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Direct to Consumer (D2C)

How D2C strategies can help build relationships with consumers, improve margins, and supplement your retail partnerships.

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Frequently Asked Questions (FAQs)

Direct-to-consumer is when a brand sells their product straight to the end user rather than relying on retail partners. Common direct-to-consumer channels include ecommerce websites, social commerce and apps. D2C channels often complement, rather than replace, traditional retail channels.

Unlike traditional retail, where third-party sellers control the customer experience, pricing, and delivery, D2C allows the manufacturer to own the customer journey, from discovery to delivery. While D2C channels often complement existing retail strategies, they offer more control over profit margins, branding and customer satisfaction.

In contrast, selling through retailers means that you need to compete with other manufacturers for shelf space, be it digital or physical, which can affect your brand’s visibility and sales in return. That’s why companies in many industries are launching direct-to-consumer channels to build stronger customer relationships. With the support of technology-led shopping experiences like personalized recommendations, seamless checkout, and real-time customer insights, D2C brands can create more engaging, efficient, and data-driven journeys that deepen loyalty and drive growth.

When a company looks beyond its wholesale strategy to include D2C channels, they can tap into new opportunities to build relationships with existing customers, expand their reach to new audiences and grow sales beyond the limitations of current retail partners.

The benefits of DTC channels go beyond increasing sales. Here are a few other ways that going direct to consumer can drive success for your business:

  • Improve profit margins
  • Access first-party data to personalise customer experiences
  • Test and optimise quickly
  • Expand sales despite partner limitations
  • Make smarter marketing investments
  • Establish valuable feedback loops

Selling to retailers and other businesses is different from selling to consumers. Consumers have different needs and expectations and you’ll need to tailor your D2C channels to meet them. Here are a few challenges unique to D2C (and how to overcome them):

  • Streamline personalisation to accommodate growing consumer expectations
  • Employing the right tools to enhance inventory and order management
  • Develop omnichannel capabilities