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The failure of DTC business Brandless proves the power of marketing
The collapse of direct-to-consumer business Brandless is a lesson in the power of ‘traditional’ marketing and proof that not every new idea is ‘disruptive’.
The demise of direct-to-consumer FMCG company Brandless may not have come as much of a shock. The business was built on the premise of selling non-branded consumer goods from vitamins to ketchup and soup, all priced at $3 (£2.30), available online and designed for the Instagram generation.
By ditching the brand names and high-profile marketing campaigns, the theory was that Brandless could offer sustainable, cruelty free products at a fraction of the price of FMCG giants like Heinz, Unilever and Proctor & Gamble. The company also had its eye on claiming a chunk of business from Amazon’s Basics range of own-brand value household products.
Despite the name, co-founder and former CEO Tina Sharkey described Brandless as “unapologetically a brand”, but one with the discipline to stop inventing names for products and the bravery to call a lentil soup – lentil soup.