Going against traditional brands, DTC hair care brand Playa expands salon distribution channels

Going against traditional brands, DTC hair care brand Playa expands salon distribution channels

According to a report by glossy website today, American DTC clean hair care brand Playa is expanding its distribution channels to professional offline salons that accept wholesale .


( Playa official website)

 

Playa was founded in 2017 with a minimalist aesthetic, launching just five products at the start. Over time, its product portfolio has steadily expanded to 10. Playa was acquired by Forma Brands in August 2020. In addition to its own official website , the brand is also primarily sold through the Sephora online store as part of Sephora's Clean Program.



Playa will be sold in 100 salons, including Ramirez Tran in Los Angeles, starting in the second quarter . The Playa professional wholesale channel is expected to account for 10% of the brand's annual revenue in the first 12 months , said Shelby Wild, Playa founder and CEO. Currently, Playa 's DTC and wholesale sales business is evenly divided.

 

Additionally, the brand is relaunching its affiliate program, providing salon partners with unique links that allow salon partners to earn a 20% affiliate commission, as well as a 50% discount on purchases in multiples of 12 , flat- rate shipping , marketing materials including product and brand literature , and product samples .

 

Playa had previously expected revenue of between $4 million and $5 million in 2019 , but the brand declined to comment on its sales and growth in 2020.

 

“We want to make sure we have a highly personalized touchpoint between the brand and the consumer , so our expansion into wholesale is not just about driving sales revenue,” Wild said . “We need to make sure there is an education-focused initiative , that we are working with stylists who represent the lifestyle of the brand, and that we have a strong message .

 

Wild also said that stylists are a powerful channel for brands to conduct word-of-mouth marketing , and it makes more sense to promote brands directly to designers rather than spending more money on paid advertising .

 


Alyssa Behrendt, senior research analyst for Kline Consumer Products , commented that Playa's entry into professional wholesale channels such as salons goes against the market's development trend.

 

During the epidemic , professional brands such as Olaplex , Amika , R + Co and Kerastase relied more on DTC online channels or Sephora's online store . Data shows that salon retail product sales bottomed out in April 2020 during the peak of the epidemic , down 87% year-on-year ; by the end of 2020 , salon retail product sales revenue had fallen by about 24% compared with 2019.

 

However, as clean hair care has become a popular category among consumers , entering the professional channel provides an opportunity for growth in this category . While established hair care brands have not yet exited the salon, their trend towards online channels also provides an opportunity for new brands to enter the salon professional space.

 

In summary, Behrendt concluded: " Consumers want exciting new products , but the final purchase decision is also partly based on the opinions of stylists . Consumers are less loyal to brands and are more willing to try new things and new experiences . "

DTC hair care brand Playa

Salon Distribution Channel

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