April 1, 2011

DIRECT TO CONSUMER

Selling D2C (Direct-to-Consumer) is not a new concept or practice. However, up until recently, buying direct was constrained by geography and consumers were limited to buying direct from their local merchants, neighbors or while traveling abroad.

What I love about D2C via the internet is that it means something entirely different. What once was limited by a finite group of consumers and physical location is now open to an infinite number of potential consumers across the globe.

Selling D2C still requires two key components: (1) direct access to those consumers (2) and a platform that can facilitate those transactions. If the seller has both, the benefits to selling direct (increased revenue, decreased expenses, access to consumer data, control, timing, etc) can far outweigh the benefits of distributing through the "normal" retail channels.

eBay has built a D2C marketplace that allows someone in California to buy a used car directly from a person in Florida. Bandbox provides a platform that allows Taylor Swift to sell CDs and downloads directly from her website or Facebook profile. And Alice.com is allowing consumers to purchase muffin mixes directly from manufacturers like Fiber One.

Find out more about my involvement in digital media.


-----------------------------------------------------------------------------------------------------