Overview
Before you start selling products directly to consumers, you need to know why you are doing this. It takes time and money to successfully implement this. You will waste time and money without a clear goal. Selling directly to consumers is used for more than just increasing sales. It can help you identify opportunities for new product development and gather customer data for remarketing purposes, enhance current marketing campaigns, and build a direct relationship with customers.
Overview
Selling products directly to consumers allows you to collect customer data that will help you provide personalized experiences and relevant marketing messages that convert.
Overview
Ask yourself the following questions before you start selling directly to consumers to ensure you are ready to achieve your goal. Cost considerations for selling products directly to consumers, execution considerations for direct-to-consumer implementation, partnership considerations for selling products directly to consumers, technical considerations for selling products directly to consumers.
Cost Considerations for Selling Products Directly to Consumers
Discover the differences between various direct-to-consumer infrastructures, how global expansion can impact total cost of ownership, and the human capital needed to go direct-to-consumer. #1 Which is more expensive: an on-premise platform or a cloud-based platform? On-premise platforms require significant upfront infrastructure investments, ongoing hosting and maintenance expenses, and a dedicated IT team for new releases and updates. As you expand, variable costs can escalate significantly. Cloud platforms often provide more predictable cost structures and offer lower total ownership costs. SaaS platforms encompass all server-related costs, such as compliance with Payment Card Industry (PCI) standards, security, and Content Delivery Networks (CDNs). While you will have ongoing design and development costs, reducing recurring expenses allows DTC brands to reallocate budgets and human capital away from costly infrastructure and development towards what really matters to merchants: strategy, customer engagement, social impact, and data-driven marketing. #2 Will I need to hire new people? If you have a current IT team with the bandwidth, you can handle direct-to-consumer sales in-house. Otherwise, you can partner with a design and development agency that has expertise in the platform you choose. Large consumer goods manufacturers may need to work with system integrators to connect their direct-to-consumer sales to an Enterprise Resource Planning (ERP) system. You will also need to determine if you have in-house staff to manage the direct-to-consumer site, including marketing, sales, and customer service. #3 What is the fastest and most cost-effective way to scale our direct-to-consumer strategy globally? First, identify a commerce platform that has a global, bilingual Content Delivery Network (CDN) for speed, flexibility, and functionality wherever you are expanding globally. Next, ensure that your platform allows you to replicate and launch expansion stores in the countries or regions you are targeting. You will also need a platform that offers
Source: https://www.shopify.com/my/enterprise/30-questions-before-selling-direct-to-consumer
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