First Lite direct to consumer

[X-Force]

Interesting changes for First Lite. I'm surprised it took them this long.

http://www.theoutdoorwire.com/story/1512516892f41ths36xqu

Ketchum, ID- First Lite, a brand synonymous with premium gear, design innovation, and active conservation announced its shift towards a direct-to-consumer sales model. Beginning with the 2018 season, First Lite products will be available exclusively at firstlite.com and select third party marketplaces including Amazon.com and others.

 "After careful consideration, thorough analysis and a great deal of discussion we've decided to restructure our distribution model to position the company to best serve our customers and distribute our premium product where and how they--the end customer--want," said Kenton Carruth, First Lite Co-CEO. "This move will allow First Lite to continue to innovate new technologies and support our conservation efforts while also directly serving the customer exactly how they want to be served. Ultimately, we are letting our customers dictate the direction of the brand instead of the other way around."

 "We understand that this will impact many long-standing partners and we are committed to taking the appropriate steps to help ease the transition for our current dealers," explains Carruth. "We could not be more thankful and appreciative to the retail partners who have supported and believed in us over the past ten years."

 Established in 2007, First Lite has grown a direct relationship with consumers since its inception and has seen its business move organically in that direction more and more every year. As the company completes this transition, First Lite will work directly with effected partners on tailor made business solutions, while continuing to focus on its value equation for consumers; the best gear on the market at the best possible price, unparalleled customer service and an industry leading warranty.

 For more information please contact info@firstlite.com.

 About First Lite
 Born in the Rockies, at First Lite our mission is to create simple, proven, versatile gear that provides comfort and performance in any situation, while working to promote the pursuit of ethical hunting and stewardship. For more information visit https://www.firstlite.com.

[Special T]

Kind of the business model that  lots of products take now. They rely on the retailers to build up a brand, then chase the profits of direct selling.

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[kentrek]

Kind of the business model that  lots of products take now. They rely on the retailers to build up a brand, then chase the profits of direct selling.

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  and then tell the customers that theyre the ones getting the slice of the pie

[Special T]

Kind of the business model that  lots of products take now. They rely on the retailers to build up a brand, then chase the profits of direct selling.

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  and then tell the customers that theyre the ones getting the slice of the pie

Which is half true. I'm unsure of the margins but let's say there is a 40% markup. Maybe it's higher or lower doesn't matter. If they cut out the retailer sell direct and say it will save consumers and they reduce the end use cost by 20%... they are also making extra by the same ammount.

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[blackveltbowhunter]

   I do enjoy some firstlite gear and will likely continue to use, but I dont expect to see any savings from this move on my end. I am a  look and try on kinda guy. I am old fashioned in this regard and find it very inconvenient to return ship anything. And will happily pay more for a product of similar quality that i can try on, look at, feel and take with me immediately. 

[lewy]

I think they are seeing the success that kuiu is having as well

[KopperBuck]

I've heard they make you pay return shipping. Any truth to that? I'm not interested in sending back a bunch of stuff while trying to figure out what fits best, especially at the price tag.

[trophyhunt]

I've heard they make you pay return shipping. Any truth to that? I'm not interested in sending back a bunch of stuff while trying to figure out what fits best, especially at the price tag.

I have paid for my shipping on all my returns.

[Special T]

I've thought a bunch about this subject(in general since I'm in sales. Some products are more a commodity and you don't need to physically hold them to test them.  I know I wear a certain sized shirt or pants so that isn't a big deal. When you start into the bigger $ purchases of higher end products often times we want to compare the quality to evaluate if they are worth the extra $.

In this new paradigm there may be a shorter lifecycle for these kinds of businesses. What retailers are going to want to invest heavily in brands that may not be with you for very long

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[yakimanoob]

I'm unsure of the margins but let's say there is a 40% markup. Maybe it's higher or lower doesn't matter. If they cut out the retailer sell direct and say it will save consumers and they reduce the end use cost by 20%... they are also making extra by the same ammount.

That'd be cool, but when was the last time you saw a brand drop its prices by 20%??

[Stein]

I would expect to see a significant price drop, it is the only logical reason they would do it.  When they started, they only made wool and there weren't that many other competitors in the premium wool hunting clothing space and they had pricing room and their vendors were doing a bunch of brand development and marketing for them.  Now, there are several aggressive competitors in the wool space and First Lite has expanded to compete in other areas.  Their prices were too high and I would guess they were loosing market share in wool and struggling to pick it up in the other areas.

If they could reduce their prices significantly, it could help them significantly.

[Jason]

I'm unsure of the margins but let's say there is a 40% markup. Maybe it's higher or lower doesn't matter. If they cut out the retailer sell direct and say it will save consumers and they reduce the end use cost by 20%... they are also making extra by the same ammount.

That'd be cool, but when was the last time you saw a brand drop its prices by 20%??

It don't matter what they do now if they don't drop their prices down. The advantage they had for their higher prices was that you could find their clothing in the stores and be able to try them on and buy them their.

[Magnum_Willys]

What happens is online sales grow to a majority of sales and you don't need partners to sell online so its a no brainer to go direct online.  I expect price cuts to undercut kuiu - couldn't do this with retail partners.  Good Move.