The D2CDTC business model challenge is coming! 4 Key Points Brands Should Master (2024)

The D2C/DTC business model challenge is coming! 4 Key Points Brands Should Master (2024) DTC/D2C (Direct to Consumer, direct contact with consumers) is a business model that has been established for many years. Many brands have shifted from the B2C model that relied on large e-commerce platforms such as Shopee in the past to the DTC/D2C model of using 91APP and SHOPLINE to open their own e-commerce websites. However, many brands have also found that the DTC/D2C business model does not work smoothly. This article will analyze the challenges and opportunities faced by brands Bulk SMS Service operating the DTC/D2C model, as well as what key points and tools brands should master under current market trends to maximize the benefits of the DTC/D2C model. What is DTC/D2C (Direct to Consumer)? DTC means that brands directly establish sales channels to contact consumers without going through any intermediary channels or platforms. For example, through the official website, LINE official account and physical stores, we directly

market and promote the brand to consumers, and cultivate the relationship between the brand and customers. D2C is opposite to the traditional B2B2C e- commerce platform model. The detailed differences are as follows: Challenges and opportunities facing DTC/D2C DTC has many advantages over traditional B2B2C practices, but it also has problems such as losing traffic on large platforms. Coupled with the sharp decline in digital advertising traffic dividends in recent years, many brands are faced with the problem of being unable to obtain traffic at low cost and the cost of acquiring customers is high. Xue Jin, CEO of Crescendo Labs, pointed out at the 2022 Marketing Growth Hacker Annual Conference: Brands face the high cost of obtaining traffic, and there are two solutions: one is to find cheaper traffic sources; the other is to find cheaper traffic sources; It is to invest in customer loyalty operations (such as

The above four steps can create a complete DTC business model cycle for the brand: (1) Expand the contact points between brands and consumers and master multiple channels Among the brand s members and potential audiences, everyone s consumption habits and Internet usage habits are different. Brands should expand channels that are consistent with the tone of their own products, such as making good use of the respective advantages of APP, stores, official websites, and LINE official accounts to deliver differentiated brand images to consumers with different preferences. Only by expanding channels and proposing a complete layout strategy can we leverage the advantages of DTC and create higher-quality marketing and CRM.

Extended reading: A must-read for e-commerce! 5 LINE business rules to capture users hearts with MAAC (2) Establish brand data assets and integrate data from multiple parties When the sources of brand data become more diverse and the amount of data owned by enterprises increases rapidly, data integration becomes a necessary task. However, data from different sources is scattered in different applications, hosted by different organizations, and the structure of different data is also different. The process of transforming into D2C often requires a series of processes to seamlessly integrate different data sources. Crescendo Lab provides the following common and fast data integration services. If you have more needs, you can refer to the instructions here : Using the MAAC comprehensive marketing platform , the first-party data collected by the brand through LINE OA is connected with the third-party data on GA.

Automatically import and synchronize consumer survey data collected by brands through SurveyCake and Google Forms to MAAC Integrate existing member information on e-commerce platforms such as 91APP and SHOPLINE with first-party data collected by LINE Automatically synchronize and integrate offline POS machine data to MAAC Integrate data from other CDPs or CRM platforms such as Salesforce with data in MAAC 3) Perfect integration of online and offline to create a smooth OMO consumption experience After integrating the data, if your brand has physical stores, then the customer journey may go through online and offline cycles. Of course, D2C brands should also start OMO and use these DTC touch points to collect more data and attack based on the data. , develop the most personalized communication strategy based on individual consumer habits. In addition to assisting brands in integrating offline POS machine data into online services, Crescendo Labs all-round marketing platform MAAC also provides invoice login module functions, prize distribution functions , etc., allowing brands to easily provide incentives for consumers to upload invoices, and Guests current consumption footprint is seamlessly integrated online! In addition, LINE BEACON is also a very useful function for brands to operate OMO. LINE Beacon uses the brand's physical Bluetooth signal transmitting device to send the brand's promotional activities and marketing messages to nearby consumers' mobile phones LINE. For example, IKEA has set up many BEACONs in its stores to create more opportunities to divert offline traffic to online.

4) Make full use of data to practice personalized and precise communication After collecting and integrating the data, the next topic is how to use the data. Having in-depth and diverse data is DTC s biggest advantage. However, data is just a tool, but the key to success is still the "people" who use and interpret the data. When running digital marketing , marketers who lack experience in interpreting data often have difficulty determining which indicators are more important data, or what is the meaning behind the numbers? At this time, tools will be needed to help marketers come up with insights, or to allow the marketing team to focus more on the observation and analysis of specific data indicators. Crescendo Labs works closely with the marketing teams of more than 500 clients, allowing it to grasp the latest trends in digital marketing. It also continuously develops new product features, introduces AI marketing to provide data insights, and provides data indicators that better meet the needs of marketers. . For example, the "machine determines audience" function provided by MAAC is not only based on more complex behavioral analysis, but also adds the factor of time, allowing brands to directly filter out members who are most likely to purchase in the next two weeks, improving the effectiveness of marketing activities. conversion rate and save unnecessary waste of marketing resources. D2C ecommerce brand case: NIKE Nike is the most classic DTC case. Nike withdrew from the large e-commerce platform Amazon in 2019 and began to implement the D2C model. Through the integration of APP, its own official website, and multiple digital tools, it can directly obtain consumers' first-party data and use it for members' precise marketing, personalized promotion, in-depth relationship management, etc. Why did NIKE not hesitate to endure the painful period of transformation, and was

even willing to spend a lot of money to introduce more than 40 digital tools to complete comprehensive digitization? At the 2022 Marketing Growth Hacker Annual Conference, Crescendo Lab founder Xue Jin ended by quoting the words of Alexander Thiel, a partner at McKinsey & Company: "We believe that there are two types of brands that are experiencing crisis, one is small brands , There is not enough capital and cash to invest in the plans required for DTC and digital transformation; the other is a large enterprise that lacks agile culture and changing thinking. Crescendo Labs provides one-stop services and is an important promoter of digital transformation for more than 500 brands. We help your brand deepen LINE DTC and integrate multiple channels and data sources to provide you with the tools that are most in line with market trends to communicate with consumers in depth and accurately. Contact us now and let us help you quickly transform and quickly maximize the benefits of D2C operations! Website: https://www.bulksmsmaster.com Telegram: https://t.me/latestdat Whatsapp: 639858085805 Phone: 639858085805 Email: info@bulkmailmasters.com Address: Blk 34 Lot 5 Easthomes 3 Subd Estefania, Bacolod City, Philippines,6100