DTC Data Informs Retail

A discussion on how Hint uses their direct-to-consumer (DTC) data to make strategic retail decisions and manage their multi-channel business.

Data Collection & Analysis Challenges

• Difficult to track individual customer behavior across channels
  • Can't connect "Lisa Smith" purchasing on drinkhint.com to her Target purchases
  • Electronics companies solve this through warranty registrations, but harder for CPG
• Sales data visibility varies by retailer
  • Get basic sales numbers by store
  • More detailed data provided once reaching certain volume levels
  • Target provides more comprehensive data than some other retailers

Strategic Uses of DTC Data

• Inform retail expansion decisions
  • Use drinkhint.com data to identify top 10 markets/cities
  • Compare online performance data with retail partner data
  • Present compelling case to new retail partners like Costco using market penetration data

Risk Management & Growth Strategy

• DTC platform provides security against retail volatility
  • If a major retailer drops the product, can still reach customers directly
  • Allows direct marketing to affected regions
  • Helps hedge against supply chain and restocking issues

Channel Mix Evolution

• Started primarily retail/food service focused
• Now DTC represents over 40% of overall business
• Multiple channels provide stability
  • Amazon
  • Direct website
  • Major retailers
  • Food service

Retail Performance Metrics

• Strong retail performance data
  • Higher dollars per square foot than major brands like Vitamin Water in Target
  • Use performance metrics to strengthen position with retail buyers
  • Data becomes more valuable as company scales