- October 1, 2020
- Posted by: Anshulika Sarkar
- Category: Direct to Consumer Selling
Are you planning to take the D2C Selling route? Are you looking for detailed strategies to make the transition of being a direct to conumer brand and help your business partake this new technology in the best possible way?
Look no further, this guide consists of all the information, insights and approaches to take in order to become a top D2C eCommerce Selling platform.
Sellers, retailers, brands either small or big have been keeping up with this latest trend of the eCommerce industry that not only reaps many benefits but empowers your business to keep growing with the changing reality, and direct to consumer trend is quite on the high.
Expert analysts have concluded from studies that the rise of Direct to Consumer Selling is going to shape the future of eCommerce and the business that adapts to it in time will see phenomenal growth and better customer satisfaction rates.
So what is it about D2C that makes it the buzz word around the eCommerce world? Read the full article and get all the unique insights.
What is D2C Selling?
Direct to Consumer selling is all about selling directly to the end-customers via online medium, strengthening customers relationships, understanding what they expect out of a brand to deliver and then making sure to live up to their expectations!
Simply put, for you to master the direct to consumer sales format you need to focus more on the needs of your consumer rather than just providing them with whatever service you have.
Sounds easy right? Well, it is a little more complex to do than said and that is why it is necessary to have complete knowledge of this new age technology if you wish to make the most of it.
To understand the technology, you need to know about the fundamentals of why, where and how can direct to consumer model be utilized to help you optimize business operations accordingly.
Why are eCommerce Businesses accommodating D2C?
Change is inevitable and every industry must go through it every once in a while. And due to the newfound normal post COVID-19, businesses have been rushed up to accept changes to cope up with things during these 6-7 months.
Almost every brand wants to become Direct to Consumer or D2C as it has been a positive and more profitable change and has proved to be a saviour for a lot of businesses. There has been a global wave to go D2C due to the significant spike in sales achieved from it.
Businesses that have already gone D2C have experienced over 88% growth in their sales which is expected to grow more in the coming years and that is why having a full-fledged D2C strategy is becoming highly required.
We recently published a report called the ‘eCommerce Trends Report’, which also gives deep insights of how D2C has changed the game for online businesses with a 65% increase seen in brands developing their own websites and platforms to leverage sales directly which has, in turn, grew sales by 3X for these brands and businesses.
As customers have now transitioned from shopping traditionally at stores to the much easier online platforms which are trying to develop similar experiences to that of buying in a store with the help of AI, try and buy, shop in wheels etc., D2C has pushed businesses to rethink their online sales strategy.
Building strong consumer experience, having complete visibility of trends, creating brand loyalty and more such crucial aspects can be leveraged using D2C
These account for the biggest reasons for businesses going the D2C route, but with the vision of going the way, questions such as how to go on about adjusting to D2C Selling, major strategies to utilize the technology and overall how to use the consumer data achieved from it.
How to adapt Direct to Consumer Selling?
Right from the Industry Experts!
Recently, we organized a webinar with the sole purpose of demystifying these crucial questions and how is this new-age technology going to solve the unprecedented issues faced by businesses in the post COVID world.
In the webinar (Demystifying Direct to Consumer Best Practices), experts from leading brands SUGAR Cosmetics, FabAlley and mCaffeine shared deep insights and best practices of acclimating Direct to Consumer Selling and how it has changed the way of doing business for their own brands.
During the virtual discussion, the panellists shared the journey of their brands and how with the right direct to consumer strategy the brands have managed to have an unstoppable growth as soon as non-essentials were allowed to be sold post lockdown!
Kaushik Mukherjee, Co-Founder & COO – SUGAR Cosmetics, addressing many queries of how to begin the D2C journey, said “ The brand has always been a digitally native platform and D2C plays a huge role in managing the customer expectations and understanding.
SUGAR Cosmetics has evolved into selling directly to consumers, have higher sales and lesser competition as the engagements happen directly between the brand and the buyers when D2C is in the picture. Lastly, he mentioned how social platforms have been a major contributor towards building trust amongst customers.
Shivani Poddar, Co-Founder, – Indya and FabAlley during her discussion shared some insights about how the brand grew from being an online-only platform into the traditional offline market but with the D2C model always in place.
According to her, “ As Faballey and Indya are a direct to consumer apparel brand, it was crucial to understand customers well. To do that I feel, a direct channel is highly important to interact, learn and grow. With D2C it is relatively easy and quick to establish a brand, reach out to buyers, get the details of what is expected and sell customized products.
D2C selling enables direct communication about what a brand stands for, what it offers and what it can offer in the best way possible.”
Tarun Sharma, Co-Founder – mCaffeine during his panel discussion said that “mCaffeine has been built on D2C and currently on the online platform itself and they sell from their website including marketplaces. Volumes and Voice are two aspects of D2C, while volumes for mCaffeine still funnels from marketplaces, the voice of the company reaches via own website, helping overall volume growth of the brand”
Take a look at the journey of these 3 promising brands that managed to build trust and scale up their business growth via D2C despite having minimal resources but with the right set of set of strategies & approach. Watch now:
Some key strategies on how to adapt D2C include:
- Balance out both marketplace and website selling, with a clear focus on driving sales from the marketplaces and using the website to drive the narrative of the brand.
- Build a strategy to service customers from wherever they shop from, instead of restricting the brand to only one form of sales channel.
- Organizational structure is the most important aspect of transitioning to a D2C brand, have a dedicated team to analyze through data, customer expectations and create a road map from there
- Utilize social media channels, marketplaces and own websites to understand the target audience first.
- Design and optimize your website and focus on direct to consumer marketing which includes developing quality content around your product, running campaigns that can attract customers but at the same time keep the value of your brand intact.
- Leverage D2C to act as a brand narrative, engage the audience, gather data and build from there
Here is an ebook to help you better understand the marketing aspect of going D2C. This eBook has been created in collaboration with our partners Green Honchos, a D2C brand building and managing full-stack eCommerce solutions provider, to go D2C.
- Have unified product lines across all channels along with pricing and build a subset of offline on the online platform.
- ‘Design for Digital’ is an aspect for selling D2C that can swiftly put your product on the spotlight and give it an edge over all others.
- Always prioritize unit economics and profitability
The biggest derivative of adapting direct to consumer business model is to ensure that your brand is easy to search, has quick buying options, strong customer support and efficient logistics assistance.
Chumbak is one such successful brand that has effortlessly transitioned to a D2C brand with the help of highly advanced technological solutions and now sells across all possible channels including their own online and offline stores as well as leading marketplaces like Amazon, Myntra etc.
Know how investing in the right technology solutions helped Chumbak boost sales across multiple sales channels here: https://bit.ly/35OOsJG
What are the advantages of going D2C?
Discussed throughout the article, the biggest advantage of going D2C is how your sales will increase when consumers shop directly from you.
But there are several other benefits of this new age trend that can surely boost your eCommerce business and make your mark amongst all the shoppers.
Prominent advantages of adapting direct to consumer sales:
- Complete Control Over Brand Portrayal
When you are able to have control over your brand’s reputation and how your brand should like in front of your customers, you are able to build a strong presence.
For manufacturers selling direct to consumers, the complete control of the product now falls upon them and not a 3rd party.
Strategising a D2C eCommerce plan, delivering the products to the end customers, D2C gives manufacturers full control to drive better customer experiences.
- Potential to Grow and Increase Brand Loyalty
With a complete understanding of what customers want, businesses can follow up on all the latest trends and requirements to constantly evolve their products and deliver the best to their consumers, giving them customised services and developing brand loyalty.
- Utilizing Omnichannel technology as well
Another significant advantage of going D2C is that brands are no longer required to stick to a single platform to maintain sales when you have clarity of what your customers are shopping for, you also have visibility on where they are shopping from the most.
With D2C, you are aware of the major sales channels to be present on, be it online or offline and drive the traffic from there.
Building the right omnichannel strategies can doubly benefit manufacturers and eCommerce businesses to further exponentiate sales.
Customers are your truest teachers and by going direct to consumer, you can be assured to have unmatched profitability and growth of your business.
If you haven’t yet started to make the transition and worry about the processes involved, we are here to help you with our expertise to ensure your business is capable of adjusting to this new arena smoothly.
Unicommerce is your one-stop plug and play eCommerce technology platform that provides highly advanced supply chain solutions and has been simplifying eCommerce selling for over 10,000+ eCommerce sellers, retailers, and brands.
SUGAR Cosmetics, mCaffeine, FabAlley, Flomattress, Chumbak, House of Anita Dongre, Aurelia, Bakersville, Portronics, Headphonezone, Forever 52, Superbottoms etc., are some of the biggest brands who have adapted the D2C technique of sales with the help of Unicommerce and have seamlessly automated their operations across online & offline sales channels.
Unicommerce enables processes such as multichannel order & inventory management, advanced warehouse & returns management system, dropship fulfilment solution, omnichannel selling and much more, all from a single panel.
The platform enables quick, easy and hassle-free implementations of the right D2C strategies for eCommerce businesses and provides seamless integration across global marketplaces, website platforms, offline stores, carts, logistics providers, ERP & POS systems, etc.,
The solutions by Unicommerce are designed to benefit eCommerce businesses by enabling sustainable operations that result in growth, cost efficiency, and an overall increase in productivity.