Abstract
Introduction: Santa Lolla, a benchmark in the women's shoes and accessories sector, faced the challenge of expanding its digital presence. Founded in 2004 by the Martinez siblings, the brand rapidly gained traction in the Brazilian and international markets, making appearances at global fairs like Micam in Milan.
Background: By 2023, Santa Lolla boasted over 300 franchises, and its collections were retailed in more than 1,000 multi-brand stores. The brand distinguished itself through successful collaborations with major fashion names and an unwavering commitment to sustainability. With the rise of e-commerce, the company recognized the need for digital transformation, updating its e-commerce platform, launching its own marketplace, and implementing cutting-edge ERP solutions.
Primary Challenge: During a strategic meeting, the pivotal dilemma was whether to extend the brand's presence on popular marketplaces like Mercado Livre, especially following a significant purchase reduction by one of its chief digital distributors.
Analysis: Discussions revolved around the pros and cons of joining marketplaces, considering brand image, sales control, and counterfeit risks. The initial approach was to partner with marketplaces that resonated with Santa Lolla's values.
External Insights: Birkenstock's experience with Amazon over counterfeiting concerns and an HBR case study on an electric bicycle manufacturer offered varied perspectives on the quandary.
Conclusion: Santa Lolla's trajectory exemplifies the challenges companies face in the digital age, deliberating on adapting to market trends and safeguarding brand image. The decision to venture into third-party marketplaces requires a thorough analysis of risks and opportunities.
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