Buxton Three Two – Insights
In March, we hosted the first episode of Buxton Insights: a series where we share our knowledge and expertise. This time, we talked about The New Norm, and the available opportunities for traditional Business to Business (B2B) businesses to move to a Direct to Consumer (D2C) model. Keep reading to find out how you can build a D2C channel in 4 easy steps.
CHANGE
Let’s start by looking at what’s changed over the past year. At the start of the pandemic, executives were asked how quickly they expected to see an increase in customer demand for online sales. They estimated that it would take 585 days. In reality, it took only 22 days.
This shift towards digital isn’t new, but it has been accelerated by Covid. The digitalisation of consumer behaviour has progressed 3-4 years in less than 1.
We know that we’re not going ‘back to normal’. Increased digitalisation is the new normal, and it’s making our lives easier and more affordable. With the ability to shop for anything at the click of a button, access healthcare on-demand, take part in events online through platforms like Clubhouse and Instagram, and work flexibly and remotely, digitalisation is saving us money and allowing us more time to spend with loved ones.
To change this now would be regressive.
The fall of Arcadia and Debenhams shows us that the high street has finally collapsed. Against this backdrop, John Lewis has spent £150m on a Milton Keynes warehouse that serves online operations, and M&S has announced that it will stock rival brands online to attract a greater customer base. The brands that fail to adapt risk being left behind – but those who have done successfully are dominating the market.
LOOKING FORWARD
For businesses who have been impacted by Covid, whose customer base has been impacted or those who are perhaps experiencing a ‘lumpier’ order book than before, it might be time to look at new strategies and opportunities to achieve growth.
A D2C SOLUTION
We believe in acting proactively, not reactively.
Acting reactively is building a website or an online channel for your B2B manufacturing business. It’s not thought through, it’s not targeted or strategic. It’s not the same as having a D2C brand.
When we talk about acting proactively, we’re talking about building a D2C model for your business. This is a carefully constructed brand with insight, analysis and the consumer at the forefront.
Here’s how to build a D2C channel for your business.
STEP 1: KNOW YOUR CUSTOMER
Get to know your customer. What makes them tick? Where do they shop? What music do they listen to? Understand how to connect with them on an emotional level.
STEP 2: DEFINE YOUR BRAND
Using your understanding of your customer, define your brand. What do you promise to deliver? What can your brand offer them that others can’t?
STEP 3: GET CREATIVE
Now that you know your customer inside out and what value your brand offers them, you can work out how to communicate with them visually.
STEP 4: PERFECT YOUR EXPERIENCE
Every interaction that your customer has with your brand comes into play now. Your social media channels, website, ordering system and product packaging influence your customer’s experience. If you’ve communicated with them well up to this stage, your new D2C brand will be a success.
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If you’d like to hear more about the 4 steps to building your own D2C channel, or how we built Dough and Glory – a D2C brand from a traditional B2B manufacturer – get in touch with us at [email protected].
