Businesses adopting the direct-to-consumer model are on the rise today. On the other hand, traditional businesses following conventional techniques still struggle to achieve this success.
A major reason for their struggle is not to update strategies. It unintentionally results in not meeting the consumer’s expectations. Things are different today and consumers prioritise convenience. That’s why the modern entrepreneurs offer direct home delivery and this approach lies at the heart of the DTC model. In this discussion, we will highlight what traditional businesses should learn from this business strategy. Let’s describe this modern business model first.
The DTC Model Explained
Innovation in business strategies has introduced many things over time, but those who started entrepreneurships in the early 2010s remained lucky because the DTC model was introduced then. This is a strategy helping businesses to bypass wholesalers and retailers and sell their products directly to consumers. This wonderful strategy lets the brands maintain control over their products, pricing, and customer experience. Utility Kilt UK is an example that was initiated with this concept to sell kilts in the UK. It started as a family-run business to sell kilts and soon transformed itself into an international kilt seller.
Traditional Fashion Brands and the DTC Model
The direct-to-consumer business model has achieved great success worldwide from the day it was introduced. If we specifically talk about the businesses in the UK, 85% of them have adopted this model, which is proof of its success. Some traditional fashion businesses are still making efforts with the conventional modules; they should change themselves and learn the following lessons from this business strategy.
Operates Agility For Legacy
DTC businesses operate with agility while preserving the legacy and identity of their brand and products. This model lets the businesses deal directly with customers. As a result, the brand customises a product for them and does not have to create products in bulk for wholesalers or distributors. Manufacturing something in lower quantity requires less time without compromising the quality.
Transparent Sourcing
Brands with old-fashioned business techniques usually have to manufacture and deliver in bulk. Therefore, sourcing in bulk can impact the transparency of stock. Some common issues can be miscalculation of stock, breakage of products, and more. By dealing directly with consumers, brands avoid common issues such as inventory mismanagement and product damage. In fact, the businesses ensure partnering with reliable and trackable service providers for fair delivery.
Craftsmanship and Authenticity
Imagine yourself as an artisan for a while and getting orders to make 2 kilts in a day. On the contrary, someone orders 10 kilts in a day. What would be your priority? A skilled artisan who always focuses on quality, would naturally prefer making two kilts with care rather than rushing through ten. This understanding reflects the DTC model’s emphasis on craftsmanship to promote quality and authenticity because it matters today.
Supply Chain Merger with Sustainability
Transparent supply chains have become a priority for modern businesses in response to growing consumer demand for ethical practices. According to reports, consumers are willing to spend 9.7% extra to buy sustainable products. Interestingly, the DTC model also favors this thought and promotes ethical practices in making and delivering the stock to customers. All businesses, whether they are modern ones or old-fashioned brands, can benefit significantly from it.
Digitalisation Should be the Priority
We just mentioned sustainable supply chains; digitalising the business has a strong connection with it. Consumers in this advanced era prefer to shop without the hassle of commuting or navigating crowded markets, and it preserves the resources. Similarly, they want a product in their hands at a cost-effective price. This is where digitalisation comes into play. Using different social media and other platforms, businesses can market themselves and extend their shares in the merchandise.
UtilityKilt UK is among the first kilt-makers to adopt the DTC strategy, and it is recognized as one of the leading providers of high-quality, affordable kilts. We advertised our services through our website and other social media platforms. It brought our customers close to us and let us communicate directly with them.
In the same manner, digitalisation helped us to understand the requirements, and soon the process of making tartan kilts only transformed into different men’s kilts, including denim, leather, hybrid, and utility kilts. Similarly, old-fashioned businesses can adopt this method to become more visible.
Final Thoughts
The direct-to-consumer model is the core requirement of businesses today. Some traditional brands, which have been providing services for decades, are still unable to visualize themselves in this advanced era. It is because they did not update their strategies with time. If they also want to shine, they should convert their traditional strategies to the DTC model and digitalise them because it is their primary need today.
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What Traditional Fashion Brands Can Learn from Direct-to-Consumer Models!