To form a direct-to-consumer (DTC) online commerce strategy, Kidd & Company, LLC and T-street Capital, LLC have joined forces by creating a holding company focused on buying companies called Brand Holdings, LLC. The firms unveiled their first purchase, Dr. Emil Nutrition, in a Tuesday (July 7) announcement.
Dr. Emil offers wellness and health supplements in addition to sports nutrition items for the dedicated athlete and regular consumers alike that are supported by Dr. Emil Hodzovic’s scientific background. The companies said Dr. Emil is going through “remarkable growth” and has collected a dedicated following by harnessing a “science-backed approach to nutritional supplements.”
Jeff Hennion, who will serve as chief executive officer and executive chairman of Dr. Emil Nutrition and Brand Holdings, said in the announcement, “The DTC e-commerce space is growing substantially, especially given changing consumer behavior during this pandemic and the shift in marketing mix moving forward, and we are excited about the opportunity to create a portfolio of DTC e-commerce brands with a focus on growth.”
Hennion’s past experience includes a leadership position as executive vice president, chief marketing and eCommerce officer at GNC in addition to executive vice president and chief marketing officer for Dick’s Sporting Goods. The executive also worked as JEGS Automotive’s chief executive officer. In that role, he spearheaded the shift to a DTC online brand from a catalog company.
The domestic nutritional supplement market is expanding at a strong clip, according to the announcement, and sports nutrition is set for the “most significant growth” as the market grows to encompass a much wider set of clients.
In another recent DTC acquisition, Constellation Brands, the parent company of Corona beer, acquired Empathy Wines. The news came after an announcement in the middle of last month that The Macallan Scotch Whisky would also start selling DTC, which has sped up the shift to Digital 3.0. The acquisition came as states have widely differing regulations when it comes to on-premise dining and drinking.