retail watch | Aug 13, 2026 |
How Mellow tapped TikTok and ‘sleep obsession’ to DTC success

The bed and bath home textiles space has developed into one of the most competitive—and congested—spaces in the entire direct-to-consumer channel. So any new player coming into the sector better have a fresh hook on why online shoppers should choose its products versus all the others.

Enter Mellow, in business for barely a year—and, according to the company, has already done $140 million in sales since launch. And it’s doing it with a strategy that hasn’t really been seen before in this space, especially at this scale. Where it differs: While existing brands like Brooklinen, Parachute and Boll & Branch have generally put design and quality at a fair price at the forefront of their marketing messaging, Mellow’s emphasis is on the functionality of the products it sells.

“I’m obsessed with sleep,” co-founder Chad Keller tells Business of Home. “No one in the business has really been focused on getting better sleep, so we’ve developed solution-based products.”

In another departure from the category’s traditional DTC playbook, which often sees brands launch with sheets and bedding, Mellow’s first product was a pillow. More specifically, it debuted the CloudAlign, which, according to Modern Retail, has been a huge hit on TikTok, holding down the top spot in its category since launch. “The Cloud is one of our hero products,” says Keller, an entrepreneur who was previously involved in a number of startups outside the home textiles field before co-founding Mellow last July with his partner Jay Yue, who is handling operations.

That original pillow was developed in collaboration with chiropractors for better support and proper alignment, and has since been joined by an extensive collection of other pillows, as well as comforters, duvet covers, blankets, and most recently sheets. With each launch, the focus has stayed on promoting quality sleep and the products’ performance fibers. Towels will be next, says Keller, who believes Mellow’s materials and product construction are what help set it apart. “Almost every innovative industry embraces new materials,” he says. “We believe better sleep comes from better material science, better textile engineering and continuous innovation. Many of our fabrics are made from sustainable, natural sources—fibers like Naia, which are derived from responsibly sourced wood pulp. Sustainability has been part of our philosophy from day one.”

Mellow has also pursued a very aggressive pricing strategy with frequent discounts and promotions, including offers for new customers ranging up to $100 off a $300 order. Its website prominently offers comparison pricing and available discounts.

The company has also been assertive in its marketing, relying on social media, particularly partnerships with TikTok creators and the platform’s live shopping application. And like most other DTC players, Mellow has also begun third-party distribution, with some bedding products scheduled to launch in select Target stores this fall before Mellow rolls out more widely in stores in 2027. It also sells through Amazon. Not on the menu: stores.

The key for Mellow’s strong growth, says Keller, has been its “solution-based” product development. It’s why Keller is confident that the company—which he says is self-funded and has no outside investors—is on track to hit $400 million this calendar year. Should the brand hit those levels, it would be the fastest-growing DTC player in soft home.

I’ve been covering the soft home space for a long time and going back to when the giant sheet and towel mills controlled the business, companies have always tried to emphasize product attributes as opposed to just design and fashion—but hardly anybody could make it work. Based on Mellow’s fast start it looks like they’ve been able to do so. That’s nothing to sleep on.

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Warren Shoulberg is the former editor in chief for several leading B2B publications. He has been a guest lecturer at the Columbia University Graduate School of Business; received honors from the International Furnishings and Design Association and the Fashion Institute of Technology; and been cited by The Wall Street Journal, The New York Times, The Washington Post, CNN and other media as a leading industry expert. His Retail Watch columns offer deep industry insights on major markets and product categories.

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