The D2C (Direct to Customer) model in recent years is a relatively new term to us, but for businesses, it is an extremely effective model in business by eliminating the steps involved. your reseller to get products straight to the customer.
What field does D2C apply to?
The categories that are most suitable for this model can be mentioned as shoes, cosmetics, home appliances, etc. In 2017, the D2C model grew by 34% and currently accounts for 13% of the total E-Commerce market. In Vietnam, businesses that successfully apply the D2C model can be mentioned as Canifa, Juno in the field of fashion, Vitayes, Saffron in the field of cosmetics and health care.
D2C – Direct To Consumer is a business model in which businesses distribute products directly to customers (through genuine stores, websites, e-commerce) without going through any distribution channels. chief.
ADVANTAGE OF D2C MODEL
The big advantage of this sales model is the cost savings when distributing through agents and booths. Increase the customer’s trust in the product (don’t worry about buying a fake product).
In addition, brands following the D2C model capture customer data, their behavior, preferences, and buying habits most accurately. From there, businesses can fully take the initiative in research, development, design, production, marketing and distribution in the most optimal way for their customers.
Finally, businesses can also provide customer service as desired, without having to worry about the unprofessionalism of the agents they distribute.
CHALLENGES IN D2C MODEL IMPLEMENTATION
It can be seen that the D2C Digital Marketing solution has helped your business solve most of the problems of effective Marketing and distribution of goods in the online environment, thereby increasing the rate of control and profit.
Although D2C brings great advantages, this model also encounters many difficulties. Especially during the transition period. This model has created “a new game” that is the game of increasing the consistent customer experience and added values to increase competitiveness.
The business that can do well in the control story from production, marketing, distribution to customer care will win.