The Mad Dash To D2C Leads To Lacking Content

Many brands are wading into dropshipping not because they see the tide turning, but because their traditional retail partners no longer can afford to hold inventory.

Instead of a carefully planned event, it looks more like a mad dash.

Despite the obvious customer data, product introduction, and long-term growth advantages to having a direct relationship with the consumer, many of these firms are being dragged kicking and screaming into the new world. Where do I see many brands fall down in their first forays into eCommerce? (even if dropshipping isn't precisely D2C - shipping is one step in the direction!).

Content. Image content, copywriting, videos, etc. Your product data needs to go beyond simple titles and CAD drawings needed by your manufacturers. Remember who is buying your product?

Consumers. Think about their needs, and how you will get the right product data to the right channels in unique ways to gain their interest.

You've taken the first step, but step two is to stop thinking about romance copy and imagery as the retailer's problem.

It's your problem too.

Andy Chesnut summarized nicely here:

Retailers who don't put a strategic focus on the brand partner's experience end up with horrific customer disappointment. Too often the item setup experience is all self serve for the brand, (which doesn't end well), or drop shipping adopts the wholesale process which was designed for selling seasons. Beyond that there's the complexity of integration, managing exceptions, and making returns a seamless and simple process for both brand and customer. Too many brands are simply reaction to the process a retailer offers them. That said, There are brands that have leaned in and established a deliberate strategy for drop shipping. They get more trust, more liberty with what assortment they list, and better exposure.

Jordan Scott distils further:

To win — organizations need to disproportionately invest in the “doers” who ultimately execute on the growth strategy + systems/workflows that enable them. Product lifecycle management. Product information and content production. Visual merchandising. Demand planning and inventory allocation. All-things order fulfilment and customer experience.

I think Ashish Bhatnagar said it well here: “It indeed is a mad dash specifically in COVID era but the winner will be the ones building infrastructure thinking from long term perspective. Also, another good reminder that whatever you do, you do it for end consumer.”

Rick Watson

Rick Watson founded RMW Commerce Consulting after spending 20+ years as a technology entrepreneur and operator exclusively in the eCommerce industry with companies like ChannelAdvisor, BarnesandNoble.com, Merchantry, and Pitney Bowes.

Watson’s work today is centered on supporting investors and management teams incubating and growing direct-to-consumer businesses. Most recently, in partnership with WHP Global, Rick was a critical resource in architecting the WHP+ platform, a new turnkey direct to consumer digital e-commerce platform that powers AnneKlein.com and JosephAbboud.com.

Watson also hosts a weekly podcast, Watson Weekly, where he shares an unbiased, unfiltered expert take on the retail sector’s biggest players.

In the past year alone, Rick has spoken at many in-person and virtual events as well as podcasts on topics ranging from retail/ecom to supply chain/logistics and even digital grocery including CommerceNext IRL, ASCM Connect, and Retail Innovation Conference.

https://www.rmwcommerce.com/
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