HOW TARGET IS GETTING MORE DTC BRANDS TO SELL IN ITS STORES

Retailers like Target, as well as Walmart and Nordstrom, are rewriting the rulebooks of merchandising in order to accommodate trendy digitally native brands that were, in most cases, launched without wholesale margins in their business structures. Nordstrom’s gm of merchandising has said the company “threw out the old playbook” in order to orchestrate inventory buys with brands like Greats and Reformation, Walmart is so bullish on DTC brands that it’s acquiring a suite of them under Andy Dunn, the founder of Bonobos and now Walmart E-commerce’s head of digital brands. At Target, the best way to understand how these new DTC retail deals are playing out is to look to its health and beauty category.