DNVBs (more than 715 DNVBs listed at the time of writing these lines). 1) What is a DNVB? The acronym DNVB was coined by Andy Dunn to describe this business model he invented with Brian when they created their Bonobos brand in 2007. He first appeared in The Future of Retail: The Rise of V-Commerce , an article Andy Dunn wrote in May 2016, in Medium. DNVB stands for Digitally Native Vertical Brands . We already find 2 interesting terms in this name and which allow us to better understand them: Digitally native.
We are talking about brands and therefore
born in the digital age. These are brands that launch online first and whose majority of turnover will remain on e-commerce. Vertical : the notion of verticality. These brands sell directly to their consumer via an online sales site without going through a third party. They try to limit as Azerbaijan Business Email List much as possible the number of intermediaries for the manufacture and distribution of the product. But still ? They initially offer a smaller (niche) product offering for a well-defined market segment. They are thus adopting a strong position in this market segment to conquer it quickly. As I said, the distribution of DNVBs most often starts online .
They are also founded, most of the time
by people who are Millennials. This is why they mainly target Millennials and Generation Z thanks to their strong presence on social networks (organic, paid, influence). However, the strength of the DNVBs does not only lie in their product or their perfect mastery of social media. She finds herself elsewhere. The firm presents two major advantages of the DNVBs in a study published on their site : The verticalization.
of the entire value chain (manufacturing and distribution) allowing DNVBs to capture a larger share of profits B2C Reviews and thus increasing their margins up to twice as much as other traditional e-commerce platforms Management of operations strictly oriented around data , often coupled with an economic model favoring repetition and retention (such as subscriptions) capable of ensuring sound economic indicators (low acquisition xc FMCG categories , first in segments with high online penetration (apparel, furniture, etc.), then in other categories. with a high purchase frequency (beauty, health, etc.). In the rest of this article.