Limited Supply Podcast
Season 13, Episode 1: Listener Mailbag: DTC to Retail, Meta Ads, and Clothing Brands
Release Date: July 9, 2025

In the premiere episode of Season 13, host Nik Sharma delves into a listener mailbag, addressing pressing questions from the Sharma Brands’ Slack community. This episode provides actionable insights on transitioning from Direct-to-Consumer (DTC) to retail, sourcing top marketing talent, optimizing Meta Ads funnels, allocating marketing budgets for testing new channels, crafting effective apparel ads, and securing press and awards to elevate brand stature. Here’s a detailed breakdown of the discussions:

1. Transitioning from DTC to Retail

Question by Chris: How can a brand navigate the shift from primarily direct-to-consumer to expanding rapidly in retail through paid and owned channels?

Nik Sharma’s Insights:

• Create Shareable Content: Focus on generating organic content that encourages shares, screenshots, and discussions. For example, when Poppy launched in retail, their viral TikTok videos featuring creators visiting stores significantly boosted their in-store presence.
  “If you can especially figure out an organic content strategy that works and travels well… you should just really put money behind that.” [03:45]

• Leverage Influencers and Third-Party Validation: Collaborate with influencers, bloggers, and publishers to create authentic content. This approach was successful when Sharma shifted Hint Sunscreen’s strategy from basic animations to influencer-driven content, enhancing credibility and engagement.
  “Make it so that other people are telling people about the product and where it's available versus just your own ads.” [05:20]

• Optimize Email and SMS Marketing: Segment your audience based on geography and purchasing behavior to target customers effectively during retail launches.
  “Segment people out based on where they live… create an offer or a blast and focus on those people directly.” [07:10]

• Implement Cashback and Coupon Programs: Utilize tools like Aisle or develop proprietary programs to incentivize purchases, ensuring consistent sell-through rates to maintain retail partnerships.
  “You want to make sure that you're basically driving sell through of your minimum required units sold per store per week.” [08:50]

• Enhance Landing Pages with Retail Information: Ensure all digital touchpoints prominently display retail availability and measure the impact of media spend on in-store sales.
  “Your landing pages, your website product pages… should all include your retail placements and where people can find you locally.” [09:30]

2. Sourcing Top Marketing Talent

Question by Paul: Where are you finding the best marketing talent these days, given the overwhelming options on LinkedIn and Upwork? Are there more specific platforms or communities?

Nik Sharma’s Recommendations:

• Specialized Platforms: Utilize platforms like Marketer Hire, which maintains a rigorous vetting process ensuring high-quality freelancers.
  “Marketer Hire is… amazing for finding freelance talent… skip to the front of their wait list.” [10:00]

• Exclusive Networks: Engage with networks such as The Starters, founded by Jay Delwani, which connects startups with vetted marketing professionals.
  “The Starters is also an amazing network of talent. I've recommended them to a ton of startups.” [10:45]

• Offshore Talent Sources: Explore offshore options like Ocean’s Talent for accessing experienced marketers from regions like Sri Lanka.
  “If you need good offshore talent, I can't recommend Ocean's Talent enough.” [11:10]

• Targeted Recruiter Use: For senior hires within the U.S., collaborate with specialized recruiters and seek warm introductions to potential candidates.
  “Identify a list of target candidates and try to get warm intros… if a text comes from a warm intro, response times are much faster.” [12:30]

• Agency Partnerships: Consider partnering with marketing agencies for flexible support without the commitment of full-time hires.
  “Sometimes you're a better fit using an agency that can grow with you and handle everything.” [13:00]

3. Optimizing Meta Ads Funnel Metrics

Question by Another Nick: As a new brand running Meta Ads, I see strong top-of-funnel metrics like click-through rates and add-to-cart rates, but lower conversion rates from add-to-cart to checkout initiated and completed. What could be the issue?

Nik Sharma’s Strategies:

• Strengthen Mid-Funnel Efforts: Enhance strategies that align potential customers’ intent to buy, ensuring they move seamlessly from interest to purchase.
  “Your mid funnel efforts need to be much stronger… answer what the solve is and why someone should care.” [14:25]

• Boost Social Proof: Incorporate testimonials, unboxing videos, and influencer endorsements on product pages and across digital platforms to build trust.
  “Are there enough social proof on these platforms? Are there unboxing videos, testimonial quotes?” [15:10]

• Review Pricing and Shipping Costs: Assess if high price points or shipping fees are deterring purchases, potentially adjusting pricing structures to remain competitive.
  “You may just have to increase your product's price by a few dollars and lower your shipping cost or just kill your shipping cost altogether.” [16:00]

• Enhance Email Collection and Retargeting: Improve email collection rates and utilize retargeting strategies through email and SMS to re-engage potential customers.
  “If you're under a 5 or 6% email collection rate, that should be closer to 10 to 12%.” [16:45]

• Ensure Accurate Audience Targeting: Verify that ad targeting aligns with the intended audience to prevent mismatches, as illustrated by the Victoria's Secret anecdote where ads were shown to the wrong demographic.
  “It could be something similar… missing one variable causing this to essentially not work the way that it should.” [17:25]

4. Allocating Marketing Budget for Testing New Channels

Question by Jim: How should brands allocate ad spend and marketing budgets towards testing new channels and tactics? Is the short-term loss worthwhile for potential long-term gains and diversification?

Nik Sharma’s Guidelines:

• Set Clear Test Budgets: Allocate approximately $10K per media-related test, adjusting based on the scale of overall spend (e.g., $50K-$100K for billion-dollar advertisers).
  “As a rule of thumb, I try to stick to test budgets around 10k per test for media related tests.” [18:30]

• Assess AOV and Sales Cycle: Tailor test budgets according to Average Order Value (AOV) and the complexity of the sales cycle to ensure meaningful data collection.
  “It really depends on what your AOV is… and how long your sales cycle is.” [19:10]

• Implement Robust Tracking: Ensure new channels have proper tracking mechanisms to measure both direct and incremental sales, especially for retail and marketplace impacts.
  “Ensure you're tracking directly attributed sales, but also tracking incremental sales driven in retail.” [19:50]

• Avoid Scattergun Testing: Approach channel testing systematically rather than indiscriminately adopting new channels pitched by sales reps to prevent inefficient spending.
  “Don't just test whatever's thrown at you by sales reps… you're just sort of blowing dollars testing new channels.” [20:25]

• Focus on Direct Response First: Prioritize testing direct response channels before moving to brand-focused or view-through channels to establish clear performance metrics.
  “Test in a way that is direct response first before you switch over to channels that are more view through focused.” [21:00]

5. Crafting Effective Apparel Ads

Question by Rahul: Apparel differs from other DTC brands, and many tactics don't apply. How should apparel ads be approached?

Nik Sharma’s Approach:

• Highlight Brand Focal Points: Emphasize the unique selling propositions, whether it’s superior material, lifestyle association, or innovative features.
  “You need to focus on your focal point because apparel is all around building around that.” [22:15]

• Optimize Product Pages: Ensure product pages are rich with detailed information, including materials, sourcing, and benefits to prevent potential customers from turning to competitors.
  “Your PDPs are like landing pages because this is the first and only place people will go on your website when they click a catalog ad.” [23:10]

• Leverage Catalog Ads: Utilize catalog ads effectively by organizing and segmenting product feeds, running promotions, and displaying key metrics like review counts to enhance credibility.
  “Catalog ads are the most successful form of advertising for apparel brands and fashion houses.” [24:00]

• Ensure Social Proof and SEO: Build strong social proof and optimize for search engines so that your brand ranks well and exudes trustworthiness without heavy reliance on advertising.
  “If you don't have social proof like… you need to have all this information on the product page.” [24:45]

6. Securing Press and Awards to Boost Brand Value

Question by Jono: What are effective ways to obtain press coverage and awards to enhance brand value and social status?

Nik Sharma’s Strategies:

• Create Organic Hype: Develop compelling stories, collaborations, or unique initiatives that naturally attract media attention.
  “Create a story, create a reason for somebody to go talk about the brand.” [25:10]

• Hire PR Professionals: Engage PR agencies or consultants with industry connections to secure feature articles, quotes, and mentions in reputable publications.
  “Hire a PR agency or a PR consultant to help you get your launch press or get into more press outlets.” [25:50]

• Pay for Press Mentions: Utilize services that allow brands to purchase mentions or articles in desired publications, though this may lack credibility among discerning audiences.
  “You can literally just check all the ones you want… but most people know that these press hits are bought.” [26:30]

• Focus on Credible Content: Aim for authentic and relevant press coverage, such as inclusion in gift guides or listicles, which can drive affiliate-style traffic and enhance brand visibility.
  “Gift guides or the listicles are probably the best things to get into because they're really focused on from an affiliate standpoint.” [27:05]

• Consistent Content Generation: Continuously produce valuable content that encourages third-party endorsements and positive discussions about the brand.
  “Focus on just putting out content and getting other people to talk about the brand in a positive way.” [27:50]

Conclusion

Nik Sharma’s comprehensive responses in this episode offer valuable strategies for DTC brands looking to expand into retail, enhance their marketing teams, optimize advertising funnels, effectively allocate budgets, tailor apparel marketing, and secure meaningful press coverage. By implementing these insights, brands can navigate the complex landscape of e-commerce and digital marketing with greater efficacy.

“So without further ado, I've got a handful of questions here that I want to get through… let’s get started.” [00:53]

For more insights and to join the ongoing conversation, visit the Sharma Brands Slack community at NikCoSlack.com.

Notable Quotes:

• “The network has grown so much that they reached a billion dollar run rate in Applovin just from e commerce spend.” — Nik Sharma [00:45]

• “The best people are not searching for jobs because the jobs find them.” — Shin [10:00]

• “Don't just test whatever's thrown at you by sales reps. You're just sort of blowing dollars testing new channels.” — Nik Sharma [21:00]

• “Catalog ads are the most successful form of advertising for apparel brands and fashion houses.” — Nik Sharma [24:00]

• “Focus on just putting out content and getting other people to talk about the brand in a positive way.” — Nik Sharma [27:50]

Join the Conversation:
Have more questions or want to share your insights? Join the Sharma Brands Slack Community and engage with over 5,500 professionals discussing Amazon 3PL, DTC strategies, Facebook ads, retail launches, and more.

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