Tiege Hanley doubled revenue from $10M to $20M while maintaining profitability by meticulously managing their P&L, focusing on capital efficiency, and adapting to market changes. This episode provides a candid look at the challenges of growth in a fluctuating economic landscape and offers actionable insights for D2C brands aiming for sustainable scaling.
Key takeaways
Implement a flexible budget adjustment strategy (e.g., 2024.1, 2024.2) to react quickly to market shifts, rather than adhering to an outdated annual projection.
Aim for a minimum 10% EBITDA margin, even while growing, by prioritizing capital efficiency and avoiding excessive outside funding reliance.
Anticipate and budget for potential spikes in customer acquisition cost (CAC) during major advertising events like election cycles, and strategize alternative outreach.
Consider a hybrid work model with a strong in-office component to foster team cohesion and operational efficiency, especially for brands with integrated office and warehouse facilities.
Invest in robust supply chain management, even if it means short-term profitability dips, to ensure product availability and customer satisfaction.
Subscribe to Our Conscious Commerce Newsletter:Stay updated with the latest insights and tips by subscribing to our newsletter here: https://subscribe.2xecommerce.comShownote available on: https://2xecommerce.com/podcast/ep450/S9 EP52:Kelley Thornton is the co-founder and CEO of Tiege Hanley, a direct-to-consumer men’s skincare company that focuses on simplifying skincare for men. With a background in entrepreneurship and marketing, Kelley has led Tiege Hanley to become a multi-million-dollar business, with a significant presence in both DTC and emerging platforms like TikTok Shop. Under his leadership, the company continues to expand internationally and into wholesale channels.Here’s how Tiege Hanley, the men’s skincare brand, sustains bottom-line growth in a challenging market. CEO Kelley Thornton outlines the strategic steps they’ve taken to optimize operations, control costs, and navigate supply chain disruptions. Learn how the brand continues to drive profitability while scaling, using efficient practices and adaptive strategies tailored to market conditions. (00:00) - Introduction and Business Overview
(00:08) - Challenges and Strategies in 2022
(00:18) - Google's Q4 Expectations
(01:17) - Scaling a DTC Brand: Insights from Kelly Thornton
(02:20) - Welcome Back, Kelly Thornton
(03:40) - Operations and Logistics in Chicago
(06:46) - P&L Management and Profitability
(09:55) - Impact of Elections on Business
(17:47) - Cost Management Strategies
(23:33) - Marketing Efficiency and Channel Management
(30:53) - Investment Priorities and Channel Diversification
(34:47) - Diversifying Marketing Channels
(35:31) - Evaluating Channel Performance
(36:45) - Data-Driven Decision Making
(38:47) - Customer Acquisition Strategies</l
Frequently asked about this episode
What does this episode say about dtc strategy?
Implement a flexible budget adjustment strategy (e.g., 2024.1, 2024.2) to react quickly to market shifts, rather than adhering to an outdated annual projection.
What does this episode say about market dynamics?
Aim for a minimum 10% EBITDA margin, even while growing, by prioritizing capital efficiency and avoiding excessive outside funding reliance.
What does this episode say about p&l management?
Anticipate and budget for potential spikes in customer acquisition cost (CAC) during major advertising events like election cycles, and strategize alternative outreach.
What does this episode say about sustainable growth?
Consider a hybrid work model with a strong in-office component to foster team cohesion and operational efficiency, especially for brands with integrated office and warehouse facilities.
What does this episode say about dtc strategy?
Invest in robust supply chain management, even if it means short-term profitability dips, to ensure product availability and customer satisfaction.
