JC approached me regarding the purchase of an Amazon + Walmart online only business which sold towels roughly the 10th of May. We were in Guatemala at the time. I was very skeptical at first given the little differentiation you seem to be able to get in that category - I was wrong. The differentiation seems to be done in the quality of the towel as well as in the colors offered.
The business has existed since roughly 2015/2016 but has only really taken off in the past 24 - 36 months. The takeoff was due in part to COVID but also due to investments in marketing.
The only manufacturer of this company is in Pakistan. We have never bought product from Pakistan in the past, I don't know the culture of that country either. That is one of the main reasons why I traveled to Pakistan from the 28th of May to the 31st of May.
Towels is a huge category with a lot of aggressive players who know what they are doing. This feels like a risk but might be more of an opportunity in practice.