By Vidur Kapur, Director, O3+
Dec 14, 2022 / 7 MIN READ
Direct to customers is a retail model where the company directly sells one single product or a couple of products directly to the end customers via a digital platform, by cutting off all the middle distribution sources. D2C brands tend to achieve an expansion in the market opportunities quicker and gain a higher margin than B2C. D2C brands get the advantage to showcase their story directly to the customers and can achieve the center platform as it directly delivers products and services to the end customers. As this business model directly connects with customers, they prefer D2C brands more as D2C brands put them first, and take care of their demands and value of money. It is very important to follow certain trends that Indian D2C brands must watch out for in the coming year 2023.
D2C E-Commerce Personalization - D2C personalization is nothing but a way of boosting the revenue of the company, by giving out certain strategized and customized marketing messages to the target audience or customers. E-commerce personalization strategies require a large scale of customer data collection, complete analysis of data, and using the data and insights to plan future campaigns or ways of promoting the brand in the market. This method impacts every business key performance indicator excessively which is why this is one of the most important factors for a D2C brand to incorporate.
Faster Shopping Experience - Expeditious technical improvements and digitalization has changed the entire outlook of businesses and the way customers shop and get attracted to the brand. Analyzing pre and post-purchase customer experience will only up the game for future campaigns to increase the shopping rate of the customers. An increasing number of customers are more inclined towards D2C brands and they feel more connected to the brand and experience an easy shopping activity.
Enhance Customer Support Service - Building relationship with customers is highly one of the most important factors to excel in the D2C business. Customers are inclined towards directly purchasing products or services from the brand that they love, enhancing customer support service will only make their experience better and would push them to re-purchase products and services. D2C brands can experience building the complete value chain all by themselves without the involvement of a middleman, right from creating the product to shipping the products which means they are in complete charge of their own customer support service and that’s where both the risk and potential lie. This particular model helps to retain the customers as well as gain more value from them.
More Diversification in Product Categories - Product diversification helps to expand the original market for a product. This increases the sales inputs of the product line which is experiencing stagnant sales. Branching out into different product categories gives out a defined and strong visibility of all the products which helps customers to understand the brand and products better. We can anyway avoid the risk of over-saturating our channel by diversifying the market channels. This method can help gather more and more data to align the marketing strategies accordingly.
More Development in Marketing Strategies - Keeping a track of all the customer reviews and testimonials will definitely help to improvise the marketing strategies for upcoming or future campaigns. Offering something unique and putting out a strategy that is out of the box will only attract customers and increase their purchasing capabilities of the customers. Determining the actual needs and demands of the customers and emphasizing customer lifetime value will help brainstorm more and more development in marketing strategies. As the D2C industry evolves, the development of marketing strategy is also supposed to improve. This will in a way increase customer loyalty and faster product innovation.
Increase in Affiliate Product Marketing - Affiliate marketing has been a number one key trend for D2C brands to advertise their products and services to a larger audience. In other words, it means pushing out a product or service on a digital platform, blog, podcast, or website. This particular method helps to increase sales, engagement, and revenue. This is the best way to increase brand awareness on the above-mentioned platforms as it helps to reach more people. Such kind of marketing presents a potential growth opportunity in the market.
Social Commerce is a thrilling area in which we can expect various activities by D2C brands in the coming year. As everyone in the country has a mobile phone and is on social platforms, D2C businesses have a vast chance of growing even more and more in the coming years. D2C brands have started to make an organic and sustainable growth shift in the market instead of using an artificial substance. Optimism is increasing every day for Indian D2C brands as 2023 is here. The competition of all the D2C businesses is high as most of the brands have invested in all the social media platforms to reach their target audience aiming to increase the revenue of the company.
Direct to customers is a retail model where the company directly sells one single product or a couple of products directly to the end customers via a digital platform, by cutting off all the middle distribution sources. D2C brands tend to achieve an expansion in the market opportunities quicker and gain a higher margin than B2C. D2C brands get the advantage to showcase their story directly to the customers and can achieve the center platform as it directly delivers products and services to the end customers. As this business model directly connects with customers, they prefer D2C brands more as D2C brands put them first, and take care of their demands and value of money. It is very important to follow certain trends that Indian D2C brands must watch out for in the coming year 2023.
D2C E-Commerce Personalization - D2C personalization is nothing but a way of boosting the revenue of the company, by giving out certain strategized and customized marketing messages to the target audience or customers. E-commerce personalization strategies require a large scale of customer data collection, complete analysis of data, and using the data and insights to plan future campaigns or ways of promoting the brand in the market. This method impacts every business key performance indicator excessively which is why this is one of the most important factors for a D2C brand to incorporate.
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