The d2c model is effectively promoted by organizing support from authoritative people or communities. A striking example is the story of Chubbies men's shorts. The manufacturer involved American student fraternities in advertising shorts. The choice was unexpected, but it worked great.
One day, fraternity leaders received shorts as a gift. The company explained that it defended the right of men to wear shorts above the knee and fought against outdated dress codes. The idea was popular: the summer stock of shorts was sold out in two days!
By turning to influencers, a small peanut veterinary email list butter company called Nerdy Nuts also made a real breakthrough. A married couple made the paste at home to support their budget. Then they opened an online store. The couple came up with the idea of sending samples of the product to popular TikTokers. They were incredibly surprised and delighted: no one had given them gifts before. They liked Nerdy Nuts paste , which they informed a wide audience about. Sales skyrocketed, so the couple initially could not cope with the flood of orders.
The resulting shortage of toothpaste has further spurred demand. Buyers have started making pre-orders. Sales are not slowing down: the authority of TikTokers has proven to be quite high.
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Alexander Kuleshov
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Offer a high-end product with predictable demand
Consumer goods manufacturers are successful in the market due to large volumes of inexpensive goods. A business that has adopted the D2C model can also use another tool, namely the production of a high-end product designed for a discerning consumer. The product is manufactured through a thorough study of customer requirements. The company is ready to invest in the production of an exclusive product, knowing that it will pay off and attract even more regular customers.
Let's look at the history of luxury socks from Bombas. Manufacturers of cheap socks tried to increase their appeal by using stylish design. And the creators of the famous Bombas worked for two years on improving quality, setting themselves the goal of creating comfortable, wear-resistant men's socks.
They managed to solve a whole series of “eternal” problems: the socks did not slip or roll down, the heel and sole did not become thinner, holes did not form, and the socks softly embraced the foot.
Offer a high-end product with predictable demand
Source: shutterstock.com
A pair of wonder socks sold for $10, but this did not bother connoisseurs, since for their money they received a product of the highest level.
The company's owners are sure that quality is the best motivator for the public. Let's take Starbucks coffee as an example . In a regular cafe, a cup costs 75 cents, and in the Starbucks chain - two dollars and twenty-five cents. Most people choose quality and are ready to pay more.
Let's track Bombas's revenue growth : from 2013 to 2015, revenue was $4.6 million, in 2017 - $47 million. In 2018 - $100 million.
A compelling example is the Bark Box company, creator of the famous "dog box". Founder M. Meeker decided that pet food and accessories were better sold as a set rather than separately. The "everything you need in one box" product was designed for people with relatively high incomes who value convenience and quality.
Word of the new offer spread quickly, and many began ordering the "box" directly from the manufacturer. The number of customers has reached 600,000 to date, with 3 million people signing up on social media. People are now willing to pay for the brand, even though it costs more than buying food and accessories in regular stores.