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  • Baby Boom | Kohl's Strategic Rebranding with Babies “R” Us

Baby Boom | Kohl's Strategic Rebranding with Babies “R” Us

Plus: Kit & Kin Secures Its First Baby Skincare Listing In A Major Retailer

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Welcome to Baby Boom, the essential newsletter for professionals in maternity eCommerce.

Retail’s New Reality 🛍

Retail growth is no longer confined to brand .com websites. Fospha’s newest report shows customers are shopping across a fragmented mix of web, Amazon, and TikTok Shop, and the data proves it.

In their analysis of $176M in ad spend, Fospha’s research found that:

  • Web/.com now accounts for just 43% of total sales

  • Amazon contributes 22%

  • TikTok Shop is already driving 35% of total sales (for brands actively spending in the channel)

But the report’s biggest finding? 42% of Amazon sales are influenced by ads on TikTok, Meta, Google, and Snap. Traditional tools miss this impact completely.

To solve this, Fospha built Halo. The report demonstrates how Halo’s daily, full-funnel measurement unifies .com and marketplace performance into a single view, capturing the true cross-channel impact of marketing with Unified ROAS [(Web + Amazon Revenue) / Channel Spend].

👉 Download Fospha’s Halo Report: Measure and Grow .com and Beyond to explore the full data and insights.

Sector Spotlight 🎥

MARKETING PRACTICES

Marketing practices within the baby formula industry are under scrutiny for potentially misleading parents regarding product necessity and ingredients. Political and health groups urge the UK Government to implement CMA recommendations to ensure transparent, unbiased information is provided in marketing materials, assisting parents in making informed decisions.

This issue holds strategic significance for marketers, as it highlights the importance of ethical, clear communication strategies in promoting consumer trust and product authenticity.

FAMILY ASSISTANCE POLICIES

Sen. Tom Cotton introduced three bills addressing infant care and parental support, aiming to enhance resources for families. This initiative is crucial for marketers in the family-focused sector, as it could influence consumer behavior and demand for child-related products. Understanding these legislative developments is essential for aligning marketing strategies with evolving consumer needs, offering practical insights for targeting family-oriented demographics.

RETAIL EXPANSION

Kit & Kin's expansion into Boots with its hypoallergenic, dermatologist-approved baby skincare line highlights the brand's strategic growth in eco-friendly products. With a 38% YOY increase in nappy sales and doubling distribution to 794 stores, Kit & Kin fulfills the consumer demand for genuine sustainable options amidst industry greenwashing. This development is particularly relevant for brands seeking strategies to harness consumer trends towards sustainability and non-toxic products.

RETAIL PARTNERSHIPS

Kohl's is partnering with Babies “R“ Us to create store-in-store setups, aiming to tap into the $50 billion U.S. baby market and boost sales. This initiative mimics the successful Sephora model, focusing on a curated product mix and loyalty rewards, aiming for $2 billion in incremental sales. 

While this move presents growth opportunities, challenges include inventory management and competition from online retailers, highlighting the necessity for a strong omnichannel strategy to attract family-oriented demographics in a declining birth rate climate.

Optimization Hub ⚙️

RETAIL INNOVATION

Google's new feature in Chrome displays AI-generated summaries of online store reviews, accessible by tapping an info icon next to the URL. This tool, listing star ratings and summaries, offers consumers a straightforward view of retailer reputations. It's vital for brands to ensure positive Google reviews to influence purchase decisions, as this feature prominently highlights customer feedback during site visits.

DIGITAL MARKETING STRATEGIES

In times of economic uncertainty, maintaining marketing efforts on Pinterest is crucial for long-term success, as the platform reaches a broad, actively shopping audience.

By leveraging awareness campaigns, performance marketing solutions, and AI-driven tools, marketers can optimize engagement with high-intent shoppers while emphasizing value-based messaging to align with changing consumer budgets.

ClickZ is a ClickZ Media publication in the DTC eCommerce division