This article was first published on Stories by Nucleus Vision on Medium
Direct to Consumer marketing, aka DTC, is bringing a paradigm shift in customer engagement in retail. From multinational brands like Nike to unconventional startups like Dollar Shave Club, businesses are leveraging the competitive advantages of DTC. If your business is also following the same path, what best practices are you following to stand out in the crowd?
Nike brand’s direct-to-consumer revenue worldwide from 2009 to 2019(in billion U.S. dollars)
Nike has been reporting considerable year-over-year growth in its DTC sales revenue. The company is projecting $11.75 billion in revenue for the year 2019.
As far as the traditional retail model is concerned, brands can expand their presence across multiple locations through retailers and other third-party channels. In that context, brands have limited control over the pricing, margins, and other trade-related matters. With more intermediaries involved, traditional retail increases operating costs for brands. On the other hand, the DTC model simplifies the complex traditional supply chain. It offers a vast scope for manufacturers to create brand value and build credibility.
Strike a chord with your customers
“You’ve got to start with the customer experience and work back towards the technology, not the other way around.” — Steve Jobs
The dimensions of customer experience go beyond the UI/UX of your e-commerce portal or the way your store-keeper interacts with your customer. Your offering should reflect the aspirations of your customers. They don’t love searching for a needle in a haystack. This is where the brands can make a difference with the direct-to-consumer model by assuring a customized experience for customers.
Being a niche-specific business, a DTC brand should not create an awful experience for shoppers with a bunch of options to choose from. Simply put, it should do it in Casper’s way!
The mattresses manufacturing company, Casper, produces only one ...
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