How To Build A Cash-Flowing Ecommerce Brand

Common Thread Collective

by Common Thread Collective

Nov. 04 2024

In this episode of Sharpen Your Skills, we're diving into the traits that define “duckweed brands” — those rare ecommerce businesses that seem to grow as effortlessly as the world’s fastest-growing plant, duckweed.

Working at Common Thread Collective for over a decade, Taylor has seen thousands of ecommerce brands and found that certain traits appear consistently in the most cash-flow-positive companies.

So, what makes a “duckweed brand” thrive?

We’ll look at eight key “genetic” attributes these brands share, including …
  • Fantastic Gross Margins: Why 70%+ is the target for profitability.
  • Lean OpEx: How low operational costs create leverage.
  • Beneficial Payment Terms: Creating a negative cash conversion cycle for growth.
  • First Order Profitability: The art of acquiring customers profitably from day one.
  • High Customer Lifetime Value (LTV): Boosting LTV for long-term gains.
  • Strong Organic Demand: Building a customer base that doesn’t rely on ads.
  • Revenue Peaks: Using product launches and seasonal trends to create demand spikes.
  • Large TAM (Total Addressable Market): Reaching a broad audience without hitting limits.

Get ready to understand what goes into building a thriving, cash-flowing ecommerce brand. This is your roadmap to joining the ranks of the fastest-growing ecommerce brands on the planet!

Stay tuned for more episodes of Sharpen Your Skills as we continue exploring strategies that empower you to make smarter business decisions! In the meantime, grab our Ecommerce Cashflow Scorecard …

Ecommerce Cashflow Scorecard
Download our Ecommerce Cashflow Scorecard
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Common Thread Collective

Common Thread Collective is the leading source of strategy and insight serving DTC ecommerce businesses. From agency services to educational resources for eccomerce leaders and marketers, CTC is committed to helping you do your job better.

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