge with Digital Marketing Attribution with Dale Harrison

So true. 
Money talks and bulls*it walks. - Often too far.

Are inside out strategies doomed to fail?
Most likely.

How do you approach outside-in strategy?
- Understanding your core target groups
- Focus on the value behind
- Define your where to play and how to win

Easy. Isn't it :D.

Taplio

Julia Kinner's Linkedin Analytics

Julia Kinner

Julia Kinner's Best Posts (last 30 days)

Want to drive more opportunities from LinkedIn?

Taplio

.css-1jgreyo{background-image:linear-gradient(284deg, rgba(39,43,72,1) 0%, rgba(33,47,183,1) 100%);color:transparent;-webkit-background-clip:text;background-clip:text;}Julia Kinner's Linkedin Analytics

Julia Kinner

Julia Kinner's Best Posts .css-qqfgvy{font-size:var(--chakra-fontSizes-md);}(last 30 days)

Want to drive more opportunities from LinkedIn?

Julia Kinner's Linkedin Analytics

Julia Kinner's Best Posts (last 30 days)