The Clorox Company Spent $700 Million To Learn D2C

How much are large consumer packaged goods portfolios willing to pay when developing direct-to-consumer (D2C) capabilities? How about $700 million? You might be gawking at that price tag, but what if I told you that was cheap compared to the reported $1 billion that Unilever paid for Dollar Shave Club... In March of 2018, The Clorox Company announced it was acquiring Nutranext for $700 million. In this podcast, I will explain why that decision was more about gaining knowledge for the digital channel, then it was to buy a collection of nutritional supplement companies that did $200 million in revenue the calendar year prior to acquisition.