How Retailers Can Use DTC Insights to Reach New & Younger Customers

Retailers are chasing millennial and Gen Z shoppers, and some are finding more success than others. Here's what you need to know...

• Retailers are struggling to attract millennial and Gen Z consumers who typically discover items on social media and specialty retailers.
• 40% of Kohl's customers are baby boomers, 36% of Macy's customers are boomers, and 25% of Nordstrom customers are boomers.
• Kohl's is looking to attract younger consumers by adding more Sephora shops, featuring trendier clothing for teens, and expanding its baby department.
• Macy's aims to attract new customers by launching new, exclusive clothing brands and making itself more of an attraction by offering unique customer experiences.
• Nordstrom has more success with younger shoppers as they've been quicker to sign deals with hot brands and DTC names such as SKIMS and Beis. It also launched the Australian fashion brand Princess Polly in January and debuted the millennial-focused fashion brand Nasty Gal.
• A month ago, Nordstrom rolled out a third-party marketplace to sell a wider variety of items. With the marketplace, Nordstrom said it will double or triple the number of items sold through its website and app.

How Retailers Can Use DTC Insights to Reach New & Younger Customers

As mentioned, Nordstrom is having more success with younger shoppers as they lean into the DTC space. Charm enables retailers to grow by helping them create carefully curated brand collections to sell on their store. Here's how...

1. Discover emerging brands within key categories

Many retailers are looking for DTC brands within key product categories to add to their stores. Use the Charm Prospector to search for brands within these desired categories.

You can also use the "Breaking Out" preset filter to find brands that are growing fast in the DTC space and are expected to make it big.

2. Analyze brands based on key metrics & emerging trends

Charm’s machine learning algorithms process the collected data to create proprietary composite scores for each brand online, encompassing every aspect of their digital performance relative to their category peers.

Go to any Brand Deep-Dive Report to see data points about the brand's growth, ad count, tech stock, social media metrics, and more. You'll notice that Charm also notes key features about a brand including if it is "Breaking Out," "Sudden Growth," "New to Wholesale," and more.

3. Find relevant DTC brands as soon as they launch

Reach out to relevant brands within key categories before your competitors do.

Use the Prospector to input the key criteria you're looking for in a brand such as product category, Charm Growth Score™, ad count, social growth, etc. Create a Dynamic list with that set criteria, so you are emailed as soon as a new brand matches these filters.

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