Prime real estate... Walmart is Earth's biggest retailer — Now SmileDirectClub will sell its mouth-flattering goods exclusively on Walmart's website and across its 3,800+ US stores. One of the worst IPOs of 2019, SDC shares popped 25% on news of the partnership. The awkward part? The partnership doesn't even include their core product.
More like Smile InDirect... SDC's strategic move to go off its own website and into another retailer isn't totally fresh — its online-first, direct-to-consumer cousins made similar moves: Casper mattress, Harry's razors, and Quip toothbrush all now sell in Target stores. But SmileDirect's the only one to keep its core product to itself.
This is SDC's top-of-funnel strategy... How do you warm people up for a bigger commitment, more expensive core product? Offer them gateway goods instead. SDC's main teeth-straightener costs nearly $2,000. An SDC electric toothbrush in color "blurple" costs just $25.