{"id":2328,"date":"2023-03-17T08:00:00","date_gmt":"2023-03-17T07:00:00","guid":{"rendered":"https:\/\/blog.3dbinpacking.com\/?p=2328"},"modified":"2023-03-16T09:49:52","modified_gmt":"2023-03-16T08:49:52","slug":"d2c-top-trend-in-logistics","status":"publish","type":"post","link":"https:\/\/blog.3dbinpacking.com\/en\/d2c-top-trend-in-logistics\/","title":{"rendered":"D2C. What is the top trend in logistics?"},"content":{"rendered":"\n
For decades, producers have been avoided dealing with sales to customers. The situation has changed due to dynamic e-commerce development. <\/strong>Recently, trading in the D2C (Direct to Consumer) model has become a very popular trend. The Internet has shortened the distance between the seller and the end customer, which has enabled producers to return to retail sales. It has resulted in significant transformations in the forwarding industry. Find out what D2C is about and how it affects logistics processes. Learn about the benefits and risks when you do not involve intermediaries.<\/strong><\/p>\n\n\n\n D2C is eliminating any middlemen such as retail chains, distributors or wholesalers in your distribution process<\/strong>. It happens that the D2C<\/strong> sales channel is identified as the same as B2C (Business to Consumer). In both cases, sales take place directly to the end customer. However, in the B2C model, the seller may be a producer or an intermediary while in the D2C model the seller is also the producer of the goods offered. D2C is a subset of B2C.<\/p>\n\n\n\n D2C sales often involve a flagship store<\/strong>. The name comes from naval traditions, meaning the leading ship in the fleet and refers to the most notable brand-owned retail store. It is a large, well-stocked, spacious shop. It is usually located in a big city\u2019s high-end area. Its task is to offer customers an enhanced purchasing experience and to physically represent the retailer\u2019s brand with its essence and key values.<\/p>\n\n\n\n The main disadvantage of the D2C sales channel is investment risk<\/strong>. You have to arrange forwarding and sales points and employ competent employees. For many manufacturers, this may be a very difficult challenge with a high risk of failure.<\/p>\n\n\n\n That is why producers used to choose the B2C model where they used the services of intermediaries. The development of e-commerce has enabled a change. Improved internet tools for trading make it easier for producers to establish direct trade relations with customers. Complex online stores <\/strong>(trading platforms) that do not require a brick-and-mortar counterpart are perfect as flagships<\/strong>. Sales using social media are also developing better.<\/p>\n\n\n\n Direct to consumer e-commerce<\/strong> requires much smaller investments than a traditional physical chain of stores. As a result, the relation of potential benefits to costs becomes much more attractive.<\/p>\n\n\n\n The D2C model<\/strong> enables manufacturers to have full control over the offered goods and have direct contact with the customer. Thanks to this, they may enjoy the following benefits:<\/strong><\/p>\n\n\n\n Close partner relationships with customers improve the authenticity of your message and the credibility of the brand which may result in increased sales volumes.<\/p>\n\n\n\n Using the D2C sales channel translates directly into changes in logistics<\/strong>. Warehouses are subject to the most significant changes. They must be prepared for completing orders and handling returns (reverse logistics).<\/p>\n\n\n\n Expanding the functionality of a warehouse has become a widespread practice. They are no longer just places for storing goods and completing orders, but also retail outlets. Showrooms, where customers can examine products on site at the manufacturer\u2019s facility<\/strong> are becoming very popular.<\/p>\n\n\n\n The Direct to Consumer<\/strong> model is beneficial, however, it also involves great challenges. The manufacturer takes over the management of the entire forwarding process: packaging, shipping, returns and storage of goods. D2C is best suited for selling exclusive goods. In the case of many companies from the fast-moving consumer goods (FMCG) sector, creating such a sales channel from scratch may prove unprofitable<\/strong>. <\/p>\n\n\n\n Communication is both the best opportunity and also the biggest challenge in all models where you sell directly to end customers. You can gain a lot but also, due to order fulfilment problems, lose the trust of customers.<\/p>\n","protected":false},"excerpt":{"rendered":" For decades, producers have been avoided dealing with sales to customers. The situation has changed due to dynamic e-commerce development. Recently, trading in the D2C (Direct to Consumer) model has become a very popular trend. The Internet has shortened the distance between the seller and the end customer, which has enabled producers to return to retail … <\/p>\nWhat is Direct to Consumer?<\/h1>\n\n\n\n
What are the advantages of the D2C model in e-commerce?<\/strong><\/h1>\n\n\n\n
D2C in logistics<\/h1>\n\n\n\n