A recent trend in the e-commerce business is the shift from B2B (business-to-business) and B2C.....

What are the Benefits of a D2C Platform?

A recent trend in the e-commerce business is the shift from B2B (business-to-business) and B2C (business-to-customer) to D2C (direct-to-customer) business model. The D2C business model has emerged as a very successful option for new emerging brands looking to grow their brand image with customers directly. The D2C models enable brands to reach their customers and eliminate the need to have wholesalers, retailers and distributors. D2C brands produce, market, sell and ship their products by themselves. This enables brands to scale up their business and customers also prefer buying directly from brands avoiding retailers and their mark-ups. D2C models are trouncing traditional selling models and growing at a scorching pace.

Table of Contents

  • Increased sales
  • Build brand visibility
  • Gather targeted data
  • Testing new products
  • Improving shopping experience
  • Expanding business operations

Below are the benefits of a D2C selling model and platform.

Increased sales

There is no doubt that one of the key benefits of a D2C platform is the ability to reach your customer directly. Even established brands are now going in for a D2C channel without relying on resellers. With most customers looking up brands online before a purchase, there are increased possibilities that they would like to buy directly from a brand than through a reseller. This increases your sales and ability to offer products at a competitive price without the added overheads of retail spaces and distributors.

Build brand visibility

Having your own e-commerce D2C channel can give you more control over your marketing and sales activities. Rather than being dependent on retailers where you have no control over how your product is being promoted and sold, here you have greater control over how your product is being sold. Therefore, you have greater control over your brand awareness, overall customer experience and research related to purchase patterns and customer behavior. It also gives you a chance to build better brand affinity.

Gather targeted data

The D2C model enables you to gather huge amounts of data on what kind of searches are leading to your brand being picked up. Search engine analytics help you gather this information. This helps track how customers landed at your D2C website and why they picked your brand. D2C also enables understanding purchase patterns of specific customers using data related to their geographic and demographic information. This enables creating targeted campaigns and offers for specific customer groups. D2C also enables direct engagement with the customer and hence delivery of better product and good customer satisfaction and engagement.

Testing new products

In traditional business models, it is difficult to get data about customer experience and their needs. D2C enables the accurate gathering of data relating to what the customers are looking for and direct feedback from them. This helps companies launch new products by fully understanding customer needs rather than wondering whether a product launch will be successful or not. You could even do a targeted feedback survey or get qualitative data directly from customers on your D2C website before launching a product.

Improving shopping experience

D2C enhances the customer experience and allows us to gather critical data on customer behavior. This enables the D2C channels to customize and modify the shopping experience of customers. Enhancing customer experience can be done through videos, blogs, direct interactions through customer service bots and direct interactions with customers. Their concerns can also be addressed through FAQs and engaging over phone calls through agents as well. This improves engagement with customers making their shopping experience more meaningful for them.

Expanding business operations

Business operations can be expanded at a minimum cost thanks to D2C selling models. New products can be launched and marketed with ease using various promotional strategies used by D2C brands like social media, mobile promotions and community groups and forums. Shorter turnaround times for new innovations is possible using these ideas and expanding business operations and scaling up easily.

Conclusion

D2C selling channels are adopting new technologies to interact and retain customers. Right from augmented reality, artificial intelligence, 3D rendering and virtual reality make D2C brands stand out and very attractive to customers. Technology has also enabled secure websites with secure payment processing which is very attractive for customers. Having a cyber-safe website prevents e-commerce frauds and encourages customers to shop online. D2C shopping also supports better customer service and helps brands answer their queries promptly. All these features help D2C channels build life-long relationships with their customers are a huge benefit over traditional shopping experiences. Every brand has a story that connects it to its customers and D2C enables that beautifully and is here to stay.

Visit Xpheno, our website, to find job opportunities in D2C. We are a staffing firm that aims to organize opportunities for skilled and unskilled Indian talent. We have been aiding the scaling journey of high-growth sectors like Fintech, Agritech, Edtech, Logistics, Pharma and D2C in India.

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