Direct-to-consumer (DTC) businesses are upending entire industries and putting customers first. By cutting out the middleman and selling directly to the consumer, rather than through a retailer or third party, DTC businesses are exploring new ways to reach consumers with amazing and transformative customer experiences. But how do they do it?
Know the Customer History
Imagine having a conversation with a friend, but not being able to remember anything about that friend, or any interactions you’ve ever had with them previously. It would be difficult to have a truly personal or meaningful conversation. That’s how traditional retailers have historically interacted with consumers, with a large blind spot around customers’ preferences and behaviors.
Digital-first brands don’t have to deal with this problem. Every aspect of the online journey can be adjusted to meet customer needs, and with the right technology can be available to staff in a single view. You’ll be able to know a customer’s preferences, buying history, sentiment, previous interactions with the brand, status of their orders, even their preferred channels of communication. You’ll no longer be interacting with Customer #45634, but with a valued human being who feels heard and appreciated.
In-Action With Glossier
Hyper-popular beauty and skincare provider Glossier makes buying their products as intuitive and personal as possible. To replace the experience of trying on makeup at a counter in a department store, Glossier creates an immersive, digital journey. Customers can get a personal consultation from a member of the gTEAM, who is prepared to provide all the support they might need over the channel of their choice, and has all the necessary context and information about their shopping history.
Solving for Decision Paralysis
The spread of e-commerce has created a paradox. In the heyday of big box stores, a huge selection of products and styles used to add value. Customers did most of their shopping in a physical space, as it was still faster, cheaper, and more accessible than shopping online. A large number of stores and a wide selection meant customers were more likely to shop and find what they were looking for. However, the near-infinite amount of choices provided by Amazon and other big box stores and marketplaces have flipped this notion on its head.
Now, customers are overwhelmed with choices. If you search the word “soap” on Amazon, you get over 60,000 results. Picking a simple product becomes paralyzing as you try to weigh price, benefits, ingredients, and other factors all at once. And having your product feedback heard or incorporated can feel hopeless.
Products Customers Want and Need
Focusing on a few good items done right, at a fair price point, is key to tapping into modern shopping trends, and encourages brand loyalty and repeat business by making products that become an essential part of customers’ lives.
Some high-growth DTC brands, such as hair care company Prose and dog food company The Farmer’s Dog, even incorporate customer feedback into their product. Through proactively seeking feedback from customers, these leading brands ensure that both their products and service are exceptional, and they keep their customers coming back time and time again.
Additionally, DTC brands are able to use customer data to inform business decisions. If you document why customers are reaching out, you can use this information to optimize UX, make product or fulfillment tweaks, or even open a new store location.
Want to learn more about how high-growth DTC brands are standing out from the competition through CX? Download the guide here.