Direct-to-consumer (D2C) is a strategy in which a company promotes and sells a product or service directly to consumers, cutting out the need for any intermediaries. The number of businesses that independently manufacture, promote, sell, and ship their own products is rising, and growing popularity of this strategy is rapidly changing the business landscape overall. The D2C model has disrupted the way consumers shop and now more than ever, it is a consumer’s market as they can shop for what they want, when they want at the click of a button.
At a time when millennials are at the forefront of driving change in the economy, customer expectations are shifting with preferences for more streamlined purchase experiences, maximum convenience, and an authentic brand experience. Companies that embrace direct to consumer offering have risen to answer the call.
Millennial and Gen-Z shoppers have a keen eye for inauthenticity, and D2C brands have responded in a monumental way. Many successful D2C brands are born out of mission-driven initiatives, which is well aligned with the desired consumption pattern of Millennial and Gen-Z shoppers, as they aim to shop brands with a social conscience, who follow “green,” sustainable practices.
Today there is more transparency in retail than ever before and D2C brands are using every channel possible to communicate the ins and outs of their operations. Now their customers notice if they are giving back to the world through charitable or sustainable efforts. Customers notice if you are authentically connected to your cause on a personal level, through your brand, and through your product. Supporting a cause gives customers a sense of purpose when buying from your brand.
The D2C space will certainly continue to evolve — perhaps more so than ever before—as both brands and consumers continue to see the benefits of the D2C model. Expect a continued focus on customer experience, product diversification, and industry acquisitions and mergers.
CEO Search Partners, who specializes in retained executive search in all areas of D2C, has a D2C practice and can bring you a proven executive to build your business. We have experience recruiting executives across all areas of D2C including but not limited to CEO’s, Board members, and executives with experience in all aspects of Direct to Consumer business practices. If you are looking for an industry specialist to assist you with finding the right executive leadership to lead your D2C business call our CEO Robin Copping at (773) 251-6240 to further discuss our approach.