What I would do if I was Allbirds

What I would do if I was Allbirds:

Allbirds is having a bad time. They have gone from a valuation of $4b (USD) in 2021, to now, less than $200m.

It's sales are down 15% it's unprofitable, it's having trouble attracting new buyers and it's just a bit... meh.

And it all comes down to the fact they are focused on the wrong thing. Sustainability. Never thought you'd hear me say that right? Well, people don't buy shoes, or really anything, because they're sustainable. They buy them because they are pretty, comfortable, functional - or most importantly, they say something about the person themselves. For a long time Allbirds was cool - it no longer is, so they've lost a really powerful buying tool.

So, here is what I would do, if I was Allbirds.

1. Simplify product range back to the hero products that made the brand. Allbirds started out being simple, sustainable and comfortable. They won on the basis of being the 'worlds most comfortable shoe'. I'd go back to that and double down.
2. Figure out who the customer is. Is it mums, is it tech bros? Is it a fashionable brand, a comfy brand, a cutting edge one? Figure out who it resonates with and build for them. It's currently trying to be a lot of things, to a lot of people.
3. Figure out who the brand is on social. It's currently almost exclusively influencer content and it's all about shoes (we know how I feel about that). Their IG bio is currently 'we make better things in a better way using premium natural materials. Bcorp certified.' Not... great. I'd make it something like 'We make the world's comfiest shoes - out of the most sustainable materials.' Join us on our mission to take on the shoe industry. Or something. One - no one cares about bcorp. Two, make people feel a part of something - pit yourself against the big guys in the footwear world - people love a villain. And guys... please start talking to your customers in the comments!
4. Embrace the kiwi quirk. They had great marketing that was down to earth, they leaned heavily on the Aotearoa New Zealand connection and sheep - made people get it. A lot of that has vanished. Allbirds is boring now. Personalityless, beige and boring. Embrace the quirk that people consider part of NZ culture and make it clear on social media.
5. Close all 58 stores. Allbirds started on D2C then moved to their own stores. They also moved into wholesaling and that's where I think they should double down. They still aren't profitable and have massively high operating costs. Maybe keep a flagship store, but there is no need to have allbird standalone stores.

When they did their IPO (which set that value at $4B), they were not profitable. And they lost even more money following year. And eventually they implemented a bunch of cost saving measures, and more recently they've had a leadership shakeup, so who knows what will happen. It would be a shame if they didn't recover, they were an absolute pioneer in the sustainable business world, and I loved some of their earlier work. I've had at least six pairs of their shoes, and I hope they'll continue to grow.

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