Business Updates

2023 Spreetail Business Update

January 2, 2023

2022 was a year of change. We uncovered many areas that we needed to improve to better serve our company and our brand partners. We built and implemented a plan to make those incremental improvements and drive our business forward. Many of the changes focused on optimizing our processes, evaluating inputs, and streamlining collaboration across teams. I’m proud that the intense focus placed on these changes over the last six months has led to better and more informed decision-making. There is now greater support and opportunity for our brand partners to utilize the full range of Spreetail’s offerings in the way that best suits their unique needs.

Below, you can read through the key focus areas for Spreetail’s divisional leaders in 2023. The improvements that these teams are narrowed in on will deepen our ability to serve our brand partners, enhance our connections, and bolster our shared success.

Merchandising (Vendor Management, Business Development, Inventory)
Owen Carr, CEO, North America

Procurement Status Reviews
One of the transitions we began in December was the migration to a new, manual procurement process. In the new process, the Spreetail Merchant Team will work closely with the brand partner to review and optimize the list of items we buy. The manual review raises visibility and accountability, ensuring we are actively managing the right assortment to see continuous sales momentum across the full product line.  

Supply Chain
Ben Cook, Chief Supply Chain Officer

On Time Delivery (OTD)  
We will consistently deliver on time for Amazon, outperforming competitors, to continually position us as the top performing Seller Fulfilled Prime (SFP) partner in the Amazon network. This will ensure we maintain our SFP status. We will scale OTD and ever-evolving service improvements across all our sales channels to help position us for increased market share everywhere we sell.  

Strategic Initiatives
Allan Hale, Chief Strategic Initiatives Officer

Launch and Operationalize Fulfilled by Amazon (FBA) for Spreetail
Historically, we have only fulfilled packages through our Spreetail fulfillment centers. This year, we will be working to launch and operationalize FBA, primarily focusing on smaller parcels so that we can sell and manage a wider range of products for our brand partners. We also expect selective use of FBA to generate cost savings and improve revenue growth for certain SKUs of our existing assortment.  

Joe Hansen, Chief Marketing Officer

Expanding Alternative Marketing & Media Placement Opportunities
We will expand alternative marketing and media placement opportunities including review generation, affiliates, influencers, and editorial placements. Developing new marketing programs acts as a lever to strengthen our brand and channel partnerships, while positioning Spreetail as an early adopter, unlocking continues access to the latest initiatives that can drive new, incremental GMV.  

Mehmet Kalay, CEO, Europe

Europe Channel Expansion
Spreetail Europe will extend our current EU channels from three to seven channels in 2023, generating business from UK, Germany, France, and Italy. Spreetail Europe will work with over 100 vendors by extending our SKU base to 1000 SKUs, creating a strong foundation for future growth. We will follow similar logic to our US counterparts on how we’re assessing brand and SKU potential.

Kelsey Hearnen, Chief Channels Officer

Growing Canada
Our Canada business is still relatively new, providing us with immense opportunities to grow in 2023 and beyond. We plan to launch linehauls for 1–2 day shipping in metro areas, apply more refined pricing logic to our Canadian assortment, and extend our marketing efforts to CA. We look forward to launching more of our brand partners' products in the Canadian market.

I’m confident in our team and the direction we’re moving as we continue to focus on accelerating brands and channels to compete for tomorrow’s ecommerce customer in 2023 and beyond. Our team is equipped with the expertise and grit to propel our brand partners to succeed in the ecommerce landscape of the future.

Upward and Onward,

Brett Thome


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