Here Is All You Need to Know about Holistic Benefits of Selling Direct-to-Consumer


June 11, 2021
5 MIN READ

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Consumers are at the core of any business’s overall function, success, the scope of growth, and expansion. And, thus meeting consumer expectations is paramount for businesses. Given the advancement in technologies and retail landscape, tech-savvy consumers have a plethora of options at their disposal, from buying from a brick-and-mortar store to purchasing from eCommerce platforms. However, purchasing products directly from brands or businesses is a fairly recent concept. Though this concept is still in its infancy, its significance is already celebrated.

Direct-to-consumer, this approach has significant benefits for all the stakeholders involved in the realm be it the business or the manufacturer, or the consumers themselves. We will be discovering the holistic benefits of selling Direct-to-Consumer at length in this article.

The conventional method included businesses or manufacturers selling to wholesalers, who would pass on the products to the retailers, and then, retailers are the ones who became the interface to the consumers. Well, it’s evident that there is a huge dependency in the entire process flow, which has the scope to lead to consumer dissatisfaction, product delivery delays, inadequate product-related grievance-redressal mechanisms. There was no way a consumer may communicate the challenges directly to the manufacturer.

Amidst this, the gradual, and steady rise of the internet, email communication, eCommerce platforms have brought in the much-needed paradigm shift into the ecosystem of selling. This facilitated efficient communication to the consumer and was a saviour on more than one front. Online shopping and the elimination of middlemen enabled consumers to purchase products directly online without leaving the comfort of their couches. And, DTC selling is the latest trend that is all set to streamline the process, fill the existing gaps in the legacy systems, and revolutionize the consumer experience.

DTC Benefits for Consumers

The opportunity to directly connect with the manufacturer

Let’s explore a scenario. You have purchased an electronic product for your home, and it has come up with certain issues. Imagine, you have a toll-free number, can speak to a representative, and resolve the issue. On the other end, imagine visiting the store from where you have brought the product, and asking them to address the issue, which they will have to again go back to the manufacturer. Which is more suitable, easy, and hassle-free, would you say? The key here is direct communication! With DTC selling, consumers will have the opportunity to directly communicate with the manufacturer. This will foster the vote of confidence, a personal connection, which, in turn, will encourage the consumers to spread positive word-of-mouth. With DTC selling, consumers have the scope to become more than buyers; they may turn brands advocates too!

An Extensive Range of Products

Unlike wholesalers or retailers, manufacturers have a whole assortment of products in varying attributes. So, consumers can relish in the extravagance of it all without being worried about missing out on the next best product!

Information Accuracy 

Direct-to-Consumer sales enable consumers to glean direct, and accurate information related to the brands, and products. This eliminates the scope of human error and consumers may make informed decisions regarding their purchases.

Easy Product Replacements 

Product replacements are inevitable and consumers would definitely like to evade the hassle of it, and of course shorten the cycle. With DTC sales, consumers can easily request product replacements and find all the pertinent parts.

DTC Benefits for Manufacturers

Manufacturers stand to gain immensely from DTC sales than the consumers.

Brand Image Management 

Brand image is pivotal, especially in today’s digitally disruptive world where the brand image is reliant on a host of other factors and stakeholders. When selling directly to the consumers and with no middlemen in the background, manufacturers can keep their brand image intact.

Maximum Brand-Consumer Relationship Building Potential 

Forging direct connections with the consumer base can help manufacturers and brands substantially. They get to know their consumers, understand their preferences, and demands, and thus can rehash their production and marketing strategy not only to meet consumer demands but also to anticipate the future requirements and be ready for the same. This way they can ensure maximum consumer satisfaction, which, in turn, can be quantifiable in terms of ROI, sales, and revenue.

Access to Consumer Contact Database 

When consumers connect with the manufacturers directly, manufacturers can collect their contact details and keep them for future perusal. This opens up a marketing goldmine for the manufacturers to reach out to them in the future via emails, SMSs, social media, and other marketing communication mediums.

DTC Benefits for Retailers 

From the outset, it may appear that retailers stand to lose a lot due to DTC sales. However, contrary to the notion, they also benefit from this concept. Retailers can gain insights related to the consumers, their purchase behaviours, and preferences from the manufacturers, which will help them serve the consumers efficiently. Retailers are not exactly competitors to manufacturers; they can coexist and enjoy a mutually rewarding collaboration with the aim to render maximum consumer satisfaction.

Direct-to-Consumer sales appear to be a lucrative concept of serving the new-age consumers in an easy, quick, and hassle-free manner.

Intrigued to explore more about DTC sales? The experts at Vinculum are just a few clicks away!

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