by: Wes Allen, Guest Contributor
I just listened to the most recent episode of The Rock Fight ("Will Sierra Take Out REI?") and found the conversation about Sierra's role in the outdoor industry fascinating. It is kind of funny to hear some people claim that Sierra's expansion is the answer for brands needing to boost volume or benefit from increased factory production because they can't move product fast enough through their other wholesale channels.
What a bass-ackwards take.
Do you know what slows down sales for a brand across channels in the long run? Consumers start believing that, based on a brand's past behavior, they are likely to find a better deal if they just look long enough.
If you want to see brands achieve better sell-through on their websites or in wholesale channels, stop training customers that they can always get a better deal. How do you do that?
I have two suggestions:
One. Do not make special make ups (SMUs) for the nation’s largest closeout outdoor chain. Keep those for cleaning up excess inventory rather than boosting factory production.
Two. Stop discounting for everyone who visits your website. I am talking about those stupid "Get 20% off when you sign up for our email list" pop-ups that direct sales folks have convinced their executives to put on the brand site. Why? They kill sales in wholesale and do not convert enough to offset the damage.
Ever watch a customer discover a new brand in a specialty store? It is a great moment. They pick up a product, check it out, and ask a question. If it really grabs them, they pull out their phone to learn more. And then it happens. They hit the brand's website and before they can explore, a pop-up hits them: "Get 20% off when you sign up for our emails!" Instantly, the value of the item drops. It no longer feels premium; it becomes something they can get for less if they had known where to look. The customer hesitates. Maybe they will wait. Maybe they will buy it online later. Or maybe they will decide it was never worth full price in the first place.
This is how brands chip away at their own discovery equity. They take a customer who was ready to engage and instead signal that the product is already on sale. That hesitation not only hurts specialty retailers, it hurts the brand. It cheapens the product, lowers its perceived value, and makes it harder to sell at full margin.
And long term, it starts a race to the bottom. A brand that cannot hold its price in specialty retail ends up relying on discount channels. If you train customers to wait for a deal, don't be surprised when your inventory ends up at Sierra.
Which means that maybe you should be making SMUs for TJ Maxx instead. It is the circle of life.
If your product is good, trust it. Let it sell on its own merits. Short-term email signups are simply not worth the long-term damage.
And yeah, I know, everyone does it, and they claim it is the only way to "own the customer relationship." BS. You can own the customer relationship by building a strong brand and making great products. The customer will be happy to have a relationship with you without you bribing them.
Want to know how those pop-ups really fail? They started years ago at 10%, then went to 15%, and now are 20%. Give it another year, and they will probably just sell it to you wholesale when you sign up.
Wes Allen is the Principal at Sunlight Sports in Cody, WY. Follow him on LinkedIn for more insights into the outdoor specialty retail world.