Curology’s Steve Siegal on Scaling from DTC to Omnichannel Retail

Summary

BRAVE COMMERCE Podcast Summary
Episode: Curology’s Steve Siegal on Scaling from DTC to Omnichannel Retail
Release Date: March 4, 2025
Host/Author: Adweek (Rachel Tipograph & Sarah Hofstetter)
Guest: Steve Siegal, Chief Marketing and Innovation Officer at Curology

Introduction to the Episode

In this insightful episode of BRAVE COMMERCE, hosts Rachel Tipograph and Sarah Hofstetter dive deep into the transformative journey of Curology as it scales from a Direct-to-Consumer (DTC) model to embracing omnichannel retail. Joining them is Steve Siegal, Curology's Chief Marketing and Innovation Officer, who shares his extensive experience and strategic vision that has propelled the brand into mass retail while maintaining its personalized skincare ethos.

Transitioning from DTC to Omnichannel Retail

[11:42] Rachel Tipograph opens the discussion by highlighting Curology's intentional shift into omnichannel retail in 2023, emphasizing their exclusive partnership with Target during the first year of launch.

Steve Siegal:
"Retail has played a critical role in building credibility and visibility behind the Curology brand. Seeing our products shelved next to well-known brands in physical stores has been transformational." [01:03]

Siegal elaborates on how retail partnerships have not only expanded Curology's physical availability but also enhanced brand trust among consumers. The exclusive launch with Target marked a significant milestone, positioning Curology as the best facial skincare launch in Target's five-year history. This success paved the way for further expansion into other major retailers like Walmart, CVS, and Amazon.

Integrating Retail and DTC Channels

A key theme in the conversation revolves around the seamless integration of Curology's retail presence with its DTC operations. Siegal emphasizes the importance of interconnected channels to provide a cohesive brand experience.

Steve Siegal:
"Once you've expanded physical availability of your brand, you need to make sure that all the pipes are connected in terms of ensuring consumers can fully experience everything that your brand has to offer." [13:29]

This approach ensures that retail platforms not only serve as new points of sale but also drive awareness of Curology's comprehensive offerings, including their DTC dermatological services. Starter kits available in stores offer a gateway to the full Rx subscription model available exclusively through Curology's digital channels.

Measuring Success Across Channels

Rachel raises a critical point about the shift in measurement metrics when transitioning to omnichannel retail.

[13:51]
Rachel Tipograph:
"When a D2C brand goes omnichannel, how has Curology navigated the fact that maybe not everything that was once measurable is now measurable?"

Steve Siegal:
"We've expanded our mix modeling to evaluate both D2C and retail channels. Incorporating incrementality testing allows us to assess the incremental revenue generated by retail investments beyond our D2C efforts. This comprehensive approach helps us understand the profitability and interplay between all our channels." [13:51]

Siegal discusses utilizing advanced analytics to track the effectiveness of each channel, ensuring that investments in retail are justifiable and contribute positively to the overall business growth.

Leveraging Retail as a Lead Generation Tool

Sarah probes into Curology's strategy of using retail channels as a means to generate leads for their DTC subscriptions.

[15:37]
Sarah Hofstetter:
"You’re using retail as lead gen to drive lifetime value through D2C. How do the retailers feel about that?"

Steve Siegal:
"Retailers like Target appreciate Curology as a relevant and unique brand. They understand that our retail offerings are distinct from our DTC products, with starter kits directing customers to our subscription services. This symbiotic relationship has been well-received, as evidenced by successful in-store signage and positive feedback." [15:47]

This strategy mirrors successful models like Nespresso, where initial retail presence enhances brand visibility and subsequently drives online subscriptions, creating a harmonious balance between physical and digital sales channels.

Leadership and Team Collaboration

The conversation shifts to leadership strategies, particularly in integrating external expertise without undermining internal teams.

[17:26]
Sarah Hofstetter:
"How do you coach your team to embrace collaboration between expertise and fundamentals?"

Steve Siegal:
"As a brand scales, it's essential to recognize when to lean on external experts to address complex challenges. At Curology, transitioning to a more sophisticated tech stack required external partnerships. We communicate transparently with our teams, emphasizing data-driven decisions and the complementary strengths that external experts bring. This fosters a culture of trust and continuous improvement." [17:26]

Siegal underscores the importance of psychological safety and trust within teams, ensuring that members feel supported and valued when new expertise is introduced.

Fostering Psychological Safety

Building on leadership, Siegal delves into creating an environment where team members feel safe to innovate and take risks.

[20:52]
Steve Siegal:
"Trust is foundational. By assuming team members are well-intentioned and providing clear expectations without micromanaging, we create a freeing environment. Public praise and private constructive feedback further enhance psychological safety, encouraging team members to bring their best selves and innovative ideas forward." [20:52]

This philosophy not only enhances team collaboration but also drives the strategic initiatives necessary for omnichannel expansion.

Personal Insights and Bravery in Leadership

In a segment blending personal experiences with professional insights, Siegal shares a pivotal life decision that mirrors the boldness required in business leadership.

[22:10]
Steve Siegal:
"One of the bravest decisions my family and I made was relocating to Singapore. This leap exposed us to diverse cultures and expanded our global perspective, which has been invaluable in leading Curology's international retail strategies." [22:10]

This anecdote highlights the significance of embracing change and stepping out of comfort zones, both personally and professionally, to achieve meaningful growth.

Concluding Thoughts

The episode wraps up with Siegal reflecting on the balance between maintaining Curology's personalized DTC strengths while leveraging the expansive reach of retail channels. His strategic insights provide a roadmap for other brands contemplating a similar transition, emphasizing the importance of integrated marketing, robust measurement frameworks, and a culture of trust and innovation.

Steve Siegal:
"Our success lies in ensuring that every channel, whether digital or physical, works in harmony to enhance the overall consumer experience. By connecting all the pipes, we enable our customers to fully engage with everything Curology has to offer." [01:03]

Key Takeaways

Strategic Omnichannel Integration: Transitioning from DTC to retail requires thoughtful integration to maintain brand integrity and enhance consumer experience.
Comprehensive Measurement: Advanced analytics are crucial in evaluating the effectiveness and profitability of multi-channel strategies.
Retail as Lead Generation: Leveraging retail channels to drive DTC subscriptions can amplify brand reach and customer lifetime value.
Leadership and Psychological Safety: Building a trusting and supportive team environment fosters innovation and effective collaboration between internal and external experts.
Personal Boldness Mirrors Business Strategy: Embracing change and stepping out of comfort zones are essential for both personal growth and business success.

Notable Quotes

Steve Siegal:
"Retail has played a critical role in building credibility and visibility behind the Curology brand." [01:03]
Sarah Hofstetter:
"Your media do double duty or triple duty in that regard." [02:16]
Steve Siegal:
"Trust is foundational. Assume your team is well-intentioned and give them room to operate." [20:52]

Final Thoughts

This episode of BRAVE COMMERCE offers invaluable insights into scaling a DTC brand into the omnichannel landscape. Steve Siegal's strategic approach, combined with his emphasis on leadership and team dynamics, provides a comprehensive guide for brands aiming to navigate the complexities of modern retail and digital marketing.

For more discussions on similar topics, check out other episodes featuring leaders from Versed, Wella, Reckitt, and Soda Health.

Connect with Curology:
Explore personalized skincare solutions and discover how Curology can transform your skincare routine. Visit Curology's Website for more information.