Abhishek Punia

CEO, armCommerce

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5 Golden Principles For Creating A Successful D2C Brand

As the Internet and social media revolution has made access to consumers easier, more D2C brands are emerging every day. Since the competition is so rigid, most of these new businesses don't make it past the launch state

The past few years have witnessed a revolution in the marketing sector brought about by modern advanced tech. Advanced technologies such as AI, VR, AR, and now Metaverse have collectively optimised marketing to the point of precise personalisation, pure automation, and deep engagement. This was further strengthened by the Covid-19 pandemic that restricted people considerably in terms of physical movement.

This has led to an unprecedented rise of niche D2C brands across categories, such as beauty and cosmetics, BFSI, FMCG, fashion, etc. As the Internet and social media revolution has made access to consumers easier, more D2C brands are emerging every day. Since the competition is so rigid, most of these new businesses don't make it past the launch state. Therefore, it is imperative to devise and implement the right strategy to flourish.

There are some golden rules that one must learn and assess if they plan on launching a D2C business or are willing to take their existing D2C business to new heights.

1. Leverage Content for E-commerce Marketing

Today, when customers are bombarded with a plethora of run-of-a-mill content, you can stand out only if your marketing strategies are unique. Creative, valuable, and compelling content can help catalyse the pull-promotional strategy wherein the customers are driven towards your brand organically instead of you pushing the products towards them. The potential customers thus gained are more likely to convert to sales and also return for more.

It is because the customers have become resistant to outright 'salesy' content and are very likely to ignore your advertisements if it is 'apparently promotional.' Therefore, to get the desired results, it is crucial to have an apt content strategy in place. This is the reason why most experienced businessmen invest handsome amounts in getting professional content marketing services that hit the right spots.

2. Utilise Social Commerce

'Medium is the message.' What McLuhan proposed in 1964 stands true to date. The medium determines the overall reach, perception, and impression of your message. Since marketing mediums have been diversified considerably, it is important to choose the right medium, or combinations of mediums, for your strategy to work best. Due to the availability of inexpensive smartphones and affordable internet connections, social media has emerged as a popular medium for promotion.

70% of the total Indian population is using social media, with an average user spending at least two-and-half hours per day on it. This makes social commerce an unavoidable tool you must employ. By leveraging the content, experience, and networking model in social commerce, you can successfully grab the attention of your potential consumers, which is otherwise difficult to capture using the traditional mediums.

3. Employ Paid Media and SEO

The buying behavior of consumers is continuously shifting towards an internet-first approach, making digital marketing more imperative than ever. Paid ads and SEO are two of the most effective tools of digital marketing that can drive considerable organic traffic to your D2C site. While paid ads cater to short-term marketing goals, SEO is a longer-term strategy.

According to a 2019 report, 51% of DTC brands depend upon SEO for acquiring consumers. SEO is not only crucial for filling up the sales funnel but also plays a significant role in increasing the awareness of your brand. Paid ads are more target-specific than SEO and are very effective in converting a lead into a sale.

4. Diversify Your Offerings

All emerging D2C businesses must take cognisance of the fact that putting all the baskets in one direction is a risky proposition. It might appear safe to base all your investment on the original beachhead, but it is unconducive to the overall growth and development of your brand. Therefore, to keep up with the competitive landscape, it is essential to diversify your offerings and stand out through product innovation and sub-brands.

However, the expansion and diversification should be strategically carried out to include only those categories that align with your brand's core offerings. All the new product lines should be able to deliver the brand's original promise. This is a very crucial consideration because when a brand becomes popular in one product category, people's expectations for all the other subsequent categories are very high. Failing to comply with it can have serious repercussions on the brand's goodwill.

5. Employ the Remarketing Strategy

Look at the LTV as a core metric for performance evaluation. The remarketing strategy can be put under the reminder ad category, where you convert the leads by repeatedly reminding them of the product that they are interested in. This method, if applied correctly, works wonders since it is very specific in nature.

Since it targets only those people who have already shown an interest in your product, the chances of conversions are quite high. It keeps your brand at the top of the user's mind and helps to capitalise on lost website traffic. This strategy is suitable for almost every industry and vertical. It comes in various formats such as display ads, dynamic carousels, search RLSA, etc. However, it is all-important to put a cap on the maximum number of ads to avoid bugging potential customers.

Hence, we see that D2C presents the most lucrative opportunity for brands to establish a direct and more personalised relationship with their customers, which is the need of the hour. However, it is critical to devise the right strategy to avoid knee-jerk measures later. Developing a successful D2C marketing strategy involves disruptive and innovative thinking appropriate to the fast-moving digital environment. This also includes testing and learning new data-driven ways of working. Therefore, it is best done by professionals who know the technical nuances of this particular marketing strategy.

Disclaimer: The views expressed in the article above are those of the authors' and do not necessarily represent or reflect the views of this publishing house

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