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by callmeed 1869 days ago
First, they have "Private Equity" job openings, so that's definitely part of it.

More specifically it will be about scaling the brands they buy and cross-selling when possible. A lot of e-commerce brands/founders hit a ceiling around $1-5M in revenue. At that point, you need more experienced operators to get to $10M or $100M. People who know how to optimize marketing, conversions, fulfillment, and who can move into new channels (eg get on shelves at Target or Costco). A lot of online store founders don't want to deal with that.

Once they hit a certain number of brands under their umbrella, there will be cross-selling/marketing opportunities (assuming they're not just buying Amazon FBA drop ship brands). They can combine email lists and will eventually have good data to power product recommendations.

I'm guessing here, but the long-term play is eventually put all brands under a single online store–in other words, a new amazon.

1 comments

Great insights especially the last one, some of the smartest investors we spoke to saw the end game being we can offer special perks for customers like an amazon prime like program. It’s interesting and I wonder why the traditional conglomerates like P&G don’t do it; probably because they don’t have a direct relationship with the customers? On the PE job post yes for MBA interns were were looking for folks who have the skills to find and evaluate potential acquisitions