Welcome to the Ecom Scaling Show, brought to you by Free To Grow CFO and Aplo Group! Join hosts Jon Blair (Founder, Free to Grow CFO) and Dylan Byers (Co-founder, Aplo Group) as we dive into the crucial—yet often missing—link between marketing and finance in DTC e-commerce.

In this conversation, Jon Blair and Dylan Byers discuss the essential components of building a financially resilient e-commerce business. They explore the importance of understanding key financial metrics such as gross margin, average order value (AOV), and customer lifetime value (LTV). The discussion emphasizes the need for brands to assess their financial health, manage operating expenses, and develop strategies for customer acquisition while maintaining profitability. The conversation provides insights into how e-commerce businesses can navigate challenges and ensure long-term success.

Key Takeaways

-Financial resilience isn't about high revenue—it's about having the flexibility to weather volatility.

-If your return customer margin can't cover your fixed OpEx, you're building on shaky ground.

-The most resilient brands keep fixed costs lean, manage inventory tightly, and avoid overleveraging.

00:00 Building Financial Resilience in E-Commerce

02:49 Understanding Key Financial Metrics

06:05 The Importance of Gross Margin

09:05 Strategies for Increasing Average Order Value (AOV)

11:57 Leveraging Customer Lifetime Value (LTV)

14:57 Managing Risks in Customer Acquisition

18:13 The Role of Operating Expenses (OPEX)

22:23 Understanding Financial Resilience in E-commerce

32:18 Navigating Inventory Management Challenges

43:11 Key Takeaways for Building Financial Resilience

Free To Grow CFO: https://freetogrowcfo.com/

Aplo Group: https://www.aplogroup.com/

Jon Blair on Linkedin: / jonathon-albert-blair

Dylan Byers on Linkedin: / dylan-byers-046010149

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