Even Big Brands Need a Direct-to-Consumer Strategy

Direct-to-consumer (DTC) sales give companies direct access to customer data, which can drive innovation, personalize the customer experience and ultimately maximize customer lifetime value.

Recent years have seen an explosion in e-commerce. Even slow online sales categories like foods and beverages grew by 67% from December 2019 to May 2020. There was a time when brands worried that implementing a direct-to-consumer aspect to their overall sales strategy would create competition for traditional retail and water down their overall business plan. Now, it’s accepted that adding a DTC aspect is vital, even for big brands. From customer acquisition to product innovation, a direct-to-consumer approach helps companies collect data that will ultimately help the company reduce costs, minimize waste and maximize customer lifetime value. 

Using the traditional “design-make-sell” model, retailers could only make educated guesses about consumer preferences, then wish for the best. When your company owns your...