These days, businesses want direct relationships with consumers. Content providers are launching streaming services and retail brands are moving online. It’s easier than ever for companies to reach consumers directly, and with the rise of Big Data, that direct relationship is more valuable than ever.
This recent spin-off is transitioning from a business model that primarily sells to consumers through third-party retailers to one that owns the customer relationship. This transition creates volatility in the short term, but it will make the company significantly more profitable in the long term. Valvoline (VVV) is