Brandless introduces a $9 price point with the launch of baby and pet products

Since launch, Brandless has looked to make shopping for everyday items simple by pricing everything at $3. Today, for the first time since the company came on the scene, Brandless will be adding new items that exceed its own $3 limit.

The e-commerce brand is adding baby and pet products to its portfolio.

Baby products include Premium Diapers with no latex, lotion fragrance or chlorine processing, organic baby food pouches and cruelty-free baby care products like baby wipes, lotion, shampoo and diaper rash cream. Pet products include protein treats, supplement chews, non-toxic toys, hemp collars and pet cleanup waste bags made with a TDPA technology material that breaks down faster in landfills.

Though some of these products won’t wear the $3 pricetag as a uniform like other Brandless goods, the company says that 90 percent of its products still fall into the $3 category. Products that are not $3 or less will be $9.

Brandless recently introduced a subscription, giving users a stickier way to interact with the brand, especially on the heels of the launch of pet and baby products.

The subscription is free, but it asks users to meet a minimum of $36 for free shipping, and it auto-fills the box with goods you’ve chosen for monthly resupplies.

The time between purchase and receipt is difficult for products like the ones Brandless sells. Toilet paper, snacks, pet food etc. all come in different amounts that last a different length of time. This means that options like Amazon Prime, which offers shipping as fast as same-day in some cases, become incredibly attractive to restock on that one thing that ran out too quick.

Edison Trends took a look at Brandless over a period between 2017 and 2018 and found that retention was the company’s most pressing issue. Only 20 percent of customers who bought something in late 2017 came back the next quarter for a purchase, and only 13 percent came back the quarter after that.

Since Brandless gives back the cost of marketing its products to consumers, word of mouth and customer loyalty are the two pillars upon which the company is built. Subscriptions and new product categories are two ways to bring on new users and build loyalty with an existing customer base.

But the seven-year-old company has plenty of work to do. With nearly $300 million in funding, investors and shareholders are expecting big things from Brandless.

This post was originally posted at http://feedproxy.google.com/~r/Techcrunch/~3/S8dnFxxEOdY/.

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