Retail Channels
06 January
Is ecommerce + wholesale a new DTC one-two punch?
Beauty brand Morphe is closing its US stores. Pullback or visionary?

Photo by Victoria Kennedy on Unsplash
Beauty brand Morphe is closing its US stores. Pullback or visionary?
Beauty brand Morphe is closing its own-brand US stores and shifting its focus to digital and wholesale channels.
“We have made the difficult decision to close all Morphe stores in the U.S.,” the brand wrote on Twitter. “We are forever grateful to our store teams for their passion, talent and dedication over the years.”
A spokesperson provided a more detailed statement to WWD:
“Following a careful evaluation of all aspects of our business, we have made the strategic decision to enhance our focus on the company’s wholesale and ecommerce operations going forward. We believe this shift will position Morphe to better compete in the broader beauty landscape and more efficiently reach our customers where and how they shop.”
Here’s the quick history of the brand:
Founded in 2008 by Chris and Linda Tawil, Morphe grew from a makeup brush company into a global beauty brand by combining the DTC tactics of low prices and influencer partnerships that helped its products go viral, Bloomberg reported.
Eventually, it opened a slate of physical stores that grew to about 20 locations in the US, per its website. It has 11 international stores, and is available at hundreds of wholesale locations through Target, Ulta Beauty and Sephora Canada.
In 2019, investment firm General Atlantic purchased a 60% equity stake in the brand, valuing it at $2.2 billion.
In 2020, it became a portfolio company of Forma Brands, which was positioned as an incubator of next-gen beauty brands. But in October of this year, Forma signaled that it was mulling bankruptcy. As Beauty Packaging wrote at the time struggles were traced to the pandemic-prompted dip in demand for color cosmetics sales, supply chain issues and the severing of its partnerships with influencers Jeffree Star and James Charles over controversies in subsequent years.
Two views on what this means:
More belt tightening: On one hand, this is another pullback in a tough week for retail. Amazon, Stitch Fix, Helen of Troy and Everlane all announced layoffs, while Macy’s said it will close four locations and Bed Bath & Beyond said it is considering bankruptcy. Boxed is exploring a possible sale. The economic about-face wrought by inflation is leading to a post-holiday shakeout that is happening just days into 2022, and Morphe could be another example. Forma’s move to raise the specter of bankruptcy is an especially worrying sign.
Digital + Wholesale: On the other hand, the focus on ecommerce and wholesale could be a sign of the times, as well. Once, opening stores was a path to achieve a new level of growth for digitally-native brands. But deals signed by darlings like Glossier and Allbirds in the last year have proven that there is opportunity in wholesale, as well. Operating stores is expensive, and it becomes even more difficult to drive traffic without wraparound services that give people a reason to visit (Think: Warby Parker’s eye exams). It begs the question, will more brands see ecommerce + wholesale as a viable strategy going forward? Perhaps Morphe will be a trendsetter once again.On the Move has the latest hiring update from The Vitamin Shoppe and At Home.
Heidi O’Neill has a new role at Nike. (Courtesy photo)
This week, Unilever, Nike and BigCommerce are seeing major transitions in the executive ranks. Meanwhile, The Vitamin Shoppe named a permanent CEO, and At Home brought on a longtime Walmart executive as president.
Conny Braams. (Courtesy photo)
Consumer goods giant Unilever announced key changes in top leadership roles. These include:
Graeme Pitkethly will retire as chief financial officer, effective at the end of May 2024. The board is set to launch a formal search for his successor. Pitkethly has been with Unilever for 21 years.
Conny Braams, who serves as chief digital and commercial officer, will leave the company, effective August 2023. Braams previously held senior management roles including Executive Vice President (EVP) of Middle Europe; and EVP Foodsolutions Asia, Africa and Middle East.
Craig Williams. (Courtesy photo)
Nike, Inc. announced several key leadership changes focused on consumer-led growth and marketplace. They are as follows:
Heidi O’Neill who is currently president of consumer and marketplace, will become president of consumer, product and brand.
Craig Williams, who is currently president of the Jordan Brand, will become president of geographies and marketplace at Nike, Inc.
Matthew Friend, EVP and Chief Financial Officer at NIKE, Inc., will expand responsibilities to include procurement, global places and services and demand and supply management.
Jared Carver will serve as CEO of Converse. Over the last four years, he served as VP/GM of North America for Converse.
Scott Uzzell, the previous CEO of Converse, transitioned to a new role as VP/GM, North America for Nike, Inc.
“These shifts will allow us to streamline our focus across product, brand storytelling and marketplace, mining deep consumer insights to deliver breakthrough innovation and engagement, while building long-term growth and profitability,” said Nike CEO John Donahoe, in a statement.
Lee Wright. (Courtesy photo)
Lee A. Wright was named CEO of The Vitamin Shoppe on a permanent basis, after serving as interim CEO since January 2023. Wright previously served as Chief Commercial Officer of Franchise Group and in executive roles at Conn’s.
Muriel Gonzalez was promoted to president of the retailer, after serving as EVP and chief merchandising and marketing officer of The Vitamin Shoppe since August 2020.
BigCommerce announced the following leadership roles:
Daniel Lentz was promoted to chief financial officer of BigCommerce, effective July 1. He previously served as SVP of finance and investor relations. Lentz will succeed CFO Robert Alvarez, who is retiring after a 12-year stint as CFO.
Chuck Cassidy was promoted to general counsel, effective June 2. Cassidy previously served as VP and associate general counsel. He will succeed Jeff Mengoli, who is retiring.
Hubert Ban was named chief accounting officer. He will replace Vice President of Accounting and Principal Accounting Officer Thomas Aylor, who departed the ecommerce platform on May 19.
Jeff Evans. (Courtesy photo)
Jeff Evans was named president and chief merchandising officer of At Home, the home goods retailer.
Evans previously served as EVP of entertainment, toys and seasonal at Walmart, managing the largest general merchandise business for the retailer. He rose to the position after serving in executive roles at Walmart US and Sam’s Club.