1. BEFORE YOU START: Assess where D2C will sit within your broader commercial strategy

D2C is a powerful channel for reaching customers but it cannot exist in isolation. The best D2C propositions exist as part of a wider eCommerce strategy. We regularly see clients who rush straight in without considering how D2C is going to complement their operations. As a starting point, we recommend thinking about three key questions, which will help you to differentiate your D2C experience:

  • WHY are you moving into D2C?
  • HOW is your organisation set up to support D2C?
  • WHAT are your goals, and over what timeframe?

Being clear on these answers and resolving any internal conflicts that may arise as a result is essential before investing significant time or resources into building a D2C channel.

At VML, we support our clients in defining their eCommerce strategies through our Balanced Channel Strategy service. Get in touch with one of our consultants if you’d like to explore this further.

2. Build the Business Case

Creating a strong business case is a critical step when establishing a Direct-to-Consumer business. It serves as the foundation upon which you build your D2C business. A good business case:

  • Outlines your strategy
  • Helps you set objectives
  • Serves as a tool for tracking progress and gaining support

Without a well-defined business case, navigating the complex world of D2C commerce becomes considerably more challenging.

3. Identify the right operating model for your D2C

The target operating model should be driven by the channel strategy assessment and business case.

D2C is a microcosm of your business. It touches each team and function, and it impacts other businesses (such as your competitors and distributors). To succeed, a high-level of internal alignment is needed, along with talent and capabilities across five core fundamentals:

  • Technology & Data
  • Creative & Customer Experience
  • Trading & Commercial performance
  • Logistics & Operations
  • Media

Not all of this needs to exist within your organisation, but a decision needs to be made as to what will sit in-house versus what will be outsourced. Identifying a Target Operating Model for your D2C business is usually the best way to do this.

If you’d like to explore this model or continue the conversation before the next episode, connect with us here.

Any questions? We're here to help

John Iles

John Iles

Commerce Consultant

Contact me
Shalina Ganatra

Shalina Ganatra

Head of eCommerce Consultancy

Contact me

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