With consumers moving online, D2C allows companies attract consumers’ attention in a short span of time
D2C is more beneficial for new age brands to create awareness, show the whole range and to be able to stand out
There are multiple ways to reach out to the consumer and D2C that is – direct-to-consumer is one such way. D2C allows brands to directly reach, interact and get their customers to buy. “D2C allows companies to communicate a full brand story in a much easier way and be able to control the customer experience,” Devendra Chawla, MD, Spencer’s Retail and Nature’s Basket, said. He was speaking at the inaugural edition of BrandWagon Conclave, 2020. The session was moderated by Rajat Wahi, partner, Deloitte India.
According to Chawla, D2C is more beneficial for new age brands to create awareness, show the whole range and to be able to stand out. “Once you have made the awareness, you need to be where the customer is,” he added. Citing examples of Lenskart, Mamaearth who started out as D2C brands but eventually also landed up in marketplaces, he highlighted the need to diversify and go to other channels as well. Moreover, D2C alone may not be sufficient for certain categories. For instance, in a category like grocery, D2C may not work. “Customers choose their buying and once or twice a month do a top up buying. This would be hard to replicate on a D2C because customers may not buy each brand from a company’s website and have somebody come and deliver each time,” he explained.
For Piers Fawkes, founder and president, PSFK, alliance is the key for D2C brands– Whether it’s alliance with a platform such as Amazon or Shopify, an everyday platform like WhatsApp or WeChat or it’s an alliance with a retailer, delivery companies, tech platforms, or the neighbourhood mom-and-pop shops to do the last mile delivery. “D2C can play in any category where there is a shopper. Large retailers have been embracing new products in an attempt to provide varied and differentiated offerings,” he added. D2C brands can therefore blend in with omni channels to enable branded experiences.