- The Honest Company has hired veteran Amazon Pete Gerstberger as their new chief digital and strategy officer, effective October 4.
- Gerstberger was previously the head of Amazon’s Key service, which enables contactless deliveries to customers’ homes.. Previously, he was vice president and general manager of Ring, a security and smart doorbell service acquired by Amazon in 2018.
- At Honest Co., Gerstberger will be responsible for overseeing the brand’s omnichannel strategy and driving its digital business through analytics.
Launched in 2012 by actress Jessica Alba, The Honest Company has capitalized on growing consumer interest in so-called clean and natural products that avoid chemical inputs. The company, which filed for an initial public offering this year, has a filed “NO” list that includes 2,500 chemicals such as parabens, sulfates and phthalates that the company will not use in his products.
From there, the brand branched out into many categories, ranging from diapers (which, along with wipes, represent 63% of the company’s turnover) with dish soap. The brand estimates that the total national “clean and natural” markets for its three main categories – diapers and wipes, skin and personal care, and household and wellness – were together worth $ 17 billion in retail sales in Canada. 2019.
Of the society own-product ethos is part of its sales pitch. It can also be a legal risk. In its initial public offering prospectus, Honest Co. noted class actions against it from consumers alleging that sunscreen had not worked and was not “natural” – which led to a Food and Drug Administration investigation – and other lawsuits claiming he was misled. consumers on the ingredients of various cleansers.
While the company’s revenue has grown rapidly, it has recorded a loss every year since its inception, although the company has significantly reduced its operating loss in 2020. For the first half of 2021, Honest Co. is back to a significant loss, according to its latest financial statements.
Gerstberger will oversee the company’s digital operations, which accounted for some $ 166.7 million in revenue in 2020 and accounted for about 55% of all revenue, with retail sales making up the rest. Honest Co. touted its experience at Amazon Key, where Gerstberger helped scale the service to 50 million Prime customers, as well as develop and launch Ring’s home security system (Ring Alarm).
Along with his responsibilities on the digital side of Honest Co.’s business, the company said Gerstberger will be “a key voice in advancing the company’s strategy, focusing on future business growth initiatives, licensing, partnerships and category development “.