The IPO rush in retail has many next-gen companies achieving sky-high valuations and growing rapidly. Managing Partner Matt Katz was quoted in “The IPO Mania Transforming Fashion and Retail” for WWD about the importance of direct-to-consumer companies supplementing new growth with a brick-and-mortar presence.
Matt reflects on how DTC growth reflects a positive shift in the market, “It’s a vote of confidence that smaller companies can grow quickly without the heavy investment in brick-and-mortar. In the old days, you needed investment capital to grow your reach and you did that predominantly with brick-and-mortar.”
He goes on to note that the importance of new brands having a brick-and-mortar presence, “You can grow at an accelerated pace through a direct-to-consumer e-commerce channel as long as you recognize you also need brick-and-mortar to support that business model.”
Read the full article here.
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