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Take advantage of the global cross border economy From Winning brands with DTC

The following is the Take advantage of the global cross border economy From Winning brands with DTC recommended by recordtrend.com. And this article belongs to the classification: Overseas shopping, Electronic Commerce, research report.

In 2020, COVID-19 swept the globe and continued to have a profound impact on the global economy and people’s lives. The challenges and opportunities always go side by side, and the housing economy will get sustainable development. In the transformation upsurge of independent stations in 2020, the key to the success of cross-border e-commerce lies in whether the DTC (direct to consumer) transformation can be done well.

Facebook, together with Lanhan interactive, the official agent, and shopkeeper, a high-quality partner of China overseas, jointly released a white paper on how to use DTC to win brands and play the global cross-border home economy. The white paper analyzes and discusses the industry, target market and independent station operation, so as to help cross-border E-commerce grasp the DTC mode in an all-round way and play the cross-border e-commerce home economy.

The rise of residential economy against the trend contains unlimited business opportunities for sustainable development

Airwallex, a financial technology company, predicted the global economic development prospects in the post epidemic era. It believes that the impact of COVID-19 will last for at least 1 to 2 years in the world and bring revolutionary development opportunities to the online service industry.

Prospect forecast of cross border e-commerce in global market

Market liquidity and growth momentum are the key indicators of the new generation of export market.

A) Affected by the epidemic, the penetration rate of e-commerce in the United States increased rapidly

Influenced by COVID-19, the penetration rate of electricity in the US has increased rapidly, and has achieved a 10 year growth rate of 2 in just 2 months. The increase of penetration rate of e-commerce in the United States reflects the change of shopping habits of local consumers, which can bring long-term growth space in the future and provide rich soil for the development of cross-border B2C e-commerce.

B) North America is still the mainstream market of cross-border e-commerce

The upgrading of e-commerce environment in Canada and Mexico will also create more market opportunities. The local cross-border e-commerce infrastructure is becoming more and more mature, which is more conducive for small and medium-sized businesses to explore and develop business in the local area.

C) European cross border e-commerce market still has great potential

In 2019, Europe’s cross-border e-commerce market is worth 143 billion euros. In 2019, online shopping accounts for 59% of the retail industry / e-commerce penetration rate. In 2025, online shopping is expected to account for 65% of the retail industry / e-commerce penetration rate.

D) In Southeast Asia, an important e-commerce Town, sub categories under the home economy are sought after

E) Potential of new blue ocean market

Why do we need to transform cross-border e-commerce platform in the first year of the independent station

A) The competition of cross-border e-commerce going to sea is increasingly fierce

B) European and American consumption is still mainly on the web, independent station is the only way for brands to go to sea

C) Online shopping platforms for e-commerce consumers are becoming more diversified

The advantages of brand going to sea to operate independent station

Asset light operation: the transaction commission cost of independent station is reduced, and the collection period is short, which makes asset light operation possible;

Diversified external flow: multi channel marketing and drainage can be completed through independent stations to obtain more stable and lower cost diversified external flow;

Brand marketing: independent station allows sellers to build their own exclusive brand position, and establish a positive brand image by telling unique brand stories and showing brand characteristics;

Customer precipitation and private domain traffic: the operation of the independent station is more flexible and free, which can directly face consumers, obtain first-hand customer data and accurately precipitate customers.

The first mock exam mode of independent station is: the distribution mode, Dropshipping, vertical category and DTC mode. This mode is directly related to consumers, not only conducive to brand building, but also relatively competitive, and can achieve multi-channel marketing and drainage, and achieve stable user flow at lower cost. It is the way for sustainable development of cross-border sellers in the future.

Play with DTC, everything you need to know

DTC value chain model

DTC is a kind of direct interaction with consumers in the brand value chain. At the same time, the products are directly sold to consumers through the independent station, which enables the independent station merchants to effectively integrate product manufacturing, sales and marketing to achieve sustainable development.

Advantages of DTC

Buyers can master and accumulate first-hand customer data, create long-term strategy of differentiated products and realize data autonomy by analyzing and interpreting first-hand consumer and multi-channel market operation data feedback; at the same time, through direct interaction with consumers, deepen the emotional connection between brands and consumers, and make products spread and expand in consumers and communities The sharing of information will help to build a brand and improve user loyalty, so as to help the business achieve sustainable development.

Success factors of DTC mode

To be successful, businesses need to focus on how to create consistent experience through all the contact points with customers, including online marketing, offline marketing, shopping experience and advertising marketing, build brand barriers, and realize fine operation and traffic acquisition.

Product categories suitable for crowdfunding to open DTC’s door:

Differentiated products;

Products with unique and excellent appearance design;

Products with reasonable price / cost performance

KOL’s great role in brand DTC operation

KOL marketing will become one of the important trends in the operation of brand DTC. KOL can play a role in brand endorsement, localized marketing and the output of localized materials. It can also provide drainage for brand accounts and precipitate fans. Good use of KOL for marketing will help to enhance brand awareness, promote transformation, and help establish a closer relationship between the audience and the brand.

conclusion

DTC mode takes consumers as the terminal, allowing independent station merchants to efficiently integrate product manufacturing, sales and marketing, including integrating marketing, payment, logistics and after-sales tools in the online and offline ecosystem to manage and expand business. The first mock exam is to directly integrate the consumer’s data, to achieve the data autonomy and deepen the emotional connection between the brand and consumers, and to promote the social communication. At the same time, it helps to shape the brand, complete multi-channel marketing and drainage, and achieve stable user flow at lower cost, which is the way for the sustainable development of cross-border sellers in the future.

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