Cozy Earth uses Shopify Collective to cross-sell with their sister company

Cozy Earth is a Utah-based premium bedding and loungewear brand with a commitment to ultimate comfort and luxury. The brand offers a range of products crafted from 100% bamboo viscose.

When the team wanted to amplify awareness for their latest venture, Fount Society, through strategic cross-selling, they turned to Shopify Collective to bring the idea to life.

Since launching with Shopify Collective, Cozy Earth has seen:

The Challenge: Reducing the complexity of co-branding

As a newly launched brand, Fount Society’s priority was to build credibility and awareness in the market. The team wanted to accelerate this process by demonstrating their close ties to Cozy Earth, which already had a loyal customer base and substantial website traffic. Both brands agreed that co-branding would be a no-brainer with the potential to boost their bottom lines while providing a convenient shopping experience by enabling customers to build a singular cart with complementary products across the two brands.

Cozy Earth needed a solution that would allow them to seamlessly share Fount Society’s products along with the product details page, inventory levels, and pricing without having to manage duplicate SKUs. They also needed a way to separate the analytics between the two brands without having to change their current reporting structure.

But since the brands operate as separate entities under the Cozy Earth umbrella, the teams didn’t know how they could seamlessly co-brand without heavily relying on their fulfillment center to manage the process. Cozy Earth had explored several Shopify Plus certified third-party apps that offered product syncing between stores, but they were hesitant to adopt a solution that took a percentage of their sales.

That’s when the team learned about Shopify Collective, and they were impressed with its capabilities for easily syncing products, managing inventory across brand umbrellas, and having payments automatically sent to the respective storefront. As Fount Society was earning 100% of the sales for their products being sold on the Cozy Earth website, it was essential to have these payments be automated to avoid having to manually reconcile across stores and teams. Collective provides this functionality natively.

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The Solution: A seamless integration with Shopify Collective

Shopify Collective proved to be Cozy Earth’s ideal solution to power their co-branding initiative with Fount Society. It allowed them to maintain separate branded sites while benefiting from a complementary co-brand across the shared SKUs. Cozy Earth also migrated to Shopify Payments, which allowed them to easily handle automatic payments between the two storefronts, giving each team one less thing to worry about.

Since Cozy Earth and Fount Society are part of the same parent company, Fount Society earned 100% of the sales handled by Shopify Payments seamlessly and automatically. Soon they realized that using Shopify Payments also gave them access to a suite of Shopify solutions like Audiences to help them find more customers and Shop Pay to maximize checkout conversions.

With Collective’s simple user interface, Cozy Earth was privy to order volume, sales, and product sharing that was occurring through Collective, giving them the opportunity to measure success in one view. Collective also allowed Cozy Earth to avoid the process of duplicating SKUs and manually managing inventory, which supported legal obligations.

Additionally, Collective integrated with Cozy Earth’s ERP, Netsuite, and their third-party logistics provider, iDrive Logistics. The integrations have ensured operations can continue running smoothly without any disruptions impacting how orders are handled across the different channels. Cozy Earth maintained their existing returns process via Loop, which they use to set up custom rules to manage any Fount Society returned products.

The Results: Cozying up to more customers and new partnerships

Cross-selling Fount Society products on the Cozy Earth website and vice versa has allowed each brand to offer new products to their customers without hindering existing assortments. It has also provided an effective new strategy for growing cart values.

“We saw 36% of Fount Society sales on Cozy Earth attributed to new customers,” says Alex Nelson, Digital Product Manager at Cozy Earth. “This is a testament to the successful co-branding efforts that have significantly bolstered brand credibility.”

Looking ahead, the companies plan to expand their co-branding strategy by bringing in products from third-party brands who also help customers create sanctuaries in their homes. At the same time, Cozy Earth is planning to expand by offering their products on other retailer websites. The team uncovered this opportunity after receiving several invites to connect with Shopify retailers who discovered them through the Collective discovery feature, which allows merchants to view each other’s products when they use Collective to find new products to sell.

For Fount Society, the visibility provided by being featured on Cozy Earth's website has provided a significant boost to their brand awareness and credibility in the wellness space, especially on social media platforms. They gained a level of notoriety within key audiences and demographics that would have been much harder to achieve without co-branding.