Questions You Need To Ask Yourself before Launching a Direct To Customer Brand
The Internet democratized the resources needed to launch and grow a business. These days, digitally native brands have grown to surpass the handful of legacy brands that have dominated each industry worldwide online retails sales are expected to hit 23% of total retail sales by 2023. Why is this happening? Two primary causes: Customers want to know more and want to know directly from the source; Customers want to save more and not pay the middlemen margins. The key part to note is that DTC brands own a relationship with their customers.
You feel you have a great idea, start by asking what you are solving for the customer. Let me explain with my context: I stepped out to buy a mattress. I was unable to find something natural with no chemicals and yet offer great body support and comfort. When I found out that a latex mattress is what I need, the offline stores were selling it at a markup of 80%. Hence, I decided to solve the customer's need to buy and shop natural latex mattresses at affordable prices by delivering them from factory to doorstep. Will consumers suddenly trust an online brand to buy a mattress? I started offering a 100-night trial. It is important to understand what consumers want and that their expectations are evolving.
It is important to design your website and marketing strategy to inform the customer about the product and the space you are in and there by boosting online sales
Now, how do you reach your consumer? It is important to design your website and marketing strategy to inform the customer about the product and the space you are in and thereby boosting online sales. Today, the customers want to research before investing in a mattress. The pandemic has made Consumers more conscious about their health and the need to take care of themselves. They ask questions, visit blogs, and view video tutorials before buying anything.
In Arpit case, customers come to him and say “most memory foam mattresses are made from petroleum-based polyurethane foam, chemical fire retardants, and potentially carcinogenic pesticides. How do I know latex is safe and that you are provided pure latex”.It then helped Arpit to realize him should share and display his products certification. Digital content consumption has shot up by 2X in the post-pandemic world. How will you leverage this? How will you invest in this? Accordingly, what is your marketing plan?
The other key question is what makes you stand out? What are the 2-3 unique features of your products? And why customers should buy your products, In today’s world there are many options available for them. What does your brand offer that other brands do not offer? These are an aspect that every start-up should be ready to answer.
ABC wanted to sell 100% pure latex which is designed to offer optimum support to your spine and give you a great night's sleep while making luxury affordable. What is your product positioning? Which space do you want to capture?
How focussed will you be on providing a great customer experience? Ensure you to provide a seamless experience. Invest in good customer support. This brings you to the key question - what is my budget? How will I finance it?