Birchbox's 2016 struggles stemmed from market shifts, not weak unit economics
Katia Beauchamp · Birchbox: Katia Beauchamp · Mar 16, 2020 · at 52:30
Katia Beauchamp, co-founder and CEO of Birchbox, explains why the company had to restructure and conduct layoffs in 2016 despite having over a million subscribers.
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“The unit economics were strong, but the market changed. I think that it was a Perfect storm of there being some formidable competition and having, not having access to capital that was limitless. All of a sudden, it was just this question around direct-to-consumer businesses and how they would survive amongst, you know, competitors like Amazon, and there was no longer capital flowing into e-commerce.”
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