The Rise of Direct to Consumer Marketing

31st May 2018, author: Nick Holstein

The Internet has created near unlimited ways that brands can interact with their consumers. This has lead to the rise of direct-to-consumer business models online — which can be a powerful tool for brands to control their online presence. DTC when utilized effectively can help craft an amazing an amazing eCommerce experience for customers, in many ways.

Complete brand control

In today’s digital world, you’d be hard pressed to find someone who hasn’t participated in at least some kind of digital commerce — be it on eBay, Amazon, Facebook Marketplace, Thredup, Threadflip, Vinted… the list goes on. While theres no secret that Millennials love the art of reselling, it can be problematic for brands. By limiting the supply of your brand you make it possible to funnel who purchases large amounts, which in turn can help you control and potentially eliminate competition from these types of apps.

Quality customer care

If you’re the only one selling your product, that means you’re the only one who is representing your brand to customers via customer care — which is a HUGE part of creating brand loyalty. Many department stores realize they can deflect blame\responsibility to the manufacture and will often do as much. This can often leave a bad taste in customers mouths for things that, usually, can be handled pretty simply. Remember the golden rule: a happy customer will tell 1 person, but an unhappy customer will complain to at least 10.

Lowest possible cost

One manager advantage of DTC marketing is that you can offer your product at the lowest possible MSRP without having to worry about competition from other sources. The consumers of the digital age are quite possibly the most informed and intelligent consumers that brands have ever had to market to, and they know that there’s almost always a lower price somewhere, which can lead to them searching a price out. When you’re the only place that anyone can buy your product, there is no doubt about whether or not it’s the lowest price.

Manufacture sales increase consumer confidence

The internet hasn’t been all good to consumers. With knock off products, stolen products, and more nefarious sellers than one could shake a stick at the risks are high, and consumers look for any comfort when purchasing online. There is no greater assurance for customers than buying direct from the manufacture of a product. These transactions let consumers know that they’re getting a product from the person who makes it, likely with a manufacturer’s warranty, and more.

There’s no denying that DTC business models won’t fit every brand, and that’s ok. But for those brands that have been looking to make a big change to their business model in 2018, DTC eCommerce can be an effectively way to reinvent your brand and elevate it to new heights.