Why should we start with D2C?

If you’re a manufacturer, adopting a direct-to-consumer (D2C) strategy can give your business that extra boost it needs. Not only will D2C help you increase your profit margins, it may also let you steal a march on your competition.

If that sounds good to you, let’s explore some of the key benefits of building a D2C strategy.

Despite the current buzz around D2C, the channel is nothing new, gaining widespread traction in the late 1990s. However, in today’s omnichannel retail landscape, D2C is fast becoming the best mechanism for immersing a brand in end user data. But how exactly can D2C improve your manufacturing business?

D2C means more profit

When you take the D2C route, you’re removing the intermediaries. All those distributors, wholesalers, agents and retailers fall away, dramatically reducing the players in your supply chain. And with less businesses taking their cut, your profit margins will grow.

The extra profit is all well and good, you might say, but don’t all those intermediaries provide market knowledge and a network of vital connections?

Well, thanks to technical breakthroughs in e-commerce platforms, and the continual consumer shift to online, D2C now offers low barriers to entry. You’ll be able to enjoy all the advantages of D2C, with very little in the way of hassle or hiccups.

Although a wider profit margin is the reason that many manufacturers choose D2C, there are many more benefits that it brings.

Better relationships and a stronger reputation

D2C means you get to know your end users. There’s nobody in the way, obscuring your view. And without all those barriers, you can communicate directly with consumers. That gives you greater control over your brand, allowing you to demonstrate to your audiences what you can do for them, positioning your products exactly as you want to. There’s no noise or confusion entering the supply chain.

As a result, you can paint a consistent picture of your products, and you can enjoy the benefits of direct engagement. Your communications become two-way. Not only does the consumer hear your voice, you hear them. And that means you can learn about their preferences.

Preferred products, built on accurate insights

Over the last few years, the customer experience has become more important than ever before. Consumers are seeking out brands that provide personalised engagements. When you make it easy for them to shop, on their terms, amazing things can happen.

Now, with all the purchasing, usage and preference data information that can flow your way with D2C, you can begin to shape a better, more personalised customer experience. All those accurate insights take the guesswork out of getting things right.

Faster time to market

This is where things get interesting. When you have the right data, delivered through your shiny new D2C platform, you can react faster to market demand. Just pick your most profitable demographic, gather feedback, then tailor your product and messaging to market demand.

It’s easier to make faster, more accurate decisions when you have all the answers at your fingertips. And that makes you more agile than the competition. You’re responding faster, anticipating market changes, and bringing new, relevant, targeted products to market before your competitors. What’s not to like?

Isn’t it time you took a closer look at D2C?

If you’re looking for bigger profit margins and a legion of loyal customers, then perhaps it’s time to explore D2C in more detail. But before you start, you’ll need to know whether you’re ready for D2C, and how to make the move from B2B. Luckily, it just so happens that we’ve got all the answers for you.

To learn more about the D2C advantage, for expert advice on the best route for your business, or just to get to know us a little better, why not get in touch and we can talk you through the detail. Or you might just want to wander through our blogs and whitepapers to get a feel for things yourself. Whatever works for you, works for us.