Bare-Knuckled Reboot:
Glossier CEO, Emily Weiss, acknowledges errors and lets go of over 80 team members from the company.
Straight Up: Glossier, a DTC beauty brand, chopped over 80 employees last Wednesday. That's one-third of their workforce, y'all. The company fessed up to Retail Dive about this brutal reality shakedown.
The Lowdown: CEO Emily Weiss, in an email leaked to Retail Dive, apologized for this axe-wielding spree, blaming it on a series of screw-ups during their expansion. The errors led to this painful reorganization of the company.
"We should've stayed in our lane—focusing on our core biz instead of getting sidetracked by those half-baked strategic projects," Weiss wrote. "And we hired too many folks, which ain't cool. These blunders are on me, bitch."
The Scuttlebutt: Glossier has been going through hell the last couple of years. The pandemic wiped out the industry, particularly the makeup sector. Back in August 2020, they canned all their retail employees and closed down stores, only to reopen one year later. Now, they're chopping a third of their workforce—mostly from their tech team—as they aim for a more sustainable growth.
"We're streamlining this shitshow so we can focus on what we do best: creating a brand that inspires our crowd, dishing out unbelievable experiences, and churning out timeless beauty products," Weiss said.
Technology's still critical for customers, according to Weiss. But instead of solely relying on internal tech teams, they're gonna coordinate with external partners. Weiss also admitted that these layoffs are happening amid a global pandemic and promised to assist the affected employees. She didn't spill the beans on what that help will entail.
"The Glossier brand is a freakin' powerhouse, and we're looking forward to bringing our products and experiences to the masses worldwide, now and in the future," Weiss said. "But today is fucking rough. Big thanks to our team members for their hard work and contributions."
Despite the layoffs, Weiss revealed their long-game plans, such as:
- Expanding beyond their current retail footprint: The plan is to open more stores, but exact locations are under wraps.
- Raising $80 mil last July: This dough is meant for international expansion and a bunch of new stores.
- Filling key leadership positions: Since last year, they've appointed a new VP of brand, a CFO, and their first Chief Commercial Officer.
In summary, Glossier's new tech strategy, following these layoffs and the shift to external tech partners, revolves around efficiency and a strong digital presence that prioritizes community engagement and authentic user experiences. The exact details about their internal tech restructuring aren't available, but expect them to prioritize cost optimization, specialized expertise, digital marketing, and user-generated content.
- Amidst the global pandemic, Glossier's CEO, Emily Weiss, admitted that the layoffs were happening in a challenging economic environment and promised to assist the affected employees.
- Despite the recent layoffs, Weiss revealed long-term plans for Glossier, including expanding beyond their current retail footprint and opening more stores.
- To improve efficiency and prioritize community engagement, Glossier's new tech strategy involves coordinating with external tech partners rather than solely relying on internal teams.
- In the future, Glossier aims to create a strong digital presence that emphasizes timeless beauty products, unforgettable experiences, and a focus on AI-driven user-generated content, all while maintaining a significant role in the fashion-and-beauty, business, finance, and lifestyle industries.
