Nestore's blog

Self-mockery, one of Cabaia's weapons?

Cabaia's culture is built on self-deprecation. It's the brand's DNA, and it's what appeals to our customers and employees.

When I created Cabaia, I wanted to embark on an adventure. One of my greatest prides is the team that is being created. We are in exactly the same state of mind, we don't take ourselves seriously and we remain humble. In a photo, we don't look like much. Cabaia is the same. We don't see ourselves coming, and we are never where we are expected.

We're a bit like the "Rasta Rockets" of retail , and that translates into our strategy. With the crisis, brands are leaning toward digital, there's a real aversion to the physical. We, in fact, are going physical. That's how we get noticed, thanks to our offbeat spirit and culture.

We're not a fashion brand or a trendy brand that risks becoming outdated after four years. We're a brand that speaks to the whole family and offers international lifestyle products. And it's this self-deprecation that allows us to speak to everyone. Added to this is the choice of colors, which are trendy and resonant, with an innovative touch for each product.

Cabaia is growing with a target of 6 billion people, with no distribution limits and no geographical limits.

More than a DNVB, a PNVB (Pop-up Native Vertical Brand)?

We are neither one nor the other, just a brand that observed its market before launching. Today, it is easy to set up your business , you just need to create a website. On the other hand, what is complicated is to stand out, especially on digital. What was complicated yesterday has become easy today, and vice versa. Without a brand identity, if a competitor arrives on the market with the same products but with more competitive prices, the customer chooses the competitor without hesitation.

The idea was to focus on a real story to build customer loyalty and create a connection through physical contact . So I started the Cabaia adventure alone, opening pop-up stores in shopping centers. The advantage with pop-up stores is that you get immediate feedback from customers, so you know right away if it's going to work. If a brand focuses solely on e-commerce, it takes about two years to understand and connect with its customers. During these four months of pop-up stores, I was trying to understand who I was targeting and if it was going to work.

The pop-up, ultimately, is a communication campaign that costs you nothing , it's like an advertising billboard in the subway. We didn't do it to make money, but to create an experience with the customer.

There are two important things when you create a pop-up : the merchandising through which you will tell the brand's story (for Cabaia, it had to be a joyful, organized mess) and the training of the salespeople . This is essential, it's your window and it's what makes your pop-up work or not. The point is to have a good time, otherwise it's pointless.

Digital or physical strategy?

Contrary to popular belief, exponential growth and profitability don't go hand in hand when it comes to digital . Digital requires colossal budgets. At first, you can manage, but when you want to accelerate, it's expensive and requires specific skills. At Cabaia, we prioritized profitability, and therefore physical.

I'm sometimes asked how I finance my pop-ups. But ultimately, rent may seem more expensive, but it's paid at the end of the month. During this time, we have the opportunity to make the operation profitable. Furniture, which is very important, can also be paid in installments; there are always solutions. Compared to a strategy built on Instagram or Facebook, physical advertising costs less.

The pop-up store was therefore our first acquisition channel . When the site launched, the only customers who went there were those who had discovered the brand through physical stores. And then, little by little, the prices of locations in shopping centers increased. The financial balance was no longer as attractive, so we opened up to other distribution channels: e-commerce and resellers. At that time, I really felt like I was managing three companies, it was a real challenge .

It's true that the reseller channel can be perceived as "old school" because we don't control distribution. But it's very profitable, and fixed costs are low. We were able to quickly earn money and invest it. Our three channels are therefore essential to our growth .

What about customer experience?

We use NPS to measure satisfaction and engagement with the brand, whether on the website or in pop-ups. This allows us to measure the impact and adjust the experience. If half of the respondents don't know the story, we'll make sure they do.

Today, these are the important elements of a brand that brands didn't have before. The customer is in a strong position and the experience must be perfect if you want to seduce them. The story, the merchandising, the salesperson's smile, it's essential. We train our salespeople to smile . A customer who comes to our store and leaves without a purchase is not a big deal. What matters to Cabaia staff is that the customer had a good time. Through an exchange with the salesperson, the DNA of our brand must be perceived.

How have you evolved your brand, which is very influenced by seasonality?

We had a real question about the seasonality of the product. Since the hat was initially the only product, we wondered if we could sell hats in the summer. We decided to launch a flip-flop three years ago, and it didn't take off at all. We realized the market was saturated, that there was no demand. From that moment on, we integrated our customers into the design and involved them.

We validate the need, we include them in the process. The customer feels invested, they talk about it around them. It's a virtuous circle. A community is built and integrating them into our strategy and making them interact is essential . For example, a water bottle as a new product will be released this summer, it was the customers who created it. That's how we build loyalty. All this is done thanks to our uninhibited image, our funny team videos, our self-deprecation. If you had a good time, when we need you, you simply respond.

If you had to recommend one person to invite to this clubhouse, who would it be?

I'd recommend inviting William, founder of Asphalte. What they've done is amazing, and they're monsters in terms of repeat rates and LTV. Personally, I thought I'd never be a customer, and they finally managed to convert me.