Why Alejandro Betancourt López Opened 60 Physical Stores for His Digital-First Brand

The conventional wisdom for direct-to-consumer startups in 2016 was simple: stay online. Avoid expensive real estate. Let established retailers worry about physical locations. Venture capitalists loved the model. No lease commitments. No store staff. Just efficient e-commerce operations and aggressive digital marketing.

Hawkers followed that playbook initially. The Spanish sunglasses company built its brand through social media, sold exclusively online, and grew revenue quickly without the overhead that traditional retailers carried. By late 2016, the approach had worked well enough to attract a €50 million Series A investment led by Alejandro Betancourt López, who became president in November.

Then he did something that surprised industry observers. Rather than pouring all that capital into more Facebook ads and influencer partnerships, Betancourt López began opening physical stores. Not just a flagship location for brand credibility—more than 60 stores across multiple countries.

The decision looked risky when digital-native brands were celebrating their ability to avoid retail entirely. Today, with Hawkers generating over €100 million in annual sales across more than 20 countries, the move looks prescient.

When Digital Marketing Stops Being Cheap

Hawkers’ early success came from efficient digital marketing. College students received free sunglasses and posted authentic content. The approach generated millions in earned media value at a fraction of traditional advertising costs. Customer acquisition expenses stayed low while revenue climbed.

That advantage didn’t last.

As influencer marketing became standard practice, costs increased dramatically. Facebook and Instagram adjusted their algorithms. Competition for customer attention intensified. By 2017-2018, the digital channels that once provided cheap growth were becoming expensive.

Alejandro Betancourt López watched customer acquisition costs creep upward and recognized the math was changing. Spending more on digital ads would maintain growth but erode margins. The company needed new channels that could acquire customers more efficiently.

Physical stores offered a solution. Yes, they required upfront investment in real estate, fixtures, and staff. But once established, stores acquired customers at lower long-term costs than paid digital advertising.

People walking past a Hawkers location represented free exposure. Someone trying on sunglasses in a store was already halfway to purchasing—no expensive Facebook ad needed to drive them there.

“Once I start something, I just don’t stop,” Betancourt López explained. “I try to see every single option that could turn negative and try to mitigate it beforehand. Even if the idea is great and you have the right people, it’ll always surprise you with things that are not expected.”

The store expansion represented that philosophy in action. Rather than waiting until digital marketing became completely unprofitable, Hawkers invested in physical retail while the company still had momentum and capital.

Every Store Visit Generated Valuable Data

The real value of physical locations went beyond transactions. Every customer interaction in a store generated information that improved operations across the business.

Store associates learned which questions customers asked most frequently. That insight shaped website content and product descriptions. If everyone wanted to know whether a particular frame fit narrow faces, that detail went on the online product page.

Try-on patterns revealed regional style preferences. Madrid customers gravitated toward different frames than Barcelona shoppers. That data informed inventory allocation—both for other stores and for the company’s distribution centers that fulfilled online orders.

Geographic foot traffic helped guide expansion decisions. A store performing well in one neighborhood suggested nearby areas might also support locations. Stores struggling in certain demographics revealed which customer segments to target through other channels instead.

The infrastructure supporting stores also strengthened e-commerce operations. Alejandro Betancourt López had already established manufacturing facilities in Spain, Italy, and China to support global distribution. Those same networks could stock retail locations efficiently.

Inventory systems that tracked store demand could optimize online inventory too.

“We always have been conscious about sustainability, and we know that the market is shifting toward that direction,” Betancourt López said. “Everyone is getting more conscious and wanting to understand how the product they buy impacts their life, but also the world and environment as well.”

Physical stores made sustainability initiatives more tangible. Customers could see and touch the sunglasses made from recovered ocean plastic. Store staff could explain the manufacturing process and environmental impact. Those conversations were harder to replicate through website copy or Instagram captions.

Solving the Eyewear Return Problem

Sunglasses present a specific challenge for e-commerce. Face shapes vary. Frame styles that look great on models might not work for every customer. Colors appear different on screens versus in person. Fit matters—too tight causes headaches, too loose means sunglasses sliding down your nose.

Returns plagued online-only eyewear companies. Customers ordered multiple pairs, kept one, sent the rest back. That behavior created logistical costs and inventory complexity. Every return required inspection, potential restocking, and sometimes disposal if the product couldn’t be resold.

Physical stores solved multiple problems simultaneously.

Customers tried frames before buying, dramatically reducing return rates. Store associates provided personalized recommendations based on face shape and style preferences. People left with products immediately rather than waiting for shipping.

The experience also built emotional connection that pure e-commerce couldn’t match. Shopping for sunglasses became an event rather than a transaction. Friends came along to provide opinions. Staff remembered regular customers and their preferences.

Those interactions created loyalty that transcended price and convenience.

The economics supported the strategy too. Customers who shopped both online and in stores demonstrated higher lifetime value than single-channel buyers. They purchased more frequently, tried more products, and referred more friends.

The physical stores didn’t just acquire new customers—they deepened relationships with existing ones.

Ahead of the Curve

By 2025, many direct-to-consumer brands have followed Hawkers into physical retail. Warby Parker operates hundreds of stores. Allbirds opened locations across major cities. Casper built showrooms where people could test mattresses.

The playbook Alejandro Betancourt López helped establish has become standard practice. Deloitte’s 2025 Retail Outlook identifies “accelerating digital transformation/omnichannel capabilities” as a top priority for retail executives.

That shift validates the contrarian decision he made in 2018. While other digital-native brands were celebrating their pure-play online models, Hawkers was building infrastructure that would provide advantages as those models showed limitations.

The lesson extends beyond retail strategy. Betancourt López applies the same forward-thinking approach across his portfolio through O’Hara Administration. He studies how industries evolve and positions investments where he expects value to emerge—not where it exists today.

“Everything I do is based on intuition and information,” Betancourt López said. “Intuition based on the right information and the right people that surrounds you.”

That philosophy guided the store expansion. Data showed customer acquisition costs rising. Information from early retail experiments demonstrated stores could work. Intuition suggested the advantage would grow as digital marketing became more expensive and competitive.

Hawkers’ physical locations now function as brand showcases, customer service hubs, and data collection points. They generate revenue directly while supporting e-commerce operations. They acquire customers efficiently while deepening loyalty among existing buyers.

The 60+ stores represent more than retail locations—they’re infrastructure that positioned Hawkers ahead of broader industry trends. That’s the kind of thinking that turns a promising startup into a lasting brand.

Learn More: How Alejandro Betancourt López masters value chain positioning for market dominance