Direct-to-consumer (D2C) brands are revolutionizing retail by bypassing traditional intermediaries, leveraging digital platforms, and offering personalized experiences, transforming how businesses connect with and understand their customers.
In the last couple of years, several aspects of the business have been changing rapidly, like research and development, products and customers, manufacturing and marketing, and so on.
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.
India has 190 million online consumers and around 700 million internet users, making it the third-largest digital retail market after China and the United States.
In India, direct-to-consumer (D2C) brands could be looking at a $100 billion addressable consumer opportunity by 2025, according to estimates by Avendus Capital.
For a D2C brand, the content on the website, app, and social media act as a discovery destination, educating consumers, engaging them, and intuitively guiding them through the journey of making a purchase.
The backbone of any D2C brand is being able to advertise digitally and to a very focused and customized target audience and this has made us reach out to customers in corners of the world, unlike in traditional media.
Mamaearth which is the first unicorn of 2022 with an operating profit of Rs 461 crore has had the most humble beginnings when no retail store wanted to keep its products.
Vivek Gupta, Co-Founder of meat delivery start-up and India's first D2C unicorn Licious stated, “The Indian consumer is evolving very fast. So a lot of problem statements in India need Indian solutions and that is where D2C plays a very important role."
The brands are seeing a healthy increase in positive consumer sentiments over the last few months, making this festive season one of the most anticipated periods for the D2C industry.
While the success and scalability of the D2C route might vary for brands depending upon their category, D2C e-commerce still holds its ground strong enough for any business that wants to strengthen and control its sales and customer relationships.
D2C scaling requires a nuanced and integrated understanding of consumer channels and deep-diving over a period of time into the metrics to fuel growth and expansion.
Direct-to-consumer (D2C) business model or strategy eliminates middlemen/ intermediaries between producers and consumers. It gives producers/ manufacturers larger control over pricing, consumer data, direct relationship building, and higher margins.
With more and more people accepting these nutrient-rich supplements as an add-on in their daily lives, it is soon expected that the average consumer to switch to consuming gummies for their nutritional requirements.
D2C business model witnessed an impressive growth trajectory in the past year with D2C brands registering a whopping 88% rise in demand in 2020 when compared to the previous year.
The global consumer electronics industry is projected to show considerable growth over the forecast period 2019-2025, courtesy a surging demand for products such as televisions, smartphones, and wearable devices.
Have we suddenly become more conscious about our consumer choices? Do you think more consumers think about the environment while making purchase decisions?
Reduced access to stores has prompted rise in cross-border ecommerce, with 46% of global shoppers buying direct from international brands online, rising to 52% among 25-34 year olds.
Fuelled by over 47 million internet users in India, e-commerce is at an all-time high, with more brands seizing the opportunity to reach users through D2C.
There have been quite a few such companies/ brands that rebranded itself to become D2C since the business model has been attracting both consumers and investors alike.
According to Euromonitor, the global healthy snacks market is forecast to reach US $ 98 billion by 2025, growing at a CAGR of 5.8% between 2020 and 2025.
D2C model is bringing many changes in this new landscape, creating a more engaging experience, improving retailer?s customer relationships, keeping transparent transactions, producing better products with better pricing.
The broader meat market has been largely unorganised with brands like Licious, Meatigo, FreshToFarm, etc., quickly gaining prominence courtesy their vertically integrated supply chains with high bars on quality.