CASE STUDY | Diane von Furstenberg

DvF sees 20% YoY growth with Wunderkind from efficient owned channels

Since its founding in the 70s, the Diane von Furstenberg (DvF) brand has become synonymous with luxury dresses, New York fashion, and retail. The success of DvF comes from a deep appreciation and understanding of its customer. She is a woman in her thirties to late forties; a businesswoman, a mom, and a creator. She is a woman who wants to design her life. As their customers have evolved dramatically in the last decade, the DvF brand has taken dramatic strides to evolve alongside her and ensure the DvF legacy endures.

19.4%

of total digital revenue driven by Wunderkind

#1

paid revenue channel in Google Analytics

58%

increase in ROAS in the second year of their partnership with Wunderkind

Industry

Fashion and accessories

Challenges

Increase Sales

Wunderkind Products

Triggered Email
Text Messaging

We’ve been able to gain 3,000 paying customers every month while spending a quarter of the marketing budget we spent one year ago. All thanks to our eCommerce team and solutions like Wunderkind.”

Gabby Hirata, CEO of DvF

The Challenge

In the years leading up to the pandemic, DvF had seen growth stall across their business and knew their strategy needed to change. The brand had big ambitions, as Gabby Hirata, CEO of DvF, explained: “We wanted to make DvF the most admired company in the world, make great profits, and hit 20% year-over-year revenue growth.” To return to profitable growth, they identified an opportunity to attract a new generation of DvF customers through digital transformation and eCommerce, with a focus on their owned channel reach. Throughout the transformation, DvF put the customer at the center of every initiative and focused on a shared mission for ‘her’.

The Solution

Wunderkind played a pivotal role in the growth of DvF and its digital transformation. As Hirata explained, “Wunderkind genuinely changed the lives of the DvF team and family.” For the first time in years, the brand is now growing 20% year-over-year. The majority of this growth comes from efficient owned channels like email and text message marketing, which have helped give the customer what she wants with personalized messaging. “It’s not our ego-based decision, it’s our customer’s decision, and technology [Wunderkind] allows us to give her that,” said Hirata.

The Results

With Wunderkind’s help, the luxury brand successfully emphasized its legacy, while attracting new customers. The power of this new scalable channel has dramatically improved DvF’s customer acquisition and marketing efficiency, even with a much nimbler marketing team. “We’ve been able to gain 3,000 paying customers every month while spending a quarter of the marketing budget we spent one year ago. All thanks to our eCommerce team and solutions like Wunderkind.” Hirata added that, as of today, the DvF team is now seeing more revenue from Wunderkind than their branded email channel: “60% of our revenue comes from organic, but this only happened because our email channel essentially doubled. That growth has come entirely from Wunderkind.”