Welcome to the @withassembly family, PipeCandy! #innovation#ecommerce#technews
Growth is so 2021. Profitability is the in-thing.
Some of the operators who are not from the world of brands asked this question – why is profitability fashionable again? Here is a primer.
The risk-free interest rate in the US is moving up and will be in the 5% territory in 2023. This makes risk investing and lending hard.
There is a third source of money. It is the profit that you generate from selling to customers.
When the macroeconomic climate makes it hard to raise risk capital or the cost of loans is high, the market will prefer brands that are profitable. The playbooks change.
All of these unlock cash from the business and reduce the need for borrowing.
2019 is the last time businesses forecasted demand based on normal (albeit in a zero-interest rate environment) business conditions. It is time to revisit those spreadsheets and the assumptions there. A lot of our readers are software businesses. Here's what brands need:
Welcome to the @withassembly family, PipeCandy! #innovation#ecommerce#technews
Every week we send out one deeply researched essay that captures the eCommerce industry and its evolution, right to your inbox. 50%+ open rates for a year now.
Trusted by 22,804 DTC & eCommerce industry insiders.