150 Following opportunity with Emmett Shine, Co-founder of Pattern Brands
Jul 1, 2021
auto_awesome
Emmett Shine, co-founder of Pattern Brands, discusses his experience in the direct-to-consumer industry and the evolution of DTC brands. He shares insights on acquiring businesses in the DTC space and the indicators of a successful partnership with Pattern. The episode concludes with a call for audience engagement and feedback.
Direct-to-consumer businesses have evolved over time and now require a more nuanced approach to branding and customer interactions.
Pattern Brands focuses on consolidating profitable niche-specific brands while maintaining their individual identities within their specific categories.
The DTC industry is experiencing trends such as consolidation and the integration of DTC practices with content creation and social platforms.
Deep dives
Background and Early Beginnings
The episode begins with a discussion about the origins of direct-to-consumer (DTC) businesses and the speaker's personal journey into the world of DTC. They highlight the misnomer of the term 'direct-to-consumer' and how it has evolved over time to encompass various types of businesses. The speaker shares their experience in the early 2000s with photography and digital technology, which led them to offer web design and e-commerce services to small fashion companies. This eventually led them to work with well-known fashion brands and later collaborate with emerging DTC startups such as Warby Parker and Everlane.
The Evolution of DTC and Influences
The discussion then delves into the evolution of DTC businesses and the shift in emphasis from simplicity and cutting out the middleman to a more nuanced approach. The speaker highlights the influence of companies like Warby Parker and their use of social media platforms like Twitter and YouTube for customer interactions. They discuss the demand for minimal and accessible luxury branding and the importance of a more holistic presentation for millennial consumers. The speaker also mentions the cyclical nature of design and cultural trends, with current trends leaning towards more vibrant and anti-design aesthetics.
Pattern Brands and the Future of DTC
The episode concludes with the speaker sharing insights into Pattern Brands, their current venture focused on building a portfolio of home goods brands. They discuss the strategy of consolidating multiple profitable businesses under one roof and the use of debt financing for acquisitions. The speaker emphasizes the goal of creating a sustainable and profitable business model within Pattern Brands rather than flipping individual brands. They mention a target of around 10-15 businesses for Pattern Brands and the importance of being nimble and adaptive in the ever-changing DTC landscape. Finally, the speaker touches on the potential future trends in the DTC industry, including further consolidation and the integration of DTC practices with content creation and social platforms.
Focus on Niche Specific Brands
The podcast episode discusses the importance of focusing on niche specific brands rather than trying to be a one-stop shop for various product categories. The speaker emphasizes the appeal of qualified niche brands, highlighting that consumers prefer to buy from companies that specialize in specific areas rather than offering a wide range of products. The thesis is that each brand should have its own niche while operating under an umbrella business with shared values.
Evolution of the Pattern Model
The episode explores the evolution of the Pattern model and the challenges faced along the way. The speaker discusses the mistakes and learnings from the initial launch of Pattern. They highlight the importance of supply chain management and learning from other successful brands in order to improve. The episode also mentions the acquisition of other brands and the benefits of bringing them under the Pattern umbrella while maintaining their individual identities within their specific niche categories.
For Emmett Shine, being in the right place at the right time was never a matter of luck — it was a matter of hustle. It was a practice in leveling up a bit before you're ready, but not overstretching.
After designing, building, and strategizing some of the most iconic modern brands — from Sweetgreen and Whole Foods to Warby Parker and Everlane — his design agency Gin Lane closed to pursue Pattern Brands. They're scaling down and venturing out to build a thoughtful collaborative of home brands that are, of course, stunningly functional and instantly essential.
In this episode, Emmett cuts right to the chase of what it took to get in the room with legacy fashion brands, the design and marketing strategy that built iconic ecommerce brands, and what he's looking for in new brands for Pattern.
